MIRA INFORM REPORT

Report No. :	309097
Report Date :	24.02.2015

IDENTIFICATION DETAILS

Name :	SCHMOLZ + BICKENBACH POLSKA SP. Z O.O.
Registered Office :	Ul. Katowicka 100 41-400 Mysłowice
Country :	Poland
Financials (as on) :	31.12.2013
Date of Incorporation :	15.11.1996
Legal Form :	Limited liability company
Line of Business :	Sale of steel and metal articles Wholesale of hardware, plumbing and heating equipment and supplies
No. of Employee :	55

RATING & COMMENTS

MIRA’s Rating :

B

RATING		STATUS	PROPOSED CREDIT LINE
26-40	B	Capability to overcome financial difficulties seems comparatively below average.	Small

Status :	Moderate
Payment Behaviour :	No complaints
Litigation :	Clear

NOTES :

Any query related to this report can be made on e-mail : infodept@mirainform.com while quoting report number, name and date.

ECGC Country Risk Classification List – December 31, 2014

Country Name	Previous Rating (30.09.2014)	Current Rating (31.12.2014)
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 while unemployment continues to exceed 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 2012 and 2013, in part due to the ongoing economic difficulties in the euro zone. 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.

Source : CIA

Company name and address

SCHMOLZ + BICKENBACH POLSKA SP. Z O.O.

ul. Katowicka 100 41-400 Mysłowice

Phone:    32 3171600

Fax:      32 3171620

E-mail:   info@schmolz-bickenbach.pl

Website:  www.schmolz-bickenbach.pl

Company summary

Legal form	Limited liability company	(5)
Stat.no.	273311895
Tax ID	PL 6442312550

Establishment	15.11.1996	(5)
Changes of names and addresses	15.11.1996 SCHMOLZ + BICKENBACH sp. z o.o. ul. Społeczna 8, 41-200 Sosnowiec
	30.10.2003  ul. Mikołowska 31, 41-400 Mysłowice
	22.01.2008  ul. Katowicka 100, 41-400 Mysłowice
	14.03.2008 SCHMOLZ + BICKENBACH POLSKA sp. z o.o.

Registration:	26.04.2002, District Court Katowice, VIII Department, KRS 78692 Data concerning previous registrations: 09.12.1996, District Court Katowice, RHB 13821
Shareholders	SCHMOLZ+BICKENBACH SA.S, France	PLN	7 000 000,00 100,00%
	list entered to NCR /KRS/ on  29.11.2006

Initial Capital		PLN 7 000 000,00
	Initial capital divided into 14000 shares of PLN 500,00 each

Management	Mathieu Jean Bourgeois   - member of board of directors Piotr Stanisław Czapla , personal ID no. (PESEL) 72033101050, ul. Przechodnia 13/8, 97-300 Piotrków Trybunalski  - member of board of directors
	Proxies: Aleksandra Małgorzata Czapla Underman , personal ID no. (PESEL) 77112112426, ul. Modelarska 31, 40-142 Katowice  - joint proxy with a board member
	Representation: since 26.04.2002  If one man board – Each member of the board of directors individually If numerous managers – Two members of the board of directors jointly or member of the board of directors and proxy jointly

Main activity	Sale of steel and metal articles
	Branches NACE 2007:
	Other wholesale	(G.46.72.Z)
	Wholesale of hardware, plumbing and heating equipment and supplies	(G.46.74.Z)

Employment

31.12.2009:        46        employees 2010:              48        employees 2011:              49        employees 2012:              48        employees 2013:              55        employees

Turnover	2009	PLN	121 985 517,36
	2010	PLN	151 081 158,81
	2011	PLN	149 350 563,48
	2012	PLN	114 762 220,68
	2013	PLN	124 048 053,35

