MIRA INFORM REPORT

Report No. :	493722
Report Date :	24.02.2018

IDENTIFICATION DETAILS

Name :	ETA BETA S.R.L
Registered Office :	Via Di Santa Cornelia, 5/A, 00060- Formello(RM) -IT
Country :	Italy
Financials (as on) :	31.12.2016
Date of Incorporation :	20.11.2007
Legal Form :	Limited liability company
Line of Business :	Electrical installation in buildings or in other constructions (including maintenance and repair)
No. of Employees :	From 1 to 5

RATING & COMMENTS

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

MIRA’s Rating :

B

Credit Rating	Explanation	Rating Comments
B	Medium Risk	Business dealings permissible on a regular monitoring basis

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

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 and address

Eta Beta S.r.l.

Via

Di Santa Cornelia,

5/A

00060

- Formello

(RM)

-IT-

Summary

Fiscal Code	:	09721841006
Legal Form	:	Limited liability company
start of Activities	:	18/02/2013
Equity	:	25.000
Turnover Range	:	500.000/750.000
Number of Employees	:	from 1 to 5

Activity

Electrical installation in buildings or in other constructions ( including maintenance and repair)

Legal Data

Legal Form : Limited liability company

Fiscal Code : 09721841006

Chamber of Commerce no. : 1185108 of Roma since 03/12/2007

V.A.T. Code : 09721841006

Establishment date	: 20/11/2007
Start of Activities	: 18/02/2013
Legal duration	: 31/12/2050
Nominal Capital	: 10.000
Subscribed Capital	: 10.000
Paid up Capital	: 10.000

Legal mail :

ETABETASRL@ARUBAPEC.IT

Members

Verdini

Roberto

Born in Roma

(RM)

on 09/01/1968

- Fiscal Code : VRDRRT68A09H501N

Residence:

Sesto San Giovanni

, 66

- 00100

Roma

(RM)

- IT -

Position	Since	Shares Amount	% Ownership
Sole Director	27/12/2011
Sole partner	31/10/2011

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.

Verdini

Roberto

Firm's Style	Seat	Fiscal Code	Position	Position Status	Firm's Status
Eta Beta Consulting S.r.l.	Roma (RM) - IT -	08661841000	Director	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
Verdini Roberto	Roma - IT -	VRDRRT68A09H501N	10.000 .Eur	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

Di Santa Cornelia

, 5/A

- 00060

- Formello

(RM)

- IT -

Legal mail

: ETABETASRL@ARUBAPEC.IT

Employees

: 3

Stocks for a value of 11.000

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

The company has been active for some years.

Balance sheets for the years 2014, 2015 and 2016 were analyzed.

During the last years, it recorded positive net results (r.o.e. 21,22% in 2016) with an increase in 2016 (+16,79%).

The operating result in 2016 was positive (3,9%) falling within the field's average.

The amount of the operating result for the year 2016 is of Eur. 19.339 with no increase in relation to the financial year 2015.

The economic management produced a gross operating margin of Eur. 33.673 stable if compared to the financial year 2015.

Financial condition is not balanced as own capitals do not cover debts, indebtedness level is in fact high (20,46) which tends downward.

Subject can manage an equity capital funds for an amount of Eur. 19.248 with a growth of 26,93% in 2016.

Eur. 439.870 is the amount of total debts, both commercial and of different nature, , showing an upward trend if compared to 2015.

Available funds are good.

During financial year 2016 the cash flow amounted to Eur. 18.419

Subordinate employment cost is of Eur. 105.186, i.e. 18,43% on total production costs. , whereas the incidence on sales revenues is of 19,38%.

High incidence of financial charges on turnover.

Financial Data

Complete balance-sheet for the year

al 31/12/2016

(in Eur

x 1)

Item Type	Value
Sales	542.669
Profit (Loss) for the period	4.085

Complete balance-sheet for the year

al 31/12/2015

(in Eur

x 1)

Item Type	Value
Sales	464.650
Profit (Loss) for the period	90

Complete balance-sheet for the year

al 31/12/2014

(in Eur

x 1)

Item Type	Value
Sales	543.635
Profit (Loss) for the period	1.905

Complete balance-sheet for the year

al 31/12/2013

(in Eur

x 1)

Item Type	Value
Sales	350.773
Profit (Loss) for the period	428

Complete balance-sheet for the year

al 31/12/2012

(in Eur

x 1)

