MIRA INFORM REPORT

Report Date :

30.09.2014

IDENTIFICATION DETAILS

Name :	MINERALS E METALS ITALIA S.P.A.
Registered Office :	Via Leopardi, 26 24060 – Rogno (BG) – IT -
Country :	Italy
Financials (as on) :	31.12.2013
Date of Incorporation :	31.03.1973
Legal Form :	Joint stock company
Line of Business :	Manufacture of Other Non-Metallic Mineral Products
No. of Employees :	16 to 25

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 :	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 and address

Minerals E Metals Italia S.p.a.

Via

Leopardi,

26

24060

- Rogno

(BG)

-IT-

Summary

Fiscal Code	:	00379220163
Legal Form	:	Joint stock company
start of Activities	:	31/03/1973
Equity	:	Over 2.582.254
Turnover Range	:	5.000.000/6.500.000
Number of Employees	:	from 16 to 25

Activity

MANUFACTURE OF OTHER NON-METALLIC MINERAL PRODUCTS

Legal Data

Legal Form : Joint stock company

Fiscal Code : 00379220163

Foreign Trade Reg. no. : BG001280 since 07/12/1991

Foreign Trade Reg. no. : 1280 of Bergamo since 17/12/1991

Chamber of Commerce no. : 147945 of Bergamo since 24/01/1974

V.A.T. Code : 00379220163

Foundation date	: 31/03/1973
Establishment date	: 31/03/1973
Start of Activities	: 31/03/1973
Legal duration	: 31/12/2050
Nominal Capital	: 900.000
Subscribed Capital	: 900.000
Paid up Capital	: 900.000

Members

Bellicini

Giov. Maria

Born in Bergamo

(BG)

on 06/10/1951

- Fiscal Code : BLLGMR51R06A794Y

Residence:

Ugo Foscolo

, 15

- 24060

Rogno

(BG)

- IT -

Position	Since	Shares Amount	% Ownership
Director	29/05/2014

Bellicini

Marcello

Born in Bergamo

(BG)

on 11/11/1965

- Fiscal Code : BLLMCL65S11A794H

Residence:

G. Paglia

, 28

- 24065

Lovere

(BG)

- IT -

Position	Since	Shares Amount	% Ownership
Partner

No Prejudicial events are reported

No Protests registered

Bellicini

Elisabetta

Born in Bergamo

(BG)

on 25/05/1971

- Fiscal Code : BLLLBT71E65A794W

Residence:

Gabriele D'annunzio

, 5

- 24060

Rogno

(BG)

- IT -

Position	Since	Shares Amount	% Ownership
Director	29/05/2014

Invernici

Sergio

Born in Pisogne

(BS)

on 15/07/1945

- Fiscal Code : NVRSRG45L15G710I

Residence:

Ugo Foscolo

, 11

- 24060

Rogno

(BG)

- IT -

Position	Since	Shares Amount	% Ownership
Director	29/05/2014

Bellicini

Battista

Born in Rogno

(BG)

on 10/08/1939

- Fiscal Code : BLLBTS39M10H492K

Residence:

G. D'annunzio

, 5

- 24060

Rogno

(BG)

- IT -

Position	Since	Shares Amount	% Ownership
Board Chairman	29/05/2014
Director	29/05/2014

No Prejudicial events are reported

No Protests registered

Bellicini

Alberto

Born in Bergamo

(BG)

on 04/06/1964

- Fiscal Code : BLLLRT64H04A794D

Residence:

Tintoretto

, 5

- 25052

Piancogno

(BS)

- IT -

Position	Since	Shares Amount	% Ownership
Partner
Director	29/05/2014

No Prejudicial events are reported

No Protests registered

Delasa

Verena

Born in Rogno

(BG)

on 23/06/1938

- Fiscal Code : DLSVRN38H63H492R

Residence:

G. D'annunzio

, 5

- 24060

Rogno

(BG)

- IT -

Position	Since	Shares Amount	% Ownership
Director	29/05/2014

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.

