MIRA INFORM REPORT

Report Date :

23.05.2014

IDENTIFICATION DETAILS

Name :	ZEPHYR COMPANY (PRIVATE) LIMITED
Registered Office :	19, Woodlands Terrace, Woodlands East Industrial Estate, 738444
Country :	Singapore
Financials (as on) :	30.06.2013
Date of Incorporation :	10.10.1973
Com. Reg. No.:	197301899-H
Legal Form :	Private Limited
Line of Business :	Manufacturer of adhesives and labels
No of Employees :	230

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 (30.09.2013)	Current Rating (01.12.2013)
Singapore	A1	A1

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

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. The economy contracted 0.6% in 2009 as a result of the global financial crisis, but rebounded 15.1% in 2010, on the strength of renewed exports, before slowing to in 2011-13, 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. 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

EXECUTIVE SUMMARY

REGISTRATION NO.

:

197301899-H

COMPANY NAME

:

ZEPHYR COMPANY (PRIVATE) LIMITED

FORMER NAME

:

N/A

INCORPORATION DATE

:

10/10/1973

COMPANY STATUS

:

EXIST

LEGAL FORM

:

PRIVATE LIMITED

LISTED STATUS

:

NO

REGISTERED ADDRESS

:

19, WOODLANDS TERRACE, WOODLANDS EAST INDUSTRIAL ESTATE, 738444, SINGAPORE.

BUSINESS ADDRESS

:

19 WOODLANDS TERRACE, WOODLANDS EAST INDUSTRIAL ESTATE,, 738444, SINGAPORE.

TEL.NO.

:

65-67553922

FAX.NO.

:

65-67553911

CONTACT PERSON

:

KO BENG SOO ( DIRECTOR )

PRINCIPAL ACTIVITY

:

MANUFACTURING OF ADHESIVES AND LABELS

ISSUED AND PAID UP CAPITAL

:

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

SALES

:

SGD 33,118,176 [2013]

NET WORTH

:

SGD 32,128,787 [2013]

STAFF STRENGTH

:

230 [2014]

BANKER (S)

:

ABN AMRO BANK N.V.

LITIGATION

:

CLEAR

FINANCIAL CONDITION

:

STRONG

PAYMENT

:

GOOD

MANAGEMENT CAPABILITY

:

AVERAGE

COMMERCIAL RISK

:

LOW

CURRENCY EXPOSURE

:

MODERATE

GENERAL REPUTATION

:

GOOD

INDUSTRY OUTLOOK

:

MATURE

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 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) manufacturing of adhesives and labels.

Share Capital History

Date	Issue & Paid Up Capital
19/05/2014	SGD 4,000,000.00

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

Name	Address	IC/PP/Loc No	Shareholding	(%)
YING TAI ENTERPRISE PTE LTD	545, ORCHARD ROAD, 10 - 06, FAR EAST SHOPPING CENTRE, 238882, SINGAPORE.	199503308C	2,400,000.00	60.00
KO BENG SOO +	43C, FLOWER ROAD, 549442, SINGAPORE.	S0280320H	770,000.00	19.25
MA KWOK PING +	41, MIMOSA WALK, MIMOSA VILLAS, 807888, SINGAPORE.	S2187611I	600,000.00	15.00
KOH CHUAN GHEE +	30, JALAN KESOMA, 538141, SINGAPORE.	S0132899I	30,000.00	0.75
SHELFORD CAPITAL PTE. LTD.	545, ORCHARD ROAD, 10 - 06, FAR EAST SHOPPING CENTRE, 238882, SINGAPORE.	201111427C	200,000.00	5.00
			---------------	------
			4,000,000.00	100.00
			============	=====

+ Also Director

The Subject's interest in other companies (Subsidiaries/Associates) are shown as follow :

Local No	Country	Company	(%)	As At
198905733E	SINGAPORE	TRADELINK MANUFACTURING PTE LTD	95.67	30/06/2013
199700027K	SINGAPORE	QPS INDUSTRIES PTE LTD	90.00	30/06/2013

