MIRA INFORM REPORT

Report Date :

05.11.2014

IDENTIFICATION DETAILS

Name :	CAMERON ROMANIA SRL
Registered Office :	Prahova county / 105600 Campina – B.P. Hasdeu Street No. 1
Country :	Romania
Financials (as on) :	31.12.2013
Date of Incorporation :	1911
Legal Form :	Limited liability company, entire foreign (Dutch) capital
Line of Business :	Manufacture of machinery for mining, quarrying and construction
No of Employees :	964

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 – June 1, 2014

Country Name	Previous Rating (31.03.2014)	Current Rating (01.06.2014)
Romania	B1	B1

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

ROMANIA - ECONOMIC OVERVIEW

Romania, which joined the EU on 1 January 2007, began the transition from Communism in 1989 with a largely obsolete industrial base and a pattern of output unsuited to the country's needs. The country emerged in 2000 from a punishing three-year recession due to strong demand in EU export markets. Domestic consumption and investment fueled strong GDP growth, but led to large current account imbalances. Romania's macroeconomic gains have only recently started to spur creation of a middle class and to address Romania's widespread poverty. Corruption and red tape continue to permeate the business environment. As a result of the global financial crisis, Romania signed on to a $26 billion emergency assistance package from the IMF, the EU, and other international lenders. GDP contracted from 2009 to 2011. In March 2011, Romania and the IMF/EU/World Bank signed a 24-month precautionary stand-by agreement, worth $6.6 billion, to promote fiscal discipline, encourage progress on structural reforms, and strengthen financial sector stability. In September 2013, the Romanian authorities and the IMF/EU agreed to a follow-on stand-by agreement, worth $5.4 billion, to continue with reforms, although Bucharest announced that it does not intend to draw funds under the agreement. Economic growth accelerated in 2013, driven by strong industrial exports and an excellent agricultural harvest; in December 2013 inflation dropped to a historical low annual rate of 1.6%; and the current account deficit was reduced substantially. Yet, progress on structural reforms is uneven and the economy still is vulnerable to shocks.

Source : CIA

COMPANY NAME & ADDRESS

NAME OF THE COMPANY

CAMERON ROMANIA SRL

Address

Prahova county / 105600 Campina – B.P. Hasdeu Street No. 1

Phone no.

Cell phone no.

0040-244-306600, 333296, 376086

0040-728-221671

0040-728-221613

Fax no.

0040-244-370336, 336553

Web-site

www.c-a-m.com

E-mail address

N/A

HISTORIC/OFFICIAL DATA

Date of foundation

1911, as a company for oilfield equipment maintenance. In 1945 it was nationalized and transformed into a State enterprise named “Intreprinderea Mecanica Campina”.

In April, 1991 it became a joint stock company, State capital, named STEROM SA.

In November, 2004 the majority stake was took-over by CAMERON NETHERLANDS BV and renamed as CAMERON ROMANIA.

Present legal form

Limited liability company, entire foreign (Dutch) capital

Registered with the Trade Registry

J29/385/1991

VAT no.

1323964

Registered capital

60,432,500 RON

Shareholders

Unique owner, legal person

CAMERON NETHERLANDS BV – Dutch legal person

Address: Netherlands / Kolham, A. Einsteinlaan 20, 9615 TR

Participation

100%

Obligation to publish

According to the Romanian Financial Legislation, subject company is obliged to lodge with the Ministry of Public Finance its half-yearly accounts

EMPLOYEES

2009

2010

2011

2012

2013

total

841

813

845

865

964

BUSINESS ACTIVITY

- Manufacture of machinery for mining, quarrying and construction, according to the National Trade Registry (NACE: 2892)

According To the company’s web-site

- in the oilfield & gas equipment domain: producer of artificial pumping & surface standard equipment

Cameron Romania SRL is a manufacturer of equipment for exploration applications in harsh pressure, depth or corrosion. The entire production is exported, among its clients being the giants of the field, like: ExxonMobil, BP or Statoil.

The subject company is part of the CAMERON USA, a leading provider of flow equipment products, systems and services to worldwide oil, gas and process industries. Leveraging its global manufacturing, engineering and sales and service network, Cameron works with drilling contractors, oil & gas producers, pipeline operators, refiners and other process owners to control, direct, adjust, process, measure and compress pressures and flows.

Cameron operates around the world from more than 300 locations covering virtually all of the world’s oil and gas operating basins. Approximately 2/3 of its business comes from outside the United States. The company goes to market under the common trade name of Cameron using an organizational and product brand structure aligned to global upstream to downstream flow equipment market segments.

