MIRA INFORM REPORT

Report No. :	324863
Report Date :	29.05.2015

IDENTIFICATION DETAILS

Name :	LCY CHEMICAL CORP.
Formerly Known As :	LEE CHANG YUNG CHEMICAL INDUSTRY CORPORATION
Registered Office :	No.3, Zhonglin Rd., Xiaogang Dist., Kaohsiung City 812
Country :	Taiwan
Financials (as on) :	30.09.2014
Date of Incorporation :	06.11.1965
Com. Reg. No.:	39054405
Legal Form :	Joint Stock Company
Line of Business :	Manufacture and sales of chemicals.
No of Employees :	About 800

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)
Taiwan	A2	A1

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

TAIWAN - ECONOMIC OVERVIEW

Taiwan has a dynamic capitalist economy with gradually decreasing government guidance of investment and foreign trade. Exports, led by electronics, machinery, and petrochemicals have provided the primary impetus for economic development. This heavy dependence on exports exposes the economy to fluctuations in world demand. Taiwan's diplomatic isolation, low birth rate, and rapidly aging population are other major long-term challenges. Free trade agreements have proliferated in East Asia over the past several years, and following the landmark Economic Cooperation Framework Agreement (ECFA) signed with China in June 2010, Taiwan in July 2013 signed a free trade deal with New Zealand—Taipei’s first-ever with a country with which it does not maintain diplomatic relations—and in November inked a trade pact with Singapore. Negotiations continue on follow-on components of ECFA regarding trade in goods and a dispute resolution mechanism; a trade in services agreement is under review in the legislature. Taiwan's Total Fertility rate of just over one child per woman is among the lowest in the world, raising the prospect of future labor shortages, falling domestic demand, and declining tax revenues. Taiwan's population is aging quickly, with the number of people over 65 accounting for 11.2% of the island's total population as of 2012. The island runs a large overall trade surplus largely because of its surplus with China, and its foreign reserves are the world's sixth largest, behind China, Japan, Saudi Arabia, Russia, and Switzerland. In 2006 China overtook the US to become Taiwan's second-largest source of imports after Japan. China is also the island's number one destination for foreign direct investment. Taiwan since 2009 has gradually loosened rules governing Chinese investment on the island, and has also secured greater market access for its investors in the mainland. In August 2012, Taiwan Central Bank signed a memorandum of understanding on cross-Strait currency settlement with its Chinese counterpart. The MOU allows for the direct settlement of Chinese RMB and the New Taiwan dollar across the Strait, which could help develop Taiwan into a local RMB hub. Closer economic links with the mainland bring greater opportunities for the Taiwan economy, but also poses new challenges as the island becomes more economically dependent on China while political differences remain unresolved.

Source : CIA

Contact Points

Company Name:	LCY CHEMICAL CORP.
Supplied Name:	LCY CHEMICAL CORP
Trading Address:	3 & 4F., No.85, Sec.4, Bade Rd., Songshan Dist., Taipei City 105, Taiwan (R.O.C.)
Supplied Address:	3F, No. 83, Sec 4, Bade Road, Taipei 105
Telephone Number:	+886-2-2763-1611
Fax Number:	+886-2-2748-2661
E-mail:	lcy@lcygroup.com

Notes: The exact name and address are as above.

Company Identification Details

Registered Name:	LCY CHEMICAL CORP.
Registered Address:	No.3, Zhonglin Rd., Xiaogang Dist., Kaohsiung City 812, Taiwan
Date of Foundation:	1965-11-6
Registration Number:	39054405
Registry:	Department of Commerce, Ministry of Economic Affairs, R.O.C.
Registered Capital:	NTD 10,000,000,000 (USD 329,000,000) (As of 2014.12, 1 NTD = 0.0329 USD)
Paid-up Capital:	NTD 8,529,593,680 (USD 280,623,632)
Legal Representatives:	Mouwei Li
Legal Form:	Joint Stock Company
Principal Activities:	Manufacture and sales of chemicals.
Staff:	About 800 Employees
Listed at Stock Exchange:	Yes Stock Symbol: 1704
Date of Last Annual Return:	2014-9-4

History

Subject was incorporated on 1965-11-6 with registered number 39054405 as Joint Stock Company in Taiwan.

Subject was listed on Taiwan Stock Exchange on 1977-12-17

Change of Name:

Former English Name	Lee Chang Yung Chemical Industry Corporation
Current English Name	LCY Chemical Corp.