Item Type	Value
Sales	371.313
Profit (Loss) for the period	1.719

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	6.154	8.008	9.863
. TANGIBLE FIXED ASSETS
. . Real estate
. . Plant and machinery
. . Industrial and commercial equipment
. . Other assets
. . Assets under construction and advances
. Total Tangible fixed assets	29.871	37.969	35.059
. 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
. . . . 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
Total fixed assets	36.025	45.977	44.922
CURRENT ASSETS
. INVENTORIES
. . Raw materials and other consumables
. . Work in progress and semimanufactured
. . Work in progress on order
. . Finished goods
. . Advance payments
. Total Inventories		11.270	6.344
. CREDITS NOT HELD AS FIXED ASSETS
. . Within 12 months	406.013	301.945	347.237
. . Beyond 12 months
. . Trade receivables
. . . . Within 12 months
. . . . 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
. . . . Within 12 months
. . . . Beyond 12 months
. . Receivables for anticipated taxes
. . . . Within 12 months
. . . . Beyond 12 months
. . Receivables due from third parties
. . . . Within 12 months
. . . . Beyond 12 months
. Total Credits not held as fixed assets	406.013	301.945	347.237
. 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	1.590	390
. LIQUID FUNDS
. . Bank and post office deposits
. . Checks
. . Banknotes and coins
. Total Liquid funds	45.980	14.792	8.577
Total current assets	453.583	328.397	362.158
ADJUSTMENT ACCOUNTS
. Discount on loans
. Other adjustment accounts	6.260	8.595	7.700
Total adjustments accounts	6.260	8.595	7.700
TOTAL ASSETS	495.868	382.969	414.780
LIABILITIES
STOCKHOLDERS' EQUITY
. Capital stock	10.000	10.000	10.000
. Additional paid-in capital
. Revaluation reserves
. Legal reserve	158	158	158
. Reserve for Own shares
. Statute reserves
. Other reserves	5.005	4.916	3.011
. Accumulated Profits (Losses)
. Profit( loss) of the year	4.085	90	1.905
. Advances on dividends
. Partial loss of the year Coverage
Total Stockholders'Equity	19.248	15.164	15.074
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	809	15.850	12.595
ACCOUNTS PAYABLE
. . . . Within 12 months	439.870	351.782	386.988
. . . . Beyond 12 months
. . 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
. . . . Within 12 months
. . . . 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
. . . . Within 12 months
. . . . Beyond 12 months
. . Due to social security and welfare inst.
. . . . Within 12 months
. . . . Beyond 12 months
. . Other payables
. . . . Within 12 months
. . . . Beyond 12 months
Total accounts payable	439.870	351.782	386.988
ADJUSTMENT ACCOUNTS
. Agio on loans
. Other adjustment accounts	35.941	173	123
Total adjustment accounts	35.941	173	123
TOTAL LIABILITIES	495.868	382.969	414.780

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	542.669	464.650	543.635
. Changes in work in progress			6.344
. Changes in semi-manufact. products
. Capitalization of internal work
. Other income and revenues	47.382	25.712	5.192
. . Contributions for operating expenses
. . Different income and revenues	47.382	25.712	5.192
Total value of production	590.051	490.362	555.171
PRODUCTION COSTS
. Raw material,other materials and consum.	70.185	85.481	111.645
. Services received	342.026
. Leases and rentals	10.775	200.579	227.854
. Payroll and related costs	105.186	167.419	159.906
. . Wages and salaries	74.145	111.122	110.587
. . Social security contributions	24.788	47.398	41.569
. . Employee termination indemnities	5.005	7.141	6.485
. . Pension and similar
. . Other costs	1.248	1.758	1.265
. Amortization and depreciation	14.334	9.098	13.123
. . Amortization of intangible fixed assets	2.051	1.855	393
. . Amortization of tangible fixed assets	12.283	7.243	12.730
. . Depreciation of tangible fixed assets
. . Writedown of current receiv.and of liquid
. Changes in raw materials	11.270	-4.926
. Provisions to risk reserves
. Other provisions
. Other operating costs	16.936	13.338	15.037
Total production costs	570.712	470.989	527.565
Diff. between value and cost of product.	19.339	19.373	27.606
FINANCIAL INCOME AND EXPENSE
. Income from equity investments
. . In subsidiary companies
. . In associated companies
. . In other companies
. Other financial income	25	35	43
. . 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	25	35	43
. . . - Subsidiary companies
. . . - Associated companies
. . . - Holding companies
. . . - Other companies	25	35	43
. Interest and other financial expense	-10.628	-9.191	-10.492
. . Towards subsidiary companies
. . Towards associated companies
. . Towards holding companies
. . Towards other companies		-9.191	-10.492
Total financial income and expense	-10.603	-9.156	-10.449
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		1	1
. . Gains on disposals
. . Other extraordinary income		1	1
. Extraordinary expense		-2.250	-7.287
. . Losses on disposals
. . Taxes relating to prior years
. . Other extraordinary expense		-2.250	-7.287
Total extraordinary income and expense		-2.249	-7.286
Results before income taxes	8.736	7.968	9.871
. Taxes on current income	4.651	7.878	7.966
. . current taxes	4.651	7.878	7.966
. . differed taxes(anticip.)
. Net income for the period	4.085	90	1.905
. Adjustments in tax regulations pursuance
. Provisions in tax regulations pursuance
. Profit (loss) of the year	4.085	90	1.905

