MIRA INFORM REPORT

Report No. :	510384
Report Date :	25.05.2018

IDENTIFICATION DETAILS

Name :	SYNTHOS DWORY 7 SP. Z O.O. SP. J.

Formerly Known As :	· SYNTHOS DWORY 7 SP. Z O.O. SP. J. · SYNTHOS DWORY 7 SP. Z O.O. SP. K.A · SYNTHOS DWORY" SP. Z O.O · PROJEKT ECHO - 79" SP. Z O.O.

Registered Office :	ul. Chemików 1, 32-600 Oświęcim

Country :	Poland

Financials (as on) :	31.12.2016

Date of Incorporation :	09.01.2007

Com. Reg. No.:	490507 KRS

Legal Form :	General partnership

Line of Business :	· Production of synthetic rubber and synthetic latex, styrene plastics, vinyl and acrylic copolymer dispersion · Manufacture of synthetic rubber in primary forms · Manufacture of other chemical products · Production of electricity

No. of Employees :	1095

RATING & COMMENTS

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

MIRA’s Rating :

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)

Poland

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

POLAND - ECONOMIC OVERVIEW

Poland has the sixth-largest economy in the EU and has long had a reputation as a business-friendly country with largely sound macroeconomic policies. Since 1990, Poland has pursued a policy of economic liberalization. During the 2008-09 economic slowdown Poland was the only EU country to avoid a recession, in part because of the government’s loose fiscal policy combined with a commitment to rein in spending in the medium-term Poland is the largest recipient of EU development funds and their cyclical allocation can significantly impact the rate of economic growth.

The Polish economy performed well during the 2014-17 period, with the real GDP growth rate generally exceeding 3%, in part because of increases in government social spending that have helped to accelerate consumer-driven growth. However, since 2015, Poland has implemented new business restrictions and taxes on foreign-dominated economic sectors, including banking and insurance, energy, and healthcare, that have dampened investor sentiment and has increased the government’s ownership of some firms. The government reduced the retirement age in 2016 and has had mixed success in introducing new taxes and boosting tax compliance to offset the increased costs of social spending programs and relieve upward pressure on the budget deficit. Some credit ratings agencies estimate that Poland during the next few years is at risk of exceeding the EU’s 3%-of-GDP limit on budget deficits, possibly impacting its access to future EU funds. Poland’s economy is projected to perform well in the next few years in part because of an anticipated cyclical increase in the use of its EU development funds and continued, robust household spending.

Poland faces several systemic challenges, which include addressing some of the remaining deficiencies in its road and rail infrastructure, business environment, rigid labor code, commercial court system, government red tape, and burdensome tax system, especially for entrepreneurs. Additional long-term challenges include diversifying Poland’s energy mix, strengthening investments in innovation, research, and development, as well as stemming the outflow of educated young Poles to other EU member states, especially in light of a coming demographic contraction due to emigration, persistently low fertility rates, and the aging of the Solidarity-era baby boom generation.

Source : CIA

Company name and address

SYNTHOS DWORY 7 sp. z o.o. sp. j.

ul. Chemików 1
32-600 Oświęcim

Phone: 33 844 18 21

Fax: 33 842 42 18

E-mail: synthos-pl@synthosgroup.com

Website: www.synthosgroup.com

Company summery

Legal form	General partnership	(3)
Stat.no.	260133662
Tax ID	PL 9591762828

Establishment	09.01.2007 as Limited liability company	(5)
	02.11.2011 as Limited joint-stock partnership	(15)
	12.12.2013 as General partnership	(3)
Changes of names and addresses	09.01.2007 „PROJEKT ECHO - 79" sp. z o.o. ul. Zagnańska 27, 25-528 Kielce
	25.10.2007 „SYNTHOS DWORY" sp. z o.o. ul. Chemików 1, 32-600 Oświęcim
	02.11.2011 SYNTHOS DWORY 7 sp. z o.o. sp. k.a.
	12.12.2013 SYNTHOS DWORY 7 sp. z o.o. sp. j.