Bellicini

Battista

Firm's Style	Seat	Fiscal Code	Position	Position Status	Firm's Status
Pan Chemicals S.p.a.	Rogno (BG) - IT -	01795560166	Director	Active	Registered
Pan Chemicals S.p.a.	Rogno (BG) - IT -	01795560166	Chairman and Managing Director	Withdrawn	Registered
Pan Chemicals S.p.a.	Rogno (BG) - IT -	01795560166	Board Chairman	Active	Registered
Tecnomedia Servizi S.r.l. (sigla TiesseS.r.l.)	Rogno (BG) - IT -	01663580163	Sole Director	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
Bellicini Battista	Rogno - IT -	BLLBTS39M10H492K	34.370 .Eur	3,81
Delasa Verena	Rogno - IT -	DLSVRN38H63H492R	37.630 .Eur	4,18
Bellicini Alberto	Piancogno - IT -	BLLLRT64H04A794D	828.000 .Eur	92,00
Bellicini Marcello	Lovere - IT -	BLLMCL65S11A794H	774.000 .Eur	86,00

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
Pan Chemicals S.p.a.	Rogno - IT -	01795560166	669.600 .Eur	62,00			Active

Firm's location and structure

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

-

Legal and operative seat

since 31/03/1973

Leopardi

, 26

- 24060

- Rogno

(BG)

- IT -

-

Branch

(Factory)

- 24060

- Rogno

(BG)

- IT -

-

Branch

(Warehouse)

since 20/03/1989

until 21/05/1999

Pairolo

- 24060

- Rogno

(BG)

- IT -

Employees

: 19

Fittings and Equipment for a value of 640.000

Eur

Stocks for a value of 3.400.000

Eur

The firm has a direct commercial organization

Sales area on a national scale.

The company 's mainly customers are companies.

To purchase foreign products the firm uses the following channels :

- direct orders to foreign companies

Products abroad are placed by :

- direct orders from foreign companies

Subject generally proposes terms of sale between 30 and 60 days.

Financial means used for sale: bank transfers and bank orders.

Purchases are mainly paid with terms of 30/90 days.

Main used payment modalities are by cash orders and bank transfers.

The subject firm uses the following own selling brands:

- IL PIROX

Traded Brands / Suppliers

- PAN CHEMICALS S.P.A

Historical Information and/or Firm's Status

EX-MEMBERS / EX-POSITIONS:

Bellicini

Battista

Born in Rogno

(BG)

on 10/08/1939

- Fiscal Code : BLLBTS39M10H492K

Residence:

G.d'annunzio

, 5

- 24060

Rogno

(BG)

- IT -

Ex-Postions

Chairman

Director

Board Chairman

Bellicini

Alberto

Born in Bergamo

(BG)

on 04/06/1964

- Fiscal Code : BLLLRT64H04A794D

Residence:

Tintoretto

, 5

- 25052

Piancogno

(BS)

- IT -

Ex-Postions

Partner

Coter

Fiorenzo

Born in Costa Volpino

(BG)

on 28/02/1942

- Fiscal Code : CTRFNZ42B28D117F

Residence:

Mondo Nuovo

, 6

- 24062

Costa Volpino

(BG)

- IT -

Ex-Postions

Director

Rusconi

Maurizio

Born in Milano

(MI)

on 20/05/1959

- Fiscal Code : RSCMRZ59E20F205D

Residence:

Meina

, 8

- 20125

Milano

(MI)

- IT -

Ex-Postions

Temporary Auditor

Caimi

Mauro

Born in Milano

(MI)

on 03/01/1957

- Fiscal Code : CMAMRA57A03F205L

Residence:

Lovanio

, 10

- 20121

Milano

(MI)

- IT -

Ex-Postions

Temporary Auditor

Bellicini

Marcello

Born in Bergamo

(BG)

on 11/11/1965

- Fiscal Code : BLLMCL65S11A794H

Residence:

G. Paglia

, 28

- 24065

Lovere

(BG)

- IT -

Ex-Postions

Partner

Sangalli

Sergio

Born in Gianico

(BS)

on 03/04/1939

- Fiscal Code : SNGSRG39D03E010F

Residence:

Umberto I

, 10

- 25047

Darfo Boario Terme

(BS)

- IT -

Ex-Postions

Chairman of the Board of Aud.

CEASINGS/INCORPORATIONS/MERGES:

Splitting-up and setting-up of a new company

Mac - Iniziative Immobiliari S.r.l.

