MIRA INFORM REPORT

Report Date :

27.10.2014

IDENTIFICATION DETAILS

Name :	DIAB AUSTRALIA PTY LTD

Registered Office :	C/o BURKE ADVISORY PTY LTD The Hub, Suite 16 Level 1, 90 Days Road Upper Coomera Queensland 4209

Country :	Australia

Financials (as on) :	31.12.2012

Date of Incorporation :	25.06.1993

Com. Reg. No.:	060682822

Legal Form :	Australian Proprietary Company, Limited by Shares

Line of Business :	Import and distribution of high-performance synthetic composite materials.

No. of Employees :	13,000

RATING & COMMENTS

MIRA’s Rating :

RATING		STATUS	PROPOSED CREDIT LINE
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

Status :	Moderate
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)

Australia

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

AUSTRALIA - ECONOMIC OVERVIEW

The Australian economy has experienced continuous growth and features low unemployment, contained inflation, very low public debt, and a strong and stable financial system. By 2012, Australia had experienced more than 20 years of continued economic growth, averaging 3.5% a year. Demand for resources and energy from Asia and especially China has grown rapidly, creating a channel for resources investments and growth in commodity exports. The high Australian dollar has hurt the manufacturing sector, while the services sector is the largest part of the Australian economy, accounting for about 70% of GDP and 75% of jobs. Australia was comparatively unaffected by the global financial crisis as the banking system has remained strong and inflation is under control. Australia has benefited from a dramatic surge in its terms of trade in recent years, stemming from rising global commodity prices. Australia is a significant exporter of natural resources, energy, and food. Australia's abundant and diverse natural resources attract high levels of foreign investment and include extensive reserves of coal, iron, copper, gold, natural gas, uranium, and renewable energy sources. A series of major investments, such as the US$40 billion Gorgon Liquid Natural Gas project, will significantly expand the resources sector. Australia is an open market with minimal restrictions on imports of goods and services. The process of opening up has increased productivity, stimulated growth, and made the economy more flexible and dynamic. Australia plays an active role in the World Trade Organization, APEC, the G20, and other trade forums. Australia has bilateral free trade agreements (FTAs) with Chile, Malaysia, New Zealand, Singapore, Thailand, and the US, has a regional FTA with ASEAN and New Zealand, is negotiating agreements with China, India, Indonesia, Japan, and the Republic of Korea, as well as with its Pacific neighbors and the Gulf Cooperation Council countries, and is also working on the Trans-Pacific Partnership Agreement with Brunei Darussalam, Canada, Chile, Malaysia, Mexico, New Zealand, Peru, Singapore, the US, and Vietnam

Source : CIA

Company name and address

Verified Address

Subject name
DIAB AUSTRALIA PTY LTD
Business name / Other
COMPOSITES CONSULTING GROUP
Business address
Unit 1, 7 Mcphail Road
Town
Coomera
Province
Queensland
Zip / Postal code
4209
Country
Australia
Telephone
+61 7 55801921
Email
info@au.diabgroup.com
Website
www.diabgroup.com

Registered address
C/o BURKE ADVISORY PTY LTD
The Hub, Suite 16
Level 1, 90 Days Road
Town
Upper Coomera
Province
Queensland
Zip / Postal code
4209
Country
Australia

SUMMARY DETAILS

Report Summary

Date registered
25/06/1993
Legal form
Australian Proprietary Company, Limited by Shares
Key personnel
Todd Joseph Henry
Line of business
The Subject’s business consist of import and distribution of high-performance synthetic composite materials.
Staff employed
13,000 employees (Diab Group)

Paid-up capital
AUD 900,002.00
Sales turnover / Revenue / Income
AUD 2,804,099.00 (Non-Consolidated 12 months, 31/12/2012)
Net income / loss
AUD -417,144.00 (Non-Consolidated 12 months, 31/12/2012)
Total assets
AUD 992,264.00 (Non-Consolidated 12 months, 31/12/2012)
Share equity
AUD -2,222,167.00 (Non-Consolidated 12 months, 31/12/2012)

Subject’s Credit Risk Analysis

Country risk
Country risk is minimal
Operation trend
Operational trend is declining
Management experience
Management is adequately experienced
Financial performance
Financial performance is gradually declining
Remarks
It is strictly advisable to conduct all business dealings on fully secured terms due to the Subject's share equity deficit.

