MIRA INFORM REPORT

Report No. :	492220
Report Date :	23.02.2018

IDENTIFICATION DETAILS

Name :	INEOS STYROLUTION APAC PTE. LTD.
Formerly Known As :	STYROLUTION SOUTH EAST ASIA PTE. LTD. BASF STYRENICS SOUTH EAST ASIA PTE. LTD.
Registered Office :	111, Somerset Road, 08-16-19, Tripleone Somerset, 238164
Country :	Singapore
Financials (as on) :	31.12.2016
Date of Incorporation :	12.09.2008
Com. Reg. No.:	200818085M
Legal Form :	Private Limited (Limited By Share)
Line of Business :	The Subject is engaged in the activities of head and regional head offices, trading of styrene monomers, polystyrene and copolymers.
No. of Employees :	Not Available

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 :	Good
Payment Behaviour :	Regular
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)
Singapore	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

SINGAPORE - ECONOMIC OVERVIEW

Singapore has a highly developed and successful free-market economy. It enjoys a remarkably open and corruption-free environment, stable prices, and a per capita GDP higher than that of most developed countries. Unemployment is very low. The economy depends heavily on exports, particularly of consumer electronics, information technology products, medical and optical devices, pharmaceuticals, and on its vibrant transportation, business, and financial services sectors.

The economy contracted 0.6% in 2009 as a result of the global financial crisis, but has continued to grow since 2010. Growth in 2014-17 was slower than during the previous decade, at under 3% annually, largely a result of soft demand for exports amid a sluggish global economy and weak growth in Singapore’s manufacturing sector.

The government is attempting to restructure Singapore’s economy by weaning its dependence on foreign labor, addressing weak productivity growth, and increasing Singaporean wages. Singapore has attracted major investments in advanced manufacturing, pharmaceuticals, and medical technology production and will continue efforts to strengthen its position as Southeast Asia's leading financial and technology hub. Singapore is a member of the Regional Comprehensive Economic Partnership negotiations with the nine other ASEAN members plus Australia, China, India, Japan, South Korea, and New Zealand. In 2015, Singapore formed, with the other ASEAN members, the ASEAN Economic Community.

Source : CIA

EXECUTIVE SUMMARY

REGISTRATION NO.

:

200818085M

COMPANY NAME

:

INEOS STYROLUTION APAC PTE. LTD.

FORMER NAME

:

STYROLUTION SOUTH EAST ASIA PTE. LTD. (15/01/2016)
BASF STYRENICS SOUTH EAST ASIA PTE. LTD. (24/06/2010)

INCORPORATION DATE

:

12/09/2008

COMPANY STATUS

:

EXIST

LEGAL FORM

:

PRIVATE LIMITED (LIMITED BY SHARE)

LISTED STATUS

:

NO

REGISTERED ADDRESS

:

111, SOMERSET ROAD, 08-16-19, TRIPLEONE SOMERSET, 238164, SINGAPORE.

BUSINESS ADDRESS

:

111 SOMERSET ROAD, #08-16 TO 19 TRIPLE ONE SOMERSET, 238164, SINGAPORE.

TEL.NO.

:

65-69338371/69338350

FAX.NO.

:

65-69338355

CONTACT PERSON

:

STEPHEN MARK HARRINGTON ( MANAGING DIRECTOR )

PRINCIPAL ACTIVITY

:

ACTIVITIES OF HEAD AND REGIONAL HEAD OFFICES, TRADING OF STYRENE MONOMERS, POLYSTYRENE AND COPOLYMERS

ISSUED AND PAID UP CAPITAL

:

6,441,501.00 ORDINARY SHARE, OF A VALUE OF SGD 6,441,501.00

SALES

:

USD 246,416,000 [2016]

NET WORTH

:

USD 95,934,000 [2016]

STAFF STRENGTH

:

N/A

BANKER (S)

:

BARCLAYS BANK PLC

LITIGATION

:

CLEAR

FINANCIAL CONDITION

:

LIMITED

PAYMENT

:

REGULAR

MANAGEMENT CAPABILITY

:

AVERAGE

COMMERCIAL RISK

:

LOW

CURRENCY EXPOSURE

:

MODERATE

GENERAL REPUTATION

:

SATISFACTORY

INDUSTRY OUTLOOK

:

AVERAGE GROWTH

HISTORY / BACKGROUND

The Subject is a private limited company and is allowed to have a minimum of one and a maximum of forty-nine shareholders. As a private limited company, the Subject must have at least two directors. A private limited company is a separate legal entity from its shareholders. As a separate legal entity, the Subject is capable of owning assets, entering into contracts, sue or be sued by other companies. The liabilities of the shareholders are to the extent of the equity they have taken up and the creditors cannot claim on shareholders' personal assets even if the Subject is insolvent. The Subject is governed by the Companies Act and the company must file its annual returns, together with its financial statements with the Registrar of Companies.

The Subject is principally engaged in the (as a / as an) activities of head and regional head offices, trading of styrene monomers, polystyrene and copolymers.

The immediate holding company of the Subject is INEOS STYROLUTION GROUP GMBH, a company incorporated in GERMANY.

The ultimate holding company of the Subject is INEOS AG, a company incorporated in SWITZERLAND.

The intermediate holding company of the Subject is INEOS STYROLUTION HOLDING GMBH, a company incorporated in GERMANY.

Share Capital History

Date	Issue & Paid Up Capital
21/02/2018	SGD 6,441,501.00

The major shareholder(s) of the Subject are shown as follows :

Current Shareholder(s) :

Name	Address	IC/PP/Loc No	Shareholding	(%)
INEOS STYROLUTION GROUP GMBH	MAINZER LANDSTRASSE, 50, FRANKFURT AM MAIN 60325 ,GERMANY	T11UF3994	6,441,501.00	100.00
			---------------	------
			6,441,501.00	100.00
			============	=====

+ Also Director

The Subject's interest in other companies (Subsidiaries/Associates) are shown as follow :

Local No	Country	Company	Status	(%)	As At
	INDIA	STYROLUTION ABS (INDIA) LTD	-	75.00	31/12/2016

DIRECTORS

DIRECTOR 1

Name Of Subject	:	TAN JIT TENG
Address	:	83, REDHILL LANE, 20-81, 150083, SINGAPORE.
IC / PP No	:	S6972222I
Nationality	:	MALAYSIAN
Date of Appointment	:	01/10/2011

INTEREST CHECK

Interest in companies	:	see below
Interest in business	:	none in our databank
Former interest	:	none in our databank

INTEREST IN COMPANY

No	Local No	Company	Designation	App Date	Shareholding		Profit/(loss) After Tax	Financial Year	Status	As At
					No.	%
1	200818085M	INEOS STYROLUTION APAC PTE. LTD.	Director	01/10/2011	0.00	-	USD1,724,000.00	2016	-	21/02/2018

DIRECTOR 2

Name Of Subject	:	MR. STEPHEN MARK HARRINGTON
Address	:	238, ORCHARD BOULEVARD, 36-06, THE ORCHARD RESIDENCES, 237973, SINGAPORE.
IC / PP No	:	G3151988N
Nationality	:	BRITISH
Date of Appointment	:	01/05/2015

INTEREST CHECK

Interest in companies	:	see below
Interest in business	:	none in our databank
Former interest	:	none in our databank

INTEREST IN COMPANY

No	Local No	Company	Designation	App Date	Shareholding		Profit/(loss) After Tax	Financial Year	Status	As At
					No.	%
1	200818085M	INEOS STYROLUTION APAC PTE. LTD.	Director	01/05/2015	0.00	-	USD1,724,000.00	2016	-	21/02/2018

DIRECTOR 3

Name Of Subject	:	SVEN RIECHERS
Address	:	22, WATTEN RISE, WATTERN RESIDENCES, 287307, SINGAPORE.
IC / PP No	:	G6252565M
Nationality	:	GERMAN
Date of Appointment	:	01/01/2014

INTEREST CHECK

Interest in companies	:	see below
Interest in business	:	none in our databank
Former interest	:	none in our databank

INTEREST IN COMPANY

No	Local No	Company	Designation	App Date	Shareholding		Profit/(loss) After Tax	Financial Year	Status	As At
					No.	%
1	200818085M	INEOS STYROLUTION APAC PTE. LTD.	Director	01/01/2014	0.00	-	USD1,724,000.00	2016	-	21/02/2018

MANAGEMENT

1)	Name of Subject	:	STEPHEN MARK HARRINGTON
	Position	:	MANAGING DIRECTOR

AUDITOR

Auditor	:	PRICEWATERHOUSECOOPERS LLP
Auditor' Address	:	N/A

COMPANY SECRETARIES

1)	Company Secretary	:	ALOYSIUS LENG SIEW WEI
	IC / PP No	:	S0081886J
	Address	:	526, EAST COAST ROAD, 05-02, OCEAN PARK, 458968, SINGAPORE.

