MIRA INFORM REPORT

Report No. :	314863
Report Date :	03.04.2015

IDENTIFICATION DETAILS

Name :	FORMOSAN UNION CHEMICAL CORPORATION
Registered Office :	14th Floor, No. 206, Nanking E. Road, Sec. 2, Taipei
Country :	Taiwan
Financials (as on) :	31.12.2014
Date of Incorporation :	21.06.1973
Com. Reg. No.:	04312878
Legal Form :	Joint Stock Company
Line of Business :	Manufacturing and sales of chemical products.
No. of Employee :	About 270 Employees (Taiwan)

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 – December 31, 2014

Country Name	Previous Rating (30.09.2014)	Current Rating (31.12.2014)
Taiwan	A1	A1

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

TAIWAN - ECONOMIC OVERVIEW

Taiwan has a dynamic capitalist economy with gradually decreasing government guidance of investment and foreign trade. Exports, led by electronics, machinery, and petrochemicals have provided the primary impetus for economic development. This heavy dependence on exports exposes the economy to fluctuations in world demand. Taiwan's diplomatic isolation, low birth rate, and rapidly aging population are other major long-term challenges. Free trade agreements have proliferated in East Asia over the past several years, and following the landmark Economic Cooperation Framework Agreement (ECFA) signed with China in June 2010, Taiwan in July 2013 signed a free trade deal with New Zealand—Taipei’s first-ever with a country with which it does not maintain diplomatic relations—and in November inked a trade pact with Singapore. Negotiations continue on follow-on components of ECFA regarding trade in goods and a dispute resolution mechanism; a trade in services agreement is under review in the legislature. Taiwan's Total Fertility rate of just over one child per woman is among the lowest in the world, raising the prospect of future labor shortages, falling domestic demand, and declining tax revenues. Taiwan's population is aging quickly, with the number of people over 65 accounting for 11.2% of the island's total population as of 2012. The island runs a large overall trade surplus largely because of its surplus with China, and its foreign reserves are the world's sixth largest, behind China, Japan, Saudi Arabia, Russia, and Switzerland. In 2006 China overtook the US to become Taiwan's second-largest source of imports after Japan. China is also the island's number one destination for foreign direct investment. Taiwan since 2009 has gradually loosened rules governing Chinese investment on the island, and has also secured greater market access for its investors in the mainland. In August 2012, Taiwan Central Bank signed a memorandum of understanding on cross-Strait currency settlement with its Chinese counterpart. The MOU allows for the direct settlement of Chinese RMB and the New Taiwan dollar across the Strait, which could help develop Taiwan into a local RMB hub. Closer economic links with the mainland bring greater opportunities for the Taiwan economy, but also poses new challenges as the island becomes more economically dependent on China while political differences remain unresolved.

Source : CIA

Contact Points

Company Name:	FORMOSAN UNION CHEMICAL CORPORATION
Supplied Name:	FORMOSAN UNION CHEMICAL CORPORATION
Trading Address:	14th Floor, No. 206, Nanking E. Road, Sec. 2, Taipei, Taiwan, R.O.C.
Supplied Address:	14F, No 206 Nanking East Road, Sec 2, Taipei
Telephone Number:	+886-2-2507-1234
Fax Number:	+886-2-2507-1664
E-mail:	fucc@fucc.com.tw

Notes: The exact name and address are as above.

Company Identification Details

Registered Name:	Formosan Union Chemical Corporation
Registered Address:	14th Floor, No. 206, Nanking E. Road, Sec. 2, Taipei, Taiwan, R.O.C.
Date of Foundation:	1973-6-21
Registration Number:	04312878
Registry:	Department of Commerce, Ministry of Economic Affairs, R.O.C.
Registered Capital:	NTD 5,000,000,000 (USD 160,000,000) (As of 2015.4, 1 NTD = 0.032 USD)
Paid-up Capital:	NTD 4,299,328,740 (USD 137,578,520)
Legal Representatives:	Shengcai Huang
Legal Form:	Joint Stock Company
Principal Activities:	Manufacturing and sales of chemical products.
Staff:	About 270 Employees (Taiwan)
Listed at Stock Exchange:	Yes, Stock Symbol: 1709
Date of Last Annual Return:	2014-7-22

History

Subject was incorporated on 1973-6-21 with registered number 04312878 as Joint Stock Company in Taiwan.

Subject was listed on Taiwan Stock Exchange on 1986-07-03.

