MIRA INFORM REPORT

Report Date :

05.11.2014

IDENTIFICATION DETAILS

Name :	SINTOFARM S.P.A.
Registered Office :	Via Togliatti, 5, 42016 – Guastalla (RE) - IT-
Country :	Italy
Financials (as on) :	31.12.2013
Date of Incorporation :	01.12.1971
Legal Form :	Joint Stock Company
Line of Business :	· Wholesale of seeds and animal feeds, officinal herbs, oil seeds, seed potatoes, unmanufactured tabacco · Wholesale of chemical products · Wholesale of fertilizers and other agricultural chemical products
No of Employees :	From 36 to 50

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 :	Slow but correct
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)
Italy	A2	A2

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

ITALY - ECONOMIC OVERVIEW

Italy has a diversified industrial economy, which is divided into a developed industrial north, dominated by private companies, and a less-developed, highly subsidized, agricultural south, where unemployment is higher. The Italian economy is driven in large part by the manufacture of high-quality consumer goods produced by small and medium-sized enterprises, many of them family-owned. Italy also has a sizable underground economy, which by some estimates accounts for as much as 17% of GDP. These activities are most common within the agriculture, construction, and service sectors. Italy is the third-largest economy in the euro-zone, but its exceptionally high public debt and structural impediments to growth have rendered it vulnerable to scrutiny by financial markets. Public debt has increased steadily since 2007, topping 133% of GDP in 2013, but investor concerns about Italy and the broader euro-zone crisis eased in 2013, bringing down Italy's borrowing costs on sovereign government debt from euro-era. The government still faces pressure from investors and European partners to sustain its efforts to address Italy's long-standing structural impediments to growth, such as labor market inefficiencies and widespread tax evasion. In 2013 economic growth and labor market conditions deteriorated, with growth at -1.8% and unemployment rising to 12.4%, with youth unemployment around 40%. Italy's GDP is now 8% below its 2007 pre-crisis level.

Source : CIA

Company Name & address

SINTOFARM S.P.A.

Via Togliatti, 5

42016 - Guastalla (RE) -IT-

Summary

Fiscal Code	:	00273680355
Legal Form	:	Joint stock company
start of Activities	:	01/12/1971
Equity	:	Over 2.582.254
Turnover Range	:	35.000.000/50.000.000
Number of Employees	:	from 36 to 50

Activity

Wholesale of seeds and animal feeds, officinal herbs, oil seeds, seed potatoes, unmanufactured tabacco

Wholesale of chemical products

Wholesale of fertilizers and other agricultural chemical products

Legal Data

Legal Form : Joint stock company

Fiscal Code : 00273680355

Foreign Trade Reg. no. : RE007521 since 06/12/1991

Foreign Trade Reg. no. : 007521 of Reggio Emilia since 06/12/1991

Chamber of Commerce no. : 403472 of Bergamo

Chamber of Commerce no. : 1116612 of Monza e Brianza

Chamber of Commerce no. : 1116612 of Milano

Chamber of Commerce no. : 166235 of Pesaro

Chamber of Commerce no. : 124278 of Reggio Emilia since 28/05/1974

Chamber of Commerce no. : 298858 of Rimini

Firms' Register : RE033-6328 of Reggio Emilia since 19/02/1996

V.A.T. Code : 00273680355

Foundation date	: 06/04/1974
Establishment date	: 06/04/1974
Start of Activities	: 01/12/1971
Legal duration	: 31/12/2050
Nominal Capital	: 9.494.550
Subscribed Capital	: 9.494.550
Paid up Capital	: 9.460.610

Members

Iseppato

Piero Massimo

Born in Monza

(MB)

on 28/10/1961

- Fiscal Code : SPPPMS61R28F704B

Residence:

Francesco Frisi

, 29

- 20052

Monza

(MI)

- IT -

Position	Since	Shares Amount	% Ownership
Director	06/06/2014
Partner

No Prejudicial events are reported

No Protests registered

Benatti

Mirco

Born in Guastalla

(RE)

on 18/06/1945

- Fiscal Code : BNTMRC45H18E253R

Residence:

200 Biolche

, 6/1

- 42016

Guastalla

(RE)

- IT -

Position	Since	Shares Amount	% Ownership
Director	06/06/2014
Procurator

Prejudicial Events found with cancellations*

Legal Mortgage - 02/10/2007. - 43.111 Euro. Event writing-off

 RISCOSERVICE S. P. A.