Shareholders

Name	Subscription Shares
Mouwei Li	68,090,515
Wai Lih Company Limited	3,781,760
Shouren Wang	87,021
Minggong Li	150,289
Zhengcheng Wei	61,747
Fuju Co., Ltd (Literal Translation)	5,336,734

The information above is that of subject’s major shareholders.

Shareholder Information:

1
Registered Name:	Wai Lih Company Limited
Registered Address:	7F., No.83, Sec. 4, Bade Rd., Songshan Dist., Taipei City 10561, Taiwan R.O.C.
Date of Foundation:	2011-3-31
Registration Number:	53325631
Registry:	Taipei City Government
Registered Capital:	NTD 70,000,000 (USD 2,303,000) (As of 2014.12, 1 NTD = 0.0329 USD)
Paid-up Capital:	NTD 70,000,000 (USD 2,303,000)
Legal Representatives:	Zhenfang Li
Legal Form:	Joint Stock Company
Date of Last Annual Return:	2013-6-11
2
Registered Name:	Fuju Co., Ltd (Literal Translation)
Address:	7F-2, No. 1, Guangfu South Rd., Songshan Dist., Taipei City, Taiwan
Date of Foundation:	2009-8-14
Registration Number:	24455542
Registry:	Taipei City Government
Registered Capital:	NTD 50,000,000 (USD 1,645,000) (As of 2014.12, 1 NTD = 0.0329 USD)
Paid-up Capital:	NTD 50,000,000 (USD 1,645,000)
Legal Representatives:	Xunjia Zhuang
Legal Form:	Joint Stock Company
Listed at Stock Exchange:	No
Date of Last Annual Return:	2013-4-29

Subsidiaries & Branches

Branch:

Branch Registered Number	53016522
Branch Status	Active
Branch Name	Nanzi Branch
Branch Manager	Qinzhou Lin
Branch Address:	No 68,Yan-Fa Rd, Sec Dist, Nanzi Export Processing Zone ,Kaohsiung City 811,Taiwan R.O.C.
Date of Incorporation	2011-8-19
Telephone Number:	+886-7-364-8814
Fax Number:	+886-7-364-4029
Date of Last Annual Return:	2014-10-14

Factories

1
Name:	Dashe Factory
Address:	No. 2, Jingjian Road, Sannai Alley, Dashe District, Gaoxiong City
Date of Foundation:	2006-4-1
Date of Registration:	1990-12-31
Factory Registration Number:	99661849
Factory Manager:	Xizhou Wang
Status:	In Production
Date of Last Annual Return:	2011-2-23
Major Products	185 Man-made fiber 184 Synthetic resin, plastic and rubber
2
Name:	Linyuan Factory
Address:	No. 11, Shihua 3 Road, Linyuan District, Gaoxiong City
Date of Foundation:	1984-7-28
Date of Registration:	1990-12-31
Factory Registration Number:	99661372
Factory Manager:	Cangren Liu
Status:	In Production
Date of Last Annual Return:	2014-7-25
Major Products	181 Basic chemical materials 170 Petroleum and coal products
3
Name:	Xiaogang Factory
Address:	No. 20/18/16, Zhonglin Road, Fenggong Alley 812, Xiaogang District, Gaoxiong City.
Date of Foundation:	1995-2-14
Date of Registration:	1996-5-10
Factory Registration Number:	64005174
Factory Manager:	Maoxian Li
Status:	In Production
Date of Last Annual Return:	2014-3-18
Major Products	184 Synthetic resin, plastic and rubber 181 Basic chemical materials
4
Name:	Kaohsiung Port Storage And Transportation Station
Address:	No. 2-1, Guohua 2 Street, Zhenbei Alley, Qianzhen District, Gaoxiong City
Date of Foundation:	1979-6-27
Date of Registration:	1981-5-16
Factory Registration Number:	64003372
Factory Manager:	Sheng Lu Zeng
Status:	In Production
Date of Last Annual Return:	2014-11-5
Major Products	199 Other chemical products
5
Name:	Kaohsiung Factory
Address:	No. 3, Zhonglin Road, Shanming Alley, Xiaogang District, Gaoxiong City
Date of Registration:	1969-7-10
Factory Registration Number:	64000127
Factory Manager:	Junjie Huang
Status:	In Production
Date of Last Annual Return:	2013-11-19
Major Products	199 Other chemical products
6
Name:	Nanzi Processing and Exporting Zone First Factory
Address:	No. 68, Yanfa Rd., The Second Park, Nanzi Processing and Exporting Zone, Nanzi Dist., Gaoxiong City, Taiwan
Date of Registration:	2014-9-11
Factory Registration Number:	90N00831
Factory Manager:	Qinzhou Lin
Status:	In Production
Date of Last Annual Return:	2014-9-11
Major Products	210 rubber products

