MIRA INFORM REPORT

Report No. :	502494
Report Date :	09.04.2018

IDENTIFICATION DETAILS

Name :	FERRETTI S.R.L. UNIPERSONALE
Registered Office :	Via Antonio Begarelli, 13 41121 – Modena (MO)
Country :	Italy
Financials (as on) :	31.12.2016
Date of Incorporation :	18.01.2012
Legal Form :	Sole-Member Limited Liability Company
Line of Business :	Wholesale of Clocks, Watches and Jewellery
No. of Employees :	From 6 to 10

RATING & COMMENTS

(Mira Inform has adopted New Rating mechanism w.e.f. 23^rd January 2017)

MIRA’s Rating :

A

Credit Rating	Explanation	Rating Comments
A	Acceptable Risk	Business dealings permissible with moderate risk of default

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

Country Name	Previous Rating (30.09.2017)	Current Rating (31.12.2017)
Italy	A1	A1

Risk Category	ECGC Classification
Insignificant	A1
Low Risk	A2
Moderately Low Risk	B1
Moderate Risk	B2
Moderately High Risk	C1
High Risk	C2
Very High Risk	D

ITALY - ECONOMIC OVERVIEW

Italy’s economy compromises a developed industrial north, dominated by private companies, and a less-developed, highly subsidized, agricultural south, with a legacy of unemployment and underdevelopment. The Italian economy is driven in large part by the manufacture of high-quality consumer goods produced by small and medium-sized enterprises, many of them family-owned. Italy also has a sizable underground economy, which by some estimates accounts for as much as 17% of GDP. These activities are most common within the agriculture, construction, and service sectors.

Italy is the third-largest economy in the euro zone, but its exceptionally high public debt and structural impediments to growth have rendered it vulnerable to scrutiny by financial markets. Public debt has increased steadily since 2007, reaching 131% of GDP in 2017. Investor concerns about Italy and the broader euro-zone crisis eased in 2013, bringing down Italy's borrowing costs on sovereign government debt from euro-era. The government still faces pressure from investors and European partners to sustain its efforts to address Italy's longstanding structural economic problems, including labor market inefficiencies, a sluggish judicial system, and a weak banking sector. Italy’s economy returned to modest growth in late 2014 for the first time since 2011. In 2015-16, Italy’s economy grew at about 1% each year, and in 2017 growth accelerated to 1.5% of GDP. In 2017, overall unemployment was 11.4%, but youth unemployment remained high at 37.1%.

Source : CIA

Company name & address

FERRETTI S.R.L. UNIPERSONALE

Via Antonio Begarelli, 13

41121 – Modena (MO) -IT-

Summary

Fiscal Code	:	03436400364
Legal Form	:	Sole-Member Limited Liability Company
start of Activities	:	22/05/2012
Equity	:	750.000
Turnover Range	:	750.000/1.000.000
Number of Employees	:	From 6 to 10

Activity

Wholesale of clocks, watches and jewellery

Legal Data

Legal Form : Sole-Member Limited Liability Company

Fiscal Code : 03436400364

Chamber of Commerce no. : 387569 of Modena since 26/01/2012

V.A.T. Code : 03436400364

Establishment date	: 18/01/2012
Start of Activities	: 22/05/2012
Nominal Capital	: 120.000
Subscribed Capital	: 120.000
Paid up Capital	: 120.000

Legal mail :

FERRETTIGIOIELLISRL@LEGALMAIL.IT

Members

Ferretti

Andrea

Born in Formigine

(MO)

on 28/11/1987

- Fiscal Code : FRRNDR87S28D711Z

Residence:

Luigi Carlo Farini

, 4

- 41121

Modena

(MO)

- IT -

Position	Since	Shares Amount	% Ownership
Sole Director	18/01/2012
Sole partner	18/01/2012

No Prejudicial events are reported

No Protests registered

Companies connected to members *

*checkings have been performed on a national scale.

In this module are listed the companies in which members hold or have holded positions.

