CREDIT ANALYSIS REPORT © Coface Latvia Credit Management Services SIA

email: orders@coface.lv

18.08.2009 10:40 (GMT+2)

Order Details: Customer: SIA "XXX"

Order number: 12345

Delivery speed: Normal

Language: English

Given company name: SAMPLE SIA

COMPANY REPORTED

SIA "SAMPLE"

International Name: SAMPLE, Ltd

Principal Address:

Rīga

LV-0123 Rīgas raj.

Latvia

Tel: +371-12345678

Fax: +371-12345678

Email: sveiki@asd.lv

Registered office:

Rīga

LV-0123 Rīgas raj.

Latvia

Former company addresses

Former Registered office:

xxx gatve 96

LV-0123 Rīga

Latvia

ICON number: XXXXXXXX

National ID: XXXXXXXXXXX

VAT number: XXXXXXXXXXX

Date of Last Research: 14.08.2009

CREDIT INFORMATION SUMMARY

Insolvency Information: According to available information sources the company is not in a insolvency/preliminary/debt regulation

proceeding.

Maximum Credit: EUR 2.500.000,00

Coface Central Europe Group defined a Maximum Credit of EUR 2.500.000 as the general upper limit for a

suppliers’ credit. The Maximum Credit computed for the company in question would exceed this upper limit.

Credit Rating: 6 - Acceptable risk

Insolvency /

Medium High

preliminary / debt Very High Risk

Low Risk

Risk

regulation proceedings

0 1 2 3 4 5 6 7 8 9 10

▲

Page 1 of 11

Payment Practices: Payments are made according to terms

Debt Collection: There is no record of any debt collection action by Coface Latvia Credit Management Services SIA against this

company exceeding a single case volume of EUR 500.

Negative information NO

available:

COMPANY DETAILS

Established: 2004

Registration: No. XXXXXXXXX

xx.xx.2004

Commercial Register, Latvia

Legal Form: Limited Liability Company

Capital:

Nominal capital: LVL 4.871.738,00 since 12.06.2007

Changed from: LVL 4.571.738,00 since 21.12.2006

LVL 3.868.934,00 since 14.11.2005

LVL 1.619.962,00 since 18.02.2005

Shareholders:

Equity

Full Name

Function Address

capital

XXX Shareholder 38,95%

XXX Shareholder XXX 33,05%

Registration: XXX XXX

XXX XXX

XXX

XXX Shareholder 22,10%

Registration: Latvia

XXX Shareholder 5,90%

Management:

Full Name Function

Address

Uzvards Vards Chairman of the executive board (signature A.BieziĦa xx

Nationality: LV right) Rīga

Latvia

Uzvards Vards Member of the executive board (signature Čiekurkalna x. š ėērslīnija x

Nationality: LV right) x

Rīga

Latvia

Uzvards Vards Member of the executive board (signature Rumbulas xx

Nationality: LV right) Rīga

Latvia

Uzvards Vards Member of the executive board (signature ZeltiĦu x

Nationality: LV right) Rīga

Latvia

Uzvards Vards Chairman of the supervisory board Mavanes xx

Helgi Gardabaer

Nationality: IS Iceland

Uzvards Vards Deputy chairman of the supervisory board Penkules x

Nationality: LV Rīga

Latvia

Uzvards Vards Member of the supervisory board Laugalind x

Nationality: IS Kopavogur

Iceland

Uzvards Vards Member of the supervisory board Elizabetes x

Nationality: LV Rīga

Latvia

Page 2 of 11

Uzvards Vards Member of the supervisory board Tērvetes x Nationality: LV Jelgava

Latvia

Person functions in

other companies:

Function Company Other known functions of Uzvards Vards Chairman of the supervisory board SIA "XXX" (LV)

National ID: XXXXXXXXXXX Member of the supervisory board "XXX", AS (LV)

National ID: XXXXXXXXXXX

Member of the supervisory board Sabiedrība ar ierobež otu atbildību "XXX" (LV) National ID: XXXXXXXXXXX

Other known functions of Uzvards Vards

Member of the supervisory board Sabiedrība ar ierobež otu atbildību "XXX"" (LV) National ID: XXXXXXXXXXX

Chairman of the supervisory board SIA ''XXX'' (LV)

