MIRA INFORM REPORT

Report No. :	316154
Report Date :	16.04.2015

IDENTIFICATION DETAILS

Name :	HO CHI MINH CITY MEDICAL IMPORT EXPORT JSC
Registered Office :	181 Nguyen Dinh Chieu St Ward 6, District 3, Ho Chi Minh
Country :	Vietnam
Financials (as on) :	2013
Date of Incorporation :	16.08.2010
Legal Form :	Joint Stock Company
Line of Business :	Subject is Trader of Medical Equipment & Pharmaceutical
No. of Employee :	160

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)
Vietnam	A2	A2

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

VIETNAM - ECONOMIC OVERVIEW

Vietnam is a densely-populated developing country that has been transitioning from the rigidities of a centrally-planned economy since 1986. Vietnamese authorities have reaffirmed their commitment to economic modernization in recent years. Vietnam joined the World Trade Organization in January 2007, which has promoted more competitive, export-driven industries . Vietnam became an official negotiating partner in the Trans-Pacific Partnership trade agreement in 2010. Agriculture's share of economic output has continued to shrink from about 25% in 2000 to 18% in 2014, while industry's share increased from 36% to 38% in the same period. State-owned enterprises account for about 40% of GDP. Poverty has declined significantly, and Vietnam is working to create jobs to meet the challenge of a labor force that is growing by more than one million people every year. The global recession hurt Vietnam's export-oriented economy, with GDP in 2014 growing at 5.4%, one of the slower growth rates since 1999. Exports have grown strongly in 2013-14; several administrative actions brought the trade deficit back into balance. Between 2008 and 2011, Vietnam's managed currency, the dong, was devalued in excess of 20%, but its value has remained relatively stable since then. Hanoi has oscillated between promoting growth and emphasizing macroeconomic stability in recent years. In February 2011, the government shifted from policies aimed at achieving a high rate of economic growth, which had stoked inflation, to those aimed at stabilizing the economy, through tighter monetary and fiscal control. Although Vietnam unveiled a broad, "three pillar" economic reform program in early 2012, proposing the restructuring of public investment, state-owned enterprises, and the banking sector, Hanoi’s progress in meeting its goals is lagging behind its proposed schedule. Vietnam's economy continues to face challenges from an undercapitalized banking sector and non-performing loans weigh heavily on banks and businesses. Vietnam is a member of the 12-nation Trans-Pacific Partnership free trade agreement negotiations.

Source : CIA

REGISTERED NAME & COMPANY SUMMARY

Organization Name	:	HO CHI MINH CITY MEDICAL IMPORT EXPORT JSC ^(1)
Address	:	181 Nguyen Dinh Chieu St Ward 6, District 3, Ho Chi Minh
Country	:	Vietnam
Phone (S)	:	[+84] 8-39304372
Facsimile	:	[+84] 8-39306909
Email	:	yteco_hcm@yteco.vn
Website	:	http://www.yteco.vn
Primary Business Activity	:	Trader
Key Industry	:	Medical Equipment & Pharmaceutical

Registered Legal Address

:

181 Nguyen Dinh Chieu St Ward 6, District 3, Ho Chi Minh

Operational Address

:

181 Nguyen Dinh Chieu St Ward 6, District 3, Ho Chi Minh

Trading Name

:

YTECO

Issuing Authority

:

Dept. of Planning & Investment - Ho Chi Minh

License Number

:

0302366480

License Status

:

License exists - Normal.

Legal Form - Category

:

Private Company with Limited Liability

Legal Form

:

Joint Stock Company

Legal Form - Abbreviation

:

JSC

Operational Status of Business

:

Normal

Date of Registration

:

16 Aug, 2010

Employees

:

160

Capital

:

US$ 1,317,759

PREVIOUS BUSINESS LICENSE/S

License Date	License No.
30 Mar, 1993	102509
1 Aug, 2001	4103000534

Note

:

⁽¹⁾ Legal status of the English corporate name
The English name of the Subject Business Entity (SBE) is a randomly selected translation / transliteration made by the owners of the SBE. It is not a registered English corporate name, but simply a translation / transliteration of the local language name.

