MIRA INFORM REPORT

Report No. :	343538
Report Date :	08.10.2015

IDENTIFICATION DETAILS

Name :	ARPAK SP. Z O.O.
Registered Office :	ul. Wierzbowa 30 63-720 Koźmin Wielkopolski
Country :	Poland
Financials (as on) :	31.12.2014
Date of Incorporation :	14.09.2000
Legal Form :	Limited liability company
Line of Business :	Manufacture of paper articles; Manufacture of corrugated paper and paperboard and of containers of paper and paperboard Other wholesale
No. of Employees :	42 (2011)

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

Maximum Credit Limit :	PLN 641 000,00
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)
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. The unemployment rate is now below 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 2013 and picked back up in 2014. 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, especially for entrepreneurs. Poland’s long-term challenges include diversifying Poland’s energy mix and sources of supply, as well as stemming the outflow of educated young Poles to other EU Member States, especially in light of a coming demographic contraction as the Solidarity-era baby boom generation ages.

Source : CIA

Company summery

ARPAK Sp. z o.o.
ul. Wierzbowa 30 63-720 Koźmin Wielkopolski
Phone:		62 7216744
Fax:		62 7216199
E-mail:		arpak@lege.com.pl
Website:		www.arpak.pl
Legal form	Limited liability company		(5
Stat.no.	251012158
Tax ID	PL 6211632160
Establishment 14.09.2000			(5

Registration: 02.12.2002, District Court Poznań IX Department, KRS 141619

Data concerning previous registrations:

19.09.2000, District Court Kalisz, RHB 2219

Shareholders Alicja Spruta , personal ID no. (PESEL) PLN 25 000,00

62122306183, ul. Horacego 17/1, 60-461 Poznań 50,00%

Elżbieta Spruta , personal ID no. (PESEL) PLN 25 000,00

59071710181, Głoginin 1, 63-810 Borek 50,00%

Wielkopolski

list entered to NCR /KRS/ on 02.12.2002

Initial Capital PLN 50 000,00

Information about: 9410186705

ARPAK Sp. z o.o.

Initial capital divided into 500 shares of PLN

100,00 each

Management Leszek Spruta , personal ID no. (PESEL) 62040208998, ul. Irzykowskiego

8, 60-461 Poznań

- president

Proxies:

Katarzyna Anna Wałęsa , personal ID no. (PESEL) 78021810368, ul.

Borecka 23, 63-720 Koźmin Wielkopolski

- independent proxy

Representation:

Each member of the board of directors individually

Main activity Manufacture of paper articles;

Branches NACE 2007:

Manufacture of corrugated paper and

paperboard and of containers of paper and

paperboard

(C.17.21.Z)

Other wholesale (G.46.90.Z)

	Other wholesale		(G.46.90.Z)
Employment	2007:	40	employees
	2008:	39	employees
	2009:	39	employees
	2010:	38	employees
	2011:	42	employees

Turnover	2010	PLN	17 087 5
	2011	PLN	22 039 8
	2012	PLN	22 426 4
	2013	PLN	21 406 7
	2014	PLN	23 728 8

Financial statements

Information about:

9410186705

Source of financial data	Court	Court	Court	Court
	annual	annual	annual	annual
Personal balance sheet as at	31.12.2014	31.12.2013	31.12.2012	31.12.2011
	(PLN)	(PLN)	(PLN)	(PLN)
-A. Fixed assets...	7 440 602,75	5 439 801,25	5 520 418,51	6 073 573,34
- II. Tangible assets...	7 439 122,75	5 428 038,25	5 485 860,51	6 063 950,49
-1. Fixed goods...	4 721 787,90	4 490 390,63	5 162 191,27	6 063 950,49
-a) land...	10 094,33	11 536,37	12 978,41	14 420,45
-b) buildings, premises, facilities...	1 525 110,16	1 578 258,16	1 631 406,16	1 684 554,16
-c) machinery and equipment...	2 648 434,22	2 583 608,67	3 169 073,49	4 017 534,26
-d) fleet of motor vehicles...	503 032,75	284 797,21	315 494,15	309 578,72
-e) other fixed goods...	35 116,44	32 190,22	33 239,06	37 862,90
-2. Fixed goods under construction...	2 401 686,85	932 249,90	323 669,24
-3. Prepayments for fixed goods under construction...	315 648,00	5 397,72
- IV. Long term investments...				9 622,85
-4. Other long-term investments...				9 622,85
-V. Long-term prepayments and accrued income...	1 480,00	11 763,00	34 558,00
-1. Deferred tax assets...	1 480,00	11 763,00	34 558,00
-B. Current assets...	7 564 650,45	10 222 672,87	10 511 332,16	8 853 901,39
- I. Stock...	1 702 985,69	1 486 692,08	1 233 974,07	1 929 237,31
-1. Raw materials...	1 543 463,55	1 429 571,70	1 118 998,90	1 764 762,41
-3. Finished products...	11 987,17	57 120,38	95 122,24	16 103,58
-5. Advance payments ...	147 534,97		19 852,93	148 371,32
- II. Short-term receivables...	4 267 420,98	3 779 457,34	4 292 421,48	3 784 962,75
-2. Other receivables ...	4 267 420,98	3 779 457,34	4 292 421,48	3 784 962,75
-a) Due to deliveries and	3 606 324,58	3 503 461,19	4 090 070,24	3 524 811,97
services with payment period:...
- up to 12 months...	3 606 324,58	3 503 461,19	4 090 070,24	3 524 811,97
-b) Due to taxes, subsidies,	651 225,45	264 698,81	180 535,76	254 127,14
insurances, duties
-c) Other...	9 870,95	11 297,34	21 815,48	6 023,64
- III. Short term investments...	1 560 470,11	4 905 872,45	4 893 024,74	2 986 257,16
-1. Short-term financial assets...	1 560 470,11	4 905 872,45	4 893 024,74	2 986 257,16
-c) cash and other liquid assets...	1 560 470,11	4 905 872,45	4 893 024,74	2 986 257,16
- cash in hand and on bank account...	1 060 470,11	3 163 872,45	4 893 024,74	1 544 577,16
-other liquid assets...	500 000,00	1 742 000,00		1 441 680,00
-IV. Short-term prepayments and accrued income...	33 773,67	50 651,00	91 911,87	153 444,17
-D. Total assets...	15 005 253,20	15 662 474,12	16 031 750,67	14 927 474,73
-A. Shareholders' equity...	13 090 026,73	12 638 311,03	13 595 886,07	12 271 006,28
- I. Basic share capital...	50 000,00	50 000,00	50 000,00	50 000,00
- IV. Statutory reserve capital...	9 248 311,03	9 245 886,07	9 221 006,28	8 157 307,20
- VIII. Net profit (loss)...	3 791 715,70	3 342 424,96	4 324 879,79	4 063 699,08
-B. Liabilities and reserves for liabilities...	1 915 226,47	3 024 163,09	2 435 864,60	2 656 468,45
- I. Reserves for liabilities...	11 045,00	3 145,00	5 742,00
-1. Deferred income tax reserves..	11 045,00	3 145,00	5 742,00
-II. Long-term liabilities...	189 455,30
-2. Other liabilities...	189 455,30
-c) Other financial liabilities...	189 455,30
-III. Short-term liabilities...	1 172 499,66	2 177 240,59	1 276 559,82	1 193 120,39
-2. Other liabilities...	1 172 499,66	2 177 240,59	1 276 559,82	1 193 120,39
-c) Other financial liabilities...	115 247,28
-d)Due to deliveries and	947 555,62	2 021 012,72	1 120 911,20	971 642,85
- up to 12 months...	947 555,62	2 021 012,72	1 120 911,20	971 642,85
e) Advances received...	15 250,08
g) Due to taxes, subsidies,	89 850,23	88 848,70	150 987,50	218 068,64
insurances, duties...
h) Due to salaries...	4 596,45	3 180,66	3 117,42	3 408,90
i) Other...		64 198,51	1 543,70
-IV. Accruals and deferred income...	542 226,51	843 777,50	1 153 562,78	1 463 348,06
2. Other accruals...	542 226,51	843 777,50	1 153 562,78	1 463 348,06
- long-term...	309 450,87	542 226,51		1 153 562,78
- short-term...	232 775,64	301 550,99		309 785,28
-D. Total liabilities...	15 005 253,20	15 662 474,12	16 031 750,67	14 927 474,73

