MIRA
INFORM REPORT
|
Report Date : |
30th
May 2006 |
IDENTIFICATION
DETAILS
|
Name : |
HENGSHUI DAMEI TRADING CO., LTD. |
|
|
|
|
Registered Office : |
F 4,
Zhongyuan Hotel, South Zhanqian Road, Hengshui
City, Hebei Province, 053000 Pr China |
|
|
|
|
Country : |
China |
|
|
|
|
Financials (as on) : |
31/12/2004 |
|
|
|
|
Date of Incorporation : |
Aug.
20, 2003 |
|
|
|
|
Com. Reg. No.: |
1311002001177 |
|
|
|
|
Legal Form : |
Limited
Liabilities Company |
|
|
|
|
Line of Business : |
Engaged
in selling knit goods, garments, arts & crafts |
RATING & COMMENTS
|
MIRA’s Rating : |
B |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
26-40 |
B |
Unfavourable & favourable factors
carry similar weight in credit consideration. Capability to overcome
financial difficulties seems comparatively below average/normal. |
Small |
|
Status : |
Moderate |
|
|
|
|
Payment Behaviour : |
Usually
Correct |
|
|
|
|
Litigation : |
Clear |
NAME & ADDRESS
HENGSHUI DAMEI TRADING CO., LTD.
F 4,
ZHONGYUAN HOTEL, SOUTH ZHANQIAN ROAD,
HENGSHUI
CITY, HEBEI PROVINCE, 053000 PR CHINA
TEL: 86
(0)318-2139817/6615002
FAX: 86 (0)318-2139817
EXECUTIVE SUMMARY
INCORPORATION
DATE : AUG. 20, 2003
REGISTRATION
NO. : 1311002001177
REGISTERED
LEGAL FORM : LIMITED LIABILITIES COMPANY
CHIEF
EXECUTIVE : MR. CAO
LANGANG (CHAIRMAN)
STAFF
STRENGTH : 13
REGISTERED
CAPITAL : RMB 3,000,000
BUSINESS
LINE : TRADING
TURNOVER : RMB 956,678,000 (AS
OF DEC. 31, 2004)
EQUITIES : RMB 2,951,000
(AS OF DEC. 31, 2004)
PAYMENT : AVERAGE
RECOMM.
CREDIT RANGE : UP TO USD 15,000 (PERIODICAL REVIEW)
MARKET CONDITION :
COMPETITIVE
FINANCIAL CONDITION :
fair
OPERATIONAL TREND :
STEADY
GENERAL REPUTATION :
AVERAGE
EXCHANGE RATE :
RMB 8.02 = US$1 AS OF 2006-05-30
Note:
The correct address of SC should be the above stated one, instead of the given
address RM 205, No. 3, Lasa Road, Heping District Tiangjin China.
SC was
registered as a limited liabilities company
at local Administration for Industry & Commerce (The official body
of issuing and renewing business license) on August 20, 2003.
Company Status: Limited liabilities company This form of
business in PR China is defined as a legal person. Its registered capital
is contributed jointly by at least two shareholders and no more than fifty.
Shareholders bear limited liability to the extent of shareholding, and the
co. is liable for its debts only to extent of its total assets. The
characteristics of this form of co. are as follows: Upon the establishment
of the co., an investment certificate is issued to the each of
shareholders. The board of
directors is comprised of three to thirteen members. The minimum
registered capital for a co. is listed as follows: -Manufacturing
co. : RMB 500,000.00 -Trading
&wholesaling co. : RMB 500,000.00 -Retailing co. : RMB 300,000.00 -Consultancy &
service co. : RMB 100,000.00 Shareholders may
take their capital contributions in cash or by means of tangible assets or
intangible assets such as industrial property and non-patented technology. Cash contributed by
all shareholders must account for at least 50% of the registered capital
while contribution by intangible assets must not exceed 20% of the
registered capital. Existing
shareholders have pre-exemption right to purchase shares of the co. offered
for sale by the other shareholders and to subscribe for the newly increased
registered capital of the co.
SC’s
registered business scope includes operating and acting as the agent of
importing and exporting all kinds of commodities and technology, excluding the
goods limited or forbidden by the government.
SC is
mainly engaged in selling knit goods, garments, arts & crafts.
Mr. Cao
Langang has been legal representative of SC since 2003.
SC owns
about 13 staff.
SC is
currently operating at the above stated address, and this address houses its
operating office in the commercial zone of Hengshui. Our checks reveal that SC rents
the total premise about 150 square meters.
SC is
not known to host website of its own at present.
Changes
of its registered information:
|
Date of change |
Item |
Before the change |
After the change |
|
2004-8-18 |
Address |
No.10,
Jingda Road, Hengshui City. |
F 4,
Zhongyuan Hotel, South Zhanqian Road, Hengshui City. |
MAIN
SHAREHOLDERS:
Name Investment (RMB’000) % of shareholding
Cao
Langang) 2700 90
(Wen
Xue) 300 10
Chairman:
Mr. Cao
Langang, in his 40’s with university education. He is currently responsible for
the overall management of SC.
Working
Experience(s):
From
1989 to 2003 Worked in Hengshui Yiyou Imp. & Exp. Co.,
Ltd.
From
2003 to present Working in SC as chairman
and general manger.
General Manger:
Ms. Wen
Xue , in her 30’s with university education. She is currently responsible for
the daily management of SC.