National ID: XXXXXXXXXXX Deputy chairman of the supervisory SIA "XXX" (LV) board National ID: XXXXXXXXXXX Member of the supervisory board Sabiedrība ar ierobež otu atbildību "XXX" (LV)

National ID: XXXXXXXXXXX Member of the supervisory board SIA "XXX" (LV)

National ID: XXXXXXXXXXX Member of the supervisory board SIA "XXX" (LV)

National ID: XXXXXXXXXXX

Other known functions of Uzvards Vards

Member of the supervisory board "XXX", AS (LV) National ID: XXXXXXXXXXX

Member of the executive board Sabiedrība ar ierobež otu atbildību "XXX "XXX"" (LV) National ID: XXXXXXXXXXX

Member of the supervisory board SIA "XXX" (LV) National ID: XXXXXXXXXXX

Member of the supervisory board SIA " XXX " (LV) National ID: XXXXXXXXXXX

Member of the executive board " XXX ", SIA (LV) National ID: XXXXXXXXXXX

Chairman of the supervisory board SIA " XXX " (LV) National ID: XXXXXXXXXXX

Other known functions of Uzvards Vards

Chairman of the supervisory board "XXX", AS (LV) National ID: XXXXXXXXXXX

Chairman of the executive board "XXX", SIA (LV) National ID: XXXXXXXXXXX

Chairman of the supervisory board Sabiedrība ar ierobež otu atbildību " XXX " (LV) National ID: XXXXXXXXXXX

Chairman of the supervisory board SIA " XXX " (LV) National ID: XXXXXXXXXXX

Chairman of the executive board " XXX ", SIA (LV) National ID: XXXXXXXXXXX

Other known functions of Uzvards Vards

Member of the executive board " XXX ", SIA (LV) National ID: XXXXXXXXXXX

Legal Representation: see free text

KEY DATA ON OPERATIONS

Page 3 of 11

Subject of Operation: NACE main activity: 4719 Other retail sale in non-specialised stores

4673 Wholesale of wood, construction materials and sanitary equipment 4710 Retail sale in non-specialised stores 4770 Retail sale of other goods in specialised stores

Retail trade in specialized products and accessories (equipment) for garden and house. NACE codes given are based on the most recent NACE Revision 2.

The company is active in the Coface sector 'Non specialised trade'.

Note: the Coface Sector Rating for this industry in the emerging markets of CEE is 'B+' (Last rating: 'B+')

Inflation rate: 1%

Key Data:

Amounts shown in Latvian Lat (LVL)

01.01.2009-01.06.2009 2008 2007 2006

Net turnover 34.792.998 89.071.015 ▲ 62.307.267 ▲ 25.181.899

NON-CURRENT ASSETS TOTAL 8.283.312 8.261.875 ▲ 5.486.119 ▲ 3.179.898

CAPITAL AND RESERVES TOTAL 5.715.898 5.676.477 ▲ 5.195.358 ▲ 3.855.240

Profit after taxation 39.421 481.119 ▼ 941.433 ▲ 0

Loss after taxation 0 0 0 73.013

Operating result - profit 392.515 1.473.660 ► 1.513.810 ▲ 0

Operating result - loss 0 0 0 88.247

▲ strong positive trend ( >=+20%) ► stable trend ( <+/-5%) ▼ strong negative trend ( >=-20%)

▲ positive trend ( <+20% & >=+5%) ▼ negative trend ( <-20% & >=-5%)

Page 4 of 11

Workforce:

2009 2008 2007 2006

Total workforce 1.100 1.083 814 0

Motor Vehicles:

2009

Number of cars leased: 52

Total number of vehicles 52

Imports:

Belarus

China

Germany

Page 5 of 11

Denmark

Estonia

Spain

Lithuania

Poland

United States of America

Major Customers: Retail trade.