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	0,07	0,12	0,11	0,12
Elasticity Ratio	Units	0,91	0,86	0,87	0,85
Availability of stock	Units	n.c.	0,03	0,02	0,13
Total Liquidity Ratio	Units	0,91	0,83	0,86	0,67
Quick Ratio	Units	0,10	0,04	0,02	0,04
COMPOSITION ON SOURCE
Net Short-term indebtedness	Units	20,46	22,22	25,10	5,09
Self Financing Ratio	Units	0,04	0,04	0,04	0,13
Capital protection Ratio	Units	0,27	0,33	0,21	0,49
Liabilities consolidation quotient	Units	0,00	0,05	0,03	0,11
Financing	Units	22,85	23,20	25,67	6,19
Permanent Indebtedness Ratio	Units	0,04	0,08	0,07	0,25
M/L term Debts Ratio	Units	0,00	0,04	0,03	0,08
Net Financial Indebtedness Ratio	Units	n.c.	n.c.	n.c.	0,89
CORRELATION
Fixed assets ratio	Units	0,56	0,67	0,62	1,81
Current ratio	Units	1,03	0,93	0,94	1,12
Acid Test Ratio-Liquidity Ratio	Units	1,03	0,90	0,92	0,95
Structure's primary quotient	Units	0,53	0,33	0,34	1,04
Treasury's primary quotient	Units	0,11	0,04	0,02	0,06
Rate of indebtedness ( Leverage )	%	2576,21	2525,51	2751,63	769,78
Current Capital ( net )	Value	13.713	-23.385	-24.830	76.802
RETURN
Return on Sales	%	3,39	1,98	2,76	2,96
Return on Equity - Net- ( R.O.E. )	%	21,22	0,59	12,64	8,95
Return on Equity - Gross - ( R.O.E. )	%	45,39	52,55	65,48	29,42
Return on Investment ( R.O.I. )	%	3,90	5,06	6,66	5,23
Return/ Sales	%	3,56	4,17	5,08	4,98
Extra Management revenues/charges incid.	%	21,12	0,46	6,90	24,55
Cash Flow	Value	18.419	9.188	15.028	43.211
Operating Profit	Value	19.339	19.373	27.606	70.778
Gross Operating Margin	Value	33.673	28.471	40.729	101.164
MANAGEMENT
Credits to clients average term	Days	n.c.	n.c.	n.c.	151,02
Debts to suppliers average term	Days	n.c.	n.c.	n.c.	170,53
Average stock waiting period	Days	n.c.	8,73	4,20	37,36
Rate of capital employed return ( Turnover )	Units	1,09	1,21	1,31	1,16
Rate of stock return	Units	n.c.	41,23	85,69	9,15
Labour cost incidence	%	19,38	36,03	29,41	21,18
Net financial revenues/ charges incidence	%	-1,95	-1,97	-1,92	-1,34
Labour cost on purchasing expenses	%	18,43	35,55	30,31	21,47
Short-term financing charges	%	2,42	2,61	2,71	2,18
Capital on hand	%	91,38	82,42	76,30	86,08
Sales pro employee	Value	180.889	92.930	135.908	145.714
Labour cost pro employee	Value	35.062	33.483	39.976	32.556

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	:	3.807.992
Population living in the region	:	5.269.972
Number of families in the region	:	2.091.220

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

- per food products	:	472
- per non food products	:	1.832
- per energy consume	:	102

Sector Data

The values are calculated on a base of 4.211 significant companies.

The companies cash their credits on an average of 151 dd.

The average duration of suppliers debts is about 171 dd.

The sector's profitability is on an average of 2,96%.

The labour cost affects the turnover in the measure of 21,18%.

Goods are held in stock in a range of 37 dd.

The difference between the sales volume and the resources used to realize it is about 1,16.

The employees costs represent the 21,47% of the production costs.

Statistical Detrimental Data

Statistically the trade activity passes through serious crises.

The area is statistically considered moderately risky.

In the region 53.924 protested subjects are found; in the province they count to 34.465.

The insolvency index for the region is 1,04, , while for the province it is 0,92.

Total Bankrupt companies in the province : 31.914.

Total Bankrupt companies in the region : 37.442.

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	INR 64.82
UK Pound	1	INR 90.40
Euro	1	INR 79.76
Euro	1	INR 79.66

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

INFORMATION DETAILS

Analysis Done by :	PRI
Report Prepared by :	SYL

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.