Corporate Structure

Factory

Address:	No.9, Shihua 3rd Rd., Linyuan Dist., Kaohsiung City, Taiwan (R.O.C.)
Date of Foundation:	1977-7-8
Date of Registration:	1990-12-31
Factory Registration Number:	99661323
Factory Manager:	Shengcai Huang
Status:	In production
Date of Last Annual Return:	2014-9-1
Major Products:	184 Synthetic resin, plastic and rubber 199 Other chemical products

Branch

Name	Kaohsiung branch
Address	No.9, Shihua 3rd Rd., Linyuan Dist., Kaohsiung City, Taiwan (R.O.C.)
Registration Number	54393777
Date of Registration	2014-12-3
Status	Live Company
Manager Name	Guojun Huang
Date of Last Annual Return	--

Related Companies

1
Name	HERSHEY Engineering Company, Ltd.
Address	12, Yuanshan Rd., Donghai Village, Fanlian Hsiang, Pingdong Hsien
Telephone Number	+886-8-8667692
Fax Number	+886-8-8666527
2
Name	United Performance Materials Corp.
Address	10, Jinchin Rd., Donghai Village, Fanliao Hsiang, Pingdong Hsien
Telephone Number	+886-8-8668285
Fax Number	+886-8-8668261
3
Name	Soft Chemical Corp.
Address	110 Ngo Quyen Street, Haiphong City, Vietnam.
Telephone Number	+84-31-3837122
Fax Number	+84-31-3836510
4
Name	Zhangjiagang Trans-Ocean Enterprise Co., Ltd., A Chinese and Oversea Joint Venture
Address	110, Yunho Village, Zhangjiagang City, Jingsu Province
Telephone Number	+86-520-8573127
Fax Number	+86-520-8573117
5
Name	Great Victory Chemical Industry Co., Ltd
Address	14F, No 206, Sec 2, Nanking E. Road, Taipei, Taiwan, ROC.
Telephone Number	+886-2-25033131
Fax Number	+886-2-25034600

Shareholders

Major Shareholders

Name	Subscription Shares
Shin Shing Chemical Corporation	16,715,000
Shengshun Huang
1,352,245
Qia He Investment Co., Ltd (Literal Translation)	29,899
Jiaguo Liao	338,677
Formosa Sulfonation Co., Ltd.	6,180,119
Zhiqun Guo	1,745,275
Panhuman Zhang	1,997,699
Zhenzhi Guo	3,103,970
Lion Chemical Industry (Taiwan) Co., Ltd.	12,702,294
Defeng Chen	2,363,695
Shihuang Guo	1,384,609
Jiaan Shi	493,941
Zhimao Guo	1,229,321
Taiwan Chemical Fiber Co., Ltd (Literal Translation)	14,936,190
Ever-Prosperous Multitechnologies Enterprise Ltd.	2,015,047
Qi Dong Investment Co., Ltd (Literal Translation)	27,560,405

Shareholder Information:

1
Registered Name:	Shin Shing Chemical Corporation
Registered Address:	No.90, Liu Chou Street, Taipei
Date of Foundation:	1979-11-13
Registration Number:	15862602
Registry:	Taipei City Government
Registered Capital:	NTD 237,600,000 (USD 7,603,200) (As of 2015.04, 1 NTD = 0.032 USD)
Paid-up Capital:	NTD 237,600,000 (USD 7,603,200)
Legal Representatives:	Shengcai Huang
Legal Form:	Joint Stock Company
Date of Last Annual Return:	2014-12-24
2
Registered Name:	Qia He Investment Co., Ltd (Literal Translation)
Registered Address:	9F., No.6, Sec. 1, Zhongxing Rd., Wugu Dist., New Taipei City, Taiwan (R.O.C.)
Date of Foundation:	1978-10-3
Registration Number:	07628029
Registry:	New Taipei City Government
Registered Capital:	NTD 260,000,000 (USD 8,320,000) (As of 2015.04, 1 NTD = 0.032 USD)
Paid-up Capital:	NTD 260,000,000 (USD 8,320,000)
Legal Representatives:	Yixiong Chen
Legal Form:	Joint Stock Company
Date of Last Annual Return:	2013-11-22
3
Registered Name:	Formosa Sulfonation Co., Ltd.
Registered Address:	1Fl., No.92, Liu Chou St., Taipei
Date of Foundation:	1992-4-23
Registration Number:	86693229
Registry:	Taipei City Government
Registered Capital:	NTD 50,400,000 (USD 1,612,800) (As of 2015.04, 1 NTD = 0.032 USD)
Paid-up Capital:	NTD 50,400,000 (USD 1,612,800)
Legal Representatives:	Deshi Lian
Legal Form:	Joint Stock Company
Date of Last Annual Return:	2014-11-25
4
Registered Name:	Lion Chemical Industry (Taiwan) Co., Ltd.
Registered Address:	No.50, Sec.3, Cheng Tai Rd., Wugu Dist., New Taipei City 248, Taiwan (R.O.C.)
Date of Foundation:	1964-8-20
Registration Number:	35004143
Registry:	New Taipei City Government
Registered Capital:	NTD 218,150,000 (USD 6,980,800) (As of 2015.04, 1 NTD = 0.032 USD)
Paid-up Capital:	NTD 218,150,000 (USD 6,980,800)
Legal Representatives:	Pingfu Ji
Legal Form:	Joint Stock Company
Date of Last Annual Return:	2014-1-23
5
Registered Name:	Taiwan Chemical Fiber Co., Ltd (Literal Translation)
Registered Address:	No.359, Sec. 3, Zhongshan Rd., Changhua City, Changhua County, Taiwan (R.O.C.)
Date of Foundation:	1965-3-5
Registration Number:	58650902
Registry:	Department of Commerce, Ministry of Economic Affairs, R.O.C.
Registered Capital:	NTD 58,611,862,910 (USD 1,875,579,613.12) (As of 2015.04, 1 NTD = 0.032 USD)
Paid-up Capital:	NTD 58,611,862,910 (USD 1,875,579,613.12)
Legal Representatives:	Wenyuan Wang
Legal Form:	Joint Stock Company
Date of Last Annual Return:	2014-11-21
6
Registered Name:	Ever-Prosperous Multitechnologies Enterprise Ltd.
Registered Address:	6F., No.394, Minsheng W. Rd., Datong Dist., Taipei City 10342, Taiwan (R.O.C.)
Date of Foundation:	1989-12-26
Registration Number:	23604988
Registry:	Taipei City Government
Registered Capital:	NTD 60,000,000 (USD 1,920,000) (As of 2015.04, 1 NTD = 0.032 USD)
Paid-up Capital:	NTD 60,000,000 (USD 1,920,000)
Legal Representatives:	Yangci Kesu
Legal Form:	Joint Stock Company
Date of Last Annual Return:	2014-1-16
7
Registered Name:	Qi Dong Investment Co., Ltd (Literal Translation)
Registered Address:	1F., No.90, Liuzhou St., Wanhua Dist., Taipei City, Taiwan (R.O.C.)
Date of Foundation:	1997-7-2
Registration Number:	97477114
Registry:	Taipei City Government
Registered Capital:	NTD 312,000,000 (USD 9,984,000) (As of 2015.04, 1 NTD = 0.032 USD)
Paid-up Capital:	NTD 312,000,000 (USD 9,984,000)
Legal Representatives:	Jinfeng Huangsu
Legal Form:	Joint Stock Company
Date of Last Annual Return:	2014-11-28

Management Information

Core Management

Directors

1
Name		Shengcai Huang
Position		Board Chairman
2
Name	Shengshun Huang
Position		vice-president
3
Name	Yixue Zheng
Position		Director
4
Name	Ronghui Xu
Position		Director
5
Name	Jiaguo Liao
Position		Director & Manager
Date of Appointment		2014-7-1
6
Name		Deshi Lian
Position		Director
7
Name	Zhiqun Guo
Position		Director
8
Name	Panhuman Zhang
Position		Director
9
Name	Zhenzhi Guo
Position		Director
10
Name	Pingfu Ji
Position		Director
11
Name		Defeng Chen
Position		Director
12
Name	Shihuang Guo
Position		Director
13
Name	Jiaan Shi
Position		Director
14
Name	Zhimao Guo
Position		Director
15
Name	Kunlie Yang
Position		Director
16
Name		Changqi Ke
Position		Supervisor
17
Name	Chengfeng Huang
Position		Supervisor

Personnel Structure

Total Employees

About 270 Employees (Taiwan)

Operation Information

Offices & Factories

	Headquarters
Add	14th Floor, No. 206, Nanking E. Road, Sec. 2, Taipei, Taiwan, R.O.C.

Production Information

Subject is a manufacturer of chemical products, etc.

It is introduced that subject has a factory in Kaohsiung City, Taiwan for production. It is introduced that subject also has other factories in Taiwan, but the subject declined to disclose the details for us, and we cannot get the detailed information from any valid sources, either.