No Protests registered

Bernardi

Giovanni

Born in Modena

(MO)

on 21/09/1946

- Fiscal Code : BRNGNN46P21F257Y

Residence:

Vaccari

, 48

- 41124

Modena

(MO)

- IT -

Position	Since	Shares Amount	% Ownership
Managing Director	20/06/2014
Director	06/06/2014
Board Chairman	06/06/2014

No Prejudicial events are reported

No Protests registered

*Concerns also partially erased events.

Companies connected to members *

*checkings have been performed on a national scale.

In this module are listed the companies in which members hold or have holded positions.

Bernardi

Giovanni

Firm's Style	Seat	Fiscal Code	Position	Position Status	Firm's Status
Trebis Srl	Milano (MI) - IT -	06954490154	Chairman	Withdrawn	Ceased
Trebis Srl	Milano (MI) - IT -	06954490154	Managing Director	Withdrawn	Ceased
Trebis Srl	Milano (MI) - IT -	06954490154	Director	Withdrawn	Ceased
Sintetica S.r.l.	Reggio Emilia (RE) - IT -	00715560355	Sole Director	Withdrawn	Merged
Sintofarm Farmaceutici S.r.l. Societa' Di Socio Unico	Roma (RM) - IT -	01741570350	Director	Active	Registered
Sintofarm Farmaceutici S.r.l. Societa' Di Socio Unico	Roma (RM) - IT -	01741570350	Board Chairman	Active	Registered

The indication "REGISTERED" as Firm Status could refer to Firms in Liquidation, Active, Inactive, etc.

For more information, in this case, we advise to request further investigations.

Capital Shareholders

Shareholders' list as at date of data collection:

Firm's Style / Name	Seat / Residence	Fiscal Code	Owned Shares	% Ownership
Iseppato Piero Massimo	Monza - IT -	SPPPMS61R28F704B	2.751.840 .Eur	28,98
Sgaravatti Antonio	Milano - IT -	SGRNTN46L30F382K	710.775 .Eur	7,48
Benatti Mirco	Guastalla - IT -	BNTMRC45H18E253R	2.751.840 .Eur	28,98
Bernardi Giovanni	Modena - IT -	BRNGNN46P21F257Y	2.358.720 .Eur	24,84
Pharmachim Co. Limited			921.375 .Eur	9,70

Direct Participations

The Company under review has participations in the following Companies:

Firm's Style	Seat	Fiscal Code	Owned Shares Amount	% Ownership	since	until	Share Status
Sintofarm Farmaceutici S.r.l. Societa' D i Socio Unico	Roma - IT -	01741570350	102.000 .Eur	100,00			Active

Firm's location and structure

In order to carry out its activities the firm uses the following locations:

-	Legal and operative seat

Togliatti

, 5

- 42016

- Guastalla

(RE)

- IT -

PHONE

: 0522831321

FAX	: 0522831422

-

Branch

(Factory)

since 01/03/2006

Conca

, S.N.

- 47040

- Monte Colombo

(RN)

- IT -

PHONE

: 0396918035

PHONE

: 0541985402

FAX	: 0396612618

-

Branch

(Store)

since 12/12/1987

Togliatti

, 3

- 42016

- Guastalla

(RE)

- IT -

PHONE

: 0522831321

-

Branch

(Italian branch office)

since 01/12/1982

Torri Bianche Torre Sequoia

, 1

- 20059

- Vimercate

(MB)

- IT -

PHONE

: 0396918035

FAX	: 0396612618

Employees

: 38

Fittings and Equipment for a value of 300.000

Eur

Stocks for a value of 11.720.000

Eur

Work in progress for a value of 48.000

Eur

Trade organization: direct or by agents.