G. Paglia

, 26/28

, 24065

, Lovere

(BG)

- IT -

Fiscal Code: 03237760164

Date

Splitting-up:

01/08/2005

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.

Bankers

The firm operates with:

Bank Name	Agency Name	Address	ZIP Code	City	ABI Code	CAB Code
CREDITO BERGAMASCO S.P.A.		PIAZZA TREDICI MARTIRI, 1	24065	Lovere (BG)	3336	53170

Financial and Economical Analysis

The company is active since 1973

The eonomic-financial analysis is based on the latest 3 b/s.

Unstable economic results mark the company's financial state of affairs. with a loss in the last financial year. Business volume is falling in the last financial year.

The operating result was positive in the last financial year (3,01%) and in line with the sector's average.

The amount of the operating result for the year 2013 is of Eur. 396.273 ,showing stability in respect to the value of 2012.

The G.O.M. amounted to Eur. 759.486 , stable if compared to the year before.

From a financial aspect the company's status covers total short-term debts; the indebtedness volume in 2013 is in fact 0,9 and with an upward trend compared to the previous year.

With regard to equity capital, an amount of Eur. 5.525.581 is registered. on the same levels as the year before.

In the year 2013 total debts amounted to Eur. 7.237.466 showing a stable trend as opposed to 2012 (Eur. 6.832.886).

Bank borrowings' volume is slightly high but the recourse to suppliers' credit is modest below the sector's average.

The liquidity level is positive (1,21).

Trade credits average terms are slow, on average 146,15 days. besides being higher than the sector's average.

Eur. 298.990 is the value of cash flow during the year 2013

Subordinate employment cost is of Eur. 761.949, i.e. 11,68% on total production costs. , whereas 12,34% is the incidence on sales revenues.

Finacial chareges are high: the incidence on sales volume amounts to -3,19%

Financial Data

Complete balance-sheet for the year

al 31/12/2013

(in Eur

x 1)

Item Type	Value
Sales	6.174.136
Profit (Loss) for the period	-64.223

Complete balance-sheet for the year

al 31/12/2012

(in Eur

x 1)

Item Type	Value
Sales	7.602.617
Profit (Loss) for the period	138.896

Complete balance-sheet for the year

al 31/12/2011

(in Eur

x 1)

Item Type	Value
Sales	8.331.316
Profit (Loss) for the period	60.614

Complete balance-sheet for the year

al 31/12/2010

(in Eur

x 1)

Item Type	Value
Sales	7.670.899
Profit (Loss) for the period	102.465

Complete balance-sheet for the year

al 31/12/2009

(in Eur

x 1)

