%20COMPANY%20LIMITED%2016-Nov-2006_files/image002.jpg)
MIRA
INFORM REPORT
FINAL REPORT
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Report Date : |
16th
November, 2006 |
IDENTIFICATION
DETAILS
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Name : |
ZHEJIANG
TONGXIANG FOREIGN TRADE (GROUP) COMPANY LIMITED |
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Registered Office : |
No.42
Park Road, Tongxiang City,, Zhejiang Province, 314500 Pr China |
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Country : |
China |
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Financials (as on) : |
31.03.2005 |
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Date of Incorporation : |
23.03.1998 |
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Com. Reg. No.: |
3300001001471 |
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Legal Form : |
Shares Limited Co. |
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Line of Business : |
Engaged
in international trade. |
RATING & COMMENTS
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MIRA’s Rating : |
Ba |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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41-55 |
Ba |
Overall operation is considered normal.
Capable to meet normal commitments. |
Satisfactory |
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Maximum Credit Limit : |
UP TO USD 200,000 |
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Status : |
Satisfactory
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Payment Behaviour : |
Regular
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Litigation : |
Clear |
Company name & Address
ZHEJIANG TONGXIANG FOREIGN TRADE GROUP CO., LTD.
No.42 park road, tongxiang city,
zhejiang province, 314500 PR CHINA
TEL : 86
(0) 573-8022927
FAX : 86
(0) 573-8023917
EXECUTIVE SUMMARY
INCORPORATION DATE :
MAR. 23, 1998
REGISTRATION NO. :
3300001001471
REGISTERED LEGAL FORM : SHARES LIMITED CO.
CHIEF EXECUTIVE :
MR. QIAN SONGKUN (CHAIRMAN)
STAFF STRENGTH :
200
REGISTERED CAPITAL : CNY 46,000,000
BUSINESS LINE :
INTERNATIONAL TRADE
TURNOVER :
CNY 716,955,900 (AS OF DEC. 31, 2005)
EQUITIES :
CNY 36,147,000 (AS OF DEC. 31, 2005)
PAYMENT :
AVERAGE
RECOMM. CREDIT RANGE : UP TO
USD 200,000 (PERIODICAL REVIEW)
MARKET CONDITION :
COMPETITIVE
FINANCIAL CONDITION : FAIRLY
STABLE
OPERATIONAL TREND : STEADY
GENERAL REPUTATION :
AVERAGE
EXCHANGE RATE :
CNY 7.87 =US1$ AS OF 2006-11-15
Adopted abbreviations:
ANS -
amount not stated
NS - not
stated
SC -
subject company (the company inquired by you)
NA - not
available
CNY -
China Yuan Renminbi
%20COMPANY%20LIMITED%2016-Nov-2006_files/image003.gif){kind=small}
SC was registered as a shares limited company at
local Administration for Industry & Commerce (AIC - The official body of
issuing and renewing business license) on Mar. 23, 1998.
Company Status: Shares limited co. This form of business in PR China is defined as a legal
person. Its registered capital is divided into shares of equal par value
and the co. raises capital by issuing share certificates by promotion or by
public offer. Shareholders bear limited liability to the extent of
shareholding, and the co. is liable for its debts only to the extent of its
total assets. The characteristics of the shares limited co. are as follows: The
establishment of the co. requires at least five promoters and at least
three of them must be PR- China controlled legal persons. Natural person
can not be allowed to serve as promoters. The minimum registered capital of a co. is CNY 10M.
while that of the co. with foreign investment is CNY 30M. The total capital
of a co. which propose to apply for publicly listed must not less than CNY
50M. The board of directors must consist of an odd number of
five to nineteen directors. If the co. raises capital by public offer, the promoters
must not subscribe less than 35% of the total shares. the promoters’ shares
are restricted to transfer- within three years of the offer. Directors can
not transfer the shares they hold in the co. during their terms of office. A state-owned enterprise that is restructured into a
shares limited co. must comply with the conditions & requirements
specified under the law & administrative rule.
SC’s
registered business scope includes importing and exporting goods.
SC is
mainly engaged in international trade.
Mr. Qian Songkun has been chairman of SC since
2004.
SC owns approximately
200 staff at present.
SC is
currently operating at the above stated address, and this address houses its
operating office and some business departments in the commercial zone of Tongxiang.
Our checks reveal that SC owns the total premise about 10,000 square meters.
%20COMPANY%20LIMITED%2016-Nov-2006_files/image004.gif){kind=small}
http://www.zjtxft.com The design is
professional and the content is well organized. At present it is in both
Chinese and English versions.