Source of financial data	Court	Court	Court	Court
	annual	annual	annual	annual
individual PROFIT AND LOSS ACCOUNT	01.01.2014-	01.01.2013-	01.01.2012-	01.01.2011-
	31.12.2014	31.12.2013	31.12.2012	31.12.2011
	(PLN)	(PLN)	(PLN)	(PLN)
-A. Income from sales and similar...	23 728 857,80	21 406 728,38	22 426 434,15	22 039 847,51
- - including related companies...		285 497,76
- I. Net income on sales...	23 631 233,48	21 290 812,68	22 321 819,48	19 983 213,41
- II. Change in value of stock (+, -)...	-45 133,21	-38 001,86	79 018,66	3 183,96
- IV. Income from sales of goods	142 757,53	153 917,56	25 596,01	2 053 450,14
and materials...
-B. Operational costs...	19 554 543,08	17 663 203,70	17 215 993,70	17 697 642,98
- I. Depreciation...	1 014 752,01	1 039 036,01	1 007 883,72	1 003 378,53
- II. Materials and energy...	11 371 632,09	10 641 248,17	10 529 607,81	9 694 768,57
- III. Third party services...	3 720 187,11	2 980 384,89	2 980 235,89	2 546 136,85
- IV. Taxes and duties...	163 897,50	187 928,06	186 053,50	176 415,64
- V. Salaries and wages...	2 506 794,70	1 978 634,63	1 864 009,54	1 695 264,25
- VI. Social security...	484 653,70	459 347,98	418 559,84	355 631,90
- VII. Other...	149 868,44	222 706,40	204 047,39	172 597,10
- VIII.Costs of goods and materials sold...	142 757,53	153 917,56	25 596,01	2 053 450,14
-C. Profit on sale...	4 174 314,72	3 743 524,68	5 210 440,45	4 342 204,53
-D. Other operating incomes...	340 921,44	314 800,83	310 197,95	319 372,23
- I. Incomes from disposal non-financial assets...	20 383,27	406,50		16 909,31
- II. Subsidies...	301 550,99	309 785,28	309 785,28	300 164,58
- III. Other operating incomes...	18 987,18	4 609,05	412,67	2 298,34
-E. Other operating costs...	36 338,94	26 501,19	48 590,76	23 641,65
- III. Other operating costs...	36 338,94	26 501,19	48 590,76	23 641,65
-F. Profit on operating activities...	4 478 897,22	4 031 824,32	5 472 047,64	4 637 935,11
-G. Financial incomes...	199 223,12	146 193,81	284 044,78	797 877,28
- II. Interest received...	49 221,25	86 022,29	91 114,70	42 916,81
- V. Other...	150 001,87	60 171,52	192 930,08	754 960,47
-H. Financial costs...	5 042,64	1 114,17	402 122,63	562 767,31
- I. Interest...	4 111,99	467,04	2 028,33	3 533,32
- IV. Other...	930,65	647,13	400 094,30	559 233,99
-I. Profit on economic activity...	4 673 077,70	4 176 903,96	5 353 969,79	4 873 045,08
-K. Gross profit...	4 673 077,70	4 176 903,96	5 353 969,79	4 873 045,08
-L. Corporation tax...	881 362,00	834 479,00	1 029 090,00	809 346,00
-N. Net profit...	3 791 715,70	3 342 424,96	4 324 879,79	4 063 699,08