Sales area on a national scale.

Import comes generally from the following nations:

- Svizzera

- Spain

- France

- Germany

- Great Britain

- Holland

Historical Information and/or Firm's Status

CHANGES TO THE LEGAL FORM:

Former legal form	New legal form	Changement Date
Limited liability company	Joint stock company	23/05/1980

COMPANY STYLE MODIFICATIONS

Former Style	New Style	Changement Date
Sintofarm Import Export S.p.A.	Sintofarm S.p.A.	29/10/1986

EX-MEMBERS / EX-POSITIONS

Esposito

Mario

Born in Reggio Emilia

(RE)

on 08/12/1938

- Fiscal Code : SPSMRA38T08H223Y

Residence:

Umberto I

, 20

- 42100

Reggio Emilia

(RE)

- IT -

Ex-Postions

Permanent Auditor

Chairman of the Board of Aud.

Bernardi

Giovanni

Born in Modena

(MO)

on 21/09/1946

- Fiscal Code : BRNGNN46P21F257Y

Residence:

Vaccari

, 48

- 41124

Modena

(MO)

- IT -

Ex-Postions

Chairman and Managing Director

Campani

Andrea

Born in Reggio Emilia

(RE)

on 18/03/1965

- Fiscal Code : CMPNDR65C18H223T

Residence:

Aleardi

, 24

- 42100

Reggio Emilia

(RE)

- IT -

Ex-Postions

Temporary Auditor

Permanent Auditor

Crotti

Gianpietro

Born in Castelnovo Ne' Monti

(RE)

on 31/07/1970

- Fiscal Code : CRTGPT70L31C219N

Residence:

Montefiorino

, 10/1

- 42123

Reggio Emilia

(RE)

- IT -

Ex-Postions

Temporary Auditor

Grasselli

Loretto

Born in San Polo d'Enza

(RE)

on 10/04/1951

- Fiscal Code : GRSLTT51D10I123Y

Residence:

Malpighi

, 6

- 42100

Reggio Emilia

(RE)

- IT -

Ex-Postions

Permanent Auditor

Lasagna

Laura

Born in Suzzara

(MN)

on 28/04/1966

- Fiscal Code : LSGLRA66D68L020U

Residence:

Bach

, 1

- 42046

Reggiolo

(RE)

- IT -

Ex-Postions

Temporary Auditor

Neve

Claudio

Born in Parma

(PR)

on 14/07/1940

- Fiscal Code : NVECLD40L14G337L

Residence:

Nenni

, 3/2

- 42100

Reggio Emilia

(RE)

- IT -

Ex-Postions

Permanent Auditor

Iseppato

Francesco

Born in Oleggio

(NO)

on 14/05/1929

- Fiscal Code : SPPFNC29E14G019P

Residence:

Garibaldi

, 4

- 20040

Carnate

(MB)

- IT -

Ex-Postions

Director

Chairman

CEASINGS/INCORPORATIONS/MERGES:

The firm absorved

Sintetica S.r.l.

Zacchetti

, 6

, 42100

, Reggio Emilia

(RE)

- IT -

Fiscal Code: 00715560355

Date

:

21/12/1999

Project of merging by taking over of

Sintetica S.r.l.

Zacchetti

, 6

, 42100

, Reggio Emilia

(RE)

- IT -

Fiscal Code: 00715560355

Date

Merging/splitting-up project:

25/05/1999

The firm absorbed by merging of

Sintetica S.r.l.

Zacchetti

, 6

, 42100

, Reggio Emilia

(RE)

- IT -

Fiscal Code: 00715560355

Date

:

21/12/1999

Protests

Protests checking on the subject firm has given a negative result.

Data Base Prejudicial Events Search

Search performed on a National Scale

Prejudicial Events Search Result: NEGATIVE

Search performed on a specialized data base.

Legal Procedures

None reported, standing to the latest received edition of the Official Publications.

Financial and Economical Analysis

Subject is active since 1971

The analysis is based on the latest 3 balance sheets.