%20COMPANY%20LIMITED%2016-Nov-2006_files/image005.gif){kind=small}
Changes
of its registered information:
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Date
of change |
Item |
Before
the change |
After
the change |
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2004-7-6 |
Legal
Representative |
Zhang
Zhimin |
Qian
Songkun |
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2006-9-5 |
Address |
No.42
Gongyuan Road, Wutong Town. |
No.42
Yuanlin Road. |
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Registered
Capital |
CNY
10,000,000 |
CNY46,000,000 |
%20COMPANY%20LIMITED%2016-Nov-2006_files/image006.gif){kind=small}
MAIN
SHAREHOLDERS:
Name
% of
Shareholding
Qian Songkun 30
Wu Hua 14.54
Chai Yuhong 5.35
Ding Yinqi 0.40
Tang Xiaoyan 0.89
Shou Menghui 0.40
Hu Weifeng 0.40
Tao Jianping 4.46
Zhu Yifan 0.45
Zhou Yingying 0.40
Weng Yan 0.40
Zhu Yeqing 0.40
Other 19 individuals 41.91
%20COMPANY%20LIMITED%2016-Nov-2006_files/image007.gif){kind=small}
Chairman
Mr. Qian
Songkun, born in 1956, with university education. He
is currently responsible for the overall management of SC.
Working
Experience(s):
From
2004 to present Working in SC as chairman.
General manager
Ms. Tang
Xiaoyan, born in 1957, with university education. She
is currently responsible for the daily
management of SC.
Working
Experience(s):
From 2003
to present Working in SC as general manager.
%20COMPANY%20LIMITED%2016-Nov-2006_files/image008.gif){kind=small}
SC is
mainly engaged in international trade.
SC’s
main products including chrysanthemum products, knitted sweaters, fur garments,
leisure sweaters, hand crochets, textile raw materials, industrial chemicals.
SC
sources its materials 100% from domestic market. SC sells 80% of its products
in domestic market, 20% of its products in the overseas market mainly to
Southeast Asia and Europe.
The buying terms of SC include Check, T/T and Credit of 30-60
days. The payment terms of SC include Check, T/T, L/C and Credit of 30-60 days.
*Major Suppliers:
=============
Tongxiang Jiayu Fashion Co., Ltd.
%20COMPANY%20LIMITED%2016-Nov-2006_files/image009.gif){kind=small}
SC is known to have the following subsidiaries:
Zhejiang Tongxiang Foreign Trade Group Co., Ltd.
Business Department No.1
Tel :
0573-8023017
Fax :
0573-8034719
Manager :
Jin Yunjiang
Zhejiang Tongxiang Foreign Trade Group Co., Ltd.
Business Department No.2
Tel :
0573-8038822
Fax :
0573-8023481
Manager :
Qian Mingguan
Zhejiang Tongxiang Foreign Trade Group Co., Ltd.
Business Department No.3
Tel :
0573-8022234
Fax :0573-8026122
Manager :
Qin Yuwei
Zhejiang Tongxiang Foreign Trade Group Co., Ltd.
Business Department No.4
Tel :
0573-8023008
Fax :
0573-8020502
Manager :
Chai Yuhong
Zhejiang Tongxiang Foreign Trade Group Co., Ltd.
Business Department No.5
Tel :
0573-8588228
Fax :
0573-8588215
Manager :
Wu Hua
Zhejiang Tongxiang Foreign Trade Group Co., Ltd.
Business Department No.6
Tel :
0573-8021209
Fax :
0573-8020102
Manager :
Liu Bingxiang
Zhejiang Tongxiang Foreign Trade Group Co., Ltd.
Business Department No.7
Tel :
0573-8038811
Fax :
0573-8031704
Manager :
Zheng Ran
Zhejiang Tongxiang Foreign Trade Group Co., Ltd.
Business Department No.8
Tel :
0573-8587008
Fax :
0573-8588369
Manager :
Mao Yuexin
Zhejiang Tongxiang Foreign Trade Group Co., Ltd.
Business Department No.9
Tel :
0573-8023015
Fax :
0573-8023375
Manager :
Zhu Jufang
Zhejiang Tongxiang Foreign Trade Group Co., Ltd.
Business Department No.10
Tel :
0573-8023962
Fax :
0573-8022915
Manager :
Shi Keqiang
Tongxiang
Jiayu Fashion Co., Ltd.
Address:
No.28 Renmin Road, Tongxiang, Zhejiang Province.
Tel : 0573-8588232
Tongxiang
Jiafeng Realty Co., Ltd.
Tel : 0573-8115768
Jiaxing
Jiahua Imp. & Exp. Co., Ltd.
Tel : 0573-8022927
%20COMPANY%20LIMITED%2016-Nov-2006_files/image010.gif){kind=small}
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:
A trade enquiry currently conducted with SC's
supplier(s) reveal the following:
Supplier A
Products sold :garments
Date account opened :
2005
Line of credit :
No comment
Terms :
30-60 days
Average monthly sales : No comment
Current balance :
No comment
Rating Key :
2
Any Special Comments: _______________________________________
Payment record keys :
1 = Prompt : Payment made before the credit period
expires
2 = As agreed terms : Payment made upon due date
3 = Slightly slow but acceptable : Payment made 5
to 20 days beyond agreed terms
4 = Slow : Payment made 16 to 45 days beyond agreed
terms
5 = Poor : Payment made over 45 days beyond agreed
terms
6 = No comment : Account is newly opened &
record is not yet established
Note : In
some instances, payment beyond terms can be the result of disputes over
merchandise, lost invoices, disputed accounts & etc.