Registration:	12.12.2013, District Court Kraków, XII Department, KRS 490507 Data concerning previous registrations: 09.01.2007, District Court Kraków, XII Department, KRS 271258 (previously entered in the National Court Register:: District Court Kielce, X Department) 02.11.2011, District Court Kraków, XII Department, KRS 400722

Shareholders	Synthos Dwory 2 sp. z o.o., ul. Chemików 1, 32-600 Oświęcim SYNTHOS SA, ul. Chemików 1, 32-600 Oświęcim

Representation Authority

Synthos Dwory 2 sp. z o.o., ul. Chemików 1, 32-600 Oświęcim

Representation:
since 20.04.2018
The subject company is represented by the general partner, the company: Synthos Dwory 2 sp. z o.o.. The general partner is represented as follows:
if one man board – president or proxy individually
if numerous managers – two members of the board of directors jointly or member of the board of directors and proxy jointly.
The members of the board of directors of the general partner:
Marek Rościszewski - president
Laurent Guillermin - vice president
Tomasz Piec - vice president
Wiesław ziembla - proxy.

Main activity	Production of synthetic rubber and synthetic latex, styrene plastics, vinyl and acrylic copolymer dispersion
	Branches NACE 2007:
	Manufacture of synthetic rubber in primary forms	(C.20.17.Z)
	Manufacture of other chemical products	(C.20.5)
	Production of electricity	(D.35.11.Z)

Employment

2007:              1076      employees
2008:              1003      employees
2009:              947       employees
2010:              1187      employees
2012:              1095      employees


Turnover	2012	PLN	2 738 005 000,00
	2013	PLN	2 423 551 000,00
	2014	PLN	2 173 321 000,00
	2015	PLN	1 947 649 000,00
	2016	PLN	2 151 878 000,00

Financial statements


Source of financial data	Court	Court	Court	Court
	annual	annual	annual	annual
Personal balance sheet as at	31.12.2016 (PLN)	31.12.2015 (PLN)	31.12.2014 (PLN)	31.12.2013 (PLN)
-A. Fixed assets......................	1 421 748 000,00	1 399 942 000,00	1 302 612 000,00	1 007 729 000,00
- I. Tangible assets.................	1 168 966 000,00	1 180 800 000,00	912 912 000,00	553 674 000,00
- II. Intangible assets..............	79 723 000,00	83 297 000,00	58 487 000,00	57 613 000,00
- III. Goodwill......................			889 000,00	219 000,00
- V. Investment real estate..........	321 000,00	375 000,00	429 000,00	483 000,00
- VI. Long term financial assets.....		134 456 000,00
- 1. in subsidiaries...............		134 456 000,00
- a) shares and quotas...........		134 456 000,00
-VII. Investments in associated and dependant companies valued with method of ownership rights/ Shares and quotas in units consolidated by method of ownership rights............	134 456 000,00
-XI. Financial assets available for sale..................................		125 000,00	267 191 000,00	191 542 000,00
-XIII. Assets due to deferred income tax...................................	37 393 000,00
-XV. Other fixed assets/ Other long-term assets......................	889 000,00
-B. Current Assets....................	791 598 000,00	666 742 000,00	1 231 024 000,00	928 252 000,00
- I. Stocks..........................	188 735 000,00	198 764 000,00	196 234 000,00	176 288 000,00
- IV. Trade receivables and other receivables/ supply and services receivables and other receivables.....	473 613 000,00	304 270 000,00	415 277 000,00	397 125 000,00
- VI. Other financial assets.........			255 281 000,00	245 177 000,00
- VIII. Cash and cash equivalents....	129 250 000,00	163 708 000,00	364 232 000,00	109 662 000,00
-Total assets.........................	2 213 346 000,00	2 066 684 000,00	2 533 636 000,00	1 935 981 000,00
-A. Equity............................	346 059 000,00	1 183 155 000,00	936 237 000,00	789 821 000,00
- I. Initial capital.................	517 876 000,00	517 879 000,00	517 874 000,00	517 874 000,00
- VI. Share premium account..........			22 907 000,00	67 104 000,00
- VIII. Other capital................	-354 906 000,00	-354 906 000,00	-354 906 000,00	-354 906 000,00
- XI. Retained earnings..............	183 089 000,00	1 020 182 000,00	750 362 000,00	559 749 000,00
-B. Long term liabilities.............	1 509 896 000,00	409 074 000,00	690 283 000,00	73 059 000,00
- I. Credits, loans/ Liabilities due to credits, loand and other debt instruments...........................	1 259 955 000,00	212 223 000,00	554 099 000,00	7 239 000,00
- III. Liabilities due to employees' benefits...................	2 518 000,00	2 994 000,00	3 789 000,00	3 342 000,00
- VI. Reserves.......................	76 242 000,00	30 260 000,00	30 260 000,00	30 260 000,00
- IX. Future income..................	171 181 000,00
-C. Short term liabilities............	357 391 000,00	474 455 000,00	907 116 000,00	1 073 101 000,00
- I. Credits and loans/ Current account credits.......................	4 764 000,00		6 756 000,00	456 231 000,00
- II. Long-term credits and loans with settlement term..................				8 666 000,00
- VI. Liabilities due to credits, loans and other debt instruments......		2 495 000,00
- IX. Trade and other liabilities....	352 297 000,00	471 625 000,00	899 970 000,00	607 930 000,00
- X. Reserve for employees' benefits.			214 000,00	98 000,00
- XI. Reserves/ other short term reserves..............................	176 000,00	176 000,00	176 000,00	176 000,00
- Liabilities for employee benefits..	154 000,00	159 000,00
-Total liabilities....................	2 213 346 000,00	2 066 684 000,00	2 533 636 000,00	1 935 981 000,00

