MIRA INFORM REPORT

Report No. :	333788
Report Date :	27.07.2015

IDENTIFICATION DETAILS

Name :	LOUIS DREYFUS COMMODITIES ASIA PTE. LTD.
Registered Office :	12, Marina Boulevard, 33-03, Marina Bay, Financial Centre, 018982
Country :	Singapore
Financials (as on) :	31.12.2013
Date of Incorporation :	05.10.1993
Com. Reg. No.:	199306551-Z
Legal Form :	Private Limited
Line of Business :	Wholesale of Agricultural, Mineral, Metal and Others.
No. of Employees :	200

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)
Singapore	A1	A1

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

SINGAPORE - ECONOMIC OVERVIEW

Singapore has a highly developed and successful free-market economy. It enjoys a remarkably open and corruption-free environment, stable prices, and a per capita GDP higher than that of most developed countries. Unemployment is very low. The economy depends heavily on exports, particularly of consumer electronics, information technology products, medical and optical devices, pharmaceuticals, and on its vibrant transportation, business, and financial services sectors. The economy contracted 0.6% in 2009 as a result of the global financial crisis, but has continued to grow since 2010 on the strength of renewed exports. Growth in 2014 was slower at 2.9%, largely a result of soft demand for exports amid a sluggish global economy and weak growth in Singapore’s manufacturing sector. The government is attempting to restructure Singapore’s economy by weaning its dependence on foreign labor, addressing weak productivity, and increasing Singaporean wages. Singapore has attracted major investments in pharmaceuticals and medical technology production and will continue efforts to strengthen its position as Southeast Asia's leading financial and high-tech hub. Singapore is a member of the 12-nation Trans-Pacific Partnership free trade negotiations, the Regional Comprehensive Economic Partnership negotiations with the nine other ASEAN members plus Australia, China, India, Japan, South Korea and New Zealand, and in 2015, Singapore will form, with the other ASEAN members, the ASEAN Economic Community.

Source : CIA

EXECUTIVE SUMMARY

REGISTRATION NO.	:	199306551-Z
COMPANY NAME	:	LOUIS DREYFUS COMMODITIES ASIA PTE. LTD.
FORMER NAME	:	LOUIS DREYFUS ASIA PTE LTD (09/11/2006)
INCORPORATION DATE	:	05/10/1993
COMPANY STATUS	:	EXIST
LEGAL FORM	:	PRIVATE LIMITED
LISTED STATUS	:	NO
REGISTERED ADDRESS	:	12, MARINA BOULEVARD, 33-03, MARINA BAY, FINANCIAL CENTRE, 018982, SINGAPORE.
BUSINESS ADDRESS	:	12, MARINA BOULEVARD, 33-03, MARINA BAY FINANCIAL CENTRE, TOWER 3, 018982, SINGAPORE.
TEL.NO.	:	65-67359700
FAX.NO.	:	65-67359600
CONTACT PERSON	:	TIRUMALAI ANANDAM PILLAI KISHEN ( DIRECTOR )
PRINCIPAL ACTIVITY	:	WHOLESALE OF AGRICULTURAL, MINERAL, METAL AND OTHERS
ISSUED AND PAID UP CAPITAL	:	103,231,300.00 ORDINARY SHARE, OF A VALUE OF SGD 103,231,300.00
SALES	:	USD 9,401,647,000 [2013]
NET WORTH	:	USD 364,468,000 [2013]
STAFF STRENGTH	:	N/A
LITIGATION	:	TRACED
FINANCIAL CONDITION	:	FAIR
PAYMENT	:	No COMPLAINTS
MANAGEMENT CAPABILITY	:	AVERAGE
COMMERCIAL RISK	:	LOW
CURRENCY EXPOSURE	:	MODERATE
GENERAL REPUTATION	:	GOOD
INDUSTRY OUTLOOK	:	AVERAGE GROWTH

HISTORY / BACKGROUND

The Subject is a private limited company and is allowed to have a minimum of one and a maximum of forty-nine shareholders. As a private limited company, the Subject must have at least two directors. A private limited company is a separate legal entity from its shareholders. As a separate legal entity, the Subject is capable of owning assets, entering into contracts, sue or be sued by other companies. The liabilities of the shareholders are to the extent of the equity they have taken up and the creditors cannot claim on shareholders' personal assets even if the Subject is insolvent. The Subject is governed by the Companies Act and the company must file its annual returns, together with its financial statements with the Registrar of Companies.

The Subject is principally engaged in the (as a / as an) wholesale of agricultural, mineral, metal and others.