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.
%20COMPANY%20LIMITED%2016-Nov-2006_files/image011.gif){kind=small}
Bank of
China Tongxiang Sub-branch
AC#：45279010180900300103
Relationship:
Normal.
%20COMPANY%20LIMITED%2016-Nov-2006_files/image012.gif){kind=small}
Balance Sheet
Unit: CNY’000
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As of Dec. 31, 2004 |
As of Dec. 31, 2005 |
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Cash
& bank |
20,202 |
38,730 |
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Notes
receivable |
400 |
0 |
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Accounts
receivable |
67,566 |
60,298 |
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Advances
to suppliers |
6,507 |
4,563 |
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A
receivable tax rebate of export |
14,308 |
26,569 |
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Other
receivables |
8,938 |
9,535 |
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Inventory |
3,082 |
4,816 |
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Other
current assets |
17 |
16 |
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Current
assets |
121,020 |
144,527 |
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Fixed
assets |
9,863 |
10,756 |
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Fixed
assets net value |
5,033 |
5,746 |
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Projects
under construction |
0 |
0 |
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Long
term investment |
12,000 |
12,709 |
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Other
assets |
2,353 |
2,299 |
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Total
assets |
140,406 |
165,281 |
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============= |
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Short
loans |
0 |
0 |
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Notes payable |
19,839 |
38,392 |
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Accounts
payable |
67,065 |
66,694 |
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Advances
from customers |
1,835 |
1,205 |
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Other
payable |
2,085 |
1,479 |
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Accrued
payroll |
10,546 |
12,692 |
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Welfare
expenses payable |
5,718 |
7,409 |
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Taxes
payable |
726 |
1,262 |
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Increase
not payable |
1,780 |
0 |
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Other
current liabilities |
1 |
1 |
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Current
liabilities |
109,595 |
129,134 |
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Long
term liabilities |
0 |
0 |
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Total
liabilities |
109,595 |
129,134 |
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Equities |
30,811 |
36,147 |
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Total
liabilities & equities |
140,406 |
165,281 |
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Income Statement
Unit: CNY’000
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As of Dec. 31, 2004 |
As of Dec. 31, 2005 |
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Turnover |
653,920 |
716,956 |
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Cost
of goods sold |
613,410 |
678,084 |
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Sales
expense |
19,670 |
14,290 |
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Management
expense |
18,240 |
20,914 |
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Finance
expense |
-90 |
-111 |
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Profit
before tax |
10,010 |
6,569 |
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Less:
profit tax |
1,160 |
1,871 |
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Profits |
8,850 |
4,698 |
Important Ratios
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as of Dec. 31, 2004 |
as of Dec. 31, 2005 |
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*Current
ratio |
1.10 |
1.12 |
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*Quick
ratio |
1.08 |
1.08 |
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*Liabilities
to assets |
0.78 |
0.78 |
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*Net
profit margin (%) |
1.35 |
0.66 |
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*Return
on total assets (%) |
6.30 |
2.84 |
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*Fixed
assets/Total assets |
0.07 |
0.07 |
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*Inventory
/Turnover ×365 |
2days |
2days |
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*Accounts
receivable/Turnover ×365 |
38days |
31days |
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*Turnover/Total
assets |
4.66 |
4.34 |
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* Cost
of goods sold/Turnover |
0.94 |
0.95 |
%20COMPANY%20LIMITED%2016-Nov-2006_files/image013.gif){kind=small}
PROFITABILITY: AVERAGE
The
turnover of SC appears fairly good in its line.
SC’s net
profit margin is average.
SC’s
return on total assets is average.
SC’s
cost of goods sold is fairly high, comparing with its turnover.
LIQUIDITY: FAIR
The
current ratio of SC is maintained in a normal level.
SC’s
quick ratio is maintained in a normal level.
The
inventory of SC appears acceptable.
The
accounts receivable of SC appears TOO LARGE.
The
accounts payable of SC appears TOO LARGE.
SC’s
turnover is in a fairly 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 average.
Overall financial condition of the SC: Fairly
stable.
%20COMPANY%20LIMITED%2016-Nov-2006_files/image014.gif){kind=small}
SC is
considered medium-sized in its line with fairly stable financial conditions. A credit
line up to USD 200,000 would to be within SC’s capacities upon a periodical
review basis.
RATING EXPLANATIONS
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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>86 |
Aaa |
Possesses an extremely sound financial
base with the strongest capability for timely payment of interest and
principal sums |
Unlimited |
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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 |
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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 |
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41-55 |
Ba |
Overall operation is considered normal.
Capable to meet normal commitments. |
Satisfactory |
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26-40 |
B |
Unfavourable & favourable factors
carry similar weight in credit consideration. Capability to overcome
financial difficulties seems comparatively below average/normal. |
Small |
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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 |
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<10 |
C |
Absolute credit risk exists. Caution
needed to be exercised |
Credit not recommended |
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NR |
In view of the lack of information, we
have no basis upon which to recommend credit dealings |
No Rating |
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