MIRA
INFORM REPORT
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Report Date : |
17.04.2007 |
IDENTIFICATION
DETAILS
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Name : |
P.T. DELAMI GARMENT INDUSTRIES |
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Registered Office : |
Jalan Soekarno-Hatta
No. 571, Bandung 40275, West Java |
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Country : |
Indonesia |
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Date of Incorporation : |
04 December 1979 |
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Legal Form : |
Limited Liability Company |
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Line of Business : |
Garment Manufacturing
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RATING &
COMMENTS
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MIRA’s Rating : |
A |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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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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Maximum Credit Limit : |
US$ 4,600,000 |
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Status : |
Good |
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Payment Behaviour : |
Regular |
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Litigation : |
Clear |
Name of Company
P.T. DELAMI GARMENT INDUSTRIES
Address
Head Office & Factory I
Jalan Soekarno-Hatta No. 571
Bandung 40275
West Java
Phones - (022) 7300333, 7300555 (hunting)
Fax. - (022) 7300049
Telex - 28999 DELAMI IA
Land Area - 22,000 sq. meters
Building Area - 13,000 sq. meters
Region - Industrial Zone
Status - Owned
Factory II
Jalan Raya Rancaekek Km. 27
Kabupaten Sumedang
West Java
Phones - (022) 796493,
796010, 796011, 796013
Fax. - (022)
7986900
Land Area - 35,000 sq. meters
Building Area -
16,800 sq. meters
Region - Industrial Zone
Status - Owned
Date of Incorporation
a. 04 December 1979
as P.T. DELAMI
b. 25 May 2000 as
P.T. DELAMI GARMENT INDUSTRIES
Legal Form
P.T. (Perseroan Terbatas) or Limited Liability Company
Company Reg. No.
The Ministry of
Justice and Human Rights
a. No.
C-13391.HT.01.04.TH.2006
Dated 09 May 2006
b. No.
W29-HT.01.10.437
Dated 3 April 2007
Company Status
National Private
and Domestic Investment (PMDN) Company
Permit by the
Government Department
a. The Capital
Investment Coordinating Board
- No. 300/I/PMDN/1989
Dated 20 May 1989
- No. 131/II/PMDN/1991
Dated 15 July 1991
- No. 260/II/PMDN/1995
Dated 18 October 1995
- No. 06/II/PMDN/1999
Dated 01 February 1999
- No. 18/II/PMDN/2001
Dated 22 March 2001
b. The Departmen of Industry and Trade
- No. 422/T/INDUSTRI/95
Dated 05 September 1995
- SIUP No. 652/10-12/PB/X/1986
Dated 06 October 1986
Related Company
a. P.T. FAMINTI
UTAMA (Trading and Investment Holding)
b. P.T. DEXIM UTAMA (Garment
Manufacturing)
CAPITAL AND OWNERSHIP
Capital Structure :
Authorized
Capital - Rp
100,000,000,000.-
Issued Capital - Rp 60,000,000,000.-
Paid up Capital - Rp 60,000,000,000.-
Shareholders/Owners :
a. P.T. FAMINTI UTAMA -
Rp 52,500,000,000.-
Address : Jl. Alaydrus No. 11
Jakarta Pusat
Indonesia
b. Mr. Johannes Farial -
Rp 7,500,000,000.-
Address : Jl. Sukarno Hatta
No. 571
Bandung, West
Java
Indonesia
BUSINESS ACTIVITIES
Lines of Business:
Garment
Manufacturing
Production Capacity
a. Factory
I
Garment (Trousers)
- 340,000 dozens p.a.
b.
Factory II
Garment (trousers, skirts,
shirts and polo-shirts) - 357,340
dozens p.a.
Total Investment
A. Factory
I
a. Equity Capital - Rp. 15.0 billion
b. Loan Capital - Rp. 21.0 billion
c. Total Investment - Rp. 36.0 billion
B.