Major Suppliers: Degoyer Knauf (Latvia) Prockwool ERGIS EUROFILMS SA

Real Estate: Shop Address: xxx gatve xx LV-0123 Rīga Latvia

Type of ownership: rented

Shop Address: xxx xx Rīga Latvia

Shop Address: xxx šoseja x Rīgas r.,xxx p., xxx Latvia

Shop Address: xxx 123 Daugavpils Latvia

Shop Address: xxx xxx Rīga Latvia

Shop Address: xxx xx LV-0123 Liepāja Latvia

Shop Address: xxx š oseja x LV-0123 XXX Latvia

Shop Address: Xxx 1 LV-0123 Jēkabpils Latvia

Page 6 of 11

Office Address: XXX LV-0123 XXX Latvia

Type of ownership: rented

Shop Address: xxx Rēzekne Latvia

Name: XXX

FINANCIAL INFORMATION

Financials:

Amounts shown in Latvian 01.01.2009-01.06.2009 2008 2007 2006 Lat (LVL)

BALANCE SHEET

ASSETS

Cost of research and 24.401,00

development

Concessions, patents, 308.608,00 361.019,00 367.148,00 264.943,00

-1,67% +38,58% licences, brands, etc.

Payments on account for 18.999,00 18.999,00 0,00 6.394,00

intangible assets

Total intangible assets 327.608,00 380.018,00 367.148,00 271.337,00

+3,51% +35,31%

Long-term investments in 109.968,00 86.488,00 48.702,00 50.195,00

+77,59% -2,97% leased tangible assets

Plant and machinery 9.428,00 15.559,00 34.214,00 49.215,00

-54,52% -30,48%

Other fixtures and fittings, 7.435.922,00 7.186.830,00 4.162.687,00 2.202.634,00

+72,65% +88,99% tools and equipment

Payments on account and 217.740,00 331.557,00 571.303,00 307.503,00

-41,96% +85,79% tangible assets in

progress

Prepayment for tangible 5.298,00 50.647,00 124.718,00 28.972,00

-59,39% +330,48% assets

Total tangible assets 7.778.357,00 7.671.081,00 4.941.624,00 2.638.519,00

+55,23% +87,29%

Other securities and 177.347,00 177.347,00

0% capital participation

Other loans 177.347,00 177.347,00 177.347,00

0%

Total financial assets 177.347,00 210.776,00 177.347,00 270.042,00

+18,85% -34,33%

NON-CURRENT ASSETS 8.283.312,00 8.261.875,00 5.486.119,00 3.179.898,00

+50,60% +72,52% TOTAL

Raw materials and 90.752,00 171.298,00 62.158,00 123.553,00

+175,58% -49,69% consumables

Work in progress 65.218,00 57.315,00 33.379,00

+71,71%

Finished goods and 24.894.202,00 25.017.428,00 17.784.688,00 9.422.939,00

+40,67% +88,74% goods for resale

Orders outstanding 57.315,00 33.379,00 13.580,00

+71,71% +145,80%

Payments on account 116.008,00 241.776,00 545.646,00 543.897,00

-55,69% +0,32%

Total stock 25.166.181,00 25.487.817,00 18.425.871,00 10.103.969,00

+38,33% +82,36%

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Trade receivables 692.104,00 979.101,00 1.076.152,00 270.352,00

-9,02% +298,06%

Other receivables 160.991,00 242.436,00 254.284,00 43.593,00

-4,66% +483,31%

Subscribed capital called 33.429,00 0,00 108.724,00 702.804,00

-84,53% but not paid

Short-terms loans to the 108.724,00

members of the company

and the management

Prepayments and accrued 71.467,00 63.691,00 60.040,00 52.365,00

+6,08% +14,66% income

Total receivables 957.990,00 1.285.228,00 1.499.200,00 1.069.114,00

-14,27% +40,23%

Cash at bank and on hand 286.911,00 656.215,00 1.021.747,00 349.177,00

-35,78% +192,62% (total)