It is introduced that subject has obtained ISO 9001, ISO 14001 and ISO 9002 certifications.

Purchase Information

The registered activities of subject:

Business Code	Details
C801020	Manufacturing of petrochemical engineering raw materials.
F112040	Wholesales of petrochemical engineering product.
C801010	Fundamental chemical industry.
D201040	Subpackage of liquefied petroleum gas.
IF03010	Testing of liquefied petroleum gas cylinder.
H703100	Renting of real estate.
C109010	Manufacturing of spices.
C801100	Manufacturing of synthetic resin and plastic.
F401010	International trading business.
C801040	Manufacturing of synthetic resin.
C801050	Manufacturing of plastic raw materials.
C801060	Manufacturing of synthetic rubber.
C802030	Manufacturing of coating and paint.
J101040	Processing of salvaged material.
J101060	Processing of wastewater.
C803990	Manufacturing of petrochemical and coal products.

The raw materials for production are purchased both at home and abroad.

Sales Information

The subject is mainly engaged in sales of chemical products, etc.

The major products sold by subject include alkyl benzene, nonyl phenol, hydrogenated hydrocarbon resin, etc.

It is introduced that subject’s selling territory is covering all over the world.

It is introduced that subject’s major types of customers are manufacturers of textile, plastic products and etc.

Subject’s major customers are Fabrica De Jabon La Corona SA De CV, T.h. International, Inc., etc.

It is introduced that subject’s products are applied into cleaning supplies, plastic products and etc.

Import and export right:

Import right	Yes
Export right	Yes

Settlements

Purchase

Domestic Purchase

Products	Raw materials
Payment Terms	T/T, Cash, etc.

Import

Products	Raw materials
Payment Terms	L/C, T/T, etc.

Sales

Domestic Markets

Product	Chemical products, etc.
Selling Terms	T/T, Cash, etc.

Export

Product	Chemical products, etc.
Selling Terms	L/C, T/T, etc.

Balance Sheet

Unit: NTD/000

Consolidated	2014-12-31	2013-12-31
Assets
Current assets
Cash and cash equivalents
Total cash and cash equivalents	1,057,969	844,304
Current available-for-sale financial assets
Current available-for-sale financial assets	49,257	99,679
Current available-for-sale financial assets, net	49,257	99,679
Notes receivable, net
Notes receivable, net	93,631	93,910
Accounts receivable, net
Accounts receivable, net	976,400	879,840
Accounts receivable due from related parties, net
Accounts receivable due from related parties, net	393	1,109
Other receivables
Other receivables, net	63,377	117,035
Other receivables due from related parties
Other receivables due from related parties, net	3,695	74
Current tax assets
Total current tax assets	3,428	3,408
Inventories
Inventories, manufacturing business
Inventories, manufacturing business, net	3,559,553	4,000,893
Total inventories	3,559,553	4,000,893
Prepayments
Total prepayments	34,301	27,017
Other current assets
Total other current assets	1,643	2,516
Total current assets	5,843,647	6,069,785
Non-current assets
Non-current available-for-sale financial assets
Non-current available-for-sale financial assets, net	243,176	259,236
Non-current financial assets at cost
Non-current financial assets at cost	0	8,559
Non-current financial assets at cost, net	0	8,559
Investments accounted for using equity method
Investments accounted for using equity method	214,017	124,936
Investments accounted for using equity method, net	214,017	124,936
Property, plant and equipment
Total property, plant and equipment	2,845,834	2,964,383
Investment property, net
Investment property, net	4,849	4,982
Intangible assets
Total intangible assets	93,527	94,181
Deferred tax assets	82,568	93,079
Other non-current assets
Total other non-current assets	850,428	320,620
Total non-current assets	4,334,399	3,869,976
Total assets	10,178,046	9,939,761
Liabilities
Current liabilities
Short-term borrowings
Total short-term borrowings	1,182,000	968,833
Current financial liabilities at fair value through profit or loss
Total current financial liabilities at fair value through profit or loss	8,330	0
Notes payable
Total notes payable	7,654	5,777
Accounts payable
Total accounts payable	394,466	718,593
Other payables
Total other payables	427,798	355,734
Other payables to related parties	19,580	11,440
Current tax liabilities	25,602	48,182
Current provisions
Total current provisions	25,387	21,589
Other current liabilities
Total other current liabilities	350,301	397,009
Total current liabilities	2,441,118	2,527,157
Non-current liabilities
Bonds payable
Total bonds payable	645,515	0
Long-term borrowings
Total long-term borrowings	268,442	588,124
Deferred tax liabilities
Total deferred tax liabilities	171,346	185,649
Other non-current liabilities
Total other non-current liabilities	123,395	152,715
Total non-current liabilities	1,208,698	926,488
Total liabilities	3,649,816	3,453,645
Equity
Equity attributable to owners of parent
Share capital
Ordinary share	4,299,329	4,299,329
Total capital stock	4,299,329	4,299,329
Capital surplus
Total capital surplus	245,847	191,248
Retained earnings
Legal reserve	635,562	605,884
Special reserve	251,175	251,175
Unappropriated retained earnings (accumulated deficit)
Total unappropriated retained earnings (accumulated deficit)	622,553	708,992
Total retained earnings	1,509,290	1,566,051
Other equity interest
Total other equity interest	142,148	143,232
Total equity attributable to owners of parent	6,196,614	6,199,860
Non-controlling interests	331,616	286,256
Total equity	6,528,230	6,486,116
Number of share capital awaiting retirement	0	0
Equivalent issue shares of advance receipts for ordinary share	0	0
Number of shares in entity held by entity and by its subsidiaries	0	0