Ferretti

Andrea

Firm's Style	Seat	Fiscal Code	Position	Position Status	Firm's Status
Pianeta Oro S.a.s. Di Mattioli Franco EC.	Modena (MO) - IT -	03384910364	Limited Partner	Withdrawn	Registered

The indication "REGISTERED" as Firm Status could refer to Firms in Liquidation, Active, Inactive, etc.

For more information, in this case, we advise to request further investigations.

Capital Shareholders

Shareholders' list as at date of data collection:

Firm's Style / Name	Seat / Residence	Fiscal Code	Owned Shares	% Ownership
Ferretti Andrea	Modena - IT -	FRRNDR87S28D711Z		100,00

Direct Participations

The Company under review has no participations in other Companies.

Firm's location and structure

In order to carry out its activities the firm uses the following locations:

-	Legal and operative seat

Antonio Begarelli

, 13

- 41100

- Modena

(MO)

- IT -

Legal mail

: FERRETTIGIOIELLISRL@LEGALMAIL.IT

-

Branch

(office)

since 18/03/2014

Farini

, 4

- 41100

- Modena

(MO)

- IT -

PHONE

: 059820964

-

Branch

(Factory)

since 27/11/2015

Antonio Delfini

, 32

- 41100

- Modena

(MO)

- IT -

Employees

: 6

Assistants

: 1

Stocks for a value of 770.000

Eur

Protests

Protests checking on the subject firm has given a negative result.

Data Base Prejudicial Events Search

Search performed on a National Scale

Prejudicial Events Search Result: NEGATIVE

Search performed on a specialized data base.

Legal Procedures

None reported, standing to the latest received edition of the Official Publications.

National Real Estates Survey

The requested subject is not present c/o the CADASTRE OFFICES.

All responsibilities are declined regarding any possible omissions concerning the given results. Therefore, we advise to request for "Hypothecating Survey Inspection" c/o the locally competent RR.II. Immovables Registry, as this service doesn't fully guarantees the actual title of the Real Estates of the requested Subject.

Financial and Economical Analysis

Company's starting of activities dates back to 2012.

The economic-financial analysis has been made on the base of the b/s of the latests three years.

Unstable economic results mark the company's financial state of affairs. with a loss in the last financial year. In the last financial year an increase in the turnover has been registered (+28,99%).

The return on investment in the last financial year was negative (-0,98%).

The operating result is negative (Eur. -14.405).

The economic management produced a gross operating margin of Eur. 23.986 with a more then 100% increase as opposed to the preceding year.

The financial status of the company is fairly balanced with an indebtedness level of 1,73 and falling as against the previous year (2,66).

The equity capital is equal to Eur. 503.292 with a growth of 61,41% in 2016.

During the last financial year total debts volume reached Eur. 944.887 (Eur. 56.607 were m/l term ones) , with no sensible variation.

Available funds are good.

During financial year 2016 the cash flow amounted to Eur. 19.883

Subordinate employment cost is of Eur. 118.692, i.e. 10,79% on total production costs. , whereas 14,09% is the incidence on sales revenues.

The financial management has a limited economic impact, equal to -0,36% on the sales.

Financial Data

Complete balance-sheet for the year

al 31/12/2016

(in Eur

x 1)

Item Type	Value
Sales	842.110
Profit (Loss) for the period	-18.508

Complete balance-sheet for the year

al 31/12/2015

(in Eur

x 1)

Item Type	Value
Sales	652.843
Profit (Loss) for the period	-45.223

Complete balance-sheet for the year

al 31/12/2014

(in Eur

x 1)

Item Type	Value
Sales	1.054.390
Profit (Loss) for the period	5.622

Complete balance-sheet for the year

al 31/12/2013

(in Eur

x 1)

Item Type	Value
Sales	212.448
Profit (Loss) for the period	9.740

Complete balance-sheet for the year

al 31/12/2012

(in Eur

x 1)

Item Type	Value
Sales	493.344
Profit (Loss) for the period	16.658

Balance Sheets

From our constant monitoring of the relevant Public Administration offices, no more recent balance sheets result to have been filed.