DIRECTORS

DIRECTOR 1

Name Of Subject	:	KO CHUAN SHENG @ GAO QUANSHENG
Address	:	43C, FLOWER ROAD, 549442, SINGAPORE.
IC / PP No	:	S7323908G
Nationality	:	SINGAPOREAN
Date of Appointment	:	04/10/1997

DIRECTOR 2

Name Of Subject	:	KOH CHUAN GHEE
Address	:	30, JALAN KESOMA, 538141, SINGAPORE.
IC / PP No	:	S0132899I
Nationality	:	SINGAPOREAN
Date of Appointment	:	04/10/1997

DIRECTOR 3

Name Of Subject	:	MA KWOK PING
Address	:	41, MIMOSA WALK, MIMOSA VILLAS, 807888, SINGAPORE.
IC / PP No	:	S2187611I
Date of Appointment	:	08/05/1992

DIRECTOR 4

Name Of Subject	:	KO BENG SOO
Address	:	43C, FLOWER ROAD, 549442, SINGAPORE.
IC / PP No	:	S0280320H
Nationality	:	SINGAPOREAN
Date of Appointment	:	10/10/1973

MANAGEMENT

1)	Name of Subject	:	KO BENG SOO
	Position	:	DIRECTOR

AUDITOR

Auditor	:	WONG, LEE & ASSOCIATES
Auditor' Address	:	N/A

Auditor	:	WONG, LEE & ASSOCIATES
Auditor' Address	:	N/A

COMPANY SECRETARIES

1)	Company Secretary	:	WONG KIAH PENG
	IC / PP No	:	S0091677C
	Address	:	71A, LORONG GAMBIR, 536619, SINGAPORE.

BANKING

Banking relations are maintained principally with :

1)

Name

:

ABN AMRO BANK N.V.

ENCUMBRANCE (S)

Charge No	Creation Date	Charge Description	Chargee Name	Total Charge	Status
C201404555	07/05/2014	N/A	ABN AMRO BANK N.V.	-	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.

No legal action was found in our databank.

No winding up petition was found in our databank.

PAYMENT RECORD

SOURCES OF RAW MATERIALS:
Local	:	YES
Overseas	:	YES

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
Domestic Markets	:	SINGAPORE
Overseas	:	YES
Export Market	:	WORLDWIDE
Credit Term	:	N/A
Payment Mode	:	CHEQUES TELEGRAPHIC TRANSFER (TT)

OPERATIONS

Products manufactured

:

ADHESIVES AND LABELS

Total Number of Employees:
YEAR	2014
GROUP	N/A
COMPANY	230

Branch

:

NO

Other Information:

The Subject is principally engaged in the (as a / as an) manufacturing of adhesives and labels.

The Subject is engaged in the manufacturing of labels and adhesives.

The Subject however refused to disclose further information on its operation.

CURRENT INVESTIGATION

Latest fresh investigations carried out on the Subject indicated that :

Telephone Number Provided By Client	:	N/A
Current Telephone Number	:	65-67553922
Match	:	N/A
Address Provided by Client	:	19 WOODLANDS TERRACE, SINGAPORE 738444
Current Address	:	19 WOODLANDS TERRACE, WOODLANDS EAST INDUSTRIAL ESTATE,, 738444, SINGAPORE.
Match	:	NO

Other Investigations

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

The address provided is incomplete.