DIRECTORS/MANAGEMENT

Key Person

Legal Title	:	Chairman
Name	:	Mr. Le Van Que
Nationality	:	Vietnamese

COMPANY MANAGEMENT

Management Listings

	Name	Nationality	Job Description	Dept. / Division
1	Mr. Trinh Dao Cung	Vietnamese	Managing Director	-
2	Mr. Nguyen Hai Ha	Vietnamese	Chief Accountant	-
3	Mr. Tran Cao Son	Vietnamese	Director	Sales

Management Details - 1

Personal Unique Identifier	:	MI03816073
Name	:	Mr. Trinh Dao Cung
Date of Birth	:	1970

Management Details - 2

Personal Unique Identifier	:	MI03816078
Name	:	Mr. Nguyen Hai Ha
Date of Birth	:	1968

Management Details - 3

Personal Unique Identifier	:	MI03844798
Name	:	Mr. Tran Cao Son
Date of Birth	:	1965

COMPANY DIRECTORS

1
Personal Unique Identifier	:	MI03845023
Name	:	Mr. Cap Huu Anh
2
Personal Unique Identifier	:	MI03845025
Name	:	Mr. Du Quoc Dong
3
Personal Unique Identifier	:	MI03816077
Name	:	Mr. Le Van Que
Date of Birth	:	1961
4
Personal Unique Identifier	:	MI03816073
Name	:	Mr. Trinh Dao Cung
Date of Birth	:	1970
5
Personal Unique Identifier	:	MI03845024
Name	:	Ms. Pham To Ha

NEGATIVE INFORMATION

REPUTATION

Reference checking for the purpose of establishing HO CHI MINH CITY MEDICAL IMPORT EXPORT JSC's reputation within the respective industry failed to reveal any adverse information.

NEGA-SCAN - ADVERSE DATA MONITORING

DISHONORED CHECKS

No Record Found

DEBT	No Record Found

CIVIL LITIGATION

No Record Found

PERFORMANCE DEFAULTS

No Record Found

ADVERSE LOCAL MEDIA COVERAGE / ADVERSE FILING HISTORY

No Record Found

SHARE & SHARE CAPITAL INFORMATION

CAPITAL (Currency: VND - Vietnam Dong)

Authorized Capital

:

₫ 28,000,000,000

SHAREHOLDERS

Total number of shareholders	:	n/a
Total number of shares	:	n/a

Currency

:

VND - Vietnam Dong

No.	Shareholders	Country	Shares
			Number	Amount (VND)	%
1	Mr. Cap Huu Anh	Vietnam	n/a	n/a	n/a
2	Mr. Du Quoc Dong	Vietnam	n/a	n/a	n/a
3	Mr. Le Van Que	Vietnam	n/a	n/a	n/a
4	Mr. Nguyen Hai Ha	Vietnam	n/a	n/a	n/a
5	Mr. Trinh Dao Cung	Vietnam	n/a	n/a	n/a
6	Ms. Pham To Ha	Vietnam	n/a	n/a	n/a
7	Undisclosed Shareholders	n/a	n/a	n/a	n/a
Total			n/a	n/a	n/a

Based on corporate statutory laws / regulations in Vietnam, there is no requirement for public disclosure of Shareholders. In this case, the Shareholders information was supplied by the Subject Business Entity.
However in the absence of data normally obtained from local Statutory Authorities, it is not possible to verify the accuracy of data supplied and hence is provided as reference ONLY.

PAYMENT INFORMATION

DOMESTIC SALES & PURCHASES

Annual Sales Analysis	Percentage
Domestic Sales	95%
International Sales (Export)	5%

Annual Purchases Analysis	Percentage
Local Purchases	30%
Imports	70%

PAYMENT TERMS

Selling

Type	Terms
Local	Cash on delivery (COD) Credit - Secured with Post-dated checks 30~60 days
Export	Letter of Credit (At-sight) Telegraphic Transfer (T/T) - Received at time of transaction

Purchasing

Type	Terms
Local	Cash on delivery (COD) Credit - Secured with Post-dated checks 30~60 days
Import	Letter of Credit (At-sight) Telegraphic Transfer (T/T) - Executed at time of transaction