Unstable economic results mark the company's financial state of affairs. anyway in 2013 a positive result was achieved (r.o.e. 2,17%). Business volume is falling in the last financial year.

The operating result in 2013 was positive (3,22%) and reflects the field's average.

The operating result is positive and amounts to Eur. 1.669.934 with an increase of 37,18% if the compared to the previous financial year.

The economic management produced a gross operating margin of Eur. 2.783.146 , stable if compared to the year before.

The financial status of the company is fairly balanced with an indebtedness level of 2,87 with an improving trend as on the decrease.

With regard to equity capital, an amount of Eur. 10.688.485 is registered. , unchanged as opposed to the preceding year.

Total indebtedness was equal to Eur. 37.200.411 (Eur. 6.409.200 was the value of m/l term debts) with no important change.

Bank borrowings' volume is slightly high but it modestly dips into suppliers credit, 80,59 gg. is the payments' average time below the sector's average.

The management determines a good range of liquidity.

Accounts receivable average term is high (133,01 days). within the average values of the sector.

As far as the cash flow is concerned during the latest financial year it amounted to Eur. 1.235.184

Subordinate employment cost is of Eur. 2.599.363, i.e. 6,08% on total production costs. , whereas the incidence of such costs on sales revenues is equal to 5,88%.

The incidence percentage of financial charges on sales volume is equal to -2,78%.

Financial Data

Complete balance-sheet for the year

al 31/12/2013

(in Eur

x 1)

Item Type	Value
Sales	44.179.310
Profit (Loss) for the period	231.472

Complete balance-sheet for the year

al 31/12/2012

(in Eur

x 1)

Item Type	Value
Sales	50.028.421
Profit (Loss) for the period	221.031

Complete balance-sheet for the year

al 31/12/2011

(in Eur

x 1)

Item Type	Value
Sales	52.347.096
Profit (Loss) for the period	-385.228

Complete balance-sheet for the year

al 31/12/2010

(in Eur

x 1)

Item Type	Value
Sales	57.449.423
Profit (Loss) for the period	82.081

Balance Sheets

From our constant monitoring of the relevant Public Administration offices, no more recent balance sheets result to have been filed.

