MIRA INFORM REPORT

Report No. :	346468
Report Date :	28.10.2015

IDENTIFICATION DETAILS

Name :	NANJING ORIENTAL METALWORK CO., LTD.
Registered Office :	Room 2012 1st Building, Xiujingyayuan, No. 703 Geguan Road, Nanjing, Jiangsu Province 211500 Pr China
Country :	China
Financials (as on) :	31.12.2014
Date of Incorporation :	09.07.2013
Com. Reg. No.:	320123000267809
Legal Form :	Limited Liability Company
Line of Business :	Subject is selling metal products & materials, mechanical equipment, electrical equipment, auto parts, building materials, knitting goods and textiles; importing and exporting commodities and technology.
No. of Employee :	4

RATING & COMMENTS

MIRA’s Rating :

B

RATING		STATUS	PROPOSED CREDIT LINE
26-40	B	Capability to overcome financial difficulties seems comparatively below average.	Small

Status :	Moderate
Payment Behaviour :	Slow but correct
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)
China	A2	A2

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

CHINA - ECONOMIC OVERVIEW

Since the late 1970s China has moved from a closed, centrally planned system to a more market-oriented one that plays a major global role - in 2010 China became the world's largest exporter. Reforms began with the phasing out of collectivized agriculture, and expanded to include the gradual liberalization of prices, fiscal decentralization, increased autonomy for state enterprises, growth of the private sector, development of stock markets and a modern banking system, and opening to foreign trade and investment. China has implemented reforms in a gradualist fashion. In recent years, China has renewed its support for state-owned enterprises in sectors considered important to "economic security," explicitly looking to foster globally competitive industries. The restructuring of the economy and resulting efficiency gains have contributed to a more than tenfold increase in GDP since 1978. Measured on a purchasing power parity (PPP) basis that adjusts for price differences, China in 2014 stood as the largest economy in the world, surpassing the US for the first time in modern history. Still, China's per capita income is below the world average.

After keeping its currency tightly linked to the US dollar for years, in July 2005 China moved to an exchange rate system that references a basket of currencies. From mid-2005 to late 2008 cumulative appreciation of the renminbi against the US dollar was more than 20%, but the exchange rate remained virtually pegged to the dollar from the onset of the global financial crisis until June 2010, when Beijing allowed resumption of a gradual appreciation. In 2014 the People’s Bank of China (PBOC) doubled the daily trading band within which the RMB is permitted to fluctuate.

The Chinese government faces numerous economic challenges, including: (a) reducing its high domestic savings rate and correspondingly low domestic consumption; (b) facilitating higher-wage job opportunities for the aspiring middle class, including rural migrants and increasing numbers of college graduates; (c) reducing corruption and other economic crimes; and (d) containing environmental damage and social strife related to the economy's rapid transformation. Economic development has progressed further in coastal provinces than in the interior, and by 2014 more than 274 million migrant workers and their dependents had relocated to urban areas to find work. One consequence of population control policy is that China is now one of the most rapidly aging countries in the world. Deterioration in the environment - notably air pollution, soil erosion, and the steady fall of the water table, especially in the North - is another long-term problem. China continues to lose arable land because of erosion and economic development. The Chinese government is seeking to add energy production capacity from sources other than coal and oil, focusing on nuclear and alternative energy development.

Several factors are converging to slow China's growth, including debt overhang from its credit-fueled stimulus program, industrial overcapacity, inefficient allocation of capital by state-owned banks, and the slow recovery of China's trading partners. The government's 12th Five-Year Plan, adopted in March 2011 and reiterated at the Communist Party's "Third Plenum" meeting in November 2013, emphasizes continued economic reforms and the need to increase domestic consumption in order to make the economy less dependent in the future on fixed investments, exports, and heavy industry. However, China has made only marginal progress toward these rebalancing goals. The new government of President XI Jinping has signaled a greater willingness to undertake reforms that focus on China's long-term economic health, including giving the market a more decisive role in allocating resources. In 2014 China agreed to begin limiting carbon dioxide emissions by 2030. China also implemented several economic reforms in 2014, including passing legislation to allow local governments to issue bonds, opening several state-owned enterprises to further private investment, loosening the one-child policy, passing harsher pollution fines, and cutting administrative red tape.

Source : CIA

COMPANY NAME AND ADDRESS

NANJING ORIENTAL METALWORK CO., LTD.