2)	Company Secretary	:	TAN TER YEE
	IC / PP No	:	S1654262H
	Address	:	17, HUME AVENUE, 04-01, HUME PARK I, 598726, SINGAPORE.

BANKING

Banking relations are maintained principally with :

1)

Name

:

BARCLAYS BANK PLC

ENCUMBRANCE (S)

Charge No	Creation Date	Charge Description	Chargee Name	Total Charge	Status
C201502056	11/02/2015	N/A	BARCLAYS BANK PLC	-	Unsatisfied
C201502124	12/02/2015	N/A	BARCLAYS BANK PLC	-	Unsatisfied

LITIGATION CHECK - SUBJECT COMPANY AS A DEFENDANT

* A check has been conducted in our databank against the Subject whether the subject has been involved in any litigation.

No legal action was found in our databank.

No winding up petition was found in our databank.

PAYMENT RECORD

SOURCES OF RAW MATERIALS:
Local	:	YES
Overseas	:	YES

The Subject refused to disclose its suppliers.

The Subject refused to provide any name of trade/service supplier and we are unable to conduct any trade enquiry. However, from financial historical data we conclude that :

OVERALL PAYMENT HABIT
Prompt 0-30 Days	[	]	Good 31-60 Days	[	]	Average 61-90 Days	[	X	]
Fair 91-120 Days	[	]	Poor >120 Days	[	]

CLIENTELE

Local	:	YES
Domestic Markets	:	SINGAPORE
Overseas	:	YES
Export Market	:	ASIA
Credit Term	:	N/A
Payment Mode	:	CHEQUES TELEGRAPHIC TRANSFER (TT)

OPERATIONS

Goods Traded

:

STYRENE MONOMERS, POLYSTYRENE AND COPOLYMERS

Services

:

ACTIVITIES OF HEAD AND REGIONAL HEAD OFFICES

Total Number of Employees:
YEAR	2016	2015	2014	2013
GROUP	N/A	N/A	N/A	N/A
COMPANY	30	30	30	30

Branch

:

YES

Other Information:

The Subject is principally engaged in the (as a / as an) activities of head and regional head offices, trading of styrene monomers, polystyrene and copolymers.

The Subject is a styrenics manufacturer and supplier with a focus on styrene monomer, polystyrene, copolymers, and ABS.

The Subject's product is used as an applications for many everyday products across a broad range of industries, including automotive, electrical/electronics, building and construction, household appliances, toys/sports/leisure, packaging, healthcare and diagnostics.

The Group is the leading, global styrenics supplier with a focus on styrene monomer, polystyrene, ABS Standard and styrenic specialties. With world-class production facilities many years of experience, it helps its customers succeed by offering the best possible solution, designed to give them a competitive edge in their markets.

CURRENT INVESTIGATION

Latest fresh investigations carried out on the Subject indicated that :

Telephone Number Provided By Client	:	N/A
Current Telephone Number	:	65-69338371/69338350
Match	:	N/A
Address Provided by Client	:	111 SOMERSET ROAD, #08-16 TO 19 TRIPLE ONE SOMERSET SINGAPORE
Current Address	:	111 SOMERSET ROAD, #08-16 TO 19 TRIPLE ONE SOMERSET, 238164, SINGAPORE.
Match	:	NO
We have contacted the Subject's Accountant and its Company Secretary for the latest financial accounts. However they have rejected our request in view of the confidentiality of the documents.

Other Investigations

We contacted one of the staff from the Subject and collect some information.

The address provided is incomplete.