Item Type	Value
Sales	4.293.281
Profit (Loss) for the period	-138.653

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
. Deposits already withdrawn
Total credits vs partners
FIXED ASSETS
. INTANGIBLE FIXED ASSETS
. . Start-up and expansion expenses
. . Research,develop. and advert.expens.
. . Industrial patent rights	9.855	11.805	12.708
. . Concessions,licenses,trademarks,etc.
. . Goodwill
. . Assets in formation and advance paymen.
. . Other intangible fixed assets	16.795	32.310	53.670
. Total Intangible Fixed Assets	26.650	44.115	66.378
. TANGIBLE FIXED ASSETS
. . Real estate	5.896.909	5.998.483	6.062.497
. . Plant and machinery	643.346	732.872	641.646
. . Industrial and commercial equipment	1.225	212	637
. . Other assets	92.936	123.622	94.345
. . Assets under construction and advances			26.995
. Total Tangible fixed assets	6.634.416	6.855.189	6.826.120
. FINANCIAL FIXED ASSETS
. . Equity investments	357.180	357.180	356.613
. . . Equity invest. in subsidiary companies
. . . Equity invest. in associated companies	357.180	357.180	356.613
. . . Equity invest. in holding companies
. . . Equity invest. in other companies
. . Financial receivables	5.382	2.859	805
. . . . Within 12 months	2.070	2.070
. . . . Beyond 12 months	3.312	789	805
. . . Receivab due from subsidiaries
. . . . Within 12 months
. . . . 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
. . . Receivables due from third parties	5.382	2.859	805
. . . . Within 12 months	2.070	2.070
. . . . Beyond 12 months	3.312	789	805
. . Other securities
. . Own shares
. . . Total nominal value
. Total financial fixed assets	362.562	360.039	357.418
Total fixed assets	7.023.628	7.259.343	7.249.916
CURRENT ASSETS
. INVENTORIES
. . Raw materials and other consumables	120.250	57.055	83.122
. . Work in progress and semimanufactured
. . Work in progress on order
. . Finished goods	3.275.775	2.870.552	2.865.870
. . Advance payments
. Total Inventories	3.396.025	2.927.607	2.948.992
. CREDITS NOT HELD AS FIXED ASSETS
. . Within 12 months	2.607.413	2.557.394	3.237.498
. . Beyond 12 months	38.256	38.256	5.804
. . Trade receivables	2.506.449	2.422.021	2.908.104
. . . . Within 12 months	2.506.449	2.422.021	2.908.104
. . . . Beyond 12 months
. . Receivables due from subsid. comp.
. . . . Within 12 months
. . . . Beyond 12 months
. . Receivables due from assoc. comp.	27.876	64.419	108.696
. . . . Within 12 months	27.876	64.419	108.696
. . . . Beyond 12 months
. . Receivables due from holding comp.
. . . . Within 12 months
. . . . Beyond 12 months
. . Fiscal Receivables	38.153	41.221	182.323
. . . . Within 12 months		3.068	176.622
. . . . Beyond 12 months	38.153	38.153	5.701
. . Receivables for anticipated taxes	932	13.646	604
. . . . Within 12 months	932	13.646	604
. . . . Beyond 12 months
. . Receivables due from third parties	72.259	54.343	43.575
. . . . Within 12 months	72.156	54.240	43.472
. . . . Beyond 12 months	103	103	103
. Total Credits not held as fixed assets	2.645.669	2.595.650	3.243.302
. FINANCIAL ASSETS
. . Equity invest. in subsidiary comp.
. . Equity invest. in associated companies
. . Equity invest. in holding companies
. . Other equity investments
. . Own shares
. . . Total nominale value
. . Other securities
. Total Financial Assets
. LIQUID FUNDS
. . Bank and post office deposits	90.461	229	441
. . Checks
. . Banknotes and coins	9.047	4.609	8.857
. Total Liquid funds	99.508	4.838	9.298
Total current assets	6.141.202	5.528.095	6.201.592
ADJUSTMENT ACCOUNTS
. Discount on loans		17.623
. Other adjustment accounts	8.547		17.444
Total adjustments accounts	8.547	17.623	17.444
TOTAL ASSETS	13.173.377	12.805.061	13.468.952
LIABILITIES
STOCKHOLDERS' EQUITY
. Capital stock	900.000	900.000	900.000
. Additional paid-in capital
. Revaluation reserves	4.109.359	4.109.359	4.109.359
. Legal reserve	71.996	63.100	60.000
. Reserve for Own shares
. Statute reserves
. Other reserves	508.449	378.449	320.935
. Accumulated Profits (Losses)
. Profit( loss) of the year	-64.223	138.896	60.614
. Advances on dividends
. Partial loss of the year Coverage
Total Stockholders'Equity	5.525.581	5.589.804	5.450.908
RESERVES FOR RISKS AND CHARGES
. . Reserve for employee termination indem.
. . Taxation fund, also differed	2.292	2.292	2.292
. . Other funds
Total Reserves for Risks and Charges	2.292	2.292	2.292
Employee termination indemnities	325.710	296.761	268.795
ACCOUNTS PAYABLE
. . . . Within 12 months	5.063.556	5.122.921	5.576.132
. . . . Beyond 12 months	2.173.910	1.709.965	2.098.480
. . Bonds	690.000	450.000	450.000
. . . . Within 12 months
. . . . Beyond 12 months	690.000	450.000	450.000
. . Convertible bonds repayable
. . . . Within 12 months
. . . . Beyond 12 months
. . Due to shareholders for financing
. . . . Within 12 months
. . . . Beyond 12 months
. . Due to banks	5.093.138	5.284.333	5.445.701
. . . . Within 12 months	3.609.228	4.024.368	3.797.221
. . . . Beyond 12 months	1.483.910	1.259.965	1.648.480
. . Due to other providers of finance
. . . . Within 12 months
. . . . Beyond 12 months
. . Advances from customers	300.000
. . . . Within 12 months	300.000
. . . . Beyond 12 months
. . Trade payables	1.018.924	918.189	1.441.222
. . . . Within 12 months	1.018.924	918.189	1.441.222
. . . . Beyond 12 months
. . Securities issued
. . . . Within 12 months
. . . . Beyond 12 months
. . Due to subsidiary companies
. . . . Within 12 months
. . . . 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	31.378	80.329	241.367
. . . . Within 12 months	31.378	80.329	241.367
. . . . Beyond 12 months
. . Due to social security and welfare inst.	46.181	45.552	41.050
. . . . Within 12 months	46.181	45.552	41.050
. . . . Beyond 12 months
. . Other payables	57.845	54.483	55.272
. . . . Within 12 months	57.845	54.483	55.272
. . . . Beyond 12 months
Total accounts payable	7.237.466	6.832.886	7.674.612
ADJUSTMENT ACCOUNTS
. Agio on loans
. Other adjustment accounts	82.328	83.318	72.345
Total adjustment accounts	82.328	83.318	72.345
TOTAL LIABILITIES	13.173.377	12.805.061	13.468.952