Share Capital History

Date	Issue & Paid Up Capital
19/01/2015	SGD 103,231,300.00

The major shareholder(s) of the Subject are shown as follows :

Name	Address	IC/PP/Loc No	Shareholding	(%)
LOUIS DREYFUS COMMODITIES INTERNATIONAL AG	HALDENSTRASSE 37, LUZERN, 6006, SWITZERLAND.	T14UF2119	103,231,300.00	100.00
			---------------	------
			103,231,300.00	100.00
			============	=====

+ Also Director

The Subject's interest in other companies (Subsidiaries/Associates) are shown as follow :

Local No	Country	Company	(%)	As At
	CHINA	LOUIS DREYFUS COMMODITIES INDIA PRIVATE LTD	100.00	31/12/2013
	CHINA	LOUIS DREYFUS (SHANGHAI) CO LTD	100.00	31/12/2013
	CHINA	LOUIS DREYFUS PHILIPPINES INC	100.00	31/12/2013
	AUSTRALIA	LOUIS DREYFUS COMMODITIES MELBOURNE HOLDINGS PTY LTD	100.00	31/12/2013
201212970C	MALAYSIA	LOUIS DREYFUS COMMODITIES FREIGHT ASIA PTE. LTD.	100.00	31/12/2013
	BRITISH INDIAN OCEAN TERRITORY	LOUIS DREYFUS COMMODITIES INVESTMENT LIMITED	100.00	31/12/2013
	AUSTRALIA	LOUIS DREYFUS COMMODITIES MELBOURNE JVP PTY LTD	100.00	31/12/2013
	CHINA	LOUIS DREYFUS COMMODITIES (HK) ENTERPRISE LIMITED	100.00	31/12/2013
	CHINA	LOUIS DREYFUS COMMODITIES VIETNAM CO LTD	100.00	31/12/2013
	CHINA	LOUIS DREYFUS COMMODITIES BAZHOU FEEDSTUFF PROTEIN CO LTD	100.00	31/12/2013
	AUSTRALIA	LD COMMODITIES AUSTRALIA HOLDINGS PTY LTD	100.00	31/12/2013
201311474	SINGAPORE	ORIENTAL COMMODITIES (SINGAPORE) PTE. LTD.	100.00	31/12/2013
196654T	MALAYSIA	LDT SDN. BHD.	100.00	31/12/2013
	CHINA	LOUIS DREYFUS COMMODITIES (HK) HOLDINGS LIMITED	100.00	31/12/2013
	CHINA	LOUIS DREYFUS COMMODITIES (BEIJING) TRADING CO LTD	100.00	31/12/2013
201224321	SINGAPORE	LDC ASIA INVESTMENTS PTE. LTD.	100.00	31/12/2013
	INDIA	SUNDER AGRI-COMMODITIES INDIA PRIVATE LIMITED	99.98	31/12/2013
	INDIA	FOCUS AGRI-COMMODITIES INDIA PRIVATE LIMITED	99.98	31/12/2013
	INDIA	PRUDENT AGRI-COMMODITIES INDIA PRIVATE LIMITED	99.98	31/12/2013
	INDIA	APEX AGRI-COMMODITIES INDIA PRIVATE LIMITED	99.98	31/12/2013
	INDIA	SUNNY AGRI-COMMODITIES INDIA PRIVATE LIMITED	99.98	31/12/2013
	INDIA	GROW MORE AGRI-COMMODITIES INDIA PRIVATE LIMITED	99.98	31/12/2013
	INDIA	APEX AGRI-COMMODITIES INDIA PRIVATE LIMITED	99.98	31/12/2013
	INDONESIA	PT LOUIS DREYFUS COMMODITIES COFFEE INDONESIA	95.00	31/12/2013
	INDONESIA	PT LDC INDONESIA	95.00	31/12/2013
	CHINA	JIN XING MIANHUA LIMITED	95.00	31/12/2013
201212970C	MALAYSIA	LOUIS DREYFUS COMMODITIES SDN BHD	95.00	31/12/2013
	INDONESIA	PT LOUIS DREYFUS COMMODITIES INDONESIA	74.00	31/12/2013
	CHINA	LOUIS DREYFUS COMMODITIES (FUJIAN) REFINED SUGAR CO., LTD	67.00	31/12/2013

DIRECTORS

DIRECTOR 1

Name Of Subject	:	TIRUMALAI ANANDAM PILLAI KISHEN
Address	:	63, PATERSON ROAD, 09-03, THE PATERSON, 238539, SINGAPORE.
IC / PP No	:	G5314015M
Nationality	:	INDIAN
Date of Appointment	:	16/10/2012

DIRECTOR 2

Name Of Subject	:	JAMES FERNANDO O'DONAHUE
Address	:	30, MOUNT ELIZABETH, 14-32, HIGH POINT, 228519, SINGAPORE.
IC / PP No	:	G6421344Q
Nationality	:	BRITISH
Date of Appointment	:	05/10/2012

DIRECTOR 3

Name Of Subject	:	CLAUDE PIERRE EHLINGER
Address	:	17 RUE PARENT DE ROSAN, 75016, PARIS, FRANCE.
IC / PP No	:	GE4925F
Nationality	:	LUXEMBOURGER
Date of Appointment	:	19/11/2007