FINANCIAL ANALYSIS

Profitability
Turnover	:	Decreased	[	2012 - 2016	]
Profit/(Loss) Before Tax	:	Increased	[	2012 - 2016	]
Return on Shareholder Funds	:	Unfavourable	[	1.80%	]
Return on Net Assets	:	Unfavourable	[	2.29%	]
The continuous fall in turnover could be due to the lower demand for the Subject's products / services.The management had succeeded in turning the Subject into a profit making company. The profit could be due to better control of its operating costs and efficiency in utilising its resources. The unfavourable return on shareholders' funds could indicate that the Subject was inefficient in utilising its assets to generate returns.
Working Capital Control
Stock Ratio	:	Favourable	[	17 Days	]
Debtor Ratio	:	Favourable	[	14 Days	]
Creditors Ratio	:	Favourable	[	32 Days	]
The Subject's stocks were moving fast thus reducing its holding cost. This had reduced funds being tied up in stocks. The favourable debtors' days could be due to the good credit control measures implemented by the Subject. The Subject had a favourable creditors' ratio where the Subject could be taking advantage of the cash discounts and also wanting to maintain goodwill with its creditors.
Liquidity
Liquid Ratio	:	Acceptable	[	0.99 Times	]
Current Ratio	:	Unfavourable	[	1.23 Times	]
The Subject's liquid ratio was slightly low. This could indicate that the Subject's working capital was slightly deficient. The Subject will have to improve its liquidity position either by obtaining short term financing or increase its paid up capital so that it can meet all its short term obligations as and when they fall due.
Solvency
Interest Cover	:	Nil	[	0.00 Times	]
Gearing Ratio	:	Favourable	[	0.00 Times	]
The Subject's interest cover was nil as it did not pay any interest during the year. The Subject had no gearing and hence it had virtually no financial risk. The Subject was financed by its shareholders' funds and internally generated fund. During the economic downturn, the Subject, having a zero gearing, will be able to compete better than those which are highly geared in the same industry.
Overall Assessment :
Although the Subject's turnover decreased, its losses also decreased during the year. This could be the result of more efficient control in its operating costs. The Subject did not make any interest payment during the year. The Subject was dependent on its shareholders' funds to finance its business needs. The Subject was a zero gearing company, it was solely dependant on its shareholders to provide funds to finance its business. The Subject has good chance of getting loans, if the needs arises.
Overall financial condition of the Subject : LIMITED