OTHER PARTICIPATION

1. Company’s participation

not applicable

2. Shareholders other participation

not applicable

REAL ESTATE

(RON)

- lands & buildings

2009

2010

2011

2012

2013

113,544,116

115,505,732

109,717,099

N/A

91,647,734

BANKS

Romanian Commercial Bank

MANAGEMENT

• as officially registered with the National Trade Registry

President of the Board

Mr. Lemmer William Clarence – American citizen, born on 6.06.1944

Appointed on 14.12.2009; Expiration date of mandate: 14.12.2015

Vice-President of the Board

Mrs. Holmes Grace Bellinger – American citizen, born on 27.10.1953

Appointed on 7.07.2014; Expiration date of mandate: 7.07.2017

Member of the Board

Mr. Peter Sima Eichler – American citizen, born on 6.07.1953

Appointed on 30.06.2011; Expiration date of mandate: 30.06.2017

General Manager

Mr. Martinez Daniel Alberto – American citizen, born on 26.03.1975

Appointed on 1.07.2014; Expiration date of mandate: 1.07.2018

CURRENCY

Exchange rate of EURO

1 EURO = 4.2282 RON on 31.12.2009

1 EURO = 4.2848 RON on 31.12.2010

1 EURO = 4.3197 RON on 31.12.2011

1 EURO = 4.4287 RON on 31.12.2012

1 EURO = 4.4847 RON on 31.12.2013

FINANCIAL DATA

RON

BALANCE SHEET	31.12.2010	31.12.2011	31.12.2012	31.12.2013
INTANGIBLES - TOTAL	2,238,043	1,340,327	N/A	1,238,308
TANGIBLES - TOTAL	284,435,565	253,546,791	N/A	255,636,582
FINANCIALS - TOTAL	204,310	2,820,552	N/A	393,830
FIXED ASSETS - TOTAL	286,877,918	257,707,670	233,435,180	257,268,720
STOCKS - TOTAL	128,859,131	141,817,294	161,060,679	228,789,096
CLAIMS - TOTAL	114,577,920	159,152,706	241,697,160	192,593,216
CURRENT ASSETS	304,902,036	425,837,496	644,045,406	891,760,670
PREPAID EXPENSES	908,567	1,325,370	1,985,503	2,186,579
DEBTS WITHIN 1 YEAR	314,980,576	359,470,024	N/A	461,328,354
DEBTS OVER 1 YEAR	8,660,056	3,956,570	N/A	0
TOTAL DEBTS	323,640,631	363,426,594	398,639,134	461,328,354
PROVISIONS	2,064,951	2,607,574	2,064,951	2,064,951
ADVANCED INCOMES	0	0	0	0
REGISTERED CAPITAL	60,432,500	60,432,500	60,432,500	60,432,500
RESERVES from reassessment of the fixed assets	36,867,800	37,081,812	N/A	27,913,413
RESERVES	100,133,182	100,133,182	N/A	106,812,763
PROFITS CARRIED FORWARD	-2,124,888	69,335,444	N/A	283,603,328
NET RESULT - PROFIT	73,642,158	51,853,430	162,200,442	209,060,660
NET RESULT - LOSS	0	0	0	0
NET WORTH	266,982,938	318,836,368	478,762,004	687,822,664
PROFIT & LOSS ACCOUNT	31.12.2010	31.12.2011	31.12.2012	31.12.2013
Turnover	587,076,828	677,011,157	894,638,349	1,062,680,032
Own production & services	573,978,731	658,314,187	N/A	1,037,202,100
Sales	13,098,097	18,696,970	N/A	25,477,932
INCOMES FROM ORDINARY OPERATING ACTIVITY	444,139,596	460,633,393	N/A	735,785,433
Raw materials	124,324,561	138,551,825	N/A	147,661,851
Costs of goods sold	10,451,379	13,925,903	N/A	20,544,532
Wages	50,498,445	57,367,785	N/A	81,383,093
Depreciations & provisions	32,867,666	37,835,204	N/A	32,598,748
Other operating costs	74,422,867	92,141,234	N/A	131,116,396
COSTS OF ORDINARY OPERATING ACTIVITY	328,028,375	382,795,250	N/A	470,441,111
ORDINARY OPERATING RESULT - PROFIT	116,111,221	77,838,143	N/A	265,344,322
ORDINARY OPERATING RESULT - LOSS	0	0	N/A	0
FINANCIAL INCOMES	141,727,007	115,310,196	N/A	132,210,841
FINANCIAL COSTS	175,739,836	129,031,093	N/A	144,971,994
FINANCIAL RESULT - PROFIT	0	0	N/A	0
FINANCIAL RESULT - LOSS	34,012,829	13,720,897	N/A	12,761,153
CURRENT RESULT - PROFIT	82,098,392	64,117,246	N/A	252,583,169
CURRENT RESULT - LOSS	0	0	N/A	0
Extraordinary incomes	0	0	N/A	0
Extraordinary costs	0	0	N/A	0
EXTRAORDINARY RESULT - PROFIT	0	0	N/A	0
EXTRAORDINARY RESULT - LOSS	0	0	N/A	0
TOTAL INCOMES	585,866,603	575,943,589	752,074,375	867,996,274
TOTAL COSTS	503,768,211	511,826,343	555,858,877	615,413,105
PRETAX RESULT - PROFIT	82,098,392	64,117,246	196,215,498	252,583,169
PRETAX RESULT - LOSS	0	0	0	0
TAX ON PROFIT	8,456,234	12,263,816	N/A	43,522,509
NET RESULT - PROFIT	73,642,158	51,853,430	162,200,442	209,060,660
NET RESULT - LOSS	0	0	0	0