DIRECTOR 4

Name Of Subject	:	FRANCOIS-PHILIPPE, ANDRE, JEAN, MARIE, PIC
Address	:	1A, CHEMIN DES SEMAILLES, GRAND-LANCY, 1212, SWITZERLAND.
IC / PP No	:	11CV59524
Nationality	:	FRENCH
Date of Appointment	:	16/10/2012

MANAGEMENT

1)	Name of Subject	:	TIRUMALAI ANANDAM PILLAI KISHEN
	Position	:	DIRECTOR

AUDITOR

Auditor	:	DELOITTE & TOUCHE LLP
Auditor' Address	:	N/A

COMPANY SECRETARIES

1)	Company Secretary	:	LOH LI PING
	IC / PP No	:	S7625605E
	Address	:	911, LORONG, 1, TOA PAYOH, 03-03, OLEANDER TOWERS, 319771, SINGAPORE.

BANKING

No Banker found in our databank.

ENCUMBRANCE (S)

No encumbrance was found in our databank at the time of investigation.

LITIGATION CHECK AGAINST SUBJECT

* A check has been conducted in our databank against the Subject whether the subject has been involved in any litigation.

LEGAL ACTION
Code No	:	99	Case No	:	1063
Year	:	2006	Place	:	SINGAPORE
Court	:	DISTRICT COURT
Date Filed	:	21/03/2006
Solicitor	:	LAI KAI JIN MICHAEL
Solicitor Ref	:	ML/WT/9100611
Solicitor Firm	:	HAQ & SELVAM
Plaintiff	:	DALIAN HUALIANG ENTERPRISE GROUP CO. LTD SICHUAN JINSHI OIL DRAFF CO. LTD
Defendants	:	LOUIS DREYFUS COMMODITIES ASIA PTE LTD (199306551) 501, ORCHARD ROAD, 19-01 WHEELOCK PLACE, 238880, SINGAPORE.
Amount Claimed	:	93764
Nature of Claim	:	USD
Remark	:	CONTRACTS - OTHERS
Code No	:	99	Case No	:	158
Year	:	2006	Place	:	SINGAPORE
Court	:	SUPREME COURT
Date Filed	:	21/03/2006
Solicitor	:	LAI KAI JIN MICHAEL
Solicitor Ref	:	ML/WT/9100609
Solicitor Firm	:	HAQ & SELVAM
Plaintiff	:	SHENYANG JINSHI BEAN BRANCH CO. LTD DALIAN HUALIANG ENTERPRISE GROUP CO. LTD SICHUAN JINSHI OIL DRAFF CO. LTD
Defendants	:	LOUIS DREYFUS COMMODITIES ASIA PTE LTD (199306551) 501, ORCHARD ROAD, 19-01 WHEELOCK PLACE, 238880, SINGAPORE.
Amount Claimed	:	408068
Nature of Claim	:	USD
Remark	:	CONTRACTS - OTHERS

No winding up petition was found in our databank

PAYMENT RECORD

SOURCES OF RAW MATERIALS:
Local	:	N/A
Overseas	:	N/A

The Subject refused to disclose its suppliers.

The Subject refused to provide any name of trade/service supplier and we are unable to conduct any trade enquiry. However, from financial historical data we conclude that :

OVERALL PAYMENT HABIT
Prompt 0-30 Days	[	]	Good 31-60 Days	[	X	]	Average 61-90 Days	[	]
Fair 91-120 Days	[	]	Poor >120 Days	[		]

CLIENTELE

Local	:	YES
Domestic Markets	:	SINGAPORE
Overseas	:	YES
Export Market	:	WORLDWIDE
Credit Term	:	AS AGREED
Payment Mode	:	CHEQUES TELEGRAPHIC TRANSFER (TT)

OPERATIONS

Goods Traded

:

AGRICULTURAL, MINERAL, METAL AND OTHERS

Total Number of Employees:
YEAR	2014	2013	2012	2011
GROUP	N/A	N/A	N/A	N/A
COMPANY	200	180	120	120

Branch

:

NO

Other Information:

The Subject is principally engaged in the (as a / as an) wholesale of agricultural, mineral, metal and others.

The Subject is engaged in the trading of commodity products including, agricultural, metal, cotton and others.

The Subject supplies the products according to its customers requirements.

CURRENT INVESTIGATION

Latest fresh investigations carried out on the Subject indicated that :

Telephone Number Provided By Client	:	N/A
Current Telephone Number	:	65-67359700
Match	:	N/A
Address Provided by Client	:	12 MARINA BOULEVARD, MARINA BAY FINANCIAL CENTRE TOWER 3 33-03, SINGAPORE 018982
Current Address	:	12, MARINA BOULEVARD, 33-03, MARINA BAY FINANCIAL CENTRE, TOWER 3, 018982, SINGAPORE.
Match	:	YES

Other Investigations

On 15th April 2015 we contacted one of the staff from the Subject's registered office and she provided some information on the Subject.