Personnel Information

Core Management

Directors

1
Name	Mouwei Li
Position	Board Chairman & Manager
Date of Appointment	1990-4-1
2
Name	Shouren Wang
Position	Director
3
Name	Saifen Yang
Position	Director
4
Name	Minggong Li
Position	Director
5
Name	Zhengcheng Wei
Position	Director
6
Name	Yage Wang
Position	Independent Director
7
Name	Xunjia Zhuang
Position	Supervisor
9
Name	Kuncan Wang
Position	Supervisor

Personnel Structure

Total Employees

About 800 Employees

Operation Information

Offices & Factories

	Headquarters
Add	3 & 4F., No.85, Sec.4, Bade Rd., Songshan Dist., Taipei City 105, Taiwan (R.O.C.)

Production Information

· Subject is engaged in manufacturing of chemicals

· Subject has factories in Taiwan and the mainland of China for production.

· It is introduced that subject has obtained the certification of ISO 14001.

Purchase Information

· The registered activities of subject:

Business Code	Details
C801020	Manufacture of chemical materials
C801100	Manufacture of China Synthetic Resin and Plastics
C801060	Manufacture of synthetic rubber
G801010	Warehousing Industry
C801010	Basic Chemical Industry
C802120	Manufacture of industrial additives
C802200	Manufacture of Coating paint dye and pigment
F107990	Wholesales of other chemical products
F207990	Retails of other chemical products
D201040	Liquefied petroleum gas (LPG) packaging industry
C803011	Oil Refinery Industry
JE01010	Leasing Industry
F112040	Wholesales of petroleum products
F212050	Retails of petroleum products
F401010	International Trading Business
F112010	Wholesales of Petrol ang diesel fumes
F107200	Wholesales of chemical materials
F207200	Retails of chemical materials
F401151	Import of petroleum
F401100	Export of petroleum
ZZ99999	Besides licensed business, all other business items those are not banned or restricted.

· Subject’s raw materials for production are both purchased at home and abroad.

Sales Information

· Subject is mainly engaged in sale of chemicals

· The major products sold by the subject are polypropylene (PP), solvents and other chemical products, methanol products, ethyl acetate, isopropyl alcohol and methyl isobutyl ketone, PP related products, thermoplastic rubber and liquefied petroleum gas (LPG)

· The sales regions of the subject are Asia, Europe, America, Australia and etc.

· Subject’s products are mainly used for manufacturing of resins, agricultural pesticides, catalysts, medicines, paintings, inks, artificial leather products, shoes, industrial products, electronic components, toys and electrical appliances, etc.

· Subject’s major customers are chemical industry and other manufacturing industry.

Import and export right:

Import right	Yes
Export right	Yes

Settlements

Purchase

Domestic Purchase

Products	Raw materials
Payment Terms	T/T, Cash, etc.

Import

Products	Raw materials
Payment Terms	L/C, T/T, etc.

Sales

Domestic Markets

Product	Chemicals
Selling Terms	T/T, Cash, etc.

Export

Product	Chemicals
Selling Terms	L/C, T/T, etc.

Financial Information

Subject didn’t submit its individual financial information; we obtained its consolidated financials. We cannot obtain the whole year financial information and the following quarters’ financial information for reference.