ROOM 2012 1ST BUILDING, XIUJINGYAYUAN, NO. 703 GEGUAN ROAD, NANJING, JIANGSU PROVINCE 211500 PR CHINA

TEL: 86 (0) 25-58370703

FAX: 86 (0) 25-58464677

EXECUTIVE SUMMARY

Date of Registration : july 9, 2013

REGISTRATION NO. : 320123000267809

LEGAL FORM : Limited Liability Company

CHIEF EXECUTIVE : chen dongwei (LEGAL REPRESENTATIVE)

REGISTERED CAPITAL : CNY 810,000

staff : 4

BUSINESS CATEGORY : TRADING

Revenue : CNY 7,161,000 (AS OF DEC. 31, 2014)

EQUITIES : CNY 719,000 (AS OF DEC. 31, 2014)

WEBSITE : N/A

E-MAIL : N/A

PAYMENT : Payment

MARKET CONDITION : FAIR

FINANCIAL CONDITION : fair

OPERATIONAL TREND : FAIR

GENERAL REPUTATION : FAIR

EXCHANGE RATE : CNY 6.35 = USD

Adopted abbreviations (as follows)

SC - Subject Company (the company inquired by you)

N/A – Not available

CNY – China Yuan Ren Min Bi

OPERATIONAL TREND & GENERAL REPUTATION

This section aims at indicating the relative positions of SC in respect of its operational trend & general reputation

Operational Trend:- General Reputation:-

Upward Excellent

Steady Good

Fairly Steady Fairly Good

Ordinary Average

Fair Fair

Stagnant Detrimental

Downward Not known

Not known Not yet be determined

Not yet be determined

LEGAL STATUS & HISTORY

SC was established as a limited liabilities company of PRC with State Administration for Industry & Commerce (SAIC) under registration No.: 320123000267809 on July 9, 2013.

SC’s Organization Code Certificate No.: 07072713-3

SC’s registered capital: CNY 810,000

SC’s paid-in capital: CNY 810,000

Registration Change Record:-

No significant changes of SC have been noted in SAIC since its incorporation.

Current Co search indicates SC’s shareholders & chief executives are as follows:-

Name of Shareholder (s)	% of Shareholding
Chen Dongwei	50.62
Zhang Jiahong	49.38

SC’s Chief Executives:-

Position	Name
Legal Representative, Chairman and General Manager	Chen Dongwei
Supervisor	Zhang Jiahong

RECENT DEVELOPMENT

No recent development was found during our checks at present.

SHAREHOLDER CHART & BACKGROUND

Name % of Shareholding

Chen Dongwei 50.62

Zhang Jiahong 49.38

MANAGEMENT

Chen Dongwei , Legal Representative, Chairman and General Manager

-------------------------------------------------------------------------------------------------------

Ø Gender: M

Ø ID# 320123198403140034

Ø Age: 31

Ø Qualification: University

Ø Working experience (s):

At present, working in SC as legal representative, chairman and general manager

Zhang Jiahong , Supervisor

----------------------------------------------

Ø Gender: F

Ø Qualification: University

BUSINESS OPERATION

SC’s registered business scope includes selling metal products & materials, mechanical equipment, electrical equipment, auto parts, building materials, knitting goods and textiles; importing and exporting commodities and technology.

SC is mainly engaged in selling metal products & materials.

SC’s products mainly include: metal products & materials.

SC sources its products 100% from domestic market. SC sells 10% of its products in domestic market, and 90% to overseas market.

The buying terms of SC include Check, T/T and Credit of 30-60 days. The payment terms of SC include T/T, L/C and Credit of 30-60 days.

Staff & Office:

--------------------------

SC is known to have approx. 4 staff at present.

SC rents an area as its operating office, but the detailed information is unknown.

RELATED COMPANY

SC is not known to have any subsidiary at present.

PAYMENT

Overall payment appraisal:

( ) Excellent ( ) Good (X) Average ( ) Fair ( ) Poor ( ) Not yet be determined

The appraisal serves as a reference to reveal SC's payments habits and ability to pay. It is based on the 3 weighed factors: Trade payment experience (through current enquiry with SC's suppliers), our delinquent payment and our debt collection record concerning SC.

Trade payment experience: SC did not provide any name of trade/service suppliers and we have no other sources to conduct the enquiry at present.

Delinquent payment record: None in our database.

Debt collection record: No overdue amount owed by SC was placed to us for collection within the last 6 years.

BANKING

The bank information of SC is not filed in local SAIC.

FINANCIALS

Financial Summary

Unit: CNY’000	As of Dec. 31, 2013	As of Dec. 31, 2014
Total assets	1,121	2,730
	-------------	-------------
Total liabilities	396	2,011
Equities	725	719
	-------------	-------------
Revenue	2,734	7,161
Profit before tax	-162	-13
Less: profit tax	0	0
Profits	-162	-13

Important Ratios

=============

	As of Dec. 31, 2013	As of Dec. 31, 2014
*Liabilities to assets	0.35	0.74
*Net profit margin (%)	-5.93	-0.18
*Return on total assets (%)	-14.45	-0.48
* Revenue/Total assets	2.44	2.62

FINANCIAL COMMENTS

PROFITABILITY: FAIR

l The revenue of SC appears average in its line.

l SC’s net profit margin is fair.

l SC’s return on total assets is fair.

LIQUIDITY: AVERAGE

l SC’s revenue is in an average level, comparing with the size of its total assets.

LEVERAGE: AVERAGE

l The debt ratio of SC is average.

l The risk for SC to go bankrupt is above average.

Overall financial condition of the SC: Fair.

CONCLUSIONS

SC is considered small-sized in its line with fair financial conditions.

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.64.96
UK Pound	1	Rs.99.73
Euro	1	Rs.71.84

INFORMATION DETAILS

Analysis Done by :	KIN
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.