She refused to disclose the Subject's number of employees and bankers.

FINANCIAL ANALYSIS

Profitability
Turnover	:	Increased	[	2009 - 2013	]
Profit/(Loss) Before Tax	:	Decreased	[	2009 - 2013	]
Return on Shareholder Funds	:	Acceptable	[	16.68%	]
Return on Net Assets	:	Acceptable	[	19.66%	]
The Subject's turnover increased steadily as the demand for its products / services increased due to the goodwill built up over the years.The dip in profit could be due to the stiff market competition which reduced the Subject's profit margin. The Subject's management had generated acceptable return for its shareholders using its assets.
Working Capital Control
Stock Ratio	:	Favourable	[	1 Days	]
Debtor Ratio	:	Favourable	[	39 Days	]
Creditors Ratio	:	Favourable	[	28 Days	]
The Subject's stocks were moving fast thus reducing its holding cost. This had reduced funds being tied up in stocks. The favourable debtors' days could be due to the good credit control measures implemented by the Subject. The Subject had a favourable creditors' ratio where the Subject could be taking advantage of the cash discounts and also wanting to maintain goodwill with its creditors.
Liquidity
Liquid Ratio	:	Favourable	[	1.32 Times	]
Current Ratio	:	Unfavourable	[	1.34 Times	]
A minimum liquid ratio of 1 should be maintained by the Subject in order to assure its creditors of its ability to meet short term obligations and the Subject was in a good liquidity position. Thus, we believe the Subject is able to meet all its short term obligations as and when they fall due.
Solvency
Interest Cover	:	Unfavourable	[	2.01 Times	]
Gearing Ratio	:	Unfavourable	[	1.03 Times	]
The Subject's interest cover was low. If its profits fall or when interest rate rises, it  may not be able to meet all its interest payment. The Subject was highly geared, thus it had a high financial risk. The Subject was dependent on loans to finance its business needs. In times of economic downturn and / or high interest rate, the Subject will become less profitable and competitive than other firms in the same industry, which are lowly geared. This is because the Subject has to service the interest and to repay the loan, which will erode part of its profits. The profits will fluctuate depending on the Subject's turnover and the interest it needs to pay.
Overall Assessment :
Although the Subject's turnover had increased, its profits had declined over the same corresponding period. This could be due to the stiffer market competition and / or higher operating costs which lowered the Subject's profit margin. The Subject was in good liquidity position with its total current liabilities well covered by its total current assets. With its current net assets, the Subject should be able to repay its short term obligations. If there is a fall in the Subject's profit or any increase in interest rate, the Subject may not be able to generate sufficient cash-flow to service its interest. The Subject's gearing level was high and its going concern will be in doubt if there is no injection of additional shareholders' funds in times of economic downturn and / or high interest rates.
Overall financial condition of the Subject : FAIR