MEMORANDUM ACCOUNTS

Third party goods

Investment accounts

Risk accounts

Civil and fiscal norms relation

PROFIT AND LOSS ACCOUNTS

VALUE OF PRODUCTION
. Revenues from sales and services	6.174.136	7.602.617	8.331.316
. Changes in work in progress	476.263	4.682	312.885
. Changes in semi-manufact. products
. Capitalization of internal work
. Other income and revenues	269.347	193.431	177.412
. . Contributions for operating expenses			12.250
. . Different income and revenues	269.347	193.431	165.162
Total value of production	6.919.746	7.800.730	8.821.613
PRODUCTION COSTS
. Raw material,other materials and consum.	4.286.813	5.104.916	6.309.917
. Services received	978.260		976.336
. Leases and rentals	4.599	1.026.607	70.114
. Payroll and related costs	761.949	747.867	710.162
. . Wages and salaries	481.638	467.478	454.791
. . Social security contributions	238.009	236.463	211.315
. . Employee termination indemnities	40.516	42.417	42.172
. . Pension and similar
. . Other costs	1.786	1.509	1.884
. Amortization and depreciation	363.213	338.759	311.143
. . Amortization of intangible fixed assets	45.904	31.857	41.245
. . Amortization of tangible fixed assets	317.309	244.402	254.898
. . Depreciation of tangible fixed assets
. . Writedown of current receiv.and of liquid		62.500	15.000
. Changes in raw materials	7.846	26.067	-15.219
. Provisions to risk reserves
. Other provisions
. Other operating costs	120.793	119.073	113.324
Total production costs	6.523.473	7.363.289	8.475.777
Diff. between value and cost of product.	396.273	437.441	345.836
FINANCIAL INCOME AND EXPENSE
. Income from equity investments
. . In subsidiary companies
. . In associated companies
. . In other companies
. Other financial income	522	4.668	112
. . 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		4.668
. . . - Subsidiary companies
. . . - Associated companies
. . . - Holding companies
. . . - Other companies		4.668
. Interest and other financial expense	-197.478	-211.875	-186.428
. . Towards subsidiary companies
. . Towards associated companies
. . Towards holding companies
. . Towards other companies		211.875
Total financial income and expense	-196.956	-207.207	-186.316
ADJUSTMENTS TO FINANCIAL ASSETS
. Revaluations
. . Of equity investments
. . Of financ.fixed assets not repres.E.I.
. . Of securities incl.among current assets
. Devaluation
. . Of equity investments
. . Of financial fixed assets (no equity inv)
. . Of securities included among current ass
Total adjustments to financial assets
EXTRAORDINARY INCOME AND EXPENSE
. Extraordinary income		32.452
. . Gains on disposals
. . Other extraordinary income		32.452
. Extraordinary expense	-210.985
. . Losses on disposals
. . Taxes relating to prior years
. . Other extraordinary expense	-210.985
Total extraordinary income and expense	-210.985	32.452
Results before income taxes	-11.668	262.686	159.520
. Taxes on current income	52.555	123.790	98.906
. . current taxes	39.841	136.832	98.788
. . differed taxes(anticip.)	12.714	-13.042	118
. Net income for the period	-64.223	138.896	60.614
. Adjustments in tax regulations pursuance
. Provisions in tax regulations pursuance
. Profit (loss) of the year	-64.223	138.896	60.614