FINANCIAL ANALYSIS

Profitability
Turnover	:	Decreased	[	14.91%	]
Profit/(Loss) Before Tax	:	Decreased	[	20.76%	]
Return on Shareholder Funds	:	Acceptable	[	11.85%	]
Return on Net Assets	:	Acceptable	[	13.46%	]
The lower turnover could be due to the intense market competition. The dip in profit could be due to the stiff market competition which reduced the Subject's profit margin. The Subject's management had generated acceptable return for its shareholders using its assets.
Working Capital Control
Stock Ratio	:	Favourable	[	36 Days	]
Debtor Ratio	:	Acceptable	[	63 Days	]
Creditors Ratio	:	Favourable	[	18 Days	]
The Subject's stocks were moving fast thus reducing its holding cost. This had reduced funds being tied up in stocks. The Subject's management was quite efficient in handling its debtors. The Subject's debtors days were at an acceptable range, thus the risk of its debts turning bad was minimised. 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	[	6.48 Times	]
Current Ratio	:	Favourable	[	7.27 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	:	Nil	[	0.00 Times	]
Gearing Ratio	:	Favourable	[	0.00 Times	]
The Subject's interest cover was nil as it did not pay any interest during the year. The Subject had no gearing and hence it had virtually no financial risk. The Subject was financed by its shareholders' funds and internally generated fund. During the economic downturn, the Subject, having a zero gearing, will be able to compete better than those which are highly geared in the same industry.
Overall Assessment :
The Subject's performance deteriorated over the years with lower 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 did not make any interest payment during the year. The Subject was dependent on its shareholders' funds to finance its business needs. The Subject was a zero gearing company, it was solely dependant on its shareholders to provide funds to finance its business. The Subject has good chance of getting loans, if the needs arises.
Overall financial condition of the Subject : STRONG

SINGAPORE ECONOMIC / INDUSTRY OUTLOOK

Major Economic Indicators :	2009	2010	2011	2012	2013
Population (Million)	4.98	5.08	5.18	5.31	5.40
Gross Domestic Products ( % )	(0.8)	14.5	4.9	1.3	3.7
Consumer Price Index	0.6	2.8	5.2	4.6	2.4
Total Imports (Million)	356,299.3	423,221.8	459,655.1	474,554.0	466,762.0
Total Exports (Million)	391,118.1	478,840.7	514,741.2	510,329.0	513,391.0
Unemployment Rate (%)	3.2	2.2	2.1	2.0	1.9
Tourist Arrival (Million)	9.68	11.64	13.17	14.49	15.46
Hotel Occupancy Rate (%)	75.8	85.6	86.5	86.4	86.3
Cellular Phone Subscriber (Million)	1.37	1.43	1.50	1.52	1.97
Registration of New Companies (No.)	26,414	29,798	32,317	31,892	37,288
Registration of New Companies (%)	4.3	12.8	8.5	(1.3)	9.8
Liquidation of Companies (No.)	22,393	15,126	19,005	17,218	17,369
Liquidation of Companies (%)	113.4	(32.5)	25.6	9.4	(5.3)
Registration of New Businesses (No.)	26,876	23,978	23,494	24,788	22,893
Registration of New Businesses (%)	8.15	(10.78)	2.02	5.51	1.70
Liquidation of Businesses (No.)	23,552	24,211	23,005	22,489	22,598
Liquidation of Businesses (%)	11.4	2.8	(5)	(2.2)	0.5
Bankruptcy Orders (No.)	2,058	1,537	1,527	1,748	1,992
Bankruptcy Orders (%)	(11.5)	(25.3)	(0.7)	14.5	14.0
Bankruptcy Discharges (No.)	3,056	2,252	1,391	1,881	2,584
Bankruptcy Discharges (%)	103.7	(26.3)	(38.2)	35.2	37.4
INDUSTRIES ( % of Growth ) :
Agriculture
Production of Principal Crops	3.25	(0.48)	4.25	3.64	-
Fish Supply & Wholesale	(1.93)	(10.5)	12.10	(0.5)	-
Manufacturing *	71.5	92.8	100.0	100.3	102.0
Food, Beverages & Tobacco	90.4	96.4	100.0	103.5	103.5
Textiles	145.9	122.1	100.0	104.0	87.1
Wearing Apparel	211.0	123.3	100.0	92.1	77.8
Leather Products & Footwear	79.5	81.8	100.0	98.6	109.8
Wood & Wood Products	101.4	104.0	100.0	95.5	107.4
Paper & Paper Products	95.4	106.1	100.0	97.4	103.2
Printing & Media	100.9	103.5	100.0	93.0	86.1
Crude Oil Refineries	96.4	95.6	100.0	99.4	93.5
Chemical & Chemical Products	80.3	97.6	100.0	100.5	104.1
Pharmaceutical Products	49.1	75.3	100.0	109.7	107.2
Rubber & Plastic Products	101.2	112.3	100.0	96.5	92.9
Non-metallic Mineral	91.9	92.5	100.0	98.2	97.6
Basic Metals	92.6	102.2	100.0	90.6	76.5
Fabricated Metal Products	90.8	103.6	100.0	104.3	105.1
Machinery & Equipment	57.3	78.5	100.0	112.9	114.5
Electrical Machinery	86.8	124.1	100.0	99.3	108.5
Electronic Components	85.2	113.6	100.0	90.6	94.3
Transport Equipment	96.0	94.0	100.0	106.3	107.5
Construction	(36.9)	14.20	20.50	28.70	-
Real Estate	1.4	21.3	25.4	31.9	-
Services
Electricity, Gas & Water	1.70	4.00	7.00	6.30	-
Transport, Storage & Communication	3.90	12.80	7.40	5.30	-
Finance & Insurance	(16.4)	(0.4)	8.90	0.50	-
Government Services	4.50	9.70	6.90	6.00	-
Education Services	0.10	(0.9)	(1.4)	0.30	-
* Based on Index of Industrial Production (2011 = 100)