SINGAPORE ECONOMIC / INDUSTRY OUTLOOK

Major Economic Indicators :	2009	2010	2011	2012	2013
Population (Million)	4.98	5.08	5.18	5.31	5.40
Gross Domestic Products ( % )	(0.8)	14.5	4.9	1.3	3.7
Consumer Price Index	0.6	2.8	5.2	4.6	2.4
Total Imports (Million)	356,299.3	423,221.8	459,655.1	474,554.0	466,762.0
Total Exports (Million)	391,118.1	478,840.7	514,741.2	510,329.0	513,391.0
Unemployment Rate (%)	3.2	2.2	2.1	2.0	1.9
Tourist Arrival (Million)	9.68	11.64	13.17	14.49	15.46
Hotel Occupancy Rate (%)	75.8	85.6	86.5	86.4	86.3
Cellular Phone Subscriber (Million)	1.37	1.43	1.50	1.52	1.97
Registration of New Companies (No.)	26,414	29,798	32,317	31,892	37,288
Registration of New Companies (%)	4.3	12.8	8.5	(1.3)	9.8
Liquidation of Companies (No.)	22,393	15,126	19,005	17,218	17,369
Liquidation of Companies (%)	113.4	(32.5)	25.6	9.4	(5.3)
Registration of New Businesses (No.)	26,876	23,978	23,494	24,788	22,893
Registration of New Businesses (%)	8.15	(10.78)	2.02	5.51	1.70
Liquidation of Businesses (No.)	23,552	24,211	23,005	22,489	22,598
Liquidation of Businesses (%)	11.4	2.8	(5)	(2.2)	0.5
Bankruptcy Orders (No.)	2,058	1,537	1,527	1,748	1,992
Bankruptcy Orders (%)	(11.5)	(25.3)	(0.7)	14.5	14.0
Bankruptcy Discharges (No.)	3,056	2,252	1,391	1,881	2,584
Bankruptcy Discharges (%)	103.7	(26.3)	(38.2)	35.2	37.4
INDUSTRIES ( % of Growth ) :
Agriculture
Production of Principal Crops	3.25	(0.48)	4.25	3.64	-
Fish Supply & Wholesale	(1.93)	(10.5)	12.10	(0.5)	-
Manufacturing *	71.5	92.8	100.0	100.3	102.0
Food, Beverages & Tobacco	90.4	96.4	100.0	103.5	103.5
Textiles	145.9	122.1	100.0	104.0	87.1
Wearing Apparel	211.0	123.3	100.0	92.1	77.8
Leather Products & Footwear	79.5	81.8	100.0	98.6	109.8
Wood & Wood Products	101.4	104.0	100.0	95.5	107.4
Paper & Paper Products	95.4	106.1	100.0	97.4	103.2
Printing & Media	100.9	103.5	100.0	93.0	86.1
Crude Oil Refineries	96.4	95.6	100.0	99.4	93.5
Chemical & Chemical Products	80.3	97.6	100.0	100.5	104.1
Pharmaceutical Products	49.1	75.3	100.0	109.7	107.2
Rubber & Plastic Products	101.2	112.3	100.0	96.5	92.9
Non-metallic Mineral	91.9	92.5	100.0	98.2	97.6
Basic Metals	92.6	102.2	100.0	90.6	76.5
Fabricated Metal Products	90.8	103.6	100.0	104.3	105.1
Machinery & Equipment	57.3	78.5	100.0	112.9	114.5
Electrical Machinery	86.8	124.1	100.0	99.3	108.5
Electronic Components	85.2	113.6	100.0	90.6	94.3
Transport Equipment	96.0	94.0	100.0	106.3	107.5
Construction	(36.9)	14.20	20.50	28.70	-
Real Estate	1.4	21.3	25.4	31.9	-
Services
Electricity, Gas & Water	1.70	4.00	7.00	6.30	-
Transport, Storage & Communication	3.90	12.80	7.40	5.30	-
Finance & Insurance	(16.4)	(0.4)	8.90	0.50	-
Government Services	4.50	9.70	6.90	6.00	-
Education Services	0.10	(0.9)	(1.4)	0.30	-
* Based on Index of Industrial Production (2011 = 100)

INDUSTRY ANALYSIS

INDUSTRY :	TRADING
The wholesale and retail trade sectors have expanded by 2.0% in the third quarter of 2014, extending the 1.8 per cent growth in the previous quarter. In 2013, the wholesale and retail sector expanded by 5.0%, after declining by 1.4% the year before. Growth of the sector was driven by the wholesale trade segment.
The domestic wholesale trade index has increased by 3.2% in the fourth quarter of 2013, moderating from the 6.6% growth in the previous quarter. The slower growth was due to a decline in the sales of furniture and household equipment (-12%) and petroleum and petroleum products (-0.6%). For the full year, the domestic wholesale trade index grew by 5.2% reversing the 2.2% decline in 2012. On the other hand, the foreign wholesale trade index has increased by a slower pace of 5.6% in the fourth quarter, compared to the 7.7% expansion in the preceding quarter. The slowdown was due to a fall in the sales of telecommunication equipment and computer (-3.8%) and petroleum and petroleum products (-2.5%). For the full year, the growth of the foreign wholesale trade index moderated slightly to 8.6% from 9.1% in the previous year.
In the fourth quarter of 2013, retail sales volume fell by 6.2%, extending the 5.6% decline in the previous quarter. Excluding motor vehicles, retail sales volume increased by 0.4%, a slower pace of expansion as compared to the 1.6% gain in the preceding quarter. The sales volume of motor vehicles fell by 33% in the fourth quarter of 2013, extending the 32% decline in the previous quarter. Meanwhile, the sales of several discretionary items also fell in the fourth quarter of 2013. For instance, the sales of telecommunications apparatus and computers fell by 12%, while the sales of furniture and household equipment declined by 5.4%.
For the full year, retail sales volume contracted by 4.3%, a reversal from the 1.3% expansion in 2012. Excluding motor vehicle sales, the retail sales volume grew by 1.1% in 2013, slower than the 1.7% increase in 2012. Watches and jewellery recorded the largest increase (11%) in sales in 2013, followed by optical goods and book (3%) and medical goods and toiletries (3%). By contrast, the sales of telecommunications apparatus and computer (-7.3%), furniture and household equipment (-4.2%) and petrol service stations (-1.4) declined in 2013.
OVERALL INDUSTRY OUTLOOK : AVERAGE GROWTH

CREDIT RISK EVALUATION & RECOMMENDATION

Incorporated in 1993, the Subject is a Private Limited company, focusing on wholesale of agricultural, mineral, metal and others. The Subject has been in business for over two decades. It has built up a strong clientele base and good reputation will enable the Subject to further enhance its business in the near term.  The Subject is expected to enjoy a stable market shares. The Subject is a large entity with strong capital position of SGD 103,231,300. We are confident with the Subject's business and its future growth prospect. With a strong backing from its shareholders, the Subject enjoys timely financial assistance should the needs arise.