Ratios	01.01.2014 31.12.2014	01.01.2013 31.12.2013	01.01.2012 31.12.2012	01.01.2011 31.12.2011
Current ratio	6,45	4,70	8,23	7,42
Quick ratio	4,97	3,99	7,20	5,68
Immediate ratio	1,33	2,25	3,83	2,50
Return on sale	15,98	15,61	19,35	18,44
Return on assets	25,27	21,34	26,98	27,22
Return on equity	28,97	26,45	31,81	33,12
Average trade debtors' days	65,64	64,44	70,30	62,69
Average stock turnover's days	26,20	25,35	20,21	31,95
average payables payment period	18,04	37,12	20,91	19,76
Total indebtedness ratio	12,76	19,31	15,19	17,80

While rating the company, it is advisable

to take into consideration information about the branch, the company is acting in

(C.17.21.Z - NACE 2007), as at :	31.03.2015	31.12.2014	31.12.2013	31.12.2012	31.12.2011
Current ratio...	1,86	1,73	1,69	1,51	1,45
Quick ratio...	1,49	1,35	1,30	1,14	1,08
Immediate ratio...	0,37	0,40	0,34	0,24	0,18
Return on sale...	6,88	7,31	6,51	5,56	4,59
Return on assets...	1,93	8,60	7,95	6,68	5,40
Return on equity...	3,28	15,41	14,31	12,59	10,96
Average trade debtors' days...	73,83	74,04	74,36	75,74	82,37
Average stock turnover's days...	27,69	29,35	30,49	32,12	33,17
average payables payment period...	79,15	81,44	79,36	87,12	93,93
Total indebtedness ratio...	41,04	44,20	44,41	46,95	50,70
Percent share in the examinated group
of companies with net profit...	86,50	87,20	90,30	86,50	78,40
Sales/revenue per employee in th. PLN...	146,74	567,22	546,37	506,77	469,78
Average sales/revenue per company in th. PLN...	24 417,54	94 683,46	91 752,67	78 938,16	76 222,38

according to the Central Statistical Office

Locations

seat:

ul. Wierzbowa 30, 63-720 Koźmin Wielkopolski

Phone: 62 7210766

62 7216744

62 7251441

Fax: 62 7210766

62 7216199

62 7216744 wew. 42

E-mail: arpak@lege.com.pl

k.walesa@lege.com.pl n.jaworowicz@lege.com.pl

Website: www.arpak.pl

www.lege.com.pl

Real Estate

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 31.12.2014 book value of car fleet was: PLN 503 032,75

Shares in other companies

As at 14.09.2015 there are no shares in other companies.

Connections

Leszek Spruta , personal ID no. (PESEL) 62040208998

- APTEKA WRZOSOWA A.L. SPRUTA sp. j. NIP 7811698653, ul.

Błękitna 7, 60-656 Poznań

· shareholder

· member of representation unit

- ENERGO-PARK 1 sp. z o.o., ul. Wierzbowa 30, 63-720

Koźmin Wielkopolski

· shareholder: PLN 2 500,00 (50,00%)

- ENERGO-PARK 2 sp. z o.o., ul. Wierzbowa 30, 63-720

Koźmin Wielkopolski

· shareholder: PLN 2 500,00 (50,00%)

- LEGE OPAKOWANIA Sp. z o.o. NIP PL 6211357498, ul.

Wierzbowa 30, 63-720 Koźmin Wielkopolski

· shareholder: PLN 1 300 000,00 (50,00%)

- LEGE SPRUTA Spółka Jawna NIP PL 6211813393, ul.

Wierzbowa 30, 63-720 Koźmin Wielkopolski

· shareholder

· member of representation unit

Alicja Spruta , personal ID no. (PESEL) 62122306183

- APTEKA WRZOSOWA A.L. SPRUTA sp. j. NIP 7811698653, ul.

Błękitna 7, 60-656 Poznań

· shareholder

· member of representation unit

Data concerning connections are valid as at: 14.09.2015.

General information

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

Banks

Names of banks were not disclosed

Payment Manner

Nothing detrimental noted. (27)

Credit capability

Business connections are permissible.

Maximum credit PLN 641 000,00

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.65.26
UK Pound	1	Rs.99.53
Euro	1	Rs.73.47

INFORMATION DETAILS

Analysis Done by :	HNA
Report Prepared by :	TRU

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.