INDUSTRY ANALYSIS

INDUSTRY :	MANUFACTURING
The manufacturing sector contracted by 1.1% in the fourth quarter of 2012, led by declines in the electronics and precision engineering clusters. These clusters were weighed down by weak global demand for semiconductors and semiconductor-related equipment. For the whole year of 2012, the manufacturing sector grew by 0.1%, significantly lower than the 7.8% recorded in 2011 when the sector was boosted by a surge in the growth of the biomedical manufacturing cluster.
Output of the biomedical manufacturing cluster grew by 2.4% in the fourth quarter. The expansion was driven by the medical technology segment which grew by a healthy 9.2%, benefitting from robust export demand for medical devices. The pharmaceuticals segment also grew by a modest 1.1%. For 2012, the biomedical manufacturing cluster expanded by 9.9%.
Output of the transport engineering cluster expanded by 4.9% in the fourth quarter. The aerospace segment grew by 6.2%, supported by higher demand for repair jobs from commercial airlines. Similarly, the marine & offshore engineering segment expanded by 5.0%, on the back of higher contributions from oil rig projects and oilfield equipment components. In the year 2012, the transport engineering cluster surged by 11%.
The output of the precision engineering cluster shrank by 1.3% in the fourth quarter. The decline was led by the 5.3% contraction in the machinery & systems segment, which saw weak export demand for semiconductor-related equipment. On the other hand, the precision modules & components segment grew by 2.9%, supported by higher production of optical instruments & photographic equipment and electronic connectors. In 2012, the precision engineering cluster expanded by 1.3%.
The general manufacturing cluster's output grew by 1.2% in the fourth quarter, driven by the 6.4% growth in the miscellaneous industries segment. The segment's growth was supported by higher production of batteries and construction related materials. By contrast, the printing and food, beverages & tobacco segments declined by 6.4% and 1.3% respectively. For 2012, the general manufacturing cluster grew by 2.0%.
The chemicals cluster's output grew by 7.7% in the fourth quarter. The petrochemicals and petroleum segments registered growth of 9.3% and 6.3% respectively, partly due to the low base from plant shutdowns in end of 2011. The specialty chemicals segment also expanded by 8.0% on the back of higher regional demand. For the year 2012, the chemicals cluster declined by 0.4%, primarily due to weak regional demand for specialty chemicals in the second and third quarter of 2012.
Output of the electronics cluster contracted by 10% in the fourth quarter, led by the semiconductors and computer peripherals segments which contracted by 13% and 15% respectively. By contrast, the data storage segment grew by 7.8%, mainly due to the low base in end of 2011 when floods in Thailand had disrupted the supply chain for data storage products. For the whole of 2012, the electronics cluster contracted by 11%.
OVERALL INDUSTRY OUTLOOK : MATURE