- Balance Sheet as at 31/12/2013 - 12 Mesi - Currency: - Amounts x 1

- Balance Sheet as at 31/12/2012 - 12 Mesi - Currency: - Amounts x 1

- Balance Sheet as at 31/12/2011 - 12 Mesi - Currency: - Amounts x 1

Years

2013

2012

2011

BALANCE SHEET ACCOUNTS

ASSETS
CREDITS VS PARTNERS
. Deposits not yet withdrawn	33.940
. Deposits already withdrawn
Total credits vs partners	33.940
FIXED ASSETS
. INTANGIBLE FIXED ASSETS
. . Start-up and expansion expenses	4.964	2.754	5.672
. . Research,develop. and advert.expens.	2.520	3.360	12.300
. . Industrial patent rights	1.429.646	1.596.060	1.751.489
. . Concessions,licenses,trademarks,etc.	115.479	131.322	158.839
. . Goodwill			30.000
. . Assets in formation and advance paymen.	1.094.130	787.312	214.792
. . Other intangible fixed assets	86.817	76.519	71.131
. Total Intangible Fixed Assets	2.733.556	2.597.327	2.244.223
. TANGIBLE FIXED ASSETS
. . Real estate	10.071.746	10.266.454	10.469.752
. . Plant and machinery	259.690	277.980	288.764
. . Industrial and commercial equipment	39.301	60.895	85.971
. . Other assets	179.593	286.314	280.897
. . Assets under construction and advances	11.411	11.411	1.277
. Total Tangible fixed assets	10.561.741	10.903.054	11.126.661
. FINANCIAL FIXED ASSETS
. . Equity investments	3.923.702	3.923.702	3.923.702
. . . Equity invest. in subsidiary companies	3.172.115	3.172.115	3.172.115
. . . Equity invest. in associated companies	710.015	710.015	710.015
. . . Equity invest. in holding companies
. . . Equity invest. in other companies	41.572	41.572	41.572
. . Financial receivables	742.933	1.041.801	656.019
. . . . Within 12 months	162.038	484.406	57.532
. . . . Beyond 12 months	580.895	557.395	598.487
. . . Receivab due from subsidiaries	355.785	654.653	279.631
. . . . Within 12 months	130.504	452.872	53.310
. . . . Beyond 12 months	225.281	201.781	226.321
. . . Receivables due from assoc.comp.	264.174	264.174	264.174
. . . . Within 12 months
. . . . Beyond 12 months	264.174	264.174	264.174
. . . Receivables due from holding comp.
. . . . Within 12 months
. . . . Beyond 12 months
. . . Receivables due from third parties	122.974	122.974	112.214
. . . . Within 12 months	31.534	31.534	4.222
. . . . Beyond 12 months	91.440	91.440	107.992
. . Other securities
. . Own shares
. . . Total nominal value
. Total financial fixed assets	4.666.635	4.965.503	4.579.721
Total fixed assets	17.961.932	18.465.884	17.950.605
CURRENT ASSETS
. INVENTORIES
. . Raw materials and other consumables	498.971	418.208	779.906
. . Work in progress and semimanufactured
. . Work in progress on order	48.220	48.220	48.220
. . Finished goods	11.108.026	13.349.191	13.951.737
. . Advance payments	63.303	73.162	107.423
. Total Inventories	11.718.520	13.888.781	14.887.286
. CREDITS NOT HELD AS FIXED ASSETS
. . Within 12 months	21.090.989	18.402.220	21.049.492
. . Beyond 12 months	830.912	1.167.338	1.136.096
. . Trade receivables	16.322.475	15.502.686	17.501.182
. . . . Within 12 months	16.011.412	14.853.628	16.792.759
. . . . Beyond 12 months	311.063	649.058	708.423
. . Receivables due from subsid. comp.	2.255.744	461.814	364.739
. . . . Within 12 months	2.255.744	461.814	364.739
. . . . Beyond 12 months
. . Receivables due from assoc. comp.
. . . . Within 12 months
. . . . Beyond 12 months
. . Receivables due from holding comp.
. . . . Within 12 months
. . . . Beyond 12 months
. . Fiscal Receivables	265.124	111.702	59.081
. . . . Within 12 months	174.517	21.095	59.081
. . . . Beyond 12 months	90.607	90.607
. . Receivables for anticipated taxes	31.398	35.596	31.324
. . . . Within 12 months	2.617	8.384	4.112
. . . . Beyond 12 months	28.781	27.212	27.212