- Balance Sheet as at 31/12/2016 - 12 Mesi - Currency: - Amounts x 1

- Balance Sheet as at 31/12/2015 - 12 Mesi - Currency: - Amounts x 1

- Balance Sheet as at 31/12/2014 - 12 Mesi - Currency: - Amounts x 1

Years

2016

2015

2014

BALANCE SHEET ACCOUNTS

ASSETS
CREDITS VS PARTNERS
. Deposits not yet withdrawn
. Deposits already withdrawn
Total credits vs partners
FIXED ASSETS
. INTANGIBLE FIXED ASSETS
. . Start-up and expansion expenses
. . Research,develop. and advert.expens.
. . Industrial patent rights
. . Concessions,licenses,trademarks,etc.
. . Goodwill
. . Assets in formation and advance paymen.
. . Other intangible fixed assets
. Total Intangible Fixed Assets	1.363	676	1.351
. TANGIBLE FIXED ASSETS
. . Real estate
. . Plant and machinery
. . Industrial and commercial equipment
. . Other assets
. . Assets under construction and advances
. Total Tangible fixed assets	254.541	105.632	18.844
. FINANCIAL FIXED ASSETS
. . Equity investments
. . . Equity invest. in subsidiary companies
. . . Equity invest. in associated companies
. . . Equity invest. in holding companies
. . . Equity invest. in other companies
. . Financial receivables			16
. . . . Within 12 months
. . . . Beyond 12 months
. . . Receivab due from subsidiaries
. . . . Within 12 months
. . . . Beyond 12 months
. . . Receivables due from assoc.comp.
. . . . Within 12 months
. . . . Beyond 12 months
. . . Receivables due from holding comp.
. . . . Within 12 months
. . . . Beyond 12 months
. . . Receivables due from third parties
. . . . Within 12 months
. . . . Beyond 12 months
. . Other securities
. . Own shares
. . . Total nominal value
. Total financial fixed assets	16	16	16
Total fixed assets	255.920	106.324	20.211
CURRENT ASSETS
. INVENTORIES
. . Raw materials and other consumables
. . Work in progress and semimanufactured
. . Work in progress on order
. . Finished goods			510.600
. . Advance payments
. Total Inventories	772.046	550.058	510.600
. CREDITS NOT HELD AS FIXED ASSETS
. . Within 12 months	405.357	473.750	254.063
. . Beyond 12 months
. . Trade receivables			198.881
. . . . Within 12 months			198.881
. . . . Beyond 12 months
. . Receivables due from subsid. comp.
. . . . Within 12 months
. . . . Beyond 12 months
. . Receivables due from assoc. comp.
. . . . Within 12 months
. . . . Beyond 12 months
. . Receivables due from holding comp.
. . . . Within 12 months
. . . . Beyond 12 months
. . Fiscal Receivables			53.212
. . . . Within 12 months			53.212
. . . . Beyond 12 months
. . Receivables for anticipated taxes
. . . . Within 12 months
. . . . Beyond 12 months
. . Receivables due from third parties			1.970
. . . . Within 12 months			1.970
. . . . Beyond 12 months
. Total Credits not held as fixed assets	405.357	473.750	254.063
. FINANCIAL ASSETS
. . Equity invest. in subsidiary comp.
. . Equity invest. in associated companies
. . Equity invest. in holding companies
. . Other equity investments
. . Own shares
. . . Total nominale value
. . Other securities
. Total Financial Assets
. LIQUID FUNDS
. . Bank and post office deposits			73.105
. . Checks
. . Banknotes and coins			2.067
. Total Liquid funds	18.918	633	75.172
Total current assets	1.196.321	1.024.441	839.835
ADJUSTMENT ACCOUNTS
. Discount on loans
. Other adjustment accounts	14.932	20.931	20.754
Total adjustments accounts	14.932	20.931	20.754
TOTAL ASSETS	1.467.173	1.151.696	880.800
LIABILITIES
STOCKHOLDERS' EQUITY
. Capital stock	120.000	120.000	120.000
. Additional paid-in capital
. Revaluation reserves
. Legal reserve	1.601	1.601	1.320
. Reserve for Own shares
. Statute reserves
. Other reserves	400.199	235.421	135.077
. Accumulated Profits (Losses)
. Profit( loss) of the year	-18.508	-45.223	5.622
. Advances on dividends
. Partial loss of the year Coverage
Total Stockholders'Equity	503.292	311.799	262.019
RESERVES FOR RISKS AND CHARGES
. . Reserve for employee termination indem.
. . Taxation fund, also differed
. . Other funds
Total Reserves for Risks and Charges
Employee termination indemnities	10.432	5.034	1.174
ACCOUNTS PAYABLE
. . . . Within 12 months	888.280	830.835	615.614
. . . . Beyond 12 months	56.607
. . Bonds
. . . . Within 12 months
. . . . Beyond 12 months
. . Convertible bonds repayable
. . . . Within 12 months
. . . . Beyond 12 months
. . Due to shareholders for financing
. . . . Within 12 months
. . . . Beyond 12 months
. . Due to banks
. . . . Within 12 months
. . . . Beyond 12 months
. . Due to other providers of finance
. . . . Within 12 months
. . . . Beyond 12 months
. . Advances from customers
. . . . Within 12 months
. . . . Beyond 12 months
. . Trade payables			603.529
. . . . Within 12 months			603.529
. . . . Beyond 12 months
. . Securities issued
. . . . Within 12 months
. . . . Beyond 12 months
. . Due to subsidiary companies
. . . . Within 12 months
. . . . Beyond 12 months
. . Due to associated companies
. . . . Within 12 months
. . . . Beyond 12 months
. . Due to holding companies
. . . . Within 12 months
. . . . Beyond 12 months
. . Due to the tax authorities			4.827
. . . . Within 12 months			4.827
. . . . Beyond 12 months
. . Due to social security and welfare inst.
. . . . Within 12 months
. . . . Beyond 12 months
. . Other payables			7.258
. . . . Within 12 months			7.258
. . . . Beyond 12 months
Total accounts payable	944.887	830.835	615.614
ADJUSTMENT ACCOUNTS
. Agio on loans
. Other adjustment accounts	8.562	4.028	1.993
Total adjustment accounts	8.562	4.028	1.993
TOTAL LIABILITIES	1.467.173	1.151.696	880.800