CURRENT ASSETS TOTAL 26.411.082,00 27.429.260,00 20.946.818,00 11.522.260,00

+30,95% +81,79%

BALANCE 34.694.394,00 35.691.135,00 26.432.937,00 14.702.158,00

+35,03% +79,79%

EQUITY AND LIABILITIES

Share capital 4.871.738,00 4.871.738,00 4.871.738,00 4.571.738,00

0% +6,56%

Profit or loss carried 804.739,00 323.620,00 -617.813,00 -643.485,00

+152,38% +3,99% forward from previous

years

Profit or loss for the 39.421,00 481.119,00 941.433,00 -73.013,00

-48,90% +1.389,40% current year

CAPITAL AND RESERVES 5.715.898,00 5.676.477,00 5.195.358,00 3.855.240,00

+9,26% +34,76% TOTAL

Amounts owed to credit 4.061.876,00 4.061.876,00

institutions

Other creditors 4.061.876,00 2.847.044,00 1.975.651,00

+42,67% +44,11%

Deferred tax liabilities 0,00 93.630,00

Total long-term liabilities 4.061.876,00 4.061.876,00 2.940.674,00 1.975.651,00

+38,13% +48,85%

Amounts owed to credit 10.789.666,00 12.500.000,00 9.267.774,00 4.047.945,00

+34,88% +128,95% institutions

Other loans 879.835,00 1.758.098,00 1.232.602,00 501.947,00

+42,63% +145,56%

Advance payments 168.897,00 200.463,00 109.372,00 88.942,00

+83,29% +22,97% received

Trade debts 11.876.863,00 9.599.069,00 6.407.866,00 3.548.628,00

+49,80% +80,57%

Taxes and social security 741.902,00 1.095.338,00 589.059,00 138.374,00

+85,95% +325,70% payments

Other creditors 229.027,00 276.860,00 268.207,00 106.439,00

+3,23% +151,98%

Accrued charges 230.430,00 522.954,00 422.025,00 438.992,00

+23,92% -3,86%

Total short-term liabilities 24.916.620,00 25.952.782,00 18.296.905,00 8.871.267,00

+41,84% +106,25%

CREDITORS TOTAL 28.978.496,00 30.014.658,00 21.237.579,00 10.846.918,00

+41,33% +95,79%

BALANCE 34.694.394,00 35.691.135,00 26.432.937,00 14.702.158,00

+35,03% +79,79%

PROFIT AND LOSS

Net turnover 34.792.998,00 89.071.015,00 62.307.267,00 25.181.899,00

+42,95% +147,43%

Cost of sales 25.434.256,00 68.831.249,00 48.425.077,00 19.880.128,00

+42,14% +143,59%

GROSS PROFIT OR LOSS 9.358.742,00 20.239.766,00 13.882.190,00 5.301.771,00

+45,80% +161,84%

Distribution costs 8.530.741,00 17.898.363,00 11.591.122,00 4.938.055,00

+54,41% +134,73%

Administrative expenses 496.274,00 1.014.720,00 983.760,00 469.914,00

+3,15% +109,35%

Other operating income 60.788,00 194.273,00 282.777,00 28.692,00

-31,30% +885,56%

Page 8 of 11

Other operating expenses 47.296,00 76.275,00 10.741,00

-37,99% +610,13%

Other interest receivable 20.377,00 20.427,00 257.907,00 60.436,00

-92,08% +326,74% and similar income

Interest payable and 373.472,00 1.140.027,00 635.444,00 163.826,00

+79,41% +287,88% similar charges

PROFIT/LOSS ON 39.421,00 354.060,00 1.136.273,00 -191.637,00

-68,84% +692,93% ORDINARY ACTIVITIES

(BEFORE TAXATION)

PROFIT OR LOSS BEFORE 39.421,00 354.060,00 1.136.273,00 -191.637,00

-68,84% +692,93% TAXATION

Income-tax for fiscal 127.059,00 194.840,00

-34,79% period

Deferred income-tax 127.059,00 -157.877,00 118.624,00

+180,48% -233,09%

PROFIT OR LOSS FOR 39.421,00 481.119,00 941.433,00 -73.013,00

-48,90% +1.389,40% FISCAL PERIOD

Approximate Exchange2008: 0,702804 LVL = 1 EUR

Rates: 2007: 0,702804 LVL = 1 EUR

2006: 0,7028 LVL = 1 EUR

2005: 0,7028 LVL = 1 EUR

2004: 0,6711 LVL = 1 EUR

2008: 0,4797623 LVL = 1 USD

2007: 0,51365205 LVL = 1 USD

2006: 0,5725 LVL = 1 USD

2005: 0,5651 LVL = 1 USD

2004: 0,54 LVL = 1 USD

Bankers: "Swedbank" AS - Account no. HABALV22-LV85HABA0551009367426

LV-1048 Rīga, Balasta dambis 1a

"Swedbank" AS - Account no. LV49HABA0551008904123

SEB banka, AS - Account no. LV38UNLA0050005867018

Ratios:

01.01.2009-01.06.2009 2008 2007 2006

Return on sales, % 0,11 0,54 1,51 -0,29Profit after tax / Turnover * 100

Return on investment, % 0,69 8,48 18,12 -1,89Profit after tax / Capital and reserves total * 100

Current assets turnover, % 131,74 324,73 297,45 218,55Turnover / Current assets * 100

Net working capital 1.494.462 1.476.478 2.649.913 2.650.993Current assets - Short-term liabilities

Leverage 0,16 0,16 0,20 0,26Equity / Total assets

Current ratio 1,06 1,06 1,14 1,30Current assets / Short-term liabilities

Quick ratio 0,05 0,07 0,14 0,16(Current assets - Total stock) / Short-term liabilities

Debt-to-equity ratio 5,07 5,29 4,09 2,81(Short-term liabilities + Long-term liabilities) / Capital and

reserves total

Page 9 of 11

ADDITIONAL INFORMATION

Contact With Company: The information was received from all the sources available.

The company's financial director Mrs Vera Marinkēviča confirmed general information on the firm.

Commercial Pledges: yes

Additional information is not available.

BUSINESS ENVIRONMENT

Country Indicators:

Coface Country Rating:

01.06.2009 01.03.2009 01.12.2008

B B A4

Inflation rate:

01.04.2009

1%

CODES AND DEFINITIONS

Maximum Credit is to be understood as the highest possible engagement for a supplier delivering goods or rendering services on open terms with an average respite of 60 days. (It is assumed that, on the average, the company in question has 5 suppliers, who deliver goods or render services at the same time.)

Credit Rating

10 Excellent risk

9 Very low risk

8 Low risk

7 Moderate risk

6 Acceptable risk

5 Medium high risk

4 Significant risk

3 High risk

2 Very high risk of insolvency

1 Extremely high risk of insolvency

0 Insolvency/preliminary/debt regulation proceedings Payment Practices Payments are made very correctly. - Payments are made regularly. - Payments are made according to terms - Payments are made irregularly. - Payments are made slowly. - Payments are made very slowly. - Payments are extremely slow, constantly legal actions occur. - Payments stopped. Coface Sector Rating

A+, A, A- In a good sector economic environment with robust corporate financial health, payment behaviour has been satisfactory. Corporate default probability is low on average.

B+, B, B- The essentially good economic environment in the sector could experience short-term deterioration with negative consequences on corporate financial health. Payment behaviour has been generally satisfactory and default probability acceptable.

C+, C, C- In a very uncertain economic environment with vulnerable corporate financial health, payment behaviour is relatively poor. Default probability is high enough to cause concern.

D With a very poor economic environment prevailing in the sector, weakened corporate financial health gives rise to generally bad

payment behaviour. Default probability is high. Coface Country Rating

A1 The political and economic situation is very good as is business environment quality. This has a positive influence on corporate payment behaviour. Average corporate default probability is very low.

A2 Thelow. political and economic situation is good. The business environment though has a number of shortcomings. Average corporate default probability is

A3 Changes in a generally good but somewhat volatile political and economic environment can affect corporate payment behaviour. The business environment has some shortcomings. Average corporate default probability is at a quite acceptable level.

A4 The political and economic outlook is somewhat shaky. A relatively volatile business environment can affect corporate payment behaviour, although average corporate default probability remains acceptable.

B Economic and financial uncertainties and an occasionally difficult business environment can affect corporate payment behaviour. Average

corporate default probability is appreciable. C A very uncertain political and economic outlook and a business environment with many shortcomings can have a significant impact on

corporate payment behaviour. Average corporate default probability is high.

Page 10 of 11

D A high-risk political and economic situation and an often highly difficult business environment can have a very significant impact on corporate

payment behaviour. Average corporate default probability is very high.

All official information about Latvian companies is taken from the register of enterprises of the Latvian Republic and from the LURSOFT database in the Internet. The information and/or data provided are subject to the general terms and conditions or individual contract terms and may be used only for the purpose they have been requested for. Thank you for using our services. In case of any additional questions please contact our Credit Information Department:

Coface Latvia Credit Management Services SIA Berzaunes iela 11a Riga LV-1039 Tel.: +371 6732 34 50 Fax : +371 6782 03 80 E-mail: orders@coface.lv

*** End of document ***

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