Organisation structure
Organisational structure is stable
Detrimental
No detrimental found
Payment history
No payment delays noted
Credit amount requested
Not described.

STATUTORY DETAILS

Registry Information

Date registered
25/06/1993
Legal form
Australian Proprietary Company, Limited by Shares
Registration number
Australian Company Number: 060682822
Registered authority
Australian Securities and Investments Commission
Tax / VAT number
Australian Business Number: 65060682822

Statutory status
Active
Previous name
DIVINYCELL INTERNATIONAL PTY LIMITED
DICAB BARRACUDA PTY. LIMITED (initial)
Change of legal form
None reported.
Other registration
COMPOSITES CONSULTING GROUP is a business name owned by the Subject registered on 27/07/2013.

BOARD OF MANAGEMENT

Key Personnel

Name
Todd Joseph Henry
Designation
Managing Director

BOARD OF DIRECTORS

Appointments

Name
Klas Johan Gralen
Title
Director
Appointment date
20/12/05
Address
Venice Garden
Rome Block #100
Wuxi 214121
China
Biography
Born on 12-10-1964 in Gothenburg, Sweden.
Name
Rene Stauning
Title
Director
Appointment date
18/06/12
Address
Gammel Frederiksborg Vej 58
3400 Hilleroed
Denmark
Biography
Born on 10-01-1948 in Frederiksberg, Denmark.
Name
Todd Joseph Henry
Title
Director and Company Secretary
Appointment date
01/08/13
Address
8 Salamua Street
Runaway Bay, QLD 4216
Australia
Biography
Born on 11-12-1967 in Sydney, New South Wales, Australia.

Staff employed
13,000 employees (Diab Group)

Other Appointments

Auditor
ERNST & YOUNG
680 George Street
Sydney, NSW 2000
Australia

SHARE CAPITAL

Composition

Authorized capital
AUD900,002.00
Number / Type of shares
17 Special Shares / 50,002 Ordinary Shares
Share par value
No Par Value
Issued capital
AUD900,002.00

Paid-up capital
AUD900,002.00

OWNERSHIP / SHAREHOLDERS

Composition

Shareholder name
DIAB INTERNATIONAL AB
Address
Norra Sofieroleden 8
312 32 Laholm
Sweden
Number / Type of shares
17 Special Shares / 50,002 Ordinary Shares
Percentage (%) of shares
100%

CORPORATE AFFILIATIONS AND RELATED COMPANIES

Structure

Company name
DIAB INTERNATIONAL AB
Affiliation type
Ultimate Holding Company
Country of business
Sweden
Company name
DIAB SOUTH EAST ASIA CO., LTD
Affiliation type
Sister Company
Country of business
Thailand
Company name
DIAB SWEDEN AB
Affiliation type
Wholly-owned Subsidiary
Country of business
Sweden
Company name
DIAB (KUNSHAN) CO., LTD.
Affiliation type
Wholly-owned Subsidiary
Country of business
China
Company name
DIAB CORE MATERIALS PVT. LTD
Affiliation type
Wholly-owned Subsidiary
Country of business
India

Remarks on corporate affiliations and related companies
Other companies of the DIAB group should be considered affiliates of the Subject.

BANK AND MORTGAGES

Bank Details

Name of bank
Commonwealth Bank of Australia
Address
Australia

Comments
It is generally not the policy of local banks to provide credit status information to non related parties, however interested parties would be advised to consult first with the Subject if banker's references are required.

Mortgages

None reported.

Legal Filings

Bankruptcy filings
None reported.
Court judgements
None reported.

Tax liens
None reported.
Others
None reported.