Source of financial data	Court	Court	Court	Court
	annual	annual	annual	annual
individual PROFIT AND LOSS ACCOUNT	01.01.2016- 31.12.2016 (PLN)	01.01.2015- 31.12.2015 (PLN)	01.01.2014- 31.12.2014 (PLN)	01.01.2013- 31.12.2013 (PLN)
-A. Income from sales and similar.....	2 151 878 000,00	1 947 649 000,00	2 173 321 000,00	2 423 551 000,00
-B.Cost of products, goods sold.......	1 722 781 000,00	1 567 738 000,00	1 836 577 000,00	2 046 483 000,00
-C. Gross profit on sale..............	429 097 000,00	379 911 000,00	336 744 000,00	377 068 000,00
-D. Costs of sale.....................	72 268 000,00	66 620 000,00	67 751 000,00	71 376 000,00
-E. General management costs..........	125 520 000,00	95 867 000,00	96 511 000,00	86 477 000,00
-F. Profit on sale....................	231 309 000,00	217 424 000,00	172 482 000,00	219 215 000,00
-G. Other operating incomes...........		5 927 000,00	5 746 000,00	12 561 000,00
-H. Other operating costs.............	31 127 000,00	95 867 000,00	6 710 000,00	16 721 000,00
-I. Profit on operating activities....	200 182 000,00	213 286 000,00	180 803 000,00	220 034 000,00
-J. Financial incomes.................	31 307 000,00	45 221 000,00	22 664 000,00	20 736 000,00
-K. Financial costs...................	70 424 000,00	8 558 000,00	12 984 000,00	10 773 000,00
-L. Gross profit on economic activity.	161 065 000,00	269 820 000,00	190 483 000,00	229 997 000,00
-N. Gross profit......................	161 065 000,00	269 820 000,00	190 483 000,00	229 997 000,00
-O. Corporation tax...................	37 393 000,00		-130 000,00
-R. Net profit........................	123 672 000,00	269 820 000,00	190 613 000,00	229 997 000,00

AUDITOR

Balance sheet as at 31.12.2014
PRICEWATERHOUSECOOPERS Sp. z o.o., ul. Lecha Kaczyńskiego 14, 00-638 Warszawa	No. 144

Expert auditor Tomasz Reinfuss

No. 90038

Ratios	01.01.2016- 31.12.2016	01.01.2015- 31.12.2015	01.01.2014- 31.12.2014	01.01.2013- 31.12.2013
Current ratio	2,21	1,41	1,36	0,87
Quick ratio	1,69	0,99	1,14	0,70
Immediate ratio	0,36	0,35	0,40	0,10
Return on sale	5,75	13,85	8,77	9,49
Return on assets	5,59	13,06	7,52	11,88
Return on equity	35,74	22,81	20,36	29,12
Average trade debtors' days	80,55	57,02	69,74	59,81
Average stock turnover's days	32,10	37,25	32,96	26,55
average payables payment period	60,79	88,92	152,35	161,61
Total indebtedness ratio	84,36	42,75	63,05	59,20

Other general information

Locations:

seat:
ul. Chemików 1, 32-600 Oświęcim
Phone:                   33 844 18 21
Fax:                     33 842 42 18
E-mail:                  Michal.Watola@synthosgroup.com
                         synthos-pl@synthosgroup.com
Website:                 www.synthosgroup.com

Real Estate

Verification of information on real estate ownership position through the Real Estate Register is not covered by the standard report.