N.B.: any difference occurred between former reports and the present one regarding some positions of the “Balance Sheet” or P/L Account for previous periods does not belong to us.

The financial data from this report are the ones officially declared by the subject with the Ministry of Public Finance data basis for 31.12.2013. As consequence, the responsibility for their accuracy belongs exclusively to the company.

OUR OPINION

based upon financial figures reported in the latest balance-sheet – 31.12.2013.

- all figures are reported in RON if otherwise not specified.

Size

large, considering the number of employees

Position & trend

Impressive buisiness volume, with increasing turnover and constant very good financial standing.

It is to be pointed out the solid net worth basis (large own sources, giving limited indebtedness rate – vey good solvability).

The payments behaviour is fair enough, especially considering the business volume.

The business relationships are feasible and the credit facilities are suitable.

High credit figures are grantable!

31.12.2009

31.12.2010

31.12.2011

31.12.2012

31.12.2013

Turnover

RON

386,983,640

587,076,827

677,011,157

894,638,349

1,062,680,032

EURO

91,524,441

137,013,823

156,726,429

202,009,246

236,956,771

Gross profit

RON

24,586,334

82,098,392

64,117,246

196,215,498

252,583,169

EURO

5,814,847

19,160,379

14,842,986

44,305,439

56,321,085

Net profit

RON

20,746,119

73,642,158

51,853,430

162,200,442

209,060,660

EURO

4,906,608

17,186,837

12,003,942

36,624,843

46,616,420

31.12.2013

CREDITS & LOANS (ACTIVE BALANCE)

None (zero)

BALANCE CLAIMS-DEBTS

Negative

Total claims

192,593,216

clients & trade debtors

181,886,825

Total debts, 100% on short term

461,328,354

suppliers

209,196,265

trade creditors

5,462,393

to the affiliates

222,114,599

other debts, including fiscal debts & dues to the Social Insurance

24,555,097

PAYMENTS BEHAVIOR

with some delays

Total overdue of 0.38% of turnover (0.88% of total short term debt)

4,058,534

To suppliers, 1.94% delayed

4,058,534

over 30 days

2,475,966

over 90 days

1,582,568

PAYMENTS INCIDENTS, as

officially recorded with the Payment Incident Bureau

No incidents recorded in the period 3.11.2013 – 3.11.2014

Applies to short term credit facilities and should not be construed as a maximum credit limit, which can be only established by the supplier. The credit limit has been set using a formula which takes into consideration the credit rating, and the latest behavioral and financial performances. Other information may of course influence the size of the credit you may grant.

2009

2010

2011

2012

2013

Very good

Liquidity analysis

- current ratio

2.00

0.97

1.18

1.62*

1.93

- quick ratio

1.04

0.56

0.79

1.21*

1.44

*because the short term debt and the medium term are N/A, these ratios are calculated considering the total debt.

Solvability analysis

Very good

- the borrowing ratio (total debts/net worth)

1.71

1.21

1.14

0.83

0.67

Profitability analysis (%)

Very good

- return on capital

10.75

27.58

16.26

33.88

30.39

- return on assets

3.95

12.43

7.57

18.44

18.16

- gross profit margin

6.35

13.98

9.47

21.93

23.77

Activity analysis

Settlements within normal limits

- debtor’s days

94

71

86

99

66

- creditor’s days

81

48

50

n/a

72

Stocks turnover, times/year

4

5

5

6

5

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.61.41
UK Pound	1	Rs.98.06
Euro	1	Rs.76.67

INFORMATION DETAILS

Analysis Done by :	DIV
Report Prepared by :	SMN

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.