MIRA INFORM REPORT

Report No. :	331644
Report Date :	10.07.2015

IDENTIFICATION DETAILS

Name :	ALGABETH COM SRL
Registered Office :	Prahova county / 107087 Brazi, Popesti – Parului Street No. 82
Country :	Romania
Financials (as on) :	31.12.2014
Date of Incorporation :	September 1997
Legal Form :	Limited Liability Company
Line of Business :	Subject is engaged in cutting, shaping and finishing of stone
No. of Employee :	44

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)
Romania	B1	B1

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

ROMANIA - ECONOMIC OVERVIEW

Romania, which joined the EU on 1 January 2007, began the transition from Communism in 1989 with a largely obsolete industrial base and a pattern of output unsuited to the country's needs. Romania's macroeconomic gains have only recently started to spur creation of a middle class and to address Romania's widespread poverty. Corruption and red tape continue to permeate the business environment. In the aftermath of the global financial crisis, Romania signed on to a $26 billion emergency assistance package from the IMF, the EU, and other international lenders, but GDP contracted until 2011. In March 2011, Romania and the IMF/EU/World Bank signed a 24-month precautionary stand-by agreement, worth $6.6 billion, to promote fiscal discipline, encourage progress on structural reforms, and strengthen financial sector stability. In September 2013, Romanian authorities and the IMF/EU agreed to a follow-on precautionary two-year stand-by agreement, worth $5.4 billion, to continue with reforms, although Bucharest has announced that it does not intend to draw funds under the agreement. Economic growth rebounded in 2013, driven by strong industrial exports and an excellent agricultural harvest, and the current account deficit was reduced substantially. The economy closed out 2014 with 2.8% growth, down from the 3.5% posted in 2013. Industry outperformed other sectors of the economy. Exports remained the engine of economic growth, led by trade with the EU, which accounts for roughly 70% of Romania trade. In 2014, the Government of Romania succeeded in meeting its annual target for the budget deficit, the external deficit remained low, and inflation was the lowest since 1989, allowing a gradual loosening of the monetary policy throughout the year. However, progress on structural reforms has been uneven and the economy still is vulnerable to external shocks. An ageing population, weak domestic demand, tax evasion, and insufficient health-care represent top vulnerabilities.

Source : CIA

COMPANY Name

ALGABETH COM SRL

Address

Prahova county / 107087 Brazi, Popesti – Parului Street No. 82

Phone no.

Cell phone no.

0040-244-481119, 481117

0040-372-768488, 768489

0040-727-736155

0040-723-177653

Fax no.

0040-244-481009

Web-site

www.algabeth.ro

E-mail address

info@algabeth.ro

HISTORIC/OFFICIAL DATA

Date of foundation

September, 1997

Present legal form

Limited liability company, joint venture of Romanian and foreign (Greek) capital

Registered with the Trade Registry

J29/1056/1997

VAT no.

9801703

Registered capital

2,082,720 RON

Shareholders

Individuals

1. Mr. Prospathopoulos Konstantinos – Greek citizen, born on 21.02.1958

Participation

33.33%

2. Mr. Draghici Gabriel Ioan – Romanian citizen, born on 31.03.1976

Participation

33.333%

3. Mr. Antoniadis Ioannis – Romanian citizen, born on 15.09.1974

Participation

33.34%

Obligation to publish

According to the Romanian Financial Legislation, subject company is obliged to lodge with the Ministry of Public Finance its half-yearly accounts

EMPLOYEES

2010

2011

2012

2013

2014

total

31

33

34

38

44

BUSINESS ACTIVITY

- Cutting, shaping and finishing of stone, according to the National Trade Registry updated files (NACE: 23710)

According to the company’s web-site

- trade with a wide range of stones: marble, granite, travertine, slate, onyx, limestone, shale, etc.

ALGABETH is member of the STONE GROUP INTERNATIONAL, the biggest group of its kind in Europe.