Over the years, the Subject has penetrated into both the local and overseas market. The Subject has positioned itself in the global market and is competing in the industry. Its stable clientele base will enable the Subject to further enhance its business in the near term. Overall, we regard that the Subject's management capability is average. This indicates that the Subject has greater potential to improve its business performance and raising income for the Subject.

Financially, the Subject registered a higher turnover compared to previous year. However, its profits showed a reverse trend. The lower profit achieved was a result of higher operating cost and increased competition. Return on shareholders' funds of the Subject was at an acceptable range which indicated that the management was efficient in utilising its funds to generate income. The Subject is in good liquidity position with its current liabilities well covered by it current assets. Hence, it has sufficient working capital to meet its short term financial obligations. The high gearing ratio clearly implied that the Subject was supported by more debt than equity. Thus, the Subject is exposed to high financial risk. Given a positive net worth standing at USD 364,468,000, the Subject should be able to maintain its business in the near terms.

Having a strong assets backing, the Subject possesses latent assets as collateral for further financial extension. Hence, it has good chance of getting loans if the needs arises.

Overall, the Subject's payment habit is good as the Subject has a good credit control and it could be taking advantage of the cash discounts while maintaining a good reputation with its creditors.

The industry shows an upward trend and this trend is very likely to sustain in the near terms. Hence, the Subject is expected to benefit from the favourable outlook of the industry.

Based on the above condition, we recommend credit be granted to the Subject promptly.

PROFIT AND LOSS ACCOUNT

THE FINANCIAL STATEMENTS WERE PREPARED IN ACCORDANCE WITH SINGAPORE FINANCIAL REPORTING STANDARDS.

Financial Year End	2013-12-31	2012-12-31	2011-12-31	2010-12-31	2009-12-31
Months	12	12	12	12	12
Consolidated Account	GROUP	GROUP	GROUP	GROUP	GROUP
Audited Account	YES	YES	YES	YES	YES
Unqualified Auditor's Report (Clean Opinion)	YES	YES	YES	YES	YES
Financial Type	FULL	FULL	FULL	FULL	FULL
Currency	USD	USD	USD	USD	USD
TURNOVER	9,401,647,000	8,696,379,000	7,838,282,000	7,609,387,000	5,485,150,000
Other Income	5,025,000	5,085,000	11,423,000	32,092,000	11,263,000
	----------------	----------------	----------------	----------------	----------------
Total Turnover	9,406,672,000	8,701,464,000	7,849,705,000	7,641,479,000	5,496,413,000
Costs of Goods Sold	(9,224,391,000)	(8,534,407,000)	(7,655,177,000)	(7,431,076,000)	(5,412,182,000)
	----------------	----------------	----------------	----------------	----------------
Gross Profit	182,281,000	167,057,000	194,528,000	210,403,000	84,231,000
	----------------	----------------	----------------	----------------	----------------
PROFIT/(LOSS) FROM OPERATIONS	65,492,000	89,178,000	129,615,000	107,317,000	22,439,000
	----------------	----------------	----------------	----------------	----------------
PROFIT/(LOSS) BEFORE TAXATION	65,492,000	89,178,000	129,615,000	107,317,000	22,439,000
Taxation	(4,714,000)	(8,673,000)	(11,980,000)	(11,872,000)	(1,441,000)
	----------------	----------------	----------------	----------------	----------------
PROFIT/(LOSS) AFTER TAXATION	60,778,000	80,505,000	117,635,000	95,445,000	20,998,000
Minority interests	-	-	-	277,000	(90,000)
	----------------	----------------	----------------	----------------	----------------
PROFIT/(LOSS) BEFORE EXTRAORDINARY ITEMS	60,778,000	80,505,000	117,635,000	95,722,000	20,908,000
	----------------	----------------	----------------	----------------	----------------
PROFIT/(LOSS) ATTRIBUTABLE TO SHAREHOLDERS	60,778,000	80,505,000	117,635,000	95,722,000	20,908,000
RETAINED PROFIT/(LOSS) BROUGHT FORWARD
As previously reported	244,526,000	164,021,000	61,386,000	37,701,000	36,522,000
	----------------	----------------	----------------	----------------	----------------
As restated	244,526,000	164,021,000	61,386,000	37,701,000	36,522,000
	----------------	----------------	----------------	----------------	----------------
PROFIT AVAILABLE FOR APPROPRIATIONS	305,304,000	244,526,000	179,021,000	133,423,000	57,430,000
TRANSFER TO RESERVES - General	-	-	-	634,000	1,271,000
DIVIDENDS - Ordinary (paid & proposed)	(15,000,000)	-	(15,000,000)	(15,000,000)	(21,000,000)
DIVIDENDS - Preference	-	-	-	(57,671,000)	-
	----------------	----------------	----------------	----------------	----------------
RETAINED PROFIT/(LOSS) CARRIED FORWARD	290,304,000	244,526,000	164,021,000	61,386,000	37,701,000
	=============	=============	=============	=============	=============
INTEREST EXPENSE (as per notes to P&L)
Bank overdraft	26,724,000	23,981,000	-	-	-
Loan from associated companies	27,000	739,000	-	-	-
Term loan / Borrowing	-	-	18,161,000	21,049,000	8,022,000
Others	37,865,000	6,901,000	4,154,000	3,668,000	1,496,000
	----------------	----------------	----------------	----------------	----------------
	64,616,000	31,621,000	22,315,000	24,717,000	9,518,000
	=============	=============	=============	=============	=============
DEPRECIATION (as per notes to P&L)	1,075,000	886,000	524,000	4,203,000	3,030,000
AMORTIZATION	399,000	323,000	105,000	1,409,000	379,000
	----------------	----------------	----------------	----------------	----------------
	1,474,000	1,209,000	629,000	5,612,000	3,409,000
	=============	=============	=============	=============	=============