SINGAPORE ECONOMIC / INDUSTRY OUTLOOK

Major Economic Indicators :	2012	2013	2014	2015	2016*
Population (Million)	5.31	5.40	5.47	5.54	5.63
Gross Domestic Products ( % )	1.3	3.7	(3.5)	3.7	4.8
Consumer Price Index	4.6	2.4	2.4	(0.5)	(0.7)
Total Imports (Million)	474,554.0	466,762.0	463,779.1	407,767.9	398,372.0
Total Exports (Million)	510,329.0	513,391.0	518,922.7	476,285.4	468,552.0
Unemployment Rate (%)	2.0	1.9	1.9	1.9	2.1
Tourist Arrival (Million)	14.49	15.46	15.01	15.23	16.28
Hotel Occupancy Rate (%)	86.4	86.3	85.5	85.0	-
Cellular Phone Subscriber (Million)	1.52	1.97	1.98	1.99	-
Registration of New Companies (No.)	31,892	37,288	41,589	34,243	35,528
Registration of New Companies (%)	(1.3)	9.8	11.5	(17.7)	3.8
Liquidation of Companies (No.)	17,218	17,369	18,767	21,384	-
Liquidation of Companies (%)	9.4	(5.3)	8.0	13.9	-
Registration of New Businesses (No.)	24,788	22,893	35,773	28,480	33,326
Registration of New Businesses (%)	5.51	1.70	56.30	(20.39)	17.02
Liquidation of Businesses (No.)	22,489	22,598	22,098	26,116	-
Liquidation of Businesses (%)	(2.2)	0.5	(2.2)	18.2	-
Bankruptcy Orders (No.)	1,748	1,992	1,757	1,776	-
Bankruptcy Orders (%)	14.5	14.0	(11.8)	1.0	-
Bankruptcy Discharges (No.)	1,881	2,584	3,546	3,499	-
Bankruptcy Discharges (%)	35.2	37.4	37.2	(1.3)	-
INDUSTRIES ( % of Growth ) :
Agriculture
Production of Principal Crops	5.16	1.78	4.29	3.04	-
Fish Supply & Wholesale	(0.5)	(3.8)	(8.6)	(8.5)	(9.9)
Manufacturing #
Food, Beverages & Tobacco	97.9	97.9	99.4	100.0	103.7
Textiles	140.1	119.5	102.7	100.0	93.3
Wearing Apparel	395.4	334.1	212.6	100.0	80.3
Leather Products & Footwear	109.5	122.0	106.5	100.0	93.2
Wood & Wood Products	93.3	103.0	107.2	100.0	90.5
Paper & Paper Products	98.5	104.4	104.5	100.0	99.7
Printing & Media	122.8	113.8	105.968	100.0	86.9
Crude Oil Refineries	107.1	100.7	92.2	100.0	100.5
Chemical & Chemical Products	85.3	88.4	96.7	100.0	97.6
Pharmaceutical Products	103.8	101.421	109.4	100.0	115.9
Rubber & Plastic Products	113.5	109.497	109.2	100.0	87.9
Non-metallic Mineral	108.8	107.4	90.759	100.0	93.6
Basic Metals	91.5	77.2	99.3	100.0	113.1
Fabricated Metal Products	107.314	107.5	107.757	100.0	91.7
Machinery & Equipment	107.3	109.1	118.2	100.0	79.3
Electrical Machinery	80.102	87.4	97.871	100.0	99.3
Electronic Components	100.7	105.0	105.6	100.0	106.3
Transport Equipment	109.9	111.1	106.68	100.0	98.7
Construction	28.70	25.40	22.00	-	-
Real Estate	31.9	88.5	145.1	-	-
Services
Electricity, Gas & Water	6.30	6.70	6.50	-	-
Transport, Storage & Communication	5.30	9.80	14.20	-	-
Finance & Insurance	0.50	3.30	6.00	-	7.40
Government Services	6.00	6.50	6.30	-	-
Education Services	0.30	3.10	5.98	-	2.40
* Estimate / Preliminary
# Based on Index of Industrial Production (2015 = 100)

INDUSTRY ANALYSIS

INDUSTRY :	TRADING
The wholesale & retail trade sector expanded by 6.8% in the third quarter of 2015, higher than the 6.0% growth in the preceding quarter. Growth was supported by both the wholesale trade and retail trade segments. The wholesale trade segment was boosted by an increase in both domestic and foreign wholesale trade sales volume. In particular, the domestic wholesale trade index rose by 7.4%, following the 8.1 % increase in the previous quarter. The strong performance in domestic wholesale trade was due to a surge in the sales of petroleum and petroleum products (14%), chemicals & chemical products (39%) and telecommunications & computers (18%).
Similarly, the foreign wholesale trade index rose by 10% in the third quarter of 2015, accelerating from the 6.9% rise in the previous quarter. Growth was driven by improvements in the sales of petroleum & petroleum products (21%), metals, timber & construction materials (10%) and general wholesale trade (8.8%).
Overall retail trade sales volume also recorded resilient growth of 5.6% in the third quarter of 2015, extending the 6.4 % expansion in the second quarter. Growth was supported by a surge in the volume of motor vehicle sales (44%), which was in turn due to a substantial increase in the supply of Certificate of Entitlements. Excluding motor vehicles, retail sales volume increased at a much slower pace of 0.7% over the same period. The increase in retail sales volume (excluding motor vehicles) was due to improved non-discretionary goods sales. For instance, the sales of medical goods & toiletries and department store goods rose by 8.1% and 3.6% respectively.
According to the Retail News Asia, Food and beverage has overtaken fashion as the primary driver of demand for retail real estate in Singapore. Despite declining retail sales and consumer spending, the prime retail sector remained in good shape during the third quarter 2015.
OVERALL INDUSTRY OUTLOOK : AVERAGE GROWTH

CREDIT RISK EVALUATION & RECOMMENDATION

Incorporated in 2008, the Subject is a Private Limited company, focusing on activities of head and regional head offices, trading of styrene monomers, polystyrene and copolymers. Having been in business for more than 5 years, the Subject has established a remarkable clientele base for itself which has contributed to its business growth. A paid up capital of SGD 6,441,501 allows the Subject to expand its business more comfortably. With a strong backing from its holding company, the Subject enjoys timely financial assistance should the needs arise.