Shares in other companies	Miejsko-Przemysłowa Oczyszczalnia Ścieków Sp. z o.o. NIP 5492052990, ul. Nadwiślańska 46, 32-600 Oświęcim PLN 42 087 255,00 (76,79%) SYNTHOS AGRO sp. z o.o. NIP PL 5492404093, ul. Chemików 1, 32-600 Oświęcim PLN 32 200,00 (99,84%) WTE SPV sp. z o.o. w likwidacji, ul. Chemików 1, 32-600 Oświęcim (! the company was put into liquidation) PLN 5 000,00 (100,00%) SYNTHOS DWORY 4 SPÓŁKA Z O.O. NIP 5492402800, ul. Chemików 1, 32-600 Oświęcim Comandite sum: PLN 100 000,00 SYNTHOS DWORY 5 SPÓŁKA Z O.O. NIP 5492402792, ul. Chemików 1, 32-600 Oświęcim Comandite sum: PLN 50 000,00 SYNTHOS DWORY 8 sp. z o.o. NIP 5492434450, ul. Chemików 1, 32-600 Oświęcim Comandite sum: PLN 20 000,00
	Data concerning shares in other companies are valid as at: 01.05.2018.

Connections:	Synthos Dwory 2 sp. z o.o. - SYNTHOS CARE SYNTHOS DWORY 2 sp. z o.o. sp. k., ul. Chemików 1, 32-600 Oświęcim · member of representation unit - SYNTHOS DWORY 8 sp. z o.o. NIP 5492434450, ul. Chemików 1, 32-600 Oświęcim · general partner · member of representation unit - SYNTHOS DWORY 5 SPÓŁKA Z O.O. NIP 5492402792, ul. Chemików 1, 32-600 Oświęcim · general partner · member of representation unit - SYNTHOS DWORY 4 SPÓŁKA Z O.O. NIP 5492402800, ul. Chemików 1, 32-600 Oświęcim · general partner · member of representation unit - SYNTHOS STYRENICS SYNTHOS DWORY 2 Sp. z o.o. Spółka Komandytowa NIP PL 5492444537, ul. Chemików 1, 32-600 Oświęcim · general partner · member of representation unit SYNTHOS SA - SYNTHOS CARE SYNTHOS DWORY 2 sp. z o.o. sp. k., ul. Chemików 1, 32-600 Oświęcim · Limited partners, Comandite sum: PLN 100 000,00 - PHOTO HITECH sp. z o.o. NIP 6762471445, ul. Bobrzyńskiego 14/-, 30-348 Kraków · shareholder: PLN 22 000,00 (44,00%) - SYNTHOS STYRENICS SYNTHOS DWORY 2 Sp. z o.o. Spółka Komandytowa NIP PL 5492444537, ul. Chemików 1, 32-600 Oświęcim · Limited partners, Comandite sum: PLN 500 000,00 - Synthos Dwory 2 sp. z o.o. NIP PL 5491975830, ul. Chemików 1, 32-600 Oświęcim · shareholder: PLN 10 700 000,00 (100,00%)
	Data concerning connections are valid as at: 01.05.2018.

Acquisitions

31.12.2009 (Entry date) - merger
„SYNTHOS DWORY" sp. z o.o., ul. Chemików 1, 32-600 Oświęcim
(as taking over)
ENERGETYKA DWORY Sp. z o.o KRS 24445, ul. Chemików 1, 32-600 Oświęcim
(as taken over) (Resolution date 27.11.2009 )
30.09.2008 (Entry date) - merger
„SYNTHOS DWORY" sp. z o.o., ul. Chemików 1, 32-600 Oświęcim
(as taking over)
Przedsiębiorstwo Usługowo-Handlowe Ratownictwa Chemicznego DEKOCHEM sp. z o.o. KRS 128451, ul. Chemików 1, 32-600 Oświęcim
(as taken over) (Resolution date 16.09.2009 )

General information	The audited company is a separate structure of Firmy Chemicznej Dwory SA. On 01.12.2007 the company took over the production activities of the company SYNTHOS SA. The company is a part of the SYNTHOS SA group. The group SYNTHOS SA It is one of the largest manufacturers of chemical raw materials in Poland.
	The subject has not decided to cooperate in elaboration of this report yet. If we obtain any further information, we will send it in the.

Banks

Names of banks were not disclosed

Payment Manner

In available sources, payment delays have not been noted

(34)

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	INR 68.39
UK Pound	1	INR 91.44
Euro	1	INR 80.04
PLN	1	INR 18.50

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

INFORMATION DETAILS

Analysis Done by :	PRI

Report Prepared by :	KET

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.

MIRA INFORM REPORT

Company name and address

Company summery

Financial statements

Other general information

Unit