MIRA
INFORM REPORT
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Report Date : |
30.07.2007 |
IDENTIFICATION DETAILS
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Name : |
HUALON CORP |
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Registered Office : |
9FL, |
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Country : |
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Financials (as on) : |
31.12.2005 |
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Date of Incorporation : |
October 9, 1967 |
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Com. Reg. No.: |
07406808 |
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Legal Form : |
Private Company With Limited Liability |
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Line of Business : |
Imports of raw material polyester filament, nylon chip and other
related textile materials. Manufacturing of a wide range of processed cotton, such as CD
Pre-oriented yarn and woven fabrics. Exporting and domestic sales of
finished products. |
RATING & COMMENTS
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MIRA’s Rating : |
Ca |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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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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Status : |
Poor |
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Payment Behaviour : |
Slow and delayed |
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Litigation : |
Exist |
name &
address
HUALON CORP
9FL,
TEL : 886-2-22266811
FAX : 886-2-82281788
EXECUTIVE SUMMARY
INCORPORATION DATE :
OCTOBER 9, 1967
REGISTRATION NO. :
07406808
LEGAL FORM :
PRIVATE COMPANY WITH LIMITED LIABILITY
CHIEF EXECUTIVE :
MR. ANDREW YU-MING WENG (CHAIRMAN)
STAFF STRENGTH :
2,500
CAPITAL :
US$ 785,498,489
BUSINESS LINE :
MANUFACTURER
TURNOVER :
TWD 10,138,064,000 (AS OF DEC. 31, 2005)
EQUITIES :
TWD –18,062,339,000 (AS OF DEC.
31, 2005)
PAYMENT :
AVERAGE
RECOMM.
MARKET CONDITION :
AVERAGE
FINANCIAL CONDITION :
POOR
OPERATIONAL TREND :
FAIR
GENERAL
REPUTATION : AVERAGE
EXCHANGE RATE :
TWD 32.833 = US$1 AS OF 2007-7-30
Adopted abbreviations:
ANS - amount not stated
NS - not stated
SC - subject company (the company inquired by you)
NA - not available
M - million
TWD –
*Company History*
================
1967 -
Established as a company limited by shares.
November 1977 - Merged
with HSIN HSIN CHEMICAL FIBER, engaged in the production of man-made
fibers
July 1982 -
After Kuo Hua bought the CENTRAL BANK OF CHINA'S shareholding in HUALON CORP
for approximately USD 18.75 million,
Andrew Weng took over the position of Chairman of
the Board and General Manager at
HUALON CORP.
1988 -
Became publicly-owned and listed on the Taiwan Stock Exchange (TAITEX), with
26,000
shareholders.
1995 -
Invested and established TEXTONNIA CZECHSPOL SRO in
1997 -
Invested and established SAN-ETSU CO LTD in
10 August, 2006 - De-listed
on the
*Company Registration*
===================
License number : 07406808
Date issued : 9 October,
1967
Issuing authority : Ministry of
Economic Affairs (MOEA)
*Registrar*
=========
YUAN TUNG SECURITIES
*Merger & Acquisition*
==================
Type :
Merger
Parties involved : UNION
NYLON CORP
KUO HWA CHEMICAL CORP
HSIN HSIN CHEMICAL FIBER & TEXTILE
CORP
PAO CHENG CHEMICAL FIBER CORP
Date of transaction : 1
December, 1977
Details : As
a surviving entity, the company merged with the above companies which are
renowned synthetic fiber
manufacturers.
*Bounced Checks*
===============
Because the appeal for company restructuring is in court now, the Taiwan
Clearing House does not have published information regarding the company's
issued bounced checks.
*Licenses & Permits*
================
License number : 99631995
Date issued : 28 October
1969
Issuing authority : Industrial
Development Bureau, MOEA
Type of license : Factory
license
License number : 99632754
Date issued : 18
November 1970
Issuing authority : Industrial
Development Bureau, MOEA
Type of license : Factory
license
License number : 99626685
Date issued : 15 May 1975
Issuing authority : Industrial Development Bureau, MOEA
Type of license : Factory
license
License number : 99632730
Date issued : 3 February
1980
Issuing authority : Industrial Development
Bureau, MOEA
Type of license : Factory
license
License number : 99631994
Date issued : 23
November 1990
Issuing authority : Industrial
Development Bureau, MOEA
Type of license : Factory
license
*Capital Details*
=============
Initial paid-up capital : NTD
6,412,944,560.00
Paid-up capital increase : NTD 26,000,000,000.00
*Office & Facilities*
===============
Size : 50,000
sq. meters
Location :
Facilities : Modern
Property status : Owned by
HUALON CORP
Type of building : Commercial
Comment : Premises is
shared with subsidiary company, HUALON CHEMICAL & TEXTILE CO LTD.
Previous fax no. : 2-22266851
Note : Provided address (Tuy Ha Industrial Zone,
*Corporate & Organization Structure*
=============================
A very large specialized company operated and managed by an experienced team
of professionals.
Maintains the following major departments:
- Production
- Business
- Administration
*Factories, Size & Locations*
=======================
The firm maintains two (2) manufacturing premises as listed below:
Building size : 88,883 sq.
ft. (Approx.)
Location : Miaoli
Hsien
Facilities : Modern
Property status : Owned by
HUALON CORP
Type of building : Industrial
building
Building size : 5,800 sq.
ft. (Approx.)
Location : Taoyuan
Facilities : Modern
Property status : Rented
Type of building : Industrial
building
*Long & Short Term Investments*
==========================
Type of investment : Construction of textile factory located in States
Free Trade Zone
Date of investment : June 1989
Investment amount : USD 75 million
Other investor :
Details : A
91,907 square meters plant had been built in the state's free trade zone.
Construction of
the new plant began in August 1989,
with mass production at the plant beginning at the end
of 1990.
Proposed the purchase of
*Sales Ranking*
=============
Details of rank are as follow :
Year Rank
------ -------
1996 22
1997 19
1998 32
2000 43
2001 50
2002 89
2006 193
*Industry Ranking*
===============
Ranked as Top 1000 largest Companies in
Year Rank
---------
----------
1999 731
2000 882
2004 205
2005 377
2006 391
- Generally regarded as one of the Top 1000 Companies in manufacturing
industry of
Web
site: www.hualon.com.tw The design is professional and the content is
well organized. At present