CREDIT RISK EVALUATION & RECOMMENDATION

Incorporated in 1973, the Subject is a Private Limited company, focusing on manufacturing of adhesives and labels. The Subject has been in business for over two decades. It has built up a strong clientele base and good reputation will enable the Subject to further enhance its business in the near term.  The Subject is expected to enjoy a stable market shares. Having strong support from its shareholders has enabled the Subject to remain competitive despite the challenging business environment. The capital standing of the Subject is fair. With an adequate share capital, the Subject has the potential of expanding its business in future.

Over the years, the Subject has penetrated into both the local and overseas market. The Subject has positioned itself in the global market and is competing in the industry. Its stable clientele base will enable the Subject to further enhance its business in the near term. The Subject is a fairly large and rapidly growing company with over 230 staff in its operations 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.

The Subject's business performance showed a reverse trend as both its turnover and pre-tax profit have decreased compared to the previous year. 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 zero geared company, the Subject virtually has no financial risk as it is mainly dependent on its internal funds to finance its business. Given a positive net worth standing at SGD 32,128,787, the Subject should be able to maintain its business in the near terms.

Having a strong assets backing, the Subject possesses latent assets as collateral for further financial extension. Hence, it has good chance of getting loans if the needs arises. The Subject'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 Subject has a good control over its resources.

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 has reached its optimum level and is generally stable. It is saturated and very competitive. As the Subject is long presence in the market, it should have acquired competitive edge against other players in the same fields.

Based on the above condition, we recommend credit be granted to the Subject promptly.

PROFIT AND LOSS ACCOUNT

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

ZEPHYR COMPANY (PRIVATE) LIMITED

Financial Year End	2013-06-30	2012-06-30
Months	12	12
Consolidated Account	GROUP	GROUP
Audited Account	YES	YES
Unqualified Auditor's Report (Clean Opinion)	YES	YES
Financial Type	FULL	FULL
Currency	SGD	SGD
TURNOVER	33,118,176	38,922,107
Other Income	723,264	728,260
	----------------	----------------
Total Turnover	33,841,440	39,650,367
Costs of Goods Sold	(24,320,958)	(28,661,994)
	----------------	----------------
Gross Profit	9,520,482	10,988,373
	----------------	----------------
PROFIT/(LOSS) FROM OPERATIONS	4,385,630	5,534,577
	----------------	----------------
PROFIT/(LOSS) BEFORE TAXATION	4,385,630	5,534,577
Taxation	(564,313)	(424,114)
	----------------	----------------
PROFIT/(LOSS) AFTER TAXATION	3,821,317	5,110,463
Minority interests	(14,652)	(11,575)
	----------------	----------------
PROFIT/(LOSS) BEFORE EXTRAORDINARY ITEMS	3,806,665	5,098,888
	----------------	----------------
PROFIT/(LOSS) ATTRIBUTABLE TO SHAREHOLDERS	3,806,665	5,098,888
RETAINED PROFIT/(LOSS) BROUGHT FORWARD
As previously reported	28,542,534	27,443,646
	----------------	----------------
As restated	28,542,534	27,443,646
	----------------	----------------
PROFIT AVAILABLE FOR APPROPRIATIONS	32,349,199	32,542,534
DIVIDENDS - Ordinary (paid & proposed)	(4,000,000)	(4,000,000)
	----------------	----------------
RETAINED PROFIT/(LOSS) CARRIED FORWARD	28,349,199	28,542,534
	=============	=============