Profit and Loss Account

Unit: NTD/000

Consolidated	2014	2013
Operating revenue
Total operating revenue	11,074,650	11,321,970
Operating costs
Total operating costs	10,145,686	10,240,673
Gross profit (loss) from operations	928,964	1,081,297
Gross profit (loss) from operations	928,964	1,081,297
Operating expenses
Selling expenses
Total selling expenses	538,570	561,206
Administrative expenses
Total administrative expenses	159,619	137,014
Research and development expenses
Total research and development expenses	20,590	21,110
Total operating expenses	718,779	719,330
Net operating income (loss)	210,185	361,967
Non-operating income and expenses
Other income
Total other income	27,309	28,123
Other gains and losses
Other gains and losses, net	62,618	43,956
Finance costs
Finance costs, net	37,216	30,192
Share of profit (loss) of associates and joint ventures accounted for using equity method
Share of profit (loss) of associates and joint ventures accounted for using equity method, net	-8,584	1,431
Total non-operating income and expenses	44,127	43,318
Profit (loss) from continuing operations before tax	254,312	405,285
Tax expense (income)
Total tax expense (income)	52,003	101,672
Profit (loss) from continuing operations	202,309	303,613
Profit (loss)	202,309	303,613
Other comprehensive income
Exchange differences on translation	2,761	7
Unrealised gains (losses) on valuation of available-for-sale financial assets	-16,339	34,732
Actuarial gains (losses) on defined benefit plans	17,240	8,741
Share of other comprehensive income of associates and joint ventures accounted for using equity method
Total share of other comprehensive income of associates and joint ventures accounted for using equity method	11,187	2,380
Income tax related to components of other comprehensive income	1,623	5,034
Other comprehensive income, net	13,226	40,826
Total comprehensive income	215,535	344,439
Profit (loss), attributable to:
Profit (loss), attributable to owners of parent	186,745	296,779
Profit (loss), attributable to non-controlling interests	15,564	6,834
Comprehensive income attributable to:
Comprehensive income, attributable to owners of parent	200,114	335,095
Comprehensive income, attributable to non-controlling interests	15,421	9,344
Basic earnings per share
Basic earnings (loss) per share from continuing operations	0.43	0.69
Total basic earnings per share	0.43	0.69
Diluted earnings per share
Diluted earnings (loss) per share from continuing operations	0.42	0.69
Total diluted earnings per share	0.42	0.69