FINANCIAL STATISTICS

Description

Financial statement source
Commercial Registry Filings
Financial statement date
31/12/12
Style of financial statement
Full audited

Currency of financial statement
Australia Dollar (AUD)
Exchange rate
1 USD = AUD 1.14 as of 16-10-2014

Concise Financial Data	Consolidation style	Non Consolidated	Non Consolidated
	Currency	Australia Dollar (AUD)	Australia Dollar (AUD)
	Date of financial year end	31/12/12	31/12/11
	Length of financial accounts	12 months	12 months
	Sales turnover / Revenue / Income	2,804,099.00	5,713,992.00
	Gross profit	1,222,992.00	951,614.00
	Profit / Loss before tax	-417,144.00	-2,246,114.00
	Net income / loss	-417,144.00	-2,245,394.00
	Non-current assets	52,430.00	120,970.00
	Property, plant and equipment	52,430.00	120,970.00
	Current assets	939,834.00	2,523,251.00
	Inventories	323,888.00	552,146.00
	Cash and cash equivalents	242,781.00	790,517.00
	Accounts receivable	364,373.00	1,129,209.00
	Total assets	992,264.00	2,644,221.00
	Current liabilities	1,267,426.00	3,062,776.00
	Non-current liabilities	1,947,005.00	2,236,469.00
	Accounts payable	432,700.00	1,372,771.00
	Total liabilities	3,214,431.00	5,299,245.00
	Share equity	-2,222,167.00	-2,655,024.00
	Retained earnings	-3,122,170.00	-2,705,026.00

BUSINESS DETAILS

Operational Details

Main activities
The Subject engages in import and distribution of high-performance synthetic composite materials.

The Subject distributes its products to a wide range of markets such as marine, subsea, wind energy, transportation and aerospace.

The Subject operates as a subsidiary of DIAB International AB.

DIAB International AB develops, manufactures, and supplies core materials for the use in sandwich composites. The company offers high-performance core materials for wind and marine industries, as well as structural designs in light aircraft, and private and business jet applications; structural PET core materials for land, transportation, and construction applications; and thermoplastic sandwich core materials for wind, nacelles, and other sandwich constructions, as well as goods transport applications and sandwich paneling. It also offers core materials for aircraft interiors, seating, and food trays; high-performance buoyancy materials for subsea applications; organic core materials for marine and wind applications in combination with foam; and syntactic foams.

In addition, the company offers finishing, kits designing, and engineering services to assist customers in application development with sandwich composites. It serves customers in Sweden and internationally. The company is based in Laholm, Sweden.
Products and services
High-performance synthetic composites material
Synthetic foams
Synthetic balsa materials
Brands
DIAB

Purchases

International
The Subject sources its product(s) / material(s) mainly from sister companies worldwide.

Sales

Local
The Subject sells its product(s) locally.

International
None reported.

Business Facilities and Assets

Premises
The Subject operates from the verified heading address consisting of an administrative office.

Branches
None reported.

SUMMARIZED COUNTRY RISK

Gross Domestic Products (GDP) and Economic Overview

Central bank
Reserve Bank of Australia
Reserve of foreign exchange and gold
US$ 46.714 billion
Gross domestic product (GDP)
US$ 1.586 trillion
Purchasing power parity (GPP)
954.296 billion of International dollars
GDP per capita (current prices)
US$ 68,916
GDP composition by sector
agriculture: 4%
industry: 25.6%
services: 70.4%
Inflation
2010: 2.8%
2011: 3.4%
2012: 2.7%
Unemployment rate
2010: 5.2%
2011: 5.1%
2012: 5.2%

Public debt (general Government gross debt as percentage (%) of GDP)
2010: 20.4%
2011: 22.9%
2012: 24%
Government bond ratings
Standard & Poor's: AAA
Moody's rating: Aaa
Moody's outlook: STA
Market value of publicly traded shares
US$1.198 trillion

Trade and Competitiveness Overview

Total exports
US$263.9 billion
Export commodities
Coal, iron ore, gold, meat, wool, alumina, wheat, machinery and transport equipment
Total imports
US$239.7 billion
Import commodities
Machinery and transport equipment, computers and office machines, telecommunication equipment and parts; crude oil and petroleum products
Best countries for doing business
10 out of 185 countries
Global competitiveness ranking
20 (ranking by country on a basis of 144, the first is the best)

