MIRA INFORM REPORT

Report No. :	350803
Report Date :	21.11.2015

IDENTIFICATION DETAILS

Name :	SIMI INTERNATIONAL SRL
Registered Office :	Calarasi county / 915400 Oltenita – Ion Heliade Radulescu Street Bl. N2, Ap. 2
Country :	Romania
Financials (as on) :	30.06.2015
Date of Incorporation :	March 2003
Legal Form :	Limited liability company
Line of Business :	Subject is engaged in trade of agricultural raw materials, live animals, textile raw materials and semi-finished products
No. of Employee :	2 (30.06.2015)

RATING & COMMENTS

MIRA’s Rating :

Ba

RATING		STATUS	PROPOSED CREDIT LINE
41-55	Ba	Overall operation is considered normal. Capable to meet normal commitments.	Satisfactory

Status :	Satisfactory
Payment Behaviour :	No complaints
Litigation :	Clear

NOTES :

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

ECGC Country Risk Classification List – March 31, 2015

Country Name	Previous Rating (31.12.2014)	Current Rating (31.03.2015)
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 the top vulnerabilities.

Source : CIA

NAME OF THE COMPANY

SIMI INTERNATIONAL SRL

Address

Calarasi county / 915400 Oltenita – Ion Heliade Radulescu Street Bl. N2, Ap. 2 (officially registered headquarters)

N.B.: the address supplied by you – Andronache Street no. 203, sector 2, Bucharest – is one of the company’s work-shops - see below, with the “Business Activity” chapter

Phone no.

Cell phone no.

0040-21-2200706

0040-723-399994

Fax no.

0040-21-2206384

Web-site

-

E-mail address

simiintl_srl@yahoo.com

HISTORIC/OFFICIAL DATA

Date of foundation

March, 2003

Present legal form

Limited liability company

Registered with the Trade Registry

J51/112/2003

VAT no.

15269687

Registered capital

25,200 RON

Shareholders

Unique owner, individual

Mrs. Khan Nicoleta – Romanian citizen, born on 18.04.1981

Participation

100%

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

EMPLOYEES

2010

2011

2012

2013

2014

30.06.2015

total

1

1

2

2

2

2

BUSINESS ACTIVITY

- Agents involved in the trade of agricultural raw materials, live animals, textile raw materials and semi-finished products, according to the National Trade Registry updated files (NACE: 4611)

According to the business directories

- import and distribution of sheep bowels

- import and distribution of textiles for children

- trade with other products

Work-shops, as officially registered with the National Trade Registry

1. Bucharest, sector 2 – Andronache Street No. 203

2. Bucharest, sector 2 – Moroieni Street No. 98-100, Complex Europa

OTHER PARTICIPATION

1. Company’s participation

not applicable

2. Shareholders other participation

not applicable

REAL ESTATE (RON)

2010

2011

2012

2013

2014

- lands

0

0

N/A

0

N/A

- buildings

280,500

269,880

N/A

265,900

N/A

- equipment

1,725

37,322

N/A

97,337

N/A

TANGIBLES*

313,374 RON, at 30.06.2015

*According to the accounting standards, for the middle of the year the company is not obliged to detail its tangible assets. Therefore, the real estates are included in “Tangibles” position among the other assets

BANKS

Transilvania Bank SA

MANAGEMENT

· as officially registered with the National Trade Registry

Administrator

Mrs. Khan Nicoleta;