MEMORANDUM ACCOUNTS

Third party goods

Investment accounts

Risk accounts

Civil and fiscal norms relation

PROFIT AND LOSS ACCOUNTS

VALUE OF PRODUCTION
. Revenues from sales and services	842.110	652.843	1.054.390
. Changes in work in progress	111.312	39.457	323.278
. Changes in semi-manufact. products
. Capitalization of internal work
. Other income and revenues	132.650
. . Contributions for operating expenses
. . Different income and revenues	132.650
Total value of production	1.086.072	692.300	1.377.668
PRODUCTION COSTS
. Raw material,other materials and consum.	898.337	439.675	1.155.333
. Services received	106.527	129.525
. Leases and rentals	37.462	36.917	111.822
. Payroll and related costs	118.692	69.115	22.590
. . Wages and salaries	100.081	55.322	16.146
. . Social security contributions	13.198	9.929	5.360
. . Employee termination indemnities	5.413	3.864	1.084
. . Pension and similar
. . Other costs
. Amortization and depreciation	38.391	27.069	10.467
. . Amortization of intangible fixed assets	1.357	675	2.072
. . Amortization of tangible fixed assets	35.208	24.256	7.378
. . Depreciation of tangible fixed assets
. . Writedown of current receiv.and of liquid	1.826	2.138	1.017
. Changes in raw materials	-110.675
. Provisions to risk reserves
. Other provisions
. Other operating costs	11.743	21.636	22.256
Total production costs	1.100.477	723.937	1.322.468
Diff. between value and cost of product.	-14.405	-31.637	55.200
FINANCIAL INCOME AND EXPENSE
. Income from equity investments
. . In subsidiary companies
. . In associated companies
. . In other companies
. Other financial income	10	13	19
. . Financ.income from receivables
. . . Towards subsidiary companies
. . . Towards associated companies
. . . Towards holding companies
. . . Towards other companies
. . Financ.income from secur. t.f.assets
. . Financ.income from secur. cur.assets
. . Financ.income other than the above	10	13	19
. . . - Subsidiary companies
. . . - Associated companies
. . . - Holding companies
. . . - Other companies	10	13	19
. Interest and other financial expense	-3.082	-21.358	-27.443
. . Towards subsidiary companies
. . Towards associated companies
. . Towards holding companies
. . Towards other companies			-27.443
Total financial income and expense	-3.072	-21.345	-27.424
ADJUSTMENTS TO FINANCIAL ASSETS
. Revaluations
. . Of equity investments
. . Of financ.fixed assets not repres.E.I.
. . Of securities incl.among current assets
. Devaluation
. . Of equity investments
. . Of financial fixed assets (no equity inv)
. . Of securities included among current ass
Total adjustments to financial assets
EXTRAORDINARY INCOME AND EXPENSE
. Extraordinary income		7.760	1.784
. . Gains on disposals			14
. . Other extraordinary income		7.760	1.770
. Extraordinary expense		-1	-6.465