Factory
a. Equity Capital
- Rp 15.0 billion
b. Loan Capital - Rp 19.5 billion
c. Total Investment - Rp
34.5 billion
Started Operation
1980
Brand Name
WOOD and EXECUTIVE 99 and WRANGLER.
Technical Assistance
None
Number of Employee
3,015 persons
Marketing Area
Domestic - 50%
Export - 50%
Main Customer
a. Supermarkets
b. Garment Wholesaler, Shops, etc.
Market Situation
Very Competitive
Main Competitors
a. P.T. LEADING GARMENT INDUSTRIES
b. P.T. MAHAGAYA PERDANA
c. P.T. KUSHENDY ASRIBUSANA
d. P.T. KURNIA MANUNGGAL PERKSA
e. P.T. KARWELL INDONESIA
f. P.T. JAYA GARMENT SUKSES MAKMUR
Business Trend
Growing
BANKER, AUDITOR &
LITIGATION
Bankers
:
a.
P.T. Bank MANDIRI Tbk.
Jalan Suropati No. 2
Bandung, West Java
Indonesia
b. Hongkong Shanghai Banking Corp. (HSBC)
Menara Mulia, 19th
Floor
Jl. Jend. Gatot Subroto Kav.
9-11
Jakarta 12930 - Indonesia
Auditor :
Internal Auditor
Litigation :
No litigation record in our database
FINANCIAL FIGURE
Gross Sales/Turnover :
2004 – Rp. 250.0 billion
2005 – Rp. 295.0 billion
2006 – Rp. 340.0 billion
Net Profit (Loss) :
2004 – Rp. 21.8 billion
2005 – Rp. 24.2 billion
2006 – Rp. 28.5
billion
Payment Manner :
Average
Financial Comments :
Fairly Strong
KEY EXECUTIVES
Board of Management :
President Director - Mr. Johannes Farial
Directors -
a. Mr. Thomas Farial
b. Mr. Boysanto Pasaribu
Board of Commissioner :
President Commissioner - Mrs. Juniarty Farial
Commissioner - Miss
Devy Farial
Signatories :
President
Director (Mr. Johannes Farial) or one of the
Directors (Mr. Thomas Farial or Mr. Boysanto Pasaribu) which must be
approved by the Board of Commissioners
CAPABILITIES
Management Capability :
Good
Business Morality
Good
Credit Risk
Low
Credit Recommendation
Credit should be proceeded normally
Proposed Credit
Limit
Moderate amount
Maximum Credit Limit
US$ 4,600,000.- on the 90 days term of payment
OVERALL PERFOMANCE
Originally named P.T. DELAMI, it was established in Bandung, West Java in December 1979 with the authorized capital of Rp 125,000,000.- fully issued and paid up. The founders are Mr. Johannes Farial, his wife Mrs. Juniarty Lukman (Mrs. Juniarty Farial), Indonesian family of Chinese extraction. In December 1997 its authorized capital was raised to Rp 30,000,000,000.- issued capital to Rp 20,000,000,000.- fully paid up. On this occasion, the shareholders of the company are P.T. FAMINTI UTAMA (ex. P.T. PANGLIMA BANGUN PERTIWI) and Mr. Johannes Farial. Lastly in May 2000, the name of the company changed to P.T. DELAMI GARMENT INDUSTRIES (P.T. DGI) In May 2006 the authorized capital was again raised to Rp 100,000,000,000.- issued and paid up capital to Rp 60,000,000,000.-. but the capital structure and shareholder composition remained unchanged. The deed of amendment was made by Mrs. Efemia Surjawati Salim, SH., a public notary in Bandung under Company Registration Number W29-HT.01.10-437, dated October 01, 2007.
The Farial family is the main founder and owner of majority business stakes of P.T. FAMINTI UTAMA dealing with trading and investment holding and P.T. DENIM UTAMA in garment manufacturing.