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	0,53	0,57	0,54	0,29
Elasticity Ratio	Units	0,47	0,43	0,46	0,56
Availability of stock	Units	0,26	0,23	0,22	0,17
Total Liquidity Ratio	Units	0,21	0,20	0,24	0,52
Quick Ratio	Units	0,01	0,00	0,00	0,01
COMPOSITION ON SOURCE
Net Short-term indebtedness	Units	0,90	0,92	1,02	2,95
Self Financing Ratio	Units	0,42	0,44	0,40	0,17
Capital protection Ratio	Units	0,85	0,81	0,82	0,72
Liabilities consolidation quotient	Units	0,49	0,39	0,42	0,24
Financing	Units	1,31	1,22	1,41	3,63
Permanent Indebtedness Ratio	Units	0,61	0,59	0,58	0,48
M/L term Debts Ratio	Units	0,19	0,16	0,18	0,15
Net Financial Indebtedness Ratio	Units	1,03	1,02	1,08	0,79
CORRELATION
Fixed assets ratio	Units	1,14	1,05	1,08	1,52
Current ratio	Units	1,21	1,08	1,11	1,36
Acid Test Ratio-Liquidity Ratio	Units	0,54	0,51	0,58	1,00
Structure's primary quotient	Units	0,79	0,77	0,75	0,60
Treasury's primary quotient	Units	0,02	0,00	0,00	0,03
Rate of indebtedness ( Leverage )	%	238,41	229,08	247,10	529,23
Current Capital ( net )	Value	1.077.646	405.174	625.460	101.018
RETURN
Return on Sales	%	4,84	6,28	4,46	5,19
Return on Equity - Net- ( R.O.E. )	%	-1,16	2,48	1,11	5,02
Return on Equity - Gross - ( R.O.E. )	%	-0,21	4,70	2,93	17,16
Return on Investment ( R.O.I. )	%	3,01	3,42	2,57	4,86
Return/ Sales	%	6,42	5,75	4,15	4,92
Extra Management revenues/charges incid.	%	-16,21	31,75	17,53	26,16
Cash Flow	Value	298.990	477.655	371.757	83.915
Operating Profit	Value	396.273	437.441	345.836	62.311
Gross Operating Margin	Value	759.486	776.200	656.979	236.145
MANAGEMENT
Credits to clients average term	Days	146,15	114,69	125,66	120,73
Debts to suppliers average term	Days	69,61	53,91	70,53	114,26
Average stock waiting period	Days	198,01	138,63	127,43	55,24
Rate of capital employed return ( Turnover )	Units	0,47	0,59	0,62	1,21
Rate of stock return	Units	1,82	2,60	2,83	6,02
Labour cost incidence	%	12,34	9,84	8,52	20,14
Net financial revenues/ charges incidence	%	-3,19	-2,73	-2,24	-2,11
Labour cost on purchasing expenses	%	11,68	10,16	8,38	23,46
Short-term financing charges	%	2,73	3,10	2,43	2,79
Capital on hand	%	213,36	168,43	161,67	96,65
Sales pro employee	Value	343.007	330.548	490.077	149.671
Labour cost pro employee	Value	42.330	32.515	41.774	26.492

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	:	1.022.428
Population living in the region	:	9.393.092
Number of families in the region	:	3.858.736

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

- per food products	:	460
- per non food products	:	2.090
- per energy consume	:	114

Statistical Detrimental Data

Statistcally the trade activity shows periods of crisis.

The area is statistically considered lowly risky.

In the region 50.886 protested subjects are found; in the province they count to 4.150.

The insolvency index for the region is 0,55, , while for the province it is 0,41.

Total Bankrupt companies in the province : 4.376.

Total Bankrupt companies in the region : 39.612.

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.61.42
UK Pound	1	Rs.99.72
Euro	1	Rs.77.93

INFORMATION DETAILS

Analysis Done by :	RAS
Report Prepared by :	PDT

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.