Working
Experience(s):
From
1989 to 2003 Worked in Hengshui Yiyou Imp. & Exp. Co.,
Ltd.
From
2003 to present Working in SC as general
manger.
SC is
mainly engaged in selling knit goods, garments, arts & crafts.
SC’s
products mainly include: hardware, garments, arts & crafts, knit goods.
SC
sources its materials 100% from domestic market. SC sells 90% of its products
in domestic market and 10% to foreign market.
The
buying terms of SC include Check, T/T, and Credit of 30 days. The payment terms
of SC include Check, L/C, T/T, and Credit of 30 days.
SC is not known to have any subsidiary at present.
Overall payment appraisal:
( )
Excellent ( ) Good
(X) Average ( ) Fair
( ) Poor (
) Not yet determined
The appraisal serves as a reference to reveal SC's
payments habits and ability to pay. It
is based on the 3 weighed factors:
Trade payment experience (through current enquiry with SC's suppliers),
our delinquent payment and our debt collection record concerning SC.
Trade payment experience:
SC refused to release any information of its suppliers and the trade
reference was not available.
Delinquent payment
record:None in our database.
Debt collection record: No
overdue amount owed by SC was placed to us for collection within the last 6
years.
Bank of
China Hengshui Station Sub-branch
AC#040210478708091001
Relationship:
Normal.
Balance Sheet
Unit: RMB
thousand Yuan
|
|
As of Dec. 31, 2004 |
|
Cash
& bank |
9,204 |
|
Accounts
receivable |
582 |
|
Inventory |
0 |
|
Accounts
payable advance |
42,271 |
|
Subsidies
receivable |
62,279 |
|
Other
Accounts receivable |
10,517 |
|
Other
current assets |
0 |
|
|
--------------- |
|
Current
assets |
124,853 |
|
Fixed
assets |
25 |
|
Long
term investment |
0 |
|
Other
assets |
0 |
|
|
------------------ |
|
Total
assets |
124,878 |
|
|
============= |
|
Short
loans |
20,000 |
|
Accounts
payable |
4,241 |
|
Accounts
receivable advance |
97,552 |
|
Other
accounts payable |
134 |
|
Other
current liabilities |
0 |
|
|
------------------ |
|
Current
liabilities |
121,927 |
|
Total long
term liabilities |
0 |
|
|
------------------ |
|
Total
liabilities |
121,927 |
|
Equities |
2,951 |
|
|
------------------ |
|
Total
liabilities & equities |
124,878 |
|
|
============= |
Income Statement
Unit: RMB
thousand yuan
|
|
As of Dec. 31, 2004 |
|
Turnover |
956,678 |
|
Cost
of goods sold |
954,638 |
|
Sales expense |
1,599 |
|
Management expense |
154 |
|
Finance expense |
297 |
|
Profit
before tax |
-12 |
|
Less:
profit tax |
0 |
|
Profits |
-12 |
Important Ratios
=============
|
|
As of Dec. 31, 2004 |
|
*Current
ratio |
1.02 |
|
*Quick
ratio |
1.02 |
|
*Liabilities
to assets |
0.98 |
|
*Net
profit margin (%) |
-0.0013 |
|
*Return
on total assets (%) |
-0.01 |
|
*Fixed
assets/Total assets |
0.0002 |
|
*Inventory
/Turnover ×365 |
/ |
|
*Accounts
receivable/Turnover ×365 |
1 day |
|
*Turnover/Total
assets |
7.66 |
|
* Cost
of goods sold/Turnover |
1.00 |
PROFITABILITY:
FAIR
The
turnover of SC appears good in its line.
SC’s net
profit margin is fair.
SC’s
return on total assets is fair.
SC’s
cost of goods sold is high, comparing with its turnover.
LIQUIDITY:
AVERAGE
The
current ratio of SC is maintained in a normal level.
SC’s
quick ratio is maintained in a normal level.
The
accounts receivable of SC appears normal.
SC’s
short-term loan appears TOO LARGE.
SC’s
turnover is in a good level, comparing with the size of its total assets.
LEVERAGE:
FAIR
The debt
ratio of SC is fairly high.
The risk
for SC to go bankrupt is above average.
Overall
financial condition of the SC: FAIR.
SC is
considered small-sized in its line with fair financial conditions. A credit
line up to USD 15,000 would appear to be within SC’s capacities upon a
periodical review basis.
RATING EXPLANATIONS
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
>86 |
Aaa |
Possesses an extremely sound financial
base with the strongest capability for timely payment of interest and
principal sums |
Unlimited |
|
71-85 |
Aa |
Possesses adequate working capital. No
caution needed for credit transaction. It has above average (strong)
capability for payment of interest and principal sums |
Large |
|
56-70 |
A |
Financial & operational base are
regarded healthy. General unfavourable factors will not cause fatal effect.
Satisfactory capability for payment of interest and principal sums |
Fairly Large |
|
41-55 |
Ba |
Overall operation is considered normal.
Capable to meet normal commitments. |
Satisfactory |
|
26-40 |
B |
Unfavourable & favourable factors
carry similar weight in credit consideration. Capability to overcome financial
difficulties seems comparatively below average/normal. |
Small |
|
11-25 |
Ca |
Adverse factors are apparent. Repayment of
interest and principal sums in default or expected to be in default upon
maturity |
Limited with full security |
|
<10 |
C |
Absolute credit risk exists. Caution
needed to be exercised |
Credit not recommended |