OVERSEAS SUPPLIERS

Business Entity Name	Global Identifier	Country
AMOLI ENTERPRISES LTD	30412331	Hong Kong
AUM IMPEX PVT LTD	P0731547	India
DASAN INC	31306234	Korea, South (Republic of Korea)
DEVELING TRADE CO LTD	P0585917	Netherlands
LYKA LABS LTD	P0393277	India
MEYER PHARMACEUTICALS LTD	30407930	Hong Kong
NEO UNICAP CO LTD	31616121	Thailand
RUDOLF LIETZ HOLDINGS INC	P0056861	Philippines
SRS LTD	P3209122	India

DOMESTIC SUPPLIERS

Business Entity Name	Global Identifier
BRISTOL-MYERS SQUIBB	32409801
GROWENA IMPEX CO	P0078829
MICRO LABS LTD	P0077828
NEO UNICAP CO	32405236
PHIL INTER PHARMA CO LTD	P3172349
RANBAXY VIETNAM LTD	P0077852
SAMSUNG CORP	32406635
SANOFI-SYNTHELABO VIETNAM PHARMACEUTICAL SHAREHOLDING CO	P0928194
SUHEUNG VIETNAM CO LTD	P1802913
VIPHARCO	32409248

GROUP STRUCTURE & AFFILIATED COMPANIES

N/a

FINANCIAL INFORMATION

Financials - Summary  (Currency: USD - US Dollar)

Year	Turnover	Assets	Net Income
2011 Annual	18,191,359	26,783,821	383,389
2012 Annual	19,948,849	26,050,125	475,734
2013 Annual (*)	22,324,639	29,691,594	499,998

Sales Trend – Analysis

2004	2005	2006	2007	2008	2009	2010	2011	2012	2013
-	-	-	-	-	-	-	-

Note: (*)

Financials listed are the most recent available for this company.

FINANCIAL STATEMENT - DETAILED

Balance Sheet

Currency	:	VND
Denomination	:	1
Financial Year Ending	:	December

Financial Highlights	2011 Annual	2012 Annual	2013 Annual
Current Assets(*)	545,849,000,000	530,407,000,000	613,518,000,000
Non Current Assets(*)	12,058,000,000	12,078,000,000	12,621,000,000
Non Current Liabilities(*)	241,000,000	1,245,000,000	964,000,000
Share Capital(*)	28,000,000,000	28,000,000,000	28,000,000,000
Other long term assets
Total Assets(*)	557,907,000,000	542,485,000,000	626,139,000,000
Total Liabilities(*)	517,470,000,000	499,785,000,000	578,706,000,000
Current Liabilities(*)	517,229,000,000	498,540,000,000	577,742,000,000
Long term liabilities
Shareholders Funds(*)	40,437,000,000	42,700,000,000	47,433,000,000
ASSETS
Current assets & short term investments	545,849,000,000	530,407,000,000	613,518,000,000
Cash & cash equivalents	27,460,000,000	19,769,000,000	50,773,000,000
Cash	24,460,000,000	19,769,000,000	50,773,000,000
Cash equivalents	3,000,000,000	-	-
Accounts receivable	384,536,000,000	424,274,000,000	459,410,000,000
Accounts receivable trade	343,642,000,000	383,214,000,000	433,997,000,000
Trade prepayment	31,641,000,000	32,494,000,000	14,930,000,000
Others receivables	10,491,000,000	10,250,000,000	13,194,000,000
Provision for bad debts	(1,238,000,000)	(1,684,000,000)	(2,711,000,000)
Inventories (i)	130,510,000,000	83,909,000,000	95,247,000,000
Inventories (ii)	130,708,000,000	84,641,000,000	95,423,000,000
Provision for decline in inventory	(198,000,000)	(732,000,000)	(176,000,000)
Other short term asset (i)	3,343,000,000	2,455,000,000	8,088,000,000
Prepaid expenses	61,000,000	359,000,000	182,000,000
VAT deductible	504,000,000	300,000,000	120,000,000
Other tax receivables	-	9,000,000	421,000,000
Other short term asset (ii)	2,778,000,000	1,787,000,000	7,365,000,000
Long term assets	12,058,000,000	12,078,000,000	12,621,000,000
Fixed assets	9,706,000,000	9,455,000,000	10,023,000,000
Tangible fixed assets	7,446,000,000	7,277,000,000	6,070,000,000
Cost (i)	17,172,000,000	18,182,000,000	17,234,000,000
Accumulated depreciation (i)	9,726,000,000	10,905,000,000	11,164,000,000
Intangible fixed assets	1,368,000,000	1,147,000,000	929,000,000
Cost (ii)	2,942,000,000	2,942,000,000	2,900,000,000
Accumulated depreciation (ii)	1,574,000,000	1,795,000,000	1,971,000,000
Construction in progress	892,000,000	1,031,000,000	3,024,000,000
Long term investments	1,326,000,000	1,326,000,000	1,326,000,000
Invest to joint venture company	1,326,000,000	1,326,000,000	1,326,000,000
Other long term assets (i)	1,026,000,000	1,297,000,000	1,272,000,000
Long term prepayments	121,000,000	5,000,000	664,000,000
Asset of income tax delay	793,000,000	1,178,000,000	494,000,000
Other long term assets (ii)	112,000,000	114,000,000	114,000,000
Total assets	557,907,000,000	542,485,000,000	626,139,000,000
LIABILITIES (i)
Liabilities (ii)	517,470,000,000	499,785,000,000	578,706,000,000
Current liabilities	517,229,000,000	498,540,000,000	577,742,000,000
Short term borrowings	112,845,000,000	132,512,000,000	179,197,000,000
Accounts payables-trade	337,282,000,000	284,856,000,000	317,448,000,000
Advances from customers	50,307,000,000	65,751,000,000	62,600,000,000
Taxes and payable to state budget	6,156,000,000	3,682,000,000	1,208,000,000
Payable to employees	-	3,000,000	1,573,000,000
Accrued expenses payable	2,956,000,000	4,045,000,000	555,000,000
Other payables	7,683,000,000	7,691,000,000	15,161,000,000
Long term liabilities	241,000,000	1,245,000,000	964,000,000
Long term other payables	241,000,000	241,000,000	241,000,000
Long term borrowings	-	-	723,000,000
Deffered revenue	-	1,004,000,000	-
EQUITY
Owner's equity	40,437,000,000	42,700,000,000	47,433,000,000
Business capital	28,000,000,000	28,000,000,000	28,000,000,000
Foreign exchange differences	(2,072,000,000)	-	-
Business development funds	6,117,000,000	6,676,000,000	7,369,000,000
Financial reserved funds	2,305,000,000	2,705,000,000	2,800,000,000
Retained earnings	6,568,000,000	5,319,000,000	9,264,000,000
Budget sources	(481,000,000)	-	-
Bonus and welfare funds	(481,000,000)	-	-
Total resources	557,907,000,000	542,485,000,000	626,139,000,000

Note: (*)

Financial Highlights

Income Statement

Currency	:	VND
Denomination	:	1
Financial Year Ending	:	December

Financial Highlights	2011 Annual	2012 Annual	2013 Annual
Turnover(*)	378,926,000,000	415,428,000,000	470,784,000,000
Profit (Loss) Before Tax(*)	10,603,000,000	13,337,000,000	14,270,000,000
Profit After Tax attributable to Shareholders(*)	7,986,000,000	9,907,000,000	10,544,000,000
Gross sales	378,926,000,000	415,428,000,000	470,784,000,000
Less deductions	2,108,000,000	806,000,000	2,809,000,000
Net income	376,818,000,000	414,622,000,000	467,975,000,000
Cost of goods sold	335,442,000,000	361,319,000,000	418,787,000,000
Gross margin	41,376,000,000	53,303,000,000	49,188,000,000
Income from financial activities	36,183,000,000	8,791,000,000	7,254,000,000
Expenses from financial activities	40,796,000,000	16,514,000,000	14,372,000,000
In which: Interest expenses	9,083,000,000	-	14,370,000,000
Selling expenses	14,517,000,000	18,310,000,000	16,322,000,000
General & administration expenses	13,168,000,000	15,653,000,000	17,438,000,000
Net income from operating activities	9,078,000,000	11,617,000,000	8,310,000,000
Extraordinary income	1,632,000,000	1,816,000,000	6,008,000,000
Extraordinary expenses	107,000,000	96,000,000	48,000,000
Extraordinary gains	1,525,000,000	1,720,000,000	5,960,000,000
Net profit before tax	10,603,000,000	13,337,000,000	14,270,000,000
Income tax	3,410,000,000	3,814,000,000	3,043,000,000
Income tax delay	793,000,000	384,000,000	(683,000,000)
Net profit after tax	7,986,000,000	9,907,000,000	10,544,000,000

Note: (*)

Financial Highlights

Financial Ratios

Financial Highlights	2011 Annual	2012 Annual	2013 Annual
Growth %
Year-on-Year Growth	-	9.63	13.33
Profitability
Profit Margin (%)	2.11	2.38	2.24
Return on Equity (%)	19.75	23.20	22.23
Return on Assets (%)	1.43	1.83	1.68
Leverage
Total Debt Equity (Times)	12.80	11.70	12.20
Current Debt Equity (Times)	12.79	11.68	12.18
Long Term Debt to Equity	0.01	0.03	0.02
Total Asset To Total Equity	13.80	12.70	13.20
Asset Management
Total Assets Turnover (Times)	0.68	0.77	0.75
Fixed Assets Turnover (Times)	31.43	34.40	37.30
Liquidity
Current Ratio	1.06	1.06	1.06

Based on the corporate laws of Vietnam, legal entities which are a Private Company with Limited Liability are not required to make public disclosure of their annual financials. Although basic financials were obtained for reference.

FOREIGN EXCHANGE RATES

Today's Exchange rate

:

1.00 VND Vietnam Dong

=

0.000047 USD United States Dollars

ADDITIONAL INFORMATION

Country	:	Vietnam
Business Entity Name	:	HO CHI MINH CITY MEDICAL IMPORT EXPORT JSC
Primary Business Activity	:	Trader
Primary Industry	:	Medical Equipment & Pharmaceutical
Office Contact Details
Operating Address	:	181 Nguyen Dinh Chieu St Ward 6, District 3, Ho Chi Minh
Tel	:	[+84] 8-39304372
	:	[+84] 8-39307829
	:	[+84] 8-39304014
Fax	:	[+84] 8-39306909
	:	[+84] 8-39330188
Email	:	yteco_hcm@yteco.vn
Website Details
Website	:	http://www.yteco.vn
Status	:	Normal - operational
Country of Registration	:	Vietnam
Ownership Type	:	Registered ownership by Subject Business Entity
Tax / VAT Details
Tax Issuing Authority	:	Ministry of Finance
Local Name Used	:	Gia Trj Gia Tang (Value Added Tax)
Acronym	:	GTGT / VAT
GTGT / VAT Number	:	0302366480

Primary Products

Products / Materials / Services Description	Activity
Cosmetics	Trading
Medical equipment	Trading
Milk	Trading
Pharmaceutical products	Trading
Pharmaceutical raw materials	Trading

International Trade - Statistics  (Currency: USD - US Dollar)

Year	Imports	Exports	Total
2011	n/a	909,568	909,568
2012	n/a	997,442	997,442
2013	n/a	1,116,232	1,116,232

SIC PRODUCT CLASSIFICATION & ACTIVITY

Product/Service Description	Code	Activity
Fluid milk and cream, and related products	2026	Trading
Medical/Dental Equip/Supplies	5047	Trading
Pharmaceutical preparations	2834	Trading
Surgical and medical instruments and apparatus, nspf	3841	Trading
Toilet preparations	2844	Trading

HARMONIZED PRODUCT CLASSIFICATION & ACTIVITY

Product/Service Description	Code	Activity
Cosmetic creams, lotions, oils and balms	3304990010	Trading
Medical, surgical, dental or vet inst, no elec, part	9018	Trading
Milk and cream, concentrated or sweetened	0402	Trading
Oils & resinoids, perfumery, cosmetic or toilet preparations	3300	Trading
Pharmaceutical goods (specified sterile prod etc.)	3006	Trading
Pharmaceutical products	3000	Trading

DETAILED PRODUCT CLASSIFICATION & ACTIVITY

Products / Materials / Services Description	Ranking	Activity
Vaccines	Primary	Trading

CORE BUSINESS DESCRIPTION

Core Business

The primary business focus of HO CHI MINH CITY MEDICAL IMPORT EXPORT JSC is Trading - Finished products.

Key products include :

Medical equipment

Cosmetics

Milk

Pharmaceutical products

Pharmaceutical raw materials

Vaccines

Supplementary Business

In addition to the core business, HO CHI MINH CITY MEDICAL IMPORT EXPORT JSC also is engaged in the following areas of business:

Exporting

Exporting - Finished products

Importing

Importing - Finished products

BANK DETAILS

Bank Name	:	JOINT STOCK COMMERCIAL BANK FOR INVESTMENT & DEVELOPMENT OF VIETNAM
Global Identifier	:	32400483
Branch	:	Hoan Kiem Dist,Hanoi
Branch Address	:	JOINT STOCK COMMERCIAL BANK FOR INVESTMENT AND DEVELOPMENT OF VIETNAM - SAI GON
SWIFT Code	:	BIDVVNVX
Bank Name	:	MILITARY COMMERCIAL JOINT STOCK BANK
Global Identifier	:	P0387295
Branch	:	Dong Da,Hanoi
Branch Address	:	MILITARY COMMERCIAL JOINT STOCK BANK, SAIGON
SWIFT Code	:	MSCBVNVX
Bank Name	:	PETROLIMEX GROUP COMMERCIAL JOINT STOCK BANK
Global Identifier	:	P1067566
Branch	:	Dong Da,Hanoi
Branch Address	:	PETROLIMEX GROUP COMMERCIAL JOINT STOCK BANK, SAI GON
SWIFT Code	:	PGBLVNVX
Bank Name	:	VIETNAM EXPORT IMPORT COMMERCIAL JOINT STOCK BANK
Global Identifier	:	32408823
Branch	:	District 1,Ho Chi Minh
Branch Address	:	VIETNAM EXPORT IMPORT COMMERCIAL JOINT STOCK BANK - BINH TAN DIST, HO CHI MINH
SWIFT Code	:	EBVIVNVX
Bank Name	:	VIETNAM MARITIME COMMERCIAL JOINT STOCK BANK JSC
Global Identifier	:	32404826
Branch	:	Dong Da,Hanoi
Branch Address	:	VIETNAM MARITIME COMMERCIAL JOINT STOCK BANK JSC, SAI GON
SWIFT Code	:	MCOBVNVX
Bank Name	:	WESTERN COMMERCIAL JOINT STOCK BANK - HOCHIMINH BRANCH
Global Identifier	:	P1170208
Branch	:	District 3,Ho Chi Minh
Branch Address	:	202 Nguyen Thi Minh Khai Ward 6 District 3 Ho Chi Minh (Head Office)
SWIFT Code	:	WBVNVNVX

INTERNATIONAL TRADE - Activity & Markets

Country / Region	Estimated level of importance	Trading Activity
Asia / Pacific	Medium	Importing, Exporting
Europe	Medium	Importing
North America	Medium	Importing
Cambodia	Medium	Exporting
China	Medium	Importing
Germany	Medium	Importing
Hong Kong	Medium	Importing
India	Medium	Importing
Korea, South (Republic of Korea)	Medium	Importing
Laos	Medium	Exporting
Netherlands	Medium	Importing
Philippines	Medium	Importing
Thailand	Medium	Importing
USA	Medium	Importing

OFFICE & FACILITIES

The following information relates to the Business Entity's office as listed above:

Name	:	HO CHI MINH CITY MEDICAL IMPORT EXPORT JSC - DISTRICT 3, HO CHI MINH
Primary Use	:	Office & Administration facilities
Address	:	181 Nguyen Dinh Chieu St Ward 6, District 3, Ho Chi Minh
Country	:	Vietnam
Status	:	Operational

NOTES & COMMENTS

N/a

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.62.40
UK Pound	1	Rs.92.15
Euro	1	Rs.66.48

INFORMATION DETAILS

Analysis Done by :	KAR
Report Prepared by :	ASH

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.