BALANCE SHEET

ASSETS EMPLOYED:
FIXED ASSETS	3,166,000	2,771,000	2,389,000	113,628,000	43,625,000
LONG TERM INVESTMENTS/OTHER ASSETS
Subsidiary companies	154,161,000	111,463,000	56,276,000	-	-
Associated companies	3,333,000	3,333,000	3,333,000	929,000	752,000
Loans & advances - non-current	-	-	-	3,900,000	612,000
Deferred assets	-	-	-	13,220,000	3,273,000
Others	7,269,000	193,511,000	188,075,000	2,067,000	117,000
	----------------	----------------	----------------	----------------	----------------
TOTAL LONG TERM INVESTMENTS/OTHER ASSETS	164,763,000	308,307,000	247,684,000	20,116,000	4,754,000
INTANGIBLE ASSETS
Deferred/Expenditure carried forward	-	-	-	16,677,000	7,483,000
Own goodwill	1,520,000	1,147,000	742,000	3,777,000	1,896,000
	----------------	----------------	----------------	----------------	----------------
TOTAL INTANGIBLE ASSETS	1,520,000	1,147,000	742,000	20,454,000	9,379,000
	----------------	----------------	----------------	----------------	----------------
TOTAL LONG TERM ASSETS	169,449,000	312,225,000	250,815,000	154,198,000	57,758,000
Stocks	27,703,000	4,294,000	7,572,000	726,485,000	403,712,000
Trade debtors	992,456,000	536,392,000	645,723,000	330,170,000	263,779,000
Other debtors, deposits & prepayments	231,792,000	252,313,000	419,694,000	305,344,000	278,428,000
Short term deposits	1,234,000	19,300,000	-	-	-
Amount due from related companies	79,536,000	-	-	-	-
Cash & bank balances	20,307,000	17,674,000	17,120,000	73,536,000	12,917,000
Others	579,980,000	332,440,000	267,089,000	551,163,000	162,602,000
	----------------	----------------	----------------	----------------	----------------
TOTAL CURRENT ASSETS	1,933,008,000	1,162,413,000	1,357,198,000	1,986,698,000	1,121,438,000
	----------------	----------------	----------------	----------------	----------------
TOTAL ASSET	2,102,457,000	1,474,638,000	1,608,013,000	2,140,896,000	1,179,196,000
	=============	=============	=============	=============	=============
CURRENT LIABILITIES
Trade creditors	698,559,000	292,254,000	367,239,000	284,937,000	219,948,000
Other creditors & accruals	21,202,000	49,281,000	35,422,000	182,085,000	234,844,000
Short term borrowings/Term loans	80,000,000	-	145,618,000	659,589,000	482,809,000
Amounts owing to related companies	325,800,000	-	-	-	-
Provision for taxation	3,631,000	7,422,000	11,354,000	12,574,000	487,000
Other liabilities	311,344,000	213,235,000	196,838,000	400,182,000	119,024,000
	----------------	----------------	----------------	----------------	----------------
TOTAL CURRENT LIABILITIES	1,440,536,000	562,192,000	756,471,000	1,539,367,000	1,057,112,000
	----------------	----------------	----------------	----------------	----------------
NET CURRENT ASSETS/(LIABILITIES)	492,472,000	600,221,000	600,727,000	447,331,000	64,326,000
	----------------	----------------	----------------	----------------	----------------
TOTAL NET ASSETS	661,921,000	912,446,000	851,542,000	601,529,000	122,084,000
	=============	=============	=============	=============	=============
SHARE CAPITAL
Ordinary share capital	73,574,000	73,574,000	73,574,000	48,574,000	48,574,000
	----------------	----------------	----------------	----------------	----------------
TOTAL SHARE CAPITAL	73,574,000	73,574,000	73,574,000	48,574,000	48,574,000
Capital reserve	652,000	652,000	1,052,000	-	-
General reserve	-	211,000	(29,000)	-	-
Retained profit/(loss) carried forward	290,304,000	244,526,000	164,021,000	61,386,000	37,701,000
Others	(62,000)	-	-	5,984,000	4,215,000
	----------------	----------------	----------------	----------------	----------------
TOTAL RESERVES	290,894,000	245,389,000	165,044,000	125,041,000	41,916,000
MINORITY INTEREST	-	-	-	1,146,000	416,000
	----------------	----------------	----------------	----------------	----------------
SHAREHOLDERS' FUNDS/EQUITY	364,468,000	318,963,000	238,618,000	174,761,000	90,906,000
Long term loans	297,128,000	593,463,000	612,924,000	411,756,000	25,785,000
Deferred taxation	20,000	20,000	-	14,451,000	4,906,000
Others	305,000	-	-	561,000	487,000
	----------------	----------------	----------------	----------------	----------------
TOTAL LONG TERM LIABILITIES	297,453,000	593,483,000	612,924,000	426,768,000	31,178,000
	----------------	----------------	----------------	----------------	----------------
	661,921,000	912,446,000	851,542,000	601,529,000	122,084,000
	=============	=============	=============	=============	=============