Financial statements

Source of financial data	Court	Court	Monitor Polski B	Monitor Polski B
	annual	annual	annual	annual
Personal balance sheet as at	31.12.2013 (PLN)	31.12.2012 (PLN)	31.12.2011 (PLN)	31.12.2010 (PLN)
-A. Fixed assets......................	24 507 772,40	24 777 773,23	23 600 612,44	25 482 562,75
-  I.   Intangible assets.............	37 893,95	55 469,57	73 045,19	90 620,81
-    3. Other intangible assets.......	37 893,95	55 469,57	73 045,19	90 620,81
-  II.  Tangible assets...............	22 459 729,27	22 529 664,93	23 527 567,25	24 679 029,73
-    1. Fixed goods...................	22 459 729,27	22 529 664,93	23 527 567,25	24 598 451,65
-      a) land........................	3 653 993,44	3 653 993,44	3 653 993,44	3 653 993,44
-      b) buildings, premises, facilities............................	16 317 739,50	16 740 283,75	17 228 395,59	17 716 507,43
-      c) machinery and equipment.....	1 881 498,64	1 694 375,12	1 956 634,48	2 149 590,06
-      d) fleet of motor vehicles.....	445 551,87	244 821,86	344 749,90	579 498,30
-      e) other fixed goods...........	160 945,82	196 190,76	343 793,84	498 862,42
-    3. Prepayments for fixed goods under construction....................				80 578,08
-V. Long-term prepayments and accrued income........................	2 010 149,18	2 192 638,73		712 912,21
-  1. Deferred tax assets.............	2 010 149,18	2 192 638,73		712 912,21
-B. Current assets....................	48 715 338,94	39 551 824,69	50 308 574,09	57 923 126,70
-  I.   Stock.........................	26 238 349,31	19 693 454,73	21 668 252,80	21 879 680,17
-    1. Raw materials.................	23 536,96	26 256,76	34 911,59	10 551,81
-    4. Goods for re-sale.............	24 203 269,36	19 667 197,97	21 633 341,21	21 869 128,36
-    5. Advance payments .............	2 011 542,99
-  II. Short-term receivables.........	21 919 269,15	19 423 773,55	28 300 938,97	35 819 110,83
-    1. Receivables from affiliated companies.............................	155 511,38	132 150,63	710 567,36	1 213 227,46
-      a) Due to deliveries and services with payment period:.........	155 511,38	132 150,63	710 567,36	1 178 837,20
-        - up to 12 months............	155 511,38	132 150,63	710 567,36	1 178 837,20
-      b) Other.......................				34 390,26
-    2. Other receivables ............	21 763 757,77	19 291 622,92	27 590 371,61	34 605 883,37
-      a) Due to deliveries and services with payment period:.........	21 589 388,90	19 092 601,18	27 474 632,52	34 322 658,67
-        - up to 12 months............	21 589 388,90	19 092 601,18	27 474 632,52	34 322 658,67
-      b) Due to taxes, subsidies, insurances, duties, etc...............				170 657,04
-      c) Other.......................	174 368,87	199 021,74	115 739,09	112 567,66
-  III. Short term investments........	537 227,82	397 894,12	326 249,70	193 499,10
-    1. Short-term financial assets...	537 227,82	397 894,12	326 249,70	193 499,10
-      c) cash and other liquid assets................................	537 227,82	397 894,12	326 249,70	193 499,10
-        - cash in hand and on bank account...............................	537 227,82	397 894,12	326 249,70	193 499,10
-IV. Short-term prepayments and accrued income........................	20 492,66	36 702,29	13 132,62	30 836,60
-D. Total assets......................	73 223 111,34	64 329 597,92	73 909 186,53	83 405 689,45
-A. Shareholders' equity..............	11 003 350,58	15 185 586,83	11 813 951,77	22 586 068,79
-  I.   Basic share capital...........	7 000 000,00	7 000 000,00	7 000 000,00	7 000 000,00
-  IV.  Statutory reserve capital.....	367 900,00	367 900,00	367 900,00	367 900,00
-  VI.  Other reserve capital.........	7 817 686,83	4 446 051,77	15 218 168,79	16 264 740,18
-  VIII. Net profit (loss)............	-4 182 236,25	3 371 635,06	-10 772 117,02	-1 046 571,39
-B. Liabilities and reserves for liabilities...........................	62 219 760,76	49 144 011,09	62 095 234,76	60 819 620,66
-  I.   Reserves for liabilities......	215 391,50	192 022,78	177 894,58	168 021,91
-    1. Deferred income tax reserves..	144 858,00	123 160,99	113 989,99	116 299,73
-    2. Reserves for pensions and similar social payments...............	70 533,50	68 861,79	63 904,59	51 722,18
-      - short-term...................		68 861,79
-II.  Long-term liabilities...........	242 475,28	58 137,55
-  2. Other liabilities...............	242 475,28	58 137,55
-    c) Other financial liabilities...	242 475,28	58 137,55
-III. Short-term liabilities..........	61 612 946,95	48 766 337,80	61 685 674,77	60 461 684,70
-  1. Due to affiliated companies.....	56 822 584,62	41 217 751,01	54 238 029,79	45 050 779,17