Date of appointment is N/A; Mandate duration: unlimited

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

1 EURO = 4.4735 RON on 30.06.2015

FINANCIAL DATA: RON

BALANCE SHEET	31.12.2012	31.12.2013	31.12.2014	30.06.2015
INTANGIBLES - TOTAL	0	0	0	0
TANGIBLES - TOTAL	290,361	363,237	331,051	313,374
FINANCIALS - TOTAL	0	0	0	0
FIXED ASSETS - TOTAL	290,361	363,237	331,051	313,374
STOCKS - TOTAL	1,469,023	1,517,582	1,906,753	143,330
CLAIMS - TOTAL	1,065,493	1,065,266	1,109,707	3,046,662
CURRENT ASSETS	2,612,386	2,601,683	3,092,855	3,204,546
PREPAID EXPENSES	0	0	0	0
DEBTS WITHIN 1 YEAR	2,146,188	2,013,067	2,114,139	1,973,055
DEBTS OVER 1 YEAR	208,076	237,388	201,822	183,329
PROVISIONS	0	0	0	0
ADVANCED INCOMES	0	0	0	0
REGISTERED CAPITAL	25,200	25,200	25,200	25,200
RESERVES from reassessment of the fixed assets	52,352	69,612	69,612	69,612
RESERVES	15,381	15,381	15,381	15,381
PROFITS CARRIED FORWARD	299,089	455,551	604,271	997,752
NET RESULT - PROFIT	156,461	148,721	393,481	253,591
NET RESULT - LOSS	0	0	0	0
NET WORTH	548,483	714,465	1,107,945	1,361,536
PROFIT & LOSS ACCOUNT	31.12.2012	31.12.2013	31.12.2014	30.06.2015
Turnover	5,937,686	4,316,712	2,799,706	1,620,857
Own production & services	N/A	0	N/A	N/A
Sales	N/A	4,316,712	N/A	N/A
INCOMES FROM ORDINARY OPERATING ACTIVITY	5,937,686	4,316,712	2,816,442	1,620,857
Raw materials	N/A	7,392	N/A	N/A
Costs of goods sold	N/A	3,837,693	N/A	N/A
Wages	N/A	26,066	N/A	N/A
Depreciations & provisions	N/A	19,583	N/A	N/A
Other operating costs	N/A	199,238	N/A	N/A
COSTS OF ORDINARY OPERATING ACTIVITY	5,702,104	4,101,081	2,265,477	1,285,446
ORDINARY OPERATING RESULT - PROFIT	235,582	215,631	550,965	335,411
ORDINARY OPERATING RESULT - LOSS	0	0	0	0
FINANCIAL INCOMES	57,722	47,757	18,024	12,175
FINANCIAL COSTS	105,516	78,593	98,901	32,295
FINANCIAL RESULT - PROFIT	0	0	0	0
FINANCIAL RESULT - LOSS	47,794	30,836	80,877	20,120
CURRENT RESULT - PROFIT	187,788	184,795	470,088	315,291
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	5,995,408	4,364,469	2,834,466	1,633,032
TOTAL COSTS	5,807,620	4,179,674	2,364,378	1,317,741
PRETAX RESULT - PROFIT	187,788	184,795	470,088	315,291
PRETAX RESULT - LOSS	0	0	0	0
TAX ON PROFIT	31,327	36,074	76,607	61,700
NET RESULT - PROFIT	156,461	148,721	393,481	253,591
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 30.06.2015. As consequence, the responsibility for their accuracy belongs exclusively to the company.

OUR OPINION

based upon financial figures reported in the latest balance-sheet – 30.06.2015

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

Size

micro, considering the number of employees

Position & trend

Fair business volume, but with certain fluctuations of the turnover in the investigated period.

Since 2014 significant improvement of financial standing was registered and it looked well.

The payments behaviour stands correct, without delays.

Overall, the business relationships are feasible and the credit facilities are suitable.

31.12.2010

31.12.2011

31.12.2012

31.12.2013

31.12.2014

30.06.2015

Turnover

RON

1,154,268

3,121,347

5,937,686

4,316,712

2,799,706

1,620,857

EURO

269,387

722,584

1,340,729

962,542

624,642

362,324

Gross profit

RON

60,459

92,798

187,788

184,795

470,088

315,291

EURO

14,110

21,483

42,403

41,206

104,881

70,480

Net profit

RON

49,619

74,941

156,461

148,721

393,481

253,591

EURO

11,580

17,349

35,329

33,162

87,789

56,687

CREDITS & LOANS (ACTIVE BALANCE)

30.06.2015

CREDITS & LOANS (ACTIVE BALANCE)

N/A

BALANCE CLAIMS-DEBTS

Positive

Total claims; no further details are available

3,046,662

Total debts

2,156,384

- Short term; no further details are available

1,973,055

- Medium term; no further details are available

183,329

PAYMENT

PAYMENTS BEHAVIOR

Correct, no delays reported

PAYMENTS INCIDENTS, as

officially recorded with the Payment Incident Bureau

No incidents recorded in the period 20.11.2014 – 20.11.2015

BLACKLISTING (international sanctions)

Not applicable

2010

2011

2012

2013

2014

30.06.2015

Significantly improved lately, up to very good level

Liquidity analysis

- current ratio

1.24

1.16

1.22

1.29

1.46

1.62

- quick ratio

0.44

0.60

0.53

0.54

0.56

1.55

Solvability analysis

Improved lately, up to satisfactory condition

- the borrowing ratio (total debts/net worth)

3.96

5.59

4.29

3.15

2.09

1.58

Profitability analysis (%)

Significantly improved since 2014, up to very good level

- return on capital

15.65

19.12

28.53

20.82

35.51

18.63

- return on assets

3.16

2.90

5.39

5.02

11.49

7.21

- gross profit margin

5.24

2.97

3.16

4.28

16.79

19.45

Activity analysis

Defective debtors’ settlements – pay attention!

- debtor’s days

105

136

66

90

145

338

- creditor’s days

n/a

n/a

n/a

n/a

n/a

n/a

Stocks turnover, times/period

1.38

2.83

4.04

2.84

1.47

11.31

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.66.09
UK Pound	1	Rs.101.04
Euro	1	Rs.70.86

INFORMATION DETAILS

Analysis Done by :	HEE
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.