BALANCE SHEET

ZEPHYR COMPANY (PRIVATE) LIMITED

ASSETS EMPLOYED:
FIXED ASSETS	4,204,585	5,719,576
Associated companies	2,900,913	2,557,216
	----------------	----------------
TOTAL LONG TERM INVESTMENTS/OTHER ASSETS	2,900,913	2,557,216
Goodwill on consolidation	47,331	47,331
	----------------	----------------
TOTAL INTANGIBLE ASSETS	47,331	47,331
	----------------	----------------
TOTAL LONG TERM ASSETS	7,152,829	8,324,123
Stocks	3,221,948	5,103,243
Trade debtors	5,689,315	7,411,970
Other debtors, deposits & prepayments	61,413	236,353
Short term deposits	9,349,247	5,200,755
Amount due from associated companies	179,540	255,501
Cash & bank balances	6,187,456	4,376,220
Others	4,788,365	6,881,638
	----------------	----------------
TOTAL CURRENT ASSETS	29,477,284	29,465,680
	----------------	----------------
TOTAL ASSET	36,630,113	37,789,803
	=============	=============
CURRENT LIABILITIES
Trade creditors	1,202,411	1,721,102
Other creditors & accruals	2,196,902	2,390,365
Amounts owing to associated companies	1,525	-
Provision for taxation	652,314	904,889
	----------------	----------------
TOTAL CURRENT LIABILITIES	4,053,152	5,016,356
	----------------	----------------
NET CURRENT ASSETS/(LIABILITIES)	25,424,132	24,449,324
	----------------	----------------
TOTAL NET ASSETS	32,576,961	32,773,447
	=============	=============
SHARE CAPITAL
Ordinary share capital	4,000,000	4,000,000
	----------------	----------------
TOTAL SHARE CAPITAL	4,000,000	4,000,000
Exchange equalisation/fluctuation reserve	(450,449)	(457,809)
Retained profit/(loss) carried forward	28,349,199	28,542,534
	----------------	----------------
TOTAL RESERVES	27,898,750	28,084,725
MINORITY INTEREST	230,037	215,385
	----------------	----------------
SHAREHOLDERS' FUNDS/EQUITY	32,128,787	32,300,110
Deferred taxation	448,174	473,337
	----------------	----------------
TOTAL LONG TERM LIABILITIES	448,174	473,337
	----------------	----------------
	32,576,961	32,773,447
	=============	=============

FINANCIAL RATIO

ZEPHYR COMPANY (PRIVATE) LIMITED

TYPES OF FUNDS
Cash	15,536,703	9,576,975
Net Liquid Funds	15,536,703	9,576,975
Net Liquid Assets	22,202,184	19,346,081
Net Current Assets/(Liabilities)	25,424,132	24,449,324
Net Tangible Assets	32,529,630	32,726,116
Net Monetary Assets	21,754,010	18,872,744
BALANCE SHEET ITEMS
Total Borrowings	0	0
Total Liabilities	4,501,326	5,489,693
Total Assets	36,630,113	37,789,803
Net Assets	32,576,961	32,773,447
Net Assets Backing	32,128,787	32,300,110
Shareholders' Funds	32,128,787	32,300,110
Total Share Capital	4,000,000	4,000,000
Total Reserves	27,898,750	28,084,725
LIQUIDITY (Times)
Cash Ratio	3.83	1.91
Liquid Ratio	6.48	4.86
Current Ratio	7.27	5.87
WORKING CAPITAL CONTROL (Days)
Stock Ratio	36	48
Debtors Ratio	63	70
Creditors Ratio	18	22
SOLVENCY RATIOS (Times)
Gearing Ratio	0.00	0.00
Liabilities Ratio	0.14	0.17
Times Interest Earned Ratio	0.00	0.00
Assets Backing Ratio	8.13	8.18
PERFORMANCE RATIO (%)
Operating Profit Margin	13.24	14.22
Net Profit Margin	11.49	13.10
Return On Net Assets	13.46	16.89
Return On Capital Employed	13.35	16.75
Return On Shareholders' Funds/Equity	11.85	15.79
Dividend Pay Out Ratio (Times)	1.05	0.78
NOTES TO ACCOUNTS
Contingent Liabilities	0	0

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs. 58.57
UK Pound	1	Rs. 98.87
Euro	1	Rs. 80.05

INFORMATION DETAILS

Analysis Done by :	KRN
Report Prepared by :	DPT

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.