MIRA INFORM REPORT

Report No. :	336047
Report Date :	17.08.2015

IDENTIFICATION DETAILS

Name :	UNION KNOPF POLSKA SP. Z O.O.
Registered Office :	Ul. Stanisłąwa kączkowskiego 8, 62-700 Turek
Country :	Poland
Financials (as on) :	31.12.2014
Date of Incorporation :	14.02.1996
Legal Form :	Limited Liability Company
Line of Business :	Subject is engaged in production of buttons and haberdashery accessories
No. of Employee :	370 (31.07.2015)

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 – March 31, 2015

Country Name	Previous Rating (31.12.2014)	Current Rating (31.03.2015)
Poland	A2	A2

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

POLAND - ECONOMIC OVERVIEW

Poland has pursued a policy of economic liberalization since 1990 and Poland's economy was the only one in the EU to avoid a recession through the 2008-09 economic downturn. Although EU membership and access to EU structural funds have provided a major boost to the economy since 2004, GDP per capita remains significantly below the EU average. The unemployment rate is now below the EU average. The government of Prime Minister Donald TUSK steered the Polish economy through the economic downturn by skillfully managing public finances and adopting controversial pension and tax reforms to further shore up public finances. While the Polish economy has performed well over the past five years, growth slowed in 2013 and picked back up in 2014. Short-term, the key policy challenge will be to consolidate debt and spending without stifling economic growth. Over the longer term, Poland's economic performance could improve if the country addresses some of the remaining deficiencies in its road and rail infrastructure, business environment, rigid labor code, commercial court system, government red tape, and burdensome tax system, especially for entrepreneurs. Poland’s long-term challenges include diversifying Poland’s energy mix and sources of supply, as well as stemming the outflow of educated young Poles to other EU Member States, especially in light of a coming demographic contraction as the Solidarity-era baby boom generation ages.

Source : CIA

Company name and address

UNION KNOPF POLSKA SP. Z O.O.

Ul. Stanisłąwa kączkowskiego 8
62-700 Turek

Phone:    63 2898600

63 2898627

Fax:      63 2898618

63 2898639

E-mail:   627@ukpolska.com

628@ukpolska.com

Website:  unionknopf.com

Identification

Legal form	Limited liability company
Stat.no.	310253273
Tax ID	PL 6681245319
Establishment	14.02.1996
Registration:	20.12.2001, District Court Poznań IX Department, KRS 58761 Data concerning previous registrations: 25.03.1996, District Court Konin, RHB 942

Shareholders

UNION KNOPF BETEILIGUNGEN GMBH	PLN
list entered to NCR /KRS/ on  26.11.2014

Initial Capital		PLN 7 434 500,00
	Initial capital divided into 14869 shares of PLN 500,00 each
	An in-kind contribution has been made and valued at	PLN  1 575 296,00

Management

Dariusz Kunicki , personal ID no. (PESEL) 66071104096, ul. XXX-lecia 3/49, 34-441 Niedzica
 - president

Jan Schäfer 
 - president

Representation:
since 21.04.2015 
Each president individually.

Main activity

Production of buttons and haberdashery accessories
Branches NACE 2007:
Manufacture of other plastic products	(C.22.29.Z)
Production of other non-metallic mineral products n	(C.23.99.Z)
Other wholesale	(G.46.90.Z)
Cargo handling and storage of other products	(H.52.10.B)
Other administration and business support	(N.82.92.Z)
Specialized designing	(M.74.10.Z)

Employment

2008:              450       employees
2009:              250 do 999 employees 
2010:              250 do 999 employees 
2014:              440       employees
31.07.2015:    370       employees

Turnover

2010	PLN	40 798 057,74
2011	PLN	48 423 056,83
2012	PLN	49 270 135,01
2013	PLN	46 443 417,73
2014	PLN	49 982 103,40

Financial statements

Source of financial data	Court	Court	Court	Court
	annual	annual	annual	annual
Personal balance sheet as at	31.12.2014 (PLN)	31.12.2013 (PLN)	31.12.2012 (PLN)	31.12.2011 (PLN)
-A. Fixed assets......................	10 690 159,18	10 792 369,33	8 811 390,42	8 967 613,14
-  I.   Intangible assets.............	1 573,09	5 529,09	6 215,09	18 619,09
-    3. Other intangible assets.......	1 573,09	5 529,09	6 215,09	18 619,09
-  II.  Tangible assets...............	10 605 002,10	10 711 601,79	8 724 268,90	8 728 970,78
-    1. Fixed goods...................	10 357 482,62	10 570 860,79	8 114 619,05	8 644 782,78
-      a) land........................	901 799,00	901 799,00	79 561,00	79 561,00
-      b) buildings, premises, facilities............................	5 173 760,00	5 143 869,00	5 007 585,00	5 111 533,00
-      c) machinery and equipment.....	2 951 116,01	3 186 987,01	2 419 080,01	2 657 515,01
-      d) fleet of motor vehicles.....	1 233 994,61	1 206 556,78	546 631,04	745 077,77
-      e) other fixed goods...........	96 813,00	131 649,00	61 762,00	51 096,00
-    2. Fixed goods under construction..........................	247 519,48	140 741,00	609 649,85	84 188,00
-V. Long-term prepayments and accrued income........................	83 583,99	75 238,45	80 906,43	220 023,27
-  1. Deferred tax assets.............	83 583,99	75 238,45	80 906,43	220 023,27
-B. Current assets....................	18 782 655,02	19 244 856,54	21 215 484,99	21 780 730,28
-  I.   Stock.........................	10 667 833,36	11 562 155,72	12 031 542,49	12 311 447,58
-    1. Raw materials.................	9 299 129,62	10 318 535,68	10 617 003,31	10 853 437,53
-    3. Finished products.............	118 287,70	134 814,27	464 320,22	133 569,55
-    4. Goods for re-sale.............	1 235 681,99	1 064 155,25	943 992,61	857 934,72
-    5. Advance payments .............	14 734,05	44 650,52	6 226,35	466 505,78
-  II. Short-term receivables.........	3 826 483,45	4 270 366,94	5 477 370,45	4 451 007,19
-    1. Receivables from affiliated companies.............................	1 368 380,26	1 836 743,81	3 180 087,81	2 495 886,46
-      a) Due to deliveries and services with payment period:.........	1 368 380,26	1 836 743,81	3 180 087,81	2 495 886,46
-        - up to 12 months............	1 368 380,26	1 836 743,81	3 180 087,81	2 495 886,46
-    2. Other receivables ............	2 458 103,19	2 433 623,13	2 297 282,64	1 955 120,73
-      a) Due to deliveries and services with payment period:.........	1 559 264,03	1 243 906,21	1 307 637,62	1 458 234,59
-        - up to 12 months............	1 559 264,03	1 243 906,21	1 307 637,62	1 458 234,59
-      b) Due to taxes, subsidies, insurances, duties, etc...............	647 713,20	940 023,16	745 816,62	266 721,34
-      c) Other.......................	63 410,24	65 304,10	59 438,74	36 322,66
-      d) Received through judicial proceedings...........................	187 715,72	184 389,66	184 389,66	193 842,14
-  III. Short term investments........	3 926 358,32	3 033 668,93	3 609 521,47	4 901 417,46
-    1. Short-term financial assets...	3 926 358,32	3 033 668,93	3 609 521,47	4 901 417,46
-      b) Other.......................	17 397,10	11 055,30	1 971,10	1 405,48
-        - participations of shares...	17 397,10	11 055,30	1 971,10	1 405,48
-      c) cash and other liquid assets................................	3 908 961,22	3 022 613,63	3 607 550,37	4 900 011,98
-        - cash in hand and on bank account...............................	3 908 121,22	3 022 613,63	3 607 550,37	4 900 011,98
-        - other liquid assets........	840,00
-IV. Short-term prepayments and accrued income........................	361 979,89	378 664,95	97 050,58	116 858,05
-D. Total assets......................	29 472 814,20	30 037 225,87	30 026 875,41	30 748 343,42
-A. Shareholders' equity..............	23 361 997,90	22 877 045,24	25 193 909,71	24 898 358,01
-  I.   Basic share capital...........	7 434 500,00	7 434 500,00	7 434 500,00	7 434 500,00
-  IV.  Statutory reserve capital.....	15 442 545,24	15 759 409,71	16 263 858,01	16 045 279,78
-  VII. Profit (loss) carried forward.				-446 127,47
-  VIII. Net profit (loss)............	484 952,66	1 683 135,53	1 495 551,70	3 164 705,70
-  IX.  Deductions from profit during the accounting year (-.........		-2 000 000,00		-1 300 000,00
-B. Liabilities and reserves for liabilities...........................	6 110 816,30	7 160 180,63	4 832 965,70	5 849 985,41
-  I.   Reserves for liabilities......	23 424,26	11 342,01	52 468,89	12 516,62
-    1. Deferred income tax reserves..	23 424,26	11 342,01	52 468,89	12 516,62
-III. Short-term liabilities..........	5 811 902,94	6 695 093,92	4 411 483,97	5 558 113,28
-  1. Due to affiliated companies.....	1 065 477,98	1 823 411,40	1 205 315,78	1 917 010,50
-    a) Due to deliveries and services with payment period:.........	1 065 477,98	1 823 411,40	1 205 315,78	1 917 010,50
-      - up to 12 months..............	1 065 477,98	1 823 411,40	1 205 315,78	1 917 010,50
-  2. Other liabilities...............	4 740 195,35	4 871 682,52	3 192 174,59	3 626 327,02
-    d)Due to deliveries and services with payment period:.........	1 723 952,48	1 912 169,53	940 817,75	1 122 144,10
-      - up to 12 months..............	1 723 952,48	1 912 169,53	940 817,75	1 122 144,10
-    e) Advances received.............	80 521,12	66 272,94	190 417,23	46 858,12
-    g) Due to taxes, subsidies, insurances, duties, etc...............	1 476 501,79	1 330 873,41	1 007 008,76	1 156 949,14
-    h) Due to salaries...............	656 935,61	679 921,28	631 290,42	628 039,74
-    i) Other.........................	802 284,35	882 445,36	422 640,43	672 335,92
-  3. Special funds...................	6 229,61		13 993,60	14 775,76
-IV.  Accruals and deferred income....	275 489,10	453 744,70	369 012,84	279 355,51
-  2. Other accruals..................	275 489,10	453 744,70	369 012,84	279 355,51
-    - long-term......................	178 711,24	178 993,75	323 646,43	182 367,23
-    - short-term.....................	96 777,86	274 750,95	45 366,41	96 988,28
-D. Total liabilities.................	29 472 814,20	30 037 225,87	30 026 875,41	30 748 343,42
Source of financial data	Court	Court	Court	Court
	annual	annual	annual	annual
individual PROFIT AND LOSS ACCOUNT	01.01.2014- 31.12.2014 (PLN)	01.01.2013- 31.12.2013 (PLN)	01.01.2012- 31.12.2012 (PLN)	01.01.2011- 31.12.2011 (PLN)
-A. Income from sales and similar.....	49 982 103,40	46 443 417,73	49 270 135,01	48 423 056,83
-  - including related companies......	40 414 646,95	38 187 849,03	41 833 203,13	40 614 766,80
-  I.   Net income on sales...........	33 973 365,95	30 973 667,40	34 783 245,36	33 555 456,11
-  IV.  Income from sales of goods and materials.........................	16 008 737,45	15 469 750,33	14 486 889,65	14 867 600,72
-B. Operational costs.................	48 641 828,44	44 481 368,25	45 853 631,89	43 699 495,60
-  I.   Depreciation..................	1 505 140,20	1 452 798,96	1 350 501,24	1 282 089,08
-  II.  Materials and energy..........	16 886 998,01	15 252 156,00	17 588 755,50	15 700 745,88
-  III. Third party services..........	1 933 306,30	1 665 093,26	1 378 499,32	1 539 254,52
-  IV.  Taxes and duties..............	737 745,95	685 507,45	660 883,04	628 792,20
-  V.   Salaries and wages............	12 695 748,22	11 468 847,26	11 455 970,77	11 073 707,85
-  VI.  Social security...............	2 814 714,83	2 388 897,66	2 413 270,67	2 144 503,60
-  VII. Other.........................	860 151,23	787 952,81	782 405,28	749 208,37
-  VIII.Costs of goods and materials sold..................................	11 208 023,70	10 780 114,85	10 223 346,07	10 581 194,10
-C. Profit on sale....................	1 340 274,96	1 962 049,48	3 416 503,12	4 723 561,23
-D. Other operating incomes...........	544 820,43	1 154 172,65	356 661,84	279 300,50
-  I.   Incomes from disposal non-financial assets..................	11 382,11	270 753,00	39 207,70	99 372,21
-  III. Other operating incomes.......	533 438,32	883 419,65	317 454,14	179 928,29
-E. Other operating costs.............	1 022 597,29	1 126 218,29	1 467 141,57	1 205 734,31
-  I.   Loss on disposal of non-finacial assets...................	1 198,00
-  II.  Goodwill revaluation..........			-206 286,99	206 286,99
-  III. Other operating costs.........	1 021 399,29	1 126 218,29	1 673 428,56	999 447,32
-F. Profit on operating activities....	862 498,10	1 990 003,84	2 306 023,39	3 797 127,42
-G. Financial incomes.................	11 023,97	132 676,91	15 674,34	298 172,64
-  II.  Interest received.............	4 682,17	8 699,28	15 674,34	80 373,08
-  IV.  Financial assets revaluation..	6 341,80	9 084,20
-  V.   Other.........................		114 893,43		217 799,56
-H. Financial costs...................	65 508,70	20 067,12	346 584,92	66 826,91
-  I.   Interest......................	839,74	1 193,15	170,06	28 327,14
-  III. Financial assets revaluation..				4 662,08
-  IV.  Other.........................	64 668,96	18 873,97	346 414,86	33 837,69
-I. Profit on economic activity.......	808 013,37	2 102 613,63	1 975 112,81	4 028 473,15
-K. Gross profit......................	808 013,37	2 102 613,63	1 975 112,81	4 028 473,15
-L. Corporation tax...................	323 060,71	419 478,10	479 561,11	863 767,45
-N. Net profit........................	484 952,66	1 683 135,53	1 495 551,70	3 164 705,70

Ratios	01.01.2014- 31.12.2014	01.01.2013- 31.12.2013	01.01.2012- 31.12.2012	01.01.2011- 31.12.2011
Current ratio	3,23	2,87	4,81	3,92
Quick ratio	1,33	1,09	2,06	1,68
Immediate ratio	0,67	0,45	0,82	0,88
Return on sale	0,97	3,62	3,04	6,54
Return on assets	1,65	5,60	4,98	10,29
Return on equity	2,08	7,36	5,94	12,71
Average trade debtors' days	27,94	33,56	40,69	33,55
Average stock turnover's days	77,90	90,87	89,38	92,80
average payables payment period	42,44	52,62	32,77	41,90
Total indebtedness ratio	20,73	23,84	16,10	19,03

While rating the company, it is advisable to take into consideration information about the branch, the company is acting in
(C.22.29.Z - NACE 2007), as at :	31.03.2015	31.12.2014	31.12.2013	31.12.2012	31.12.2011
Current ratio............................	1,68	1,63	1,52	1,51	1,44
Quick ratio..............................	1,16	1,13	1,08	1,05	1,01
Immediate ratio..........................	0,35	0,34	0,33	0,30	0,29
Return on sale...........................	9,14	7,43	6,58	6,11	6,00
Return on assets.........................	2,60	8,40	7,64	6,83	6,79
Return on equity.........................	4,64	15,59	14,91	13,53	13,65
Average trade debtors' days..............	69,93	69,24	76,49	77,85	79,78
Average stock turnover's days............	44,77	45,50	44,03	46,69	46,07
average payables payment period..........	92,13	95,60	104,94	106,81	112,56
Total indebtedness ratio.................	44,05	46,13	48,77	49,49	50,25
Percent share in the examinated group of companies with net profit.............	83,30	87,00	84,00	83,60	84,20
Sales/revenue per employee in th. PLN....	95,34	370,43	330,39	309,41	285,23
Average sales/revenue per company in th. PLN..................................	16 280,99	63 132,26	52 859,66	49 144,46	44 623,99
according to the Central Statistical Office

Locations

seat:
ul. Stanisłąwa Kączkowskiego 8, 62-700 Turek

Phone:             63 2898600
                        63 2898627
Fax:                 63 2898618
                        63 2898639
E-mail:             627@ukpolska.com
                        628@ukpolska.com
Website:          unionknopf.com

Real Estate	Book value of buildings as at 31.12.2014	PLN	5 173 760,00
	Book value of lands as at 31.12.2014	PLN	901 799,00
	Verification of information on real estate ownership position through the Real Estate Register is not covered by the standard report.

Means of transport

As at 31.12.2014  book value of car fleet was: PLN 1 233 994,61

Shares in other companies

As at 20.07.2015 there are no shares in other companies.

Connections:	Jan Schäfer  Connections have not been determined due to no possibility of identification of the persons or subjects which appear in the company.
	Data concerning connections are valid as at: 20.07.2015.

General information

The subject has not decided to cooperate in elaboration of the report.

Banks

Deutsche Bank Polska SA
al. Armii Ludowej 26, 00-609 Warszawa

 Powszechna Kasa Oszczędności Bank Polski SA
ul. Puławska 15, 02-515 Warszawa

 Bank Millennium SA
ul. Żaryna 2A, 02-593 Warszawa

Payment Manner

In available sources, payment delays have not been noted

(34)

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.65.12
UK Pound	1	Rs.101.62
Euro	1	Rs.72.56

INFORMATION DETAILS

Analysis Done by :	KAS
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.