-    a) Due to deliveries and services with payment period:.........	8 129 518,04	6 712 290,73	7 728 934,64	8 170 914,12
-      - up to 12 months..............	8 129 518,04	6 712 290,73	7 728 934,64	8 170 914,12
-    b) Other.........................	48 693 066,58	34 505 460,28	46 509 095,15	36 879 865,05
-  2. Other liabilities...............	4 790 362,33	7 548 586,79	7 447 644,98	15 410 905,53
-    a) Loans.........................				134 047,20
-    c) Other financial liabilities...	77 249,70	11 459,41
-    d)Due to deliveries and services with payment period:.........	4 403 888,34	6 344 097,45	5 936 094,11	13 959 629,97
-      - up to 12 months..............	4 403 888,34	6 344 097,45	5 936 094,11	13 959 629,97
-    e) Advances received.............		11 295,93	1 456,10	2 449,65
-    g) Due to taxes, subsidies, insurances, duties, etc...............	279 755,10	1 154 166,60	1 500 447,99	1 296 112,00
-    i) Other.........................	29 469,19	27 567,40	9 646,78	18 666,71
-IV.  Accruals and deferred income....	148 947,03	127 512,96	231 665,41	189 914,05
-  2. Other accruals..................	148 947,03	127 512,96	231 665,41	189 914,05
-    - short-term.....................	148 947,03	127 512,96	231 665,41	189 914,05
-D. Total liabilities.................	73 223 111,34	64 329 597,92	73 909 186,53	83 405 689,45
Source of financial data	Court	Court	Monitor Polski B	Monitor Polski B
	annual	annual	annual	annual
individual PROFIT AND LOSS ACCOUNT	01.01.2013- 31.12.2013 (PLN)	01.01.2012- 31.12.2012 (PLN)	01.01.2011- 31.12.2011 (PLN)	01.01.2010- 31.12.2010 (PLN)
-A. Income from sales and similar.....	124 048 053,35	114 762 220,68	149 350 563,48	151 081 158,81
-  - including related companies......	2 032 452,65	3 646 872,99	7 136 598,37	3 318 529,32
-  I.   Net income on sales...........	844 677,42	815 884,48	570 394,67	207 061,15
-  IV.  Income from sales of goods and materials.........................	123 203 375,93	113 946 336,20	148 780 168,81	150 874 097,66
-B. Operational costs.................	122 859 971,74	114 657 264,30	146 875 527,50	149 280 160,39
-  I.   Depreciation..................	1 130 887,54	1 189 489,74	1 248 241,27	1 223 338,19
-  II.  Materials and energy..........	930 511,15	851 293,96	918 409,10	801 277,32
-  III. Third party services..........	4 362 302,94	3 674 474,23	4 326 947,32	4 329 807,02
-  IV.  Taxes and duties..............	321 962,76	305 731,54	291 900,84	279 607,71
-  V.   Salaries and wages............	4 667 663,04	4 378 028,21	4 621 106,53	4 306 124,50
-  VI.  Social security...............	916 306,42	834 827,15	789 690,27	677 287,38
-  VII. Other.........................	242 251,85	246 095,44	217 931,22	192 039,67
-  VIII.Costs of goods and materials sold..................................	110 288 086,04	103 177 324,03	134 461 300,95	137 470 678,60
-C. Profit on sale....................	1 188 081,61	104 956,38	2 475 035,98	1 800 998,42
-D. Other operating incomes...........	271 578,48	110 413,88	275 277,38	351 713,96
-  I.   Incomes from disposal non-financial assets..................	50 594,72	8 000,00		19 829,18
-  III. Other operating incomes.......	220 983,76	102 413,88	275 277,38	331 884,78
-E. Other operating costs.............	807 968,28	668 776,61	569 903,31	1 640 545,37
-  I.   Loss on disposal of non-finacial assets...................			20 554,61
-  II.  Goodwill revaluation..........	201 594,24	282 184,32		318 177,81
-  III. Other operating costs.........	606 374,04	386 592,29	549 348,70	1 322 367,56
-F. Profit on operating activities....	651 691,81		2 180 410,05	512 167,01
-F. Loss on operating activities......		453 406,35
-G. Financial incomes.................	113 190,48	4 793 383,73	313 006,91	755 314,33
-  II.  Interest received.............	113 190,48	228 800,71	313 006,91	44 091,89
-    - including related companies....	3 211,81	97 003,02	171 710,95
-  V.   Other.........................		4 564 583,02		711 222,44
-H. Financial costs...................	4 742 931,98	3 151 810,05	12 554 931,51	2 341 063,73
-  I.   Interest......................	4 544 825,54	3 066 449,29	3 420 162,42	2 005 789,41
-    - related companies..............	4 517 294,28	3 063 560,50	3 407 192,20	1 470 554,00
-  IV.  Other.........................	198 106,44	85 360,76	9 134 769,09	335 274,32
-I. Profit on economic activity.......		1 188 167,33
-I. Loss on economic activity.........	3 978 049,69		10 061 514,55	1 073 582,39
-K. Gross profit......................		1 188 167,33
-K. Gross loss........................	3 978 049,69		10 061 514,55	1 073 582,39
-L. Corporation tax...................	204 186,56	-2 183 467,73	710 602,47	-27 011,00
-N. Net profit........................		3 371 635,06
-N. Net loss..........................	4 182 236,25		10 772 117,02	1 046 571,39