. . Receivables due from third parties	3.047.160	3.457.760	4.229.262
. . . . Within 12 months	2.646.699	3.057.299	3.828.801
. . . . Beyond 12 months	400.461	400.461	400.461
. Total Credits not held as fixed assets	21.921.901	19.569.558	22.185.588
. FINANCIAL ASSETS
. . Equity invest. in subsidiary comp.
. . Equity invest. in associated companies
. . Equity invest. in holding companies
. . Other equity investments	20.382	20.382
. . Own shares
. . . Total nominale value
. . Other securities
. Total Financial Assets	20.382	20.382
. LIQUID FUNDS
. . Bank and post office deposits	106.039	8.845	230.739
. . Checks
. . Banknotes and coins	1.587	2.446	1.519
. Total Liquid funds	107.626	11.291	232.258
Total current assets	33.768.429	33.490.012	37.305.132
ADJUSTMENT ACCOUNTS
. Discount on loans	26.338	68.437	24.987
. Other adjustment accounts
Total adjustments accounts	26.338	68.437	24.987
TOTAL ASSETS	51.790.639	52.024.333	55.280.724
LIABILITIES
STOCKHOLDERS' EQUITY
. Capital stock	9.494.550	9.100.000	9.100.000
. Additional paid-in capital
. Revaluation reserves	147.100	260.850	260.850
. Legal reserve	241.174	230.074	230.074
. Reserve for Own shares
. Statute reserves
. Other reserves	133.607	148.080	192.084
. Accumulated Profits (Losses)	440.582	216.174	557.399
. Profit( loss) of the year	231.472	221.031	-385.228
. Advances on dividends
. Partial loss of the year Coverage
Total Stockholders'Equity	10.688.485	10.176.209	9.955.179
RESERVES FOR RISKS AND CHARGES
. . Reserve for employee termination indem.	219.000	109.500	438.000
. . Taxation fund, also differed	2.414.672	2.460.808	2.500.556
. . Other funds
Total Reserves for Risks and Charges	2.633.672	2.570.308	2.938.556
Employee termination indemnities	1.146.222	1.074.933	955.372
ACCOUNTS PAYABLE
. . . . Within 12 months	30.791.211	32.635.073	35.795.007
. . . . Beyond 12 months	6.409.200	5.430.136	5.494.768
. . Bonds
. . . . Within 12 months
. . . . Beyond 12 months
. . Convertible bonds repayable
. . . . Within 12 months
. . . . Beyond 12 months
. . Due to shareholders for financing
. . . . Within 12 months
. . . . Beyond 12 months
. . Due to banks	25.569.908	29.591.410	30.136.424
. . . . Within 12 months	20.917.004	24.361.522	24.886.520
. . . . Beyond 12 months	4.652.904	5.229.888	5.249.904
. . Due to other providers of finance		7.283	20.786
. . . . Within 12 months		7.283	20.786
. . . . Beyond 12 months
. . Advances from customers
. . . . Within 12 months
. . . . Beyond 12 months
. . Trade payables	8.061.108	5.881.294	9.504.002
. . . . Within 12 months	8.061.108	5.881.294	9.504.002
. . . . Beyond 12 months
. . Securities issued
. . . . Within 12 months
. . . . Beyond 12 months
. . Due to subsidiary companies	97.793	90.932	57.265
. . . . Within 12 months	97.793	90.932	57.265
. . . . Beyond 12 months
. . Due to associated companies
. . . . Within 12 months
. . . . Beyond 12 months
. . Due to holding companies
. . . . Within 12 months
. . . . Beyond 12 months
. . Due to the tax authorities	1.397.220	791.417	549.097
. . . . Within 12 months	341.290	591.169	304.233
. . . . Beyond 12 months	1.055.930	200.248	244.864
. . Due to social security and welfare inst.	996.616	513.133	145.609
. . . . Within 12 months	296.250	513.133	145.609
. . . . Beyond 12 months	700.366	700.366
. . Other payables	1.077.766	1.189.740	876.592
. . . . Within 12 months	1.077.766	1.189.740	876.592
. . . . Beyond 12 months
Total accounts payable	37.200.411	38.065.209	41.289.775
ADJUSTMENT ACCOUNTS
. Agio on loans
. Other adjustment accounts	121.849	137.674	141.842
Total adjustment accounts	121.849	137.674	141.842
TOTAL LIABILITIES	51.790.639	52.024.333	55.280.724