P.T. DGI has been operating since 1980 in garment manufacturing, previously was non-facility of PMA/PMDN. But since 1980 it was licensed as a Domestic Capital Investment (PMDN) company by the Capital Investment Coordinating Board (BKPM). It used to manage a plant located at Jalan Soekarno-Hatta No. 571, Bandung, West Java, on a land of some 2.6 hectares operating commercially since 1980. In May 1991 it got an expansion permit from BKPM to set up new plant located at Jalan Raya Rancaekek Km. 27, Sumedang Regency, West Java, on a land of some 3.5 hectares operating commercially since 1994. Both plants have frequently been expanded to increase production capacity and now the production capacity is as portrayed in point 8 of this report. Some 50% of products is exported to Japan and the USA and the remainder is marketed locally to supermarkets, stores, etc., spread over the major cities in the country using popular brands WOOD, EXECUTIVE 99 and WRANGLER. It seems that P.T. DGI belongs to a large company of its kind and the operation has been running well as yet.
Generally outlook we find the demand for textile and textile products (TPT) had been growing in the last five years being followed by the volume and value of the national TPT export in the last five years. According to data from the Central Bureau of Statistic (BPS), the volume and value of TPT export as of 2002 to 30 June 2006 is illustrated as the following table :
The National Export of Textile and Textile Product
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Commodity |
2002 |
2003 |
2004 |
2005 |
2006*) |
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Garment |
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- Volume
(thousand ton) |
333.1 |
339.9 |
327.3 |
369.5 |
188.5 |
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- Value (million
US$) |
3,887.2 |
4,037.9 |
4,351.9 |
4,967.0 |
2,671.1 |
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Textile Products |
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- Volume
(thousand ton) |
1,425.9 |
1,307.5 |
1,300.4 |
1,427.3 |
742.8 |
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- Value (million
US$) |
3,075.9 |
3,064.6 |
3,354.6 |
3,704.0 |
1,918.2 |
Source : The Central Bureau of Statistic
Remark : *) as per 30
June
In the meantime, we realized that market competition is very tough on account of many other similar companies operating in the country Business position of P.T. DGI in this case is not so critical for it has regular customers and wide marketing network at home and abroad. We are sure the company is in the position to maintain its business in the future.
Until this time P.T. DGI has not been registered with Indonesian Stock
Exchange, so that they shall not oblige to announce their financial
statement. The management of P.T. DGI
is very reclusive to outsider and rejected to disclose its financial condition. But we estimate the
total sales turnover in 2004 amounted to Rp 250.0 billion increased to Rp 295.0
billion in 2005 to Rp 340.0 billion in 2006
and estimated it will be higher by 14% in 2007. The increasing sales turnover because some
of the products had been exported. The operation in 2006 gained an estimated
profit at around Rp 28.5 billion and the company has a total networth of Rp
220.0 billion.
So far we have never yet come across reports that P.T. DGI has ever been black listed by Indonesian Central Bank (Bank Indonesia) and registered for any detrimental cases at courts. The company usually pays its debts punctually to suppliers.
The management is headed by Mr. Johannes Farial (66), a businessman with experience for more than 24 years in garment manufacturing and trading. Daily, he is assisted by Mr. Thomas Farial (41) and Mr. Boysanto Pasaribui (43) as directors respectively. The management is also supported by a team of professional managers, having maintained a wide business relation with private businessmen at home and abroad as well as with government sectors. We have so far never yet come across reports on involvement of the company’s management in any business malpractices
Of information we
have had, it can be concluded that P.T. DGI is appraised quite feasible
for normal business transaction. But owing to economic condition in the country
to remain unstable, we recommend to treat prudently in extending any new loans
to the company.
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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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 and their relative weights (as indicated through
%) are as follows:
Financial
condition (40%) Ownership
background (20%) Payment
record (10%)
Credit history
(10%) Market trend
(10%) Operational
size (10%)