Over the years, the Subject has penetrated into both the local and overseas market. The Subject has positioned itself in the global market and is competing in the industry. Its stable clientele base will enable the Subject to further enhance its business in the near term. Overall, we regard that the Subject's management capability is average. This indicates that the Subject has greater potential to improve its business performance and raising income for the Subject.

Despite the lower turnover, the Subject's pre-tax profit have increased compared to the previous year. The higher profit could be due to better control of its operating costs and efficiency in utilising its resources. The Subject has generated an unfavourable return on shareholders' funds indicating that the management was inefficient in utilising its funds to generate return. The Subject managed to maintain an adequate liquidity level, indicating that the Subject has the ability to meet its financial obligations. Being a zero geared company, the Subject virtually has no financial risk as it is mainly dependent on its internal funds to finance its business. Given a positive net worth standing at USD 95,934,000, the Subject should be able to maintain its business in the near terms.

The Subject's supplier are from both the local and overseas countries. This will eliminates the risk of dependency on deliveries from a number of key suppliers and insufficient quantities of its raw materials. Overall the Subject has a good control over its resources.

The Subject's payment habit is average. With its adequate working capital, the Subject should be able to pay its short term debts.

The industry shows an upward trend and this trend is very likely to sustain in the near terms. Hence, the Subject is expected to benefit from the favourable outlook of the industry.

Based on the above condition, we recommend credit be granted to the Subject normally.

PROFIT AND LOSS ACCOUNT

THE FINANCIAL STATEMENTS WERE PREPARED IN ACCORDANCE WITH SINGAPORE FINANCIAL REPORTING STANDARDS.

INEOS STYROLUTION APAC PTE. LTD.

Financial Year End	2016-12-31	2015-12-31	2014-12-31	2013-12-31	2012-12-31
Months	12	12	12	12	12
Consolidated Account	Company	Company	Company	Company	Company
Audited Account	YES	YES	YES	YES	YES
Unqualified Auditor's Report (Clean Opinion)	YES	YES	YES	YES	YES
Financial Type	FULL	FULL	FULL	FULL	FULL
Currency	USD	USD	USD	USD	USD
TURNOVER	246,416,000	552,910,000	673,797,000	811,128,000	679,401,000
Other Income	866,000	1,035,000	921,000	-	-
	----------------	----------------	----------------	----------------	----------------
Total Turnover	247,282,000	553,945,000	674,718,000	811,128,000	679,401,000
Costs of Goods Sold	(230,480,000)	(543,635,000)	(666,307,000)	(802,732,000)	(666,904,000)
	----------------	----------------	----------------	----------------	----------------
Gross Profit	16,802,000	10,310,000	8,411,000	8,396,000	12,497,000
	----------------	----------------	----------------	----------------	----------------
PROFIT/(LOSS) FROM OPERATIONS	2,201,000	(12,537,000)	(9,443,000)	(11,572,000)	(6,700,000)
	----------------	----------------	----------------	----------------	----------------
PROFIT/(LOSS) BEFORE TAXATION	2,201,000	(12,537,000)	(9,443,000)	(11,572,000)	(6,700,000)
Taxation	(477,000)	-	-	-	-
	----------------	----------------	----------------	----------------	----------------
PROFIT/(LOSS) AFTER TAXATION	1,724,000	(12,537,000)	(9,443,000)	(11,572,000)	(6,700,000)
	----------------	----------------	----------------	----------------	----------------
RETAINED PROFIT/(LOSS) BROUGHT FORWARD
As previously reported	(43,802,000)	(31,265,000)	(21,822,000)	(10,250,000)	(3,550,000)
	----------------	----------------	----------------	----------------	----------------
As restated	(43,802,000)	(31,265,000)	(21,822,000)	(10,250,000)	(3,550,000)
	----------------	----------------	----------------	----------------	----------------
PROFIT AVAILABLE FOR APPROPRIATIONS	(42,078,000)	(43,802,000)	(31,265,000)	(21,822,000)	(10,250,000)
	----------------	----------------	----------------	----------------	----------------
RETAINED PROFIT/(LOSS) CARRIED FORWARD	(42,078,000)	(43,802,000)	(31,265,000)	(21,822,000)	(10,250,000)
	=============	=============	=============	=============	=============
INTEREST EXPENSE (as per notes to P&L)
Loan from holding company	-	7,000	2,000	29,000	-
Others	-	-	-	-	486,000
	----------------	----------------	----------------	----------------	----------------
	-	7,000	2,000	29,000	486,000
	=============	=============	=============	=============	=============
DEPRECIATION (as per notes to P&L)	86,000	88,000	86,000	82,000	30,000
	----------------	----------------	----------------	----------------	----------------
Total Amortization And Depreciation	86,000	88,000	86,000	82,000	30,000
	=============	=============	=============	=============	=============