MEMORANDUM ACCOUNTS

Third party goods
Investment accounts	3.230.591	3.950.719	5.640.924
Risk accounts	16.351.787	16.351.787	16.601.787
Civil and fiscal norms relation

PROFIT AND LOSS ACCOUNTS

VALUE OF PRODUCTION
. Revenues from sales and services	44.179.309	50.028.421	52.347.095
. Changes in work in progress	45.678	96.116	-293.652
. Changes in semi-manufact. products
. Capitalization of internal work			111.479
. Other income and revenues	218.346	474.422	539.485
. . Contributions for operating expenses
. . Different income and revenues	218.346	474.422	539.485
Total value of production	44.443.333	50.598.959	52.704.407
PRODUCTION COSTS
. Raw material,other materials and consum.	32.655.072	39.573.533	43.407.257
. Services received
. Leases and rentals	3.791.641	4.901.220	5.198.748
. Payroll and related costs	2.599.363	2.533.883	2.721.078
. . Wages and salaries	1.823.810	1.785.159	1.927.918
. . Social security contributions	631.030	610.453	665.096
. . Employee termination indemnities	144.523	138.271	128.064
. . Pension and similar
. . Other costs
. Amortization and depreciation	1.003.712	1.032.162	1.300.134
. . Amortization of intangible fixed assets	278.054	315.695	490.159
. . Amortization of tangible fixed assets	426.021	444.902	475.723
. . Depreciation of tangible fixed assets
. . Writedown of current receiv.and of liquid	299.637	271.565	334.252
. Changes in raw materials	2.206.080	1.060.358	-1.676.727
. Provisions to risk reserves
. Other provisions	109.500	109.500	109.500
. Other operating costs	408.031	171.046	142.725
Total production costs	42.773.399	49.381.702	51.202.715
Diff. between value and cost of product.	1.669.934	1.217.257	1.501.692
FINANCIAL INCOME AND EXPENSE
. Income from equity investments	43	400.644	692
. . In subsidiary companies		400.000
. . In associated companies
. . In other companies	43	644	692
. Other financial income	259.655	221.720	284.468
. . Financ.income from receivables
. . . Towards subsidiary companies
. . . Towards associated companies
. . . Towards holding companies
. . . Towards other companies
. . Financ.income from secur. t.f.assets
. . Financ.income from secur. cur.assets
. . Financ.income other than the above	259.655	221.720	284.468
. . . - Subsidiary companies
. . . - Associated companies
. . . - Holding companies
. . . - Other companies	259.655	221.720	284.468
. Interest and other financial expense	-1.485.994	-1.572.275	-1.410.433
. . Towards subsidiary companies
. . Towards associated companies
. . Towards holding companies
. . Towards other companies	1.485.994	1.572.275	1.410.433
Total financial income and expense	-1.226.296	-949.911	-1.125.273
ADJUSTMENTS TO FINANCIAL ASSETS
. Revaluations
. . Of equity investments
. . Of financ.fixed assets not repres.E.I.
. . Of securities incl.among current assets
. Devaluation			-16.988
. . Of equity investments
. . Of financial fixed assets (no equity inv)			-16.988
. . Of securities included among current ass
Total adjustments to financial assets			-16.988
EXTRAORDINARY INCOME AND EXPENSE
. Extraordinary income	39.950	103.985	41.960
. . Gains on disposals
. . Other extraordinary income	39.950	103.985	41.960
. Extraordinary expense	-33.823	-25.853	-583.166
. . Losses on disposals
. . Taxes relating to prior years	-630	-942	-11.570
. . Other extraordinary expense	-33.193	-24.911	-571.596
Total extraordinary income and expense	6.127	78.132	-541.206
Results before income taxes	449.765	345.478	-181.775
. Taxes on current income	218.293	124.447	203.453
. . current taxes	260.231	168.467	175.630
. . differed taxes(anticip.)	-41.938	-44.020	27.823
. Net income for the period	231.472	221.031	-385.228
. Adjustments in tax regulations pursuance
. Provisions in tax regulations pursuance
. Profit (loss) of the year	231.472	221.031	-385.228

RATIOS	Value Type	as at 31/12/2013	as at 31/12/2012	as at 31/12/2011	Sector Average
COMPOSITION ON INVESTMENT
Rigidity Ratio	Units	0,35	0,35	0,32	0,11
Elasticity Ratio	Units	0,65	0,64	0,67	0,87
Availability of stock	Units	0,23	0,27	0,27	0,22
Total Liquidity Ratio	Units	0,43	0,38	0,41	0,56
Quick Ratio	Units	0,00	0,00	0,00	0,02
COMPOSITION ON SOURCE
Net Short-term indebtedness	Units	2,87	3,21	3,57	3,81
Self Financing Ratio	Units	0,21	0,20	0,18	0,17
Capital protection Ratio	Units	0,09	0,08	0,12	0,65
Liabilities consolidation quotient	Units	0,25	0,20	0,18	0,12
Financing	Units	3,48	3,74	4,15	4,72
Permanent Indebtedness Ratio	Units	0,35	0,32	0,30	0,30
M/L term Debts Ratio	Units	0,15	0,13	0,12	0,07
Net Financial Indebtedness Ratio	Units	2,38	2,91	3,01	1,28
CORRELATION
Fixed assets ratio	Units	1,02	0,90	0,91	2,06
Current ratio	Units	1,10	1,03	1,04	1,16
Acid Test Ratio-Liquidity Ratio	Units	0,72	0,60	0,63	0,84
Structure's primary quotient	Units	0,60	0,55	0,55	1,28
Treasury's primary quotient	Units	0,00	0,00	0,01	0,03
Rate of indebtedness ( Leverage )	%	484,55	511,23	555,30	591,61
Current Capital ( net )	Value	2.977.218	854.939	1.510.125	219.071
RETURN
Return on Sales	%	2,80	2,50	1,75	2,22
Return on Equity - Net- ( R.O.E. )	%	2,17	2,17	-3,87	6,27
Return on Equity - Gross - ( R.O.E. )	%	4,21	3,39	-1,83	15,95
Return on Investment ( R.O.I. )	%	3,22	2,34	2,72	4,19
Return/ Sales	%	3,78	2,43	2,87	3,42
Extra Management revenues/charges incid.	%	13,86	18,16	-25,65	29,26
Cash Flow	Value	1.235.184	1.253.193	914.906	61.669
Operating Profit	Value	1.669.934	1.217.257	1.501.692	95.558
Gross Operating Margin	Value	2.783.146	2.358.919	2.911.326	144.934
MANAGEMENT
Credits to clients average term	Days	133,01	111,56	120,36	120,94
Debts to suppliers average term	Days	80,59	48,34	70,82	120,04
Average stock waiting period	Days	95,49	99,94	102,38	61,92
Rate of capital employed return ( Turnover )	Units	0,85	0,96	0,95	1,27
Rate of stock return	Units	3,77	3,60	3,52	5,74
Labour cost incidence	%	5,88	5,06	5,20	7,77
Net financial revenues/ charges incidence	%	-2,78	-1,90	-2,15	-1,26
Labour cost on purchasing expenses	%	6,08	5,13	5,31	7,90
Short-term financing charges	%	3,99	4,13	3,42	2,67
Capital on hand	%	117,23	103,99	105,60	78,39
Sales pro employee	Value	545.423	633.271	615.848	437.713
Labour cost pro employee	Value	32.090	32.074	32.012	33.928

Remarks

1) Protests checking (relative to the last five years) performed by crossing and matching the members names and the Firm's Style with the reported addresses, is supplied by the Informatic Registry managed by the Italian Chamber of Commerce. If the fiscal code is not indicated, the eventual homonymous cases are submitted to expert staff evaluation in order to limit wrong matching risks.

2) The Legal Data, supplied and retrived from the Firm's Registry of the Italian Chamber of Commerce, are in line with the last registered modifications.

3) Risk evaluation and Credit Opinion have been performed on the base of the actual data at the moment of their availability.

Market / Territory Data

Population living in the province	:	487.003
Population living in the region	:	4.151.369
Number of families in the region	:	1.748.359

Monthly family expences average in the region (in Eur..) :

- per food products	:	425
- per non food products	:	2.063
- per energy consume	:	143

Sector Data

The values are calculated on a base of 6.137 significant companies.

The companies cash their credits on an average of 121 dd.

The average duration of suppliers debts is about 120 dd.

The sector's profitability is on an average of 2,22%.

The labour cost affects the turnover in the measure of 7,77%.

Goods are held in stock in a range of 62 dd.

The difference between the sales volume and the resources used to realize it is about 1,27.

The employees costs represent the 7,90% of the production costs.

Statistical Detrimental Data

Statistcally the trade activity shows periods of crisis.

The area is statistically considered lowly risky.

In the region 18.860 protested subjects are found; in the province they count to 1.775.

The insolvency index for the region is 0,46, , while for the province it is 0,38.

Total Bankrupt companies in the province : 1.365.

Total Bankrupt companies in the region : 14.698.

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 :	RAS
Report Prepared by :	TPT

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%)

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This report is issued at your request without any risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or its officials.