Consolidated Balance Sheet

Unit: NTD/000

	2014-9-30	2013-9-30
Assets
Current assets
Cash and cash equivalents
Total cash and cash equivalents	8,272,952	9,557,877
Current financial assets at fair value through profit or loss
Total current financial assets at fair value through profit or loss	243,253	1,991,973
Current available-for-sale financial assets
Current available-for-sale financial assets, net	202,619	2,313,862
Current held-to-maturity financial assets
Current held-to-maturity financial assets, net	0	150,829
Notes receivable, net
Notes receivable, net	887,396	910,718
Notes receivable due from related parties, net
Notes receivable due from related parties, net	14,682	0
Accounts receivable, net
Accounts receivable, net	2,492,670	3,517,993
Accounts receivable due from related parties, net
Accounts receivable due from related parties, net	40,017	28,432
Other receivables
Other receivables, net	318,855	585,772
Other receivables due from related parties
Other receivables due from related parties, net	1,430	1,421
Inventories
Total inventories	6,221,143	5,594,180
Prepayments
Total prepayments	779,084	615,285
Other current assets
Other current financial assets	1,444,592	298,080
Other current assets, others	293,056	497,132
Total other current assets	1,737,648	795,212
Total current assets	21,211,749	26,063,554
Non-current assets
Non-current available-for-sale financial assets
Non-current available-for-sale financial assets, net	100,566	105,232
Held-to-maturity non-current financial assets
Non-current held-to-maturity financial assets, net	0	240,664
Non-current financial assets at cost
Non-current financial assets at cost, net	2,806,099	2,476,313
Investments accounted for using equity method
Investments accounted for using equity method, net	161,846	77,210
Property, plant and equipment
Total property, plant and equipment	15,624,005	28,547,135
Intangible assets
Other intangible assets, net
Other intangible assets, net	47,214	54,466
Total intangible assets	47,214	54,466
Deferred tax assets	139,154	207,629
Other non-current assets
Other non-current financial assets
Total other non-current financial assets	55,419	40,157
Long-term prepaid rents	342,531	329,576
Other non-current assets, others
Total other non-current assets, others	183,503	112,894
Total other non-current assets	581,453	482,627
Total non-current assets	19,460,337	32,191,276
Total assets	40,672,086	58,254,830
Liabilities
Current liabilities
Short-term borrowings
Total short-term borrowings	4,710,156	5,584,264
Short-term notes and bills payable
Total short-term notes and bills payable	0	149,781
Current financial liabilities at fair value through profit or loss
Total current financial liabilities at fair value through profit or loss	0	9,543
Notes payable
Total notes payable	724	4,697
Accounts payable
Total accounts payable	2,026,318	3,184,020
Accounts payable to related parties
Total accounts payable to related parties	31,250	216,028
Other payables
Total other payables	1,853,268	1,855,599
Other payables to related parties	167	8
Current tax liabilities	11,494	118,749
Other current liabilities
Advance receipts
Total advance receipts	157,144	269,568
Long-term liabilities, current portion
Total long-term liabilities, current portion	14,175,633	2,460,357
Current lease obligations payable	202,693	45,930
Other current liabilities, others	8,639	31,123
Total other current liabilities	14,544,109	2,806,978
Total current liabilities	23,177,486	13,929,667
Non-current liabilities
Bonds payable
Total bonds payable	0	1,976,780
Long-term borrowings
Total long-term borrowings	3,128,571	14,156,562
Deferred tax liabilities
Total deferred tax liabilities	3,929,041	3,877,129
Other non-current liabilities
Long-term notes and accounts payable
Non-current lease obligations payable	0	197,029
Total long-term notes and accounts payable	0	197,029
Long-term deferred revenue	13,628	15,301
Guarantee deposits received	3,387	2,248
Total other non-current liabilities	17,015	214,578
Total non-current liabilities	7,074,627	20,225,049
Total liabilities	30,252,113	34,154,716
Ordinary share	8,529,594	8,532,424
Total capital stock	8,529,594	8,532,424
Capital surplus
Total capital surplus	9,177,510	9,178,926
Retained earnings
Legal reserve	2,202,110	2,202,110
Special reserve	1,561,927	1,561,927
Unappropriated retained earnings (accumulated deficit)
Total unappropriated retained earnings (accumulated deficit)	-7,354,177	1,923,250
Total retained earnings	-3,590,140	5,687,287
Other equity interest
Total other equity interest	-42,955	-447,865
Treasury shares	0	0
Total equity attributable to owners of parent	14,074,009	22,950,772
Non-controlling interests	-3,654,036	1,149,342
Total equity	10,419,973	24,100,114
Number of share capital awaiting retirement	0	0
Equivalent issue shares of advance receipts for ordinary share	0	0
Number of shares in entity held by entity and by its subsidiaries	0	0