Cash Flows

Unit: NTD/000

Consolidated	2014	2013
Cash flows from (used in) operating activities, indirect method
Profit (loss) from continuing operations before tax	254,312	405,285
Profit (loss) before tax	254,312	405,285
Adjustments
Adjustments to reconcile profit (loss)
Depreciation expense	263,309	264,530
Amortization expense	1,777	2,038
Provision (reversal of provision) for bad debt expense	-208	-564
Net loss (gain) on financial assets or liabilities at fair value through profit or loss	3,920	1,195
Interest expense	37,216	30,192
Interest income	-2,071	-1,668
Dividend income	-16,658	-17,419
Share of loss (profit) of associates and joint ventures accounted for using equity method	8,584	-1,431
Loss (gain) on disposal of property, plan and equipment	-189	134
Loss (gain) on disposal of other assets	0	927
Loss (gain) on disposal of investments	-1,240	-14,168
Impairment loss on financial assets	8,559	0
Other adjustments to reconcile profit (loss)	0	-3,154
Total adjustments to reconcile profit (loss)	302,999	260,612
Changes in operating assets and liabilities
Changes in operating assets
Decrease (increase) in financial assets held for trading	0	681,088
Decrease (increase) in notes receivable	279	-18,249
Decrease (increase) in accounts receivable	-96,560	-52,799
Decrease (increase) in accounts receivable due from related parties	716	-1,109
Decrease (increase) in other receivable	53,382	-52,938
Decrease (increase) in other receivable due from related parties	-621	-74
Decrease (increase) in inventories	405,607	-462,238
Decrease (increase) in prepaid expenses	1,832	-1,766
Decrease (increase) in prepayments	-9,116	11,565
Decrease (increase) in other current assets	763	-3,731
Decrease (increase) in other operating assets	144	50
Total changes in operating assets	356,426	99,799
Changes in operating liabilities
Increase (decrease) in notes payable	1,877	-2,309
Increase (decrease) in accounts payable	-324,127	202,131
Increase (decrease) in other payable	-11,778	-3,594
Increase (decrease) in other payable to related parties	-131	128
Increase (decrease) in provisions	3,797	-547
Increase (decrease) in receipts in advance	12,214	-835
Increase (decrease) in other current liabilities	-309	381
Increase (decrease) in accrued pension liabilities	-12,078	-8,689
Total changes in operating liabilities	-330,535	186,666
Total changes in operating assets and liabilities	25,891	286,465
Total adjustments	328,890	547,077
Cash inflow (outflow) generated from operations	583,202	952,362
Interest received	2,347	1,559
Dividends received	19,641	23,625
Interest paid	-27,050	-30,522
Income taxes refund (paid)	-79,998	-69,471
Net cash flows from (used in) operating activities	498,142	877,553
Cash flows from (used in) investing activities
Acquisition of available-for-sale financial assets	-72,500	-105,000
Proceeds from disposal of available-for-sale financial assets	123,882	91,118
Proceeds from disposal of financial assets at cost	0	53,365
Acquisition of investments accounted for using equity method	-89,460	0
Increase in prepayments for investments	-47,237	0
Net cash flow from acquisition of subsidiaries	0	-30,525
Acquisition of property, plant and equipment	-35,031	-27,367
Proceeds from disposal of property, plant and equipment	359	4
Increase in refundable deposits	-1,606	-5,947
Decrease in refundable deposits	1,667	5,494
Increase in other receivables due from related parties	-3,000	0
Acquisition of intangible assets	-1,058	-1,616
Increase in other financial assets	0	-45,000
Increase in other non-current assets	-4	-5
Increase in prepayments for business facilities	-470,262	-251,139
Net cash flows from (used in) investing activities	-594,250	-316,618
Cash flows from (used in) financing activities
Increase in short-term loans	745,000	638,833
Decrease in short-term loans	-531,833	0
Proceeds from issuing bonds	700,000	0
Proceeds from long-term debt	20,000	291,700
Repayments of long-term debt	-398,295	-956,927
Increase in guarantee deposits received	0	237
Decrease in guarantee deposits received	0	-160
Increase in other payables to related parties	20,000	13,310
Decrease in other payables to related parties	-11,729	-11,641
Cash dividends paid	-257,960	-128,980
Change in non-controlling interests	29,533	91,222
Other financing activities	-5,447	0
Net cash flows from (used in) financing activities	309,269	-62,406
Effect of exchange rate changes on cash and cash equivalents	504	-52
Net increase (decrease) in cash and cash equivalents	213,665	498,477
Cash and cash equivalents at beginning of period	844,304	345,827
Cash and cash equivalents at end of period	1,057,969	844,304
Cash and cash equivalents reported in the statement of financial position	1,057,969	844,304

Note: Subject didn’t submit its individual financial information; we obtained its consolidated financials as follows for reference.

The above financial figures are based on the IFRSs Accounting System.

Bankers

Subject declined to disclose its bank details; from other source we could not obtain the relevant information, either.

Public Record

Mortgage

No chattel mortgage record of subject has been found within the recent 3 months.

Lawsuit

Up to date of reporting, no existing or latent litigation of the subject has been found.

Special Note

Interview Details

Department

Sales Department

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.62.59
UK Pound	1	Rs.92.46
Euro	1	Rs.67.51

INFORMATION DETAILS

Analysis Done by :	KAR
Report Prepared by :	SDA

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.