. . Losses on disposals			-2.724
. . Taxes relating to prior years
. . Other extraordinary expense		-1	-3.741
Total extraordinary income and expense		7.759	-4.681
Results before income taxes	-17.477	-45.223	23.095
. Taxes on current income	1.031		17.473
. . current taxes	1.031		17.473
. . differed taxes(anticip.)
. Net income for the period	-18.508	-45.223	5.622
. Adjustments in tax regulations pursuance
. Provisions in tax regulations pursuance
. Profit (loss) of the year	-18.508	-45.223	5.622

RATIOS	Value Type	as at 31/12/2016	as at 31/12/2015	as at 31/12/2014	Sector Average
COMPOSITION ON INVESTMENT
Rigidity Ratio	Units	0,17	0,09	0,02	0,09
Elasticity Ratio	Units	0,82	0,89	0,95	0,89
Availability of stock	Units	0,53	0,48	0,58	0,26
Total Liquidity Ratio	Units	0,29	0,41	0,37	0,54
Quick Ratio	Units	0,01	0,00	0,09	0,03
COMPOSITION ON SOURCE
Net Short-term indebtedness	Units	1,73	2,66	2,06	3,95
Self Financing Ratio	Units	0,34	0,27	0,30	0,17
Capital protection Ratio	Units	0,80	0,76	0,52	0,62
Liabilities consolidation quotient	Units	0,08	0,01	0,00	0,10
Financing	Units	1,88	2,66	2,35	4,85
Permanent Indebtedness Ratio	Units	0,39	0,28	0,30	0,29
M/L term Debts Ratio	Units	0,05	0,00	0,00	0,07
Net Financial Indebtedness Ratio	Units	n.c.	n.c.	0,00	1,04
CORRELATION
Fixed assets ratio	Units	2,23	2,98	13,02	2,37
Current ratio	Units	1,35	1,23	1,36	1,18
Acid Test Ratio-Liquidity Ratio	Units	0,48	0,57	0,53	0,80
Structure's primary quotient	Units	1,97	2,93	12,96	1,48
Treasury's primary quotient	Units	0,02	0,00	0,12	0,04
Rate of indebtedness ( Leverage )	%	291,52	369,37	336,16	602,26
Current Capital ( net )	Value	308.041	193.606	224.221	191.984
RETURN
Return on Sales	%	2,36	-2,78	1,53	2,03
Return on Equity - Net- ( R.O.E. )	%	-3,68	-14,50	2,15	6,31
Return on Equity - Gross - ( R.O.E. )	%	-3,47	-14,50	8,81	17,00
Return on Investment ( R.O.I. )	%	-0,98	-2,75	6,27	4,18
Return/ Sales	%	-1,71	-4,85	5,24	3,46
Extra Management revenues/charges incid.	%	n.c.	n.c.	10,18	27,96
Cash Flow	Value	19.883	-18.154	16.089	44.823
Operating Profit	Value	-14.405	-31.637	55.200	74.603
Gross Operating Margin	Value	23.986	-4.568	65.667	111.383
MANAGEMENT
Credits to clients average term	Days	n.c.	n.c.	67,90	113,70
Debts to suppliers average term	Days	n.c.	n.c.	171,46	118,14
Average stock waiting period	Days	330,05	303,32	174,33	72,90
Rate of capital employed return ( Turnover )	Units	0,57	0,57	1,20	1,25
Rate of stock return	Units	1,09	1,19	2,07	4,88
Labour cost incidence	%	14,09	10,59	2,14	8,14
Net financial revenues/ charges incidence	%	-0,36	-3,27	-2,60	-1,38
Labour cost on purchasing expenses	%	10,79	9,55	1,71	8,25
Short-term financing charges	%	0,33	2,57	4,46	2,76
Capital on hand	%	174,23	176,41	83,54	79,85
Sales pro employee	Value	280.703	326.421		397.742
Labour cost pro employee	Value	39.564	34.557		33.267