FINANCIAL RATIO

TYPES OF FUNDS
Cash	21,541,000	36,974,000	17,120,000	73,536,000	12,917,000
Net Liquid Funds	21,541,000	36,974,000	17,120,000	73,536,000	12,917,000
Net Liquid Assets	464,769,000	595,927,000	593,155,000	(279,154,000)	(339,386,000)
Net Current Assets/(Liabilities)	492,472,000	600,221,000	600,727,000	447,331,000	64,326,000
Net Tangible Assets	660,401,000	911,299,000	850,800,000	581,075,000	112,705,000
Net Monetary Assets	167,316,000	2,444,000	(19,769,000)	(705,922,000)	(370,564,000)
PROFIT & LOSS ITEMS
Earnings Before Interest & Tax (EBIT)	130,108,000	120,799,000	151,930,000	132,034,000	31,957,000
Earnings Before Interest, Taxes, Depreciation And Amortization (EBITDA)	131,582,000	122,008,000	152,559,000	137,646,000	35,366,000
BALANCE SHEET ITEMS
Total Borrowings	377,128,000	593,463,000	758,542,000	1,071,345,000	508,594,000
Total Liabilities	1,737,989,000	1,155,675,000	1,369,395,000	1,966,135,000	1,088,290,000
Total Assets	2,102,457,000	1,474,638,000	1,608,013,000	2,140,896,000	1,179,196,000
Net Assets	661,921,000	912,446,000	851,542,000	601,529,000	122,084,000
Net Assets Backing	364,468,000	318,963,000	238,618,000	174,761,000	90,906,000
Shareholders' Funds	364,468,000	318,963,000	238,618,000	174,761,000	90,906,000
Total Share Capital	73,574,000	73,574,000	73,574,000	48,574,000	48,574,000
Total Reserves	290,894,000	245,389,000	165,044,000	125,041,000	41,916,000
LIQUIDITY (Times)
Cash Ratio	0.01	0.07	0.02	0.05	0.01
Liquid Ratio	1.32	2.06	1.78	0.82	0.68
Current Ratio	1.34	2.07	1.79	1.29	1.06
WORKING CAPITAL CONTROL (Days)
Stock Ratio	1	0	0	35	27
Debtors Ratio	39	23	30	16	18
Creditors Ratio	28	12	18	14	15
SOLVENCY RATIOS (Times)
Gearing Ratio	1.03	1.86	3.18	6.13	5.59
Liabilities Ratio	4.77	3.62	5.74	11.25	11.97
Times Interest Earned Ratio	2.01	3.82	6.81	5.34	3.36
Assets Backing Ratio	8.98	12.39	11.56	11.96	2.32
PERFORMANCE RATIO (%)
Operating Profit Margin	0.70	1.03	1.65	1.41	0.41
Net Profit Margin	0.65	0.93	1.50	1.26	0.38
Return On Net Assets	19.66	13.24	17.84	21.95	26.18
Return On Capital Employed	19.61	13.22	17.83	21.19	24.23
Return On Shareholders' Funds/Equity	16.68	25.24	49.30	54.77	23.00
Dividend Pay Out Ratio (Times)	0.25	0.00	0.13	0.16	1.00
NOTES TO ACCOUNTS
Contingent Liabilities	0	0	0	0	0

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.63.89
UK Pound	1	Rs.99.10
Euro	1	Rs.70.12

INFORMATION DETAILS

Analysis Done by :	DIV
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%)

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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.