Work-shops

1. Prahova county / Brazi – Negoiesti

2. Bucharest, sector 1 – Piata Presei Libere No. 1

OTHER PARTICIPATION

1. Company’s participation

not applicable

2. Shareholders other participation

1. Mr. Prospathopoulos Konstantinos

AGRICOLA BUCOV SRL – J29/1231/2004,

VAT 16503254

DANECO FOREST SRL – J23/1589/2003,

VAT 15762897

2. Mr. Draghici Gabriel Ioan

not applicable

3. Mr. Antoniadis Ioannis

not applicable

TANGIBLES*

7,264,528 RON, at 31.12.2014

*no further details are available regarding the real estate (lands, buildings) or other premises (equipment, etc.)

BANKS

CitiBank Europe PLC, Romania branch

MANAGEMENT

· as officially registered with the National Trade Registry

Administrator

Mr. Draghici Gabriel Ioan – appointed on 1.09.1997 for unspecified period

CURRENCY

Exchange rate of EURO

1 EURO = 4.2848 RON on 31.12.2010

1 EURO = 4.3197 RON on 31.12.2011

1 EURO = 4.4287 RON on 31.12.2012

1 EURO = 4.4847 RON on 31.12.2013

1 EURO = 4.4821 RON on 31.12.2014

FINANCIAL DATA

RON

BALANCE SHEET	31.12.2011	31.12.2012	31.12.2013	31.12.2014
INTANGIBLES - TOTAL	54,562	31,548	26,968	355,173
TANGIBLES - TOTAL	3,923,854	5,245,347	5,674,748	7,264,528
FINANCIALS - TOTAL	0	0	0	0
FIXED ASSETS - TOTAL	3,978,416	5,276,895	5,701,716	7,619,701
STOCKS - TOTAL	10,269,630	12,861,034	10,377,562	12,846,336
CLAIMS - TOTAL	9,567,354	9,201,570	11,744,780	9,549,062
CURRENT ASSETS	20,037,950	22,507,583	22,553,072	24,324,761
PREPAID EXPENSES	18,098	46,070	57,059	79,632
DEBTS WITHIN 1 YEAR	6,311,530	7,695,206	4,607,916	6,466,452
DEBTS OVER 1 YEAR	862,944	555,256	346,934	295,107
PROVISIONS	0	0	0	0
ADVANCED INCOMES	0	201,900	186,300	170,700
REGISTERED CAPITAL	2,082,720	2,082,720	2,082,720	2,082,720
RESERVES from reassessment of the fixed assets	664,512	1,140,410	1,079,417	1,040,324
RESERVES	420,086	430,897	469,990	509,083
PROFITS CARRIED FORWARD	7,744,751	12,127,641	15,383,274	19,029,345
NET RESULT - PROFIT	5,947,921	3,596,518	4,155,296	2,430,363
NET RESULT - LOSS	0	0	0	0
NET WORTH	16,859,990	19,378,186	23,170,697	25,091,835
PROFIT & LOSS ACCOUNT	31.12.2011	31.12.2012	31.12.2013	31.12.2014
Turnover	28,511,023	25,979,597	28,657,005	25,934,816
Own production & services	N/A	N/A	N/A	N/A
Sales	N/A	N/A	N/A	N/A
INCOMES FROM ORDINARY OPERATING ACTIVITY	29,942,970	27,120,390	29,277,140	26,511,038
Raw materials	N/A	N/A	N/A	N/A
Costs of goods sold	N/A	N/A	N/A	N/A
Wages	N/A	N/A	N/A	N/A
Depreciations & provisions	N/A	N/A	N/A	N/A
Other operating costs	N/A	N/A	N/A	N/A
COSTS OF ORDINARY OPERATING ACTIVITY	22,334,564	22,252,198	23,915,446	22,936,242
ORDINARY OPERATING RESULT - PROFIT	7,608,406	4,868,192	5,361,694	3,574,796
ORDINARY OPERATING RESULT - LOSS	0	0	0	0
FINANCIAL INCOMES	854,567	683,178	705,705	283,400
FINANCIAL COSTS	1,283,495	1,089,912	919,031	784,018
FINANCIAL RESULT - PROFIT	0	0	0	0
FINANCIAL RESULT - LOSS	428,928	406,734	213,326	500,618
CURRENT RESULT - PROFIT	7,179,478	4,461,458	5,148,368	3,074,178
CURRENT RESULT - LOSS	0	0	0	0
Extraordinary incomes	0	0	0	0
Extraordinary costs	0	0	0	0
EXTRAORDINARY RESULT - PROFIT	0	0	0	0
EXTRAORDINARY RESULT - LOSS	0	0	0	0
TOTAL INCOMES	30,797,537	27,803,568	29,982,845	26,794,438
TOTAL COSTS	23,618,059	23,342,110	24,834,477	23,720,260
PRETAX RESULT - PROFIT	7,179,478	4,461,458	5,148,368	3,074,178
PRETAX RESULT - LOSS	0	0	0	0
TAX ON PROFIT	1,231,557	864,940	993,072	643,815
NET RESULT - PROFIT	5,947,921	3,596,518	4,155,296	2,430,363
NET RESULT - LOSS	0	0	0	0