BALANCE SHEET

INEOS STYROLUTION APAC PTE. LTD.

ASSETS EMPLOYED:
FIXED ASSETS	142,000	186,000	270,000	352,000	273,000
LONG TERM INVESTMENTS/OTHER ASSETS
Subsidiary companies	84,471,000	84,471,000	84,471,000	-	-
	----------------	----------------	----------------	----------------	----------------
TOTAL LONG TERM INVESTMENTS/OTHER ASSETS	84,471,000	84,471,000	84,471,000	-	-
	----------------	----------------	----------------	----------------	----------------
TOTAL LONG TERM ASSETS	84,613,000	84,657,000	84,741,000	352,000	273,000
CURRENT ASSETS
Stocks	11,794,000	202,000	729,000	-	-
Trade debtors	9,464,000	25,645,000	8,703,000	43,210,000	23,700,000
Other debtors, deposits & prepayments	945,000	417,000	542,000	396,000	562,000
Short term deposits	-	-	9,074,000	-	403,000
Amount due from holding company	15,312,000	48,585,000	34,623,000	106,064,000	8,516,000
Amount due from related companies	22,184,000	24,621,000	62,621,000	128,354,000	80,645,000
Amount due from associated companies	52,000	-	-	-	-
Cash & bank balances	503,000	274,000	782,000	476,000	666,000
	----------------	----------------	----------------	----------------	----------------
TOTAL CURRENT ASSETS	60,254,000	99,744,000	117,074,000	278,500,000	114,492,000
	----------------	----------------	----------------	----------------	----------------
TOTAL ASSET	144,867,000	184,401,000	201,815,000	278,852,000	114,765,000
	=============	=============	=============	=============	=============
CURRENT LIABILITIES
Trade creditors	20,446,000	74,820,000	84,387,000	20,106,000	14,190,000
Other creditors & accruals	15,079,000	5,677,000	4,825,000	4,194,000	4,565,000
Amounts owing to related companies	13,388,000	9,696,000	6,107,000	138,418,000	101,260,000
Provision for taxation	20,000	-	-	-	-
	----------------	----------------	----------------	----------------	----------------
TOTAL CURRENT LIABILITIES	48,933,000	90,193,000	95,319,000	162,718,000	120,015,000
	----------------	----------------	----------------	----------------	----------------
NET CURRENT ASSETS/(LIABILITIES)	11,321,000	9,551,000	21,755,000	115,782,000	(5,523,000)
	----------------	----------------	----------------	----------------	----------------
TOTAL NET ASSETS	95,934,000	94,208,000	106,496,000	116,134,000	(5,250,000)
	=============	=============	=============	=============	=============
FINANCED BY:
SHARE CAPITAL
Ordinary share capital	5,000,000	5,000,000	5,000,000	5,000,000	5,000,000
	----------------	----------------	----------------	----------------	----------------
TOTAL SHARE CAPITAL	5,000,000	5,000,000	5,000,000	5,000,000	5,000,000
RESERVES
Capital reserve	133,000,000	133,000,000	133,000,000	133,000,000	-
Exchange equalisation/fluctuation reserve	12,000	10,000	(239,000)	(44,000)	-
Retained profit/(loss) carried forward	(42,078,000)	(43,802,000)	(31,265,000)	(21,822,000)	(10,250,000)
	----------------	----------------	----------------	----------------	----------------
TOTAL RESERVES	90,934,000	89,208,000	101,496,000	111,134,000	(10,250,000)
	----------------	----------------	----------------	----------------	----------------
SHAREHOLDERS' FUNDS/EQUITY	95,934,000	94,208,000	106,496,000	116,134,000	(5,250,000)
	=============	=============	=============	=============	=============

FINANCIAL RATIO

INEOS STYROLUTION APAC PTE. LTD.