Consolidated Profit and Loss Account

Unit: NTD/000

	2014-9-30	2013-9-30
Operating revenue
Net sales revenue
Net sales revenue	34,164,103	37,291,267
Rental revenue
Total rental revenue	170,407	166,059
Total operating revenue	34,334,510	37,457,326
Operating costs
Cost of sales
Total cost of sales	33,678,502	35,474,196
Cost of rental sales
Total cost of rental sales	64,374	66,237
Total operating costs	33,742,876	35,540,433
Gross profit (loss) from operations	591,634	1,916,893
Gross profit (loss) from operations	591,634	1,916,893
Operating expenses
Selling expenses
Total selling expenses	1,191,148	1,218,368
Administrative expenses
Total administrative expenses	567,051	491,404
Research and development expenses
Total research and development expenses	246,856	216,824
Total operating expenses	2,005,055	1,926,596
Net operating income (loss)	-1,413,421	-9,703
Non-operating income and expenses
Other income
Total other income	598,428	1,126,171
Other gains and losses
Other gains and losses, net	-11,143,572	-494,178
Finance costs
Finance costs, net	437,245	343,868
Share of profit (loss) of associates and joint ventures accounted for using equity method
Share of profit (loss) of associates and joint ventures accounted for using equity method, net	-14,379	-266
Total non-operating income and expenses	-10,996,768	287,859
Profit (loss) from continuing operations before tax	-12,410,189	278,156
Tax expense (income)
Total tax expense (income)	22,240	677,711
Profit (loss) from continuing operations	-12,432,429	-399,555
Profit (loss)	-12,432,429	-399,555
Other comprehensive income
Exchange differences on translation	319,910	322,154
Unrealized gains (losses) on valuation of available-for-sale financial assets	-1,736	19,125
Other comprehensive income	-54,384	-54,877
Other comprehensive income, net	263,790	286,402
Total comprehensive income	-12,168,639	-113,153
Profit (loss), attributable to:
Profit (loss), attributable to owners of parent	-7,850,406	546,576
Profit (loss), attributable to non-controlling interests	-4,582,023	-946,131
Comprehensive income attributable to:
Comprehensive income, attributable to owners of parent	-7,586,308	833,695
Comprehensive income, attributable to non-controlling interests	-4,582,331	-946,848
Basic earnings per share
Total basic earnings per share	-9.20	0.64
Diluted earnings per share
Total diluted earnings per share	0.00	0.63