Remarks

1) Protests checking (relative to the last five years) performed by crossing and matching the members names and the Firm's Style with the reported addresses, is supplied by the Informatic Registry managed by the Italian Chamber of Commerce. If the fiscal code is not indicated, the eventual homonymous cases are submitted to expert staff evaluation in order to limit wrong matching risks.

2) The Legal Data, supplied and retrived from the Firm's Registry of the Italian Chamber of Commerce, are in line with the last registered modifications.

3) Risk evaluation and Credit Opinion have been performed on the base of the actual data at the moment of their availability.

Market / Territory Data

Population living in the province	:	659.925
Population living in the region	:	4.151.369
Number of families in the region	:	1.748.359

Monthly family expences average in the region (in Eur..) :

- per food products	:	425
- per non food products	:	2.063
- per energy consume	:	143

Sector Data

The values are calculated on a base of 9.175 significant companies.

The companies cash their credits on an average of 114 dd.

The average duration of suppliers debts is about 118 dd.

The sector's profitability is on an average of 2,03%.

The labour cost affects the turnover in the measure of 8,14%.

Goods are held in stock in a range of 73 dd.

The difference between the sales volume and the resources used to realize it is about 1,25.

The employees costs represent the 8,25% of the production costs.

Statistical Detrimental Data

Statistically the trade activity shows periods of crisis.

The area is statistically considered lowly risky.

In the region 18.860 protested subjects are found; in the province they count to 3.557.

The insolvency index for the region is 0,46, , while for the province it is 0,55.

Total Bankrupt companies in the province : 2.526.

Total Bankrupt companies in the region : 14.698.

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	INR 64.98
UK Pound	1	INR 90.95
Euro	1	INR 79.51
Euro	1	INR 80.02

Note : Above are approximate rates obtained from sources believed to be correct

INFORMATION DETAILS

Analysis Done by :	VAR
Report Prepared by :	TPT

RATING EXPLANATIONS

Credit Rating	Explanation	Rating Comments
A++	Minimum Risk	Business dealings permissible with minimum risk of default
A+	Low Risk	Business dealings permissible with low risk of default
A	Acceptable Risk	Business dealings permissible with moderate risk of default
B	Medium Risk	Business dealings permissible on a regular monitoring basis
C	Medium High Risk	Business dealings permissible preferably on secured basis
D	High Risk	Business dealing not recommended or on secured terms only
NB	New Business	No recommendation can be done due to business in infancy stage
NT	No Trace	No recommendation can be done as the business is not traceable

NB is stated where there is insufficient information to facilitate rating. However, it is not to be considered as unfavourable.

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 are as follows:

· Financial condition covering various ratios

· Company background and operations size

· Promoters / Management background

· Payment record

· Litigation against the subject

· Industry scenario / competitor analysis

· Supplier / Customer / Banker review (wherever available)

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.