TYPES OF FUNDS
Cash	503,000	274,000	9,856,000	476,000	1,069,000
Net Liquid Funds	503,000	274,000	9,856,000	476,000	1,069,000
Net Liquid Assets	(473,000)	9,349,000	21,026,000	115,782,000	(5,523,000)
Net Current Assets/(Liabilities)	11,321,000	9,551,000	21,755,000	115,782,000	(5,523,000)
Net Tangible Assets	95,934,000	94,208,000	106,496,000	116,134,000	(5,250,000)
Net Monetary Assets	(473,000)	9,349,000	21,026,000	115,782,000	(5,523,000)
PROFIT & LOSS ITEMS
Earnings Before Interest & Tax (EBIT)	0	(12,530,000)	(9,441,000)	(11,543,000)	(6,214,000)
Earnings Before Interest, Taxes, Depreciation And Amortization (EBITDA)	2,287,000	(12,442,000)	(9,355,000)	(11,461,000)	(6,184,000)
BALANCE SHEET ITEMS
Total Borrowings	0	0	0	0	0
Total Liabilities	48,933,000	90,193,000	95,319,000	162,718,000	120,015,000
Total Assets	144,867,000	184,401,000	201,815,000	278,852,000	114,765,000
Net Assets	95,934,000	94,208,000	106,496,000	116,134,000	(5,250,000)
Net Assets Backing	95,934,000	94,208,000	106,496,000	116,134,000	(5,250,000)
Shareholders' Funds	95,934,000	94,208,000	106,496,000	116,134,000	(5,250,000)
Total Share Capital	5,000,000	5,000,000	5,000,000	5,000,000	5,000,000
Total Reserves	90,934,000	89,208,000	101,496,000	111,134,000	(10,250,000)
GROWTH RATIOS (Year on Year) (%)
Revenue	(55.43)	(17.94)	(16.93)	19.39	39.46
Proft/(Loss) Before Tax	117.56	(32.77)	18.40	(72.72)	(88.73)
Proft/(Loss) After Tax	113.75	(32.77)	18.40	(72.72)	(88.73)
Total Assets	(21.44)	(8.63)	(27.63)	142.98	(17.04)
Total Liabilities	(45.75)	(5.38)	(41.42)	35.58	(12.32)
LIQUIDITY (Times)
Cash Ratio	0.01	0	0.10	0	0.01
Liquid Ratio	0.99	1.10	1.22	1.71	0.95
Current Ratio	1.23	1.11	1.23	1.71	0.95
WORKING CAPITAL CONTROL (Days)
Stock Ratio	17	0	0	0	0
Debtors Ratio	14	17	5	19	13
Creditors Ratio	32	50	46	9	8
SOLVENCY RATIOS (Times)
Gearing Ratio	0	0	0	0	0
Liabilities Ratio	0.51	0.96	0.90	1.40	(22.86)
Times Interest Earned Ratio	0	(1,790.00)	(4,720.50)	(398.03)	(12.79)
Assets Backing Ratio	19.19	18.84	21.30	23.23	(1.05)
PERFORMANCE RATIO (%)
Operating Profit Margin	0.89	(2.27)	(1.40)	(1.43)	(0.99)
Net Profit Margin	0.70	(2.27)	(1.40)	(1.43)	(0.99)
Return On Net Assets	2.29	(13.30)	(8.87)	(9.94)	118.36
Return On Capital Employed	2.29	(13.30)	(8.87)	(9.94)	118.36
Return On Shareholders' Funds/Equity	1.80	(13.31)	(8.87)	(9.96)	127.62
Dividend Pay Out Ratio (Times)	0	0	0	0	0
NOTES TO ACCOUNTS
Contingent Liabilities	0	0	0	0	0

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	INR 65.05
UK Pound	1	INR 90.41
Euro	1	INR 79.83
SGD	1	INR 49.09

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

INFORMATION DETAILS

Analysis Done by :	NIS
Report Prepared by :	TRU

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.