Consolidated Profit and Cash Flow

Unit: NTD/000

	2014-9-30	2013-9-30
Cash flows from (used in) operating activities, indirect method
Profit (loss) from continuing operations before tax	-12,410,189	278,156
Profit (loss) before tax	-12,410,189	278,156
Adjustments
Adjustments to reconcile profit (loss)
Depreciation expense	1,728,187	2,042,628
Amortization expense	19,459	37,945
Provision (reversal of provision) for bad debt expense	-2,361	2,564
Net loss (gain) on financial assets or liabilities at fair value through profit or loss	-58,262	-87,364
Interest expense	437,245	343,868
Interest income	-75,838	-66,186
Dividend income	-487,473	-998,979
Share-based payments	60,397	104,285
Share of loss (profit) of associates and joint ventures accounted for using equity method	14,379	266
Loss (gain) on disposal of property, plan and equipment	5,618	3,525
Property, plan and equipment transferred to expenses	10,353	4,358
Loss (gain) on disposal of investments	-40,812	-11,405
Reversal of impairment loss on financial assets	-18,990	0
Impairment loss on non-financial assets	11,219,355	753,394
Reversal of impairment loss on non-financial assets	-350,426	-502,573
Unrealized foreign exchange loss (gain)	-3,587	24,881
Other adjustments to reconcile profit (loss)	-5,200	-777
Total adjustments to reconcile profit (loss)	12,452,044	1,650,430
Changes in operating assets and liabilities
Changes in operating assets
Decrease (increase) in financial assets held for trading	1,393	182
Decrease (increase) in notes receivable	-13,276	638,505
Decrease (increase) in notes receivable due from related parties	-11,608	0
Decrease (increase) in accounts receivable	984,213	-609,921
Decrease (increase) in accounts receivable due from related parties	-4,358	-20,353
Decrease (increase) in other receivable	181,508	-14,499
Decrease (increase) in other receivable due from related parties	500	-387
Decrease (increase) in inventories	325,264	649,420
Decrease (increase) in prepayments	81,457	-22,555
Decrease (increase) in other current assets	-58,821	-16,886
Total changes in operating assets	1,486,272	603,506
Changes in operating liabilities
Increase (decrease) in financial liabilities held for trading	951	-30,074
Increase (decrease) in notes payable	-3,743	-2,152
Increase (decrease) in accounts payable	-1,422,336	-169,587
Increase (decrease) in accounts payable to related parties	-367,030	97,867
Increase (decrease) in other payable	-264,761	-318,037
Increase (decrease) in other payable to related parties	55	8
Increase (decrease) in receipts in advance	-166,906	-25,413
Increase (decrease) in other current liabilities	-29,997	23,634
Increase (decrease) in other operating liabilities	3,690	0
Total changes in operating liabilities	-2,250,077	-423,754
Total changes in operating assets and liabilities	-763,805	179,752
Total adjustments	11,688,239	1,830,182
Cash inflow (outflow) generated from operations	-721,950	2,108,338
Interest paid	-316,663	-321,929
Income taxes refund (paid)	-99,022	-515,403
Net cash flows from (used in) operating activities	-1,137,635	1,271,006
Cash flows from (used in) investing activities
Acquisition of financial assets at fair value through profit or loss, designated as upon initial recognition	-5,808,836	-9,306,837
Proceeds from disposal of financial assets at fair value through profit or loss, designated as upon initial recognition	7,590,472	9,903,690
Acquisition of available-for-sale financial assets	-1,729,557	-2,427,406
Proceeds from disposal of available-for-sale financial assets	4,510,140	4,319,740
Proceeds from capital reduction of available-for-sale financial assets	23,903	21,510
Proceeds from disposal of held-to-maturity financial assets	1,053,082	0
Acquisition of financial assets at cost	-300,767	-121,964
Proceeds from disposal of financial assets at cost	1,509	364,661
Proceeds from capital reduction of financial assets at cost	79,199	100,495
Acquisition of investments accounted for using equity method	0	-48,000
Increase in prepayments for investments	-100,612	0
Decrease in prepayments for investments	4,902	0
Acquisition of property, plant and equipment	-979,049	-1,272,326
Proceeds from disposal of property, plant and equipment	1,436	665
Increase in refundable deposits	-41,605	-35,972
Decrease in refundable deposits	33,005	54,717
Acquisition of intangible assets	-475	-3,095
Increase in other financial assets	-2,648,350	-1,153,946
Decrease in other financial assets	1,566,040	1,052,701
Increase in prepayments for business facilities	-51,389	-57,232
Decrease in prepayments for business facilities	1,699	0
Increase in other prepayments	-80,053	0
Decrease in other prepayments	70,989	0
Interest received	81,545	66,579
Dividends received	487,473	998,979
Net cash flows from (used in) investing activities	3,764,701	2,456,959
Cash flows from (used in) financing activities
Increase in short-term loans	9,926,326	7,912,899
Decrease in short-term loans	-11,571,736	-8,653,980
Increase in short-term notes and bills payable	0	149,781
Decrease in short-term notes and bills payable	-149,944	0
Proceeds from long-term debt	200,000	0
Repayments of long-term debt	-1,303,413	-180,555
Increase in guarantee deposits received	815	2
Decrease in guarantee deposits received	-2	-696
Decrease in lease payable	-35,292	-33,280
Cash dividends paid	-426,621	-639,932
Payments to acquire treasury shares	-10,047	0
Acquisition of ownership interests in subsidiaries	800	0
Change in non-controlling interests	43,044	0
Net cash flows from (used in) financing activities	-3,326,070	-1,445,761
Effect of exchange rate changes on cash and cash equivalents	162,799	-1,229
Net increase (decrease) in cash and cash equivalents	-536,205	2,280,975
Cash and cash equivalents at beginning of period	8,809,157	7,276,902
Cash and cash equivalents at end of period	8,272,952	9,557,877
Cash and cash equivalents reported in the statement of financial position	8,272,952	9,557,877

Bankers

Subject did not introduce its bank details; from other source we can not obtain the relevant information, either.

Public Record

Mortgage

Case Type:	Chattel Mortgage
Certificate No.:	024592
Debtor Name:	Lcy Chemical Corp.
Document Number:	068481
Date of Registration:	1986/2/27
Date of Alteration:	1986/2/27

Lawsuit

1
Trial Number:	2014, xiongxiao, 1395
Date of Trial:	2014-8-29
Reason:	Payment for service fee
Claimant:	Lcy Chemical Corp.
Defendant:	Ancheng Environment and Technology Co., Ltd. (Literal Translation)
2
Trial Number:	2011,xiongxiao, 1381
Date of Trial:	2011-11-15
Reason:	Payment for maintain fee
Claimant:	--
Defendant:	--

Interview Details

Department

Sales department

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.63.90
UK Pound	1	Rs.98.16
Euro	1	Rs.69.74

INFORMATION DETAILS

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.