N.B.: any difference occurred between former reports and the present one regarding some positions of the “Balance Sheet” or P/L Account for previous periods does not belong to us.

The financial data from this report are the ones officially declared by the subject with the Ministry of Public Finance data basis for 31.12.2014. As consequence, the responsibility for their accuracy belongs exclusively to the company.

OUR OPINION

based upon financial figures reported in the latest balance-sheet – 31.12.2014

- all figures are reported in RON if otherwise not specified.

Size

small, considering the number of employees

Position & trend

Well-experienced company, acting for more than 15 years in its line of business.

The financials at hand reveal a large business volume, with very good, remunerative returns.

The financial standing looks very well and the payments behaviour is correct, without delays.

The business relationships are feasible and the credit facilities are suitable.

The business trend is constant good.

31.12.2010

31.12.2011

31.12.2012

31.12.2013

31.12.2014

Turnover

RON

22,345,767

28,511,023

25,979,597

28,657,005

25,934,816

EURO

5,215,125

6,600,232

5,866,190

6,389,949

5,786,309

Gross profit

RON

4,862,145

7,179,478

4,461,458

5,148,368

3,074,178

EURO

1,134,743

1,662,032

1,007,397

1,147,985

685,879

Net profit

RON

4,096,953

5,947,921

3,596,518

4,155,296

2,430,363

EURO

956,160

1,376,929

812,093

926,549

542,238

31.12.2014

CREDITS & LOANS (ACTIVE BALANCE)

N/A

BALANCE CLAIMS-DEBTS

Positive

Total claims; no further details are available

9,549,062

Total debts

6,761,559

- Short term; no further details are available

6,466,452

- Medium term; no further details are available

295,107

PAYMENTS BEHAVIOR

Correct, no delays reported

PAYMENTS INCIDENTS

as

officially recorded with the Payment Incident Bureau

No incidents recorded in the period 10.07.2014 – 10.07.2015

BLACKLISTING

(international sanctions)

Not applicable

FINANCIAL STRENGTH

9,583 tsd EURO

BUSINESS RELATIONS

Permissible

2010

2011

2012

2013

2014

Liquidity analysis

Very good

- current ratio

2.33

3.17

2.92

4.89

3.76

- quick ratio

1.29

1.55

1.25

2.64

1.78

Solvability analysis

Very good

- the borrowing ratio (total debts/net worth)

0.57

0.43

0.43

0.21

0.27

Profitability analysis (%)

Easy depreciated, still very good

- return on capital

37.55

35.28

18.56

17.93

9.69

- return on assets

23.93

24.75

12.92

14.68

7.59

- gross profit margin

21.76

25.18

17.17

17.97

11.85

Activity analysis

Defective debtors’ settlements – pay attention!

- debtor’s days

123

122

129

150

134

- creditor’s days

n/a

n/a

n/a

n/a

n/a

Stocks turnover, times/year

4

3

2

3

2

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.63.51
UK Pound	1	Rs.97.85
Euro	1	Rs.70.50

INFORMATION DETAILS

Analysis Done by :	DIV
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.