Major export partners
China 27.4%, Japan 19.2%, South Korea 8.9%, India 5.8%
Major import partners
China 18.5%, US 11.4%, Japan 7.9%, Singapore 6.3%, Germany 4.7%
FDI inflows
2009: US$26,554 million
2010: US$35,556 million
2011: US$41,317 million
FDI outflows
2009: US$16,693 million
2010: US$12,791 million
2011: US$19,999 million

Country and Population Overview

Total population
22.68 million
Total area
7,692,024 km2
Capital
Canberra

Currency
Australian dollars (AUD)
Internet users as percentage (%) of total population
79%

PAYMENT OUTLOOK

Purchases Term

International
L/C, Telegraphic transfer, D/P, Credit 30-60 days

Sales Term

Local
Prepayment, Bank transfer, Credit 30-60 days

Trade Reference / Payment Behaviour

Comments
As local and international trade references were not supplied, the Subject's payment track record history cannot be appropriately determined but based on our research, payments are believed to be met without delay.

Investigation Note

Sources
Interviews and material provided by the Subject
Other official and local business sources

KEY FINANCIAL RATIOS

For financial year end	31/12/12	31/12/11	.
Profitability	.	.	.
Gross profit (loss) margin (%)	43.61	16.65
Pre-tax profit (loss) margin (%)	-14.88	-39.31
Net profit (loss) margin (%)	-14.88	-39.30
Return on Invested Capital	.	.	.
Return on assets (%)	-42.04	-84.92
Return on equity (%)	18.77	84.57
Liquidity	.	.	.
Current ratio	0.74	0.82
Quick ratio	0.49	0.64
Cash ratio	0.26	0.31
Accounts receivable turnover ratio (times)	7.70	5.06
Accounts payable turnover ratio (times)	6.48	4.16
Collection period (days)	47.43	72.13
Payment period (days)	56.32	87.69
Inventory turnover ratio (times)	8.66	10.35
Inventory conversion period (days)	42.16	35.27
Asset Management	.	.	.
Fixed asset turnover ratio (times)	53.48	47.23
Asset turnover ratio (times)	2.83	2.16
Capital Structure and Solvency	.	.	.
Total debt to asset ratio (%)	323.95	200.41
Total debt to equity ratio (%)	-144.65	-199.59
Non-current debt to equity ratio (%)	-87.62	-84.24

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.61.24
UK Pound	1	Rs.98.67
Euro	1	Rs.77.97

INFORMATION DETAILS

Analysis Done by :	SUB

Report Prepared by :	NIS

RATING EXPLANATIONS

RATING		STATUS	PROPOSED CREDIT LINE
>86	Aaa	Possesses an extremely sound financial base with the strongest capability for timely payment of interest and principal sums	Unlimited
71-85	Aa	Possesses adequate working capital. No caution needed for credit transaction. It has above average (strong) capability for payment of interest and principal sums	Large
56-70	A	Financial & operational base are regarded healthy. General unfavourable factors will not cause fatal effect. Satisfactory capability for payment of interest and principal sums	Fairly Large
41-55	Ba	Overall operation is considered normal. Capable to meet normal commitments.	Satisfactory
26-40	B	Capability to overcome financial difficulties seems comparatively below average.	Small
11-25	Ca	Adverse factors are apparent. Repayment of interest and principal sums in default or expected to be in default upon maturity	Limited with full security
<10	C	Absolute credit risk exists. Caution needed to be exercised	Credit not recommended
--	NB	New Business	--

This score serves as a reference to assess SC’s credit risk and to set the amount of credit to be extended. It is calculated from a composite of weighted scores obtained from each of the major sections of this report. The assessed factors and their relative weights (as indicated through %) are as follows:

Financial condition (40%) Ownership background (20%) Payment record (10%)

Credit history (10%) Market trend (10%) Operational size (10%)

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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.