AUDITOR

Balance sheet as at 31.12.2013

ERNST & YOUNG AUDYT POLSKA SPÓŁKA Z OGRANICZONĄ ODPOWIEDZIALNOŚCIĄ Sp. k., ul. Rondo ONZ 1, 00-124 Warszawa

Expert auditor Jerzy  Buzek

Balance sheet as at 31.12.2011

ERNST & YOUNG AUDYT POLSKA SPÓŁKA Z OGRANICZONĄ ODPOWIEDZIALNOŚCIĄ Sp. k., ul. Rondo ONZ 1, 00-124 Warszawa

Expert auditor Jerzy  Buzek

Balance sheet as at 31.12.2010

ERNST & YOUNG AUDYT POLSKA SPÓŁKA Z OGRANICZONĄ ODPOWIEDZIALNOŚCIĄ Sp. k., ul. Rondo ONZ 1, 00-124 Warszawa

Expert auditor Jerzy  Buzek

Ratios	01.01.2013- 31.12.2013	01.01.2012- 31.12.2012	01.01.2011- 31.12.2011	01.01.2010- 31.12.2010
Current ratio	0,79	0,81	0,82	0,96
Quick ratio	0,36	0,41	0,46	0,60
Immediate ratio	0,01	0,01	0,01
Return on sale	-3,37	2,94	-7,21	-0,69
Return on assets	-5,71	5,24	-14,57	-1,25
Return on equity	-38,01	22,20	-91,18	-4,63
Average trade debtors' days	64,50	61,95	69,17	86,54
Average stock turnover's days	77,20	62,81	52,96	52,86
average payables payment period	181,29	155,53	150,75	146,07
Total indebtedness ratio	84,97	76,39	84,02	72,92

While rating the company, it is advisable to take into consideration information about the branch, the company is acting in
(G.46.72.Z - NACE 2007), as at :	30.09.2014	31.12.2013	31.12.2012	31.12.2011	31.12.2010
Current ratio............................	1,44	1,15	1,37	1,34	1,23
Quick ratio..............................	0,78	0,58	0,71	0,77	0,73
Immediate ratio..........................	0,04	0,03	0,04	0,04	0,04
Return on sale...........................	1,72	0,81	-0,18	0,99	1,87
Return on assets.........................	2,75	1,60	-0,36	2,22	2,89
Return on equity.........................	8,03	4,48	-1,25	6,30	6,99
Average trade debtors' days..............	52,70	49,15	50,75	56,32	72,05
Average stock turnover's days............	50,59	56,58	53,29	45,82	54,39
average payables payment period..........	78,01	99,07	81,11	81,10	109,55
Total indebtedness ratio.................	65,77	64,30	70,88	64,74	58,63
Percent share in the examinated group of companies with net profit.............	75,60	71,40	57,40	82,20	76,10
Sales/revenue per employee in th. PLN....	1 544,44	1 780,62	1 643,88	1 927,15	1 301,41
Average sales/revenue per company in th. PLN..................................	190 343,27	219 863,81	183 450,40	218 153,02	175 040,02
according to the Central Statistical Office

Locations:

seat: ul. Katowicka 100, 41-400 Mysłowice Phone:                   32 3171600                          32 3171608 Fax:                     32 3171620 E-mail:                  info@schmolz-bickenbach.pl Website:                 www.schmolz-bickenbach.pl trade office: Mirosławice, ul. Lotnicza 8, 55-050 Sobótka Ph./Fax:                 71 3336970 ul. Bitwy Warszawskiej 1920 r. 7, 02-366 Warszawa Phone:                   22 6161252 Fax:                     22 6161301 E-mail:                  info.warszawa@schmolz-bickenbach.pl

Real Estate	Book value of buildings as at 31.12.2013	PLN	16 317 739,50
	Book value of lands as at 31.12.2013	PLN	3 653 993,44
	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 31.12.2013  book value of car fleet was: PLN 445 551,87

Shares in other companies

As at 29.01.2015 there are no shares in other companies.

Connections:	Mathieu Jean Bourgeois  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: 29.01.2015.

General information

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

Banks

MBANK SA O. Korporacyjny Katowice  (11401078) ul. Powstańców 43, 40-024 Katowice Acc.no. 41114010780000404220001001

Payment Manner	Analysis of the balance sheet indicates limited liquidity.	(38)
Credit capability	Business connections should not be refused, credits are not recommended.	(42)
	Due to: - low current ratio - long period of liabilities repayment - Losses - high level of the debt ratio

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.62.18
UK Pound	1	Rs.95.71
Euro	1	Rs.70.76

INFORMATION DETAILS

Analysis Done by :	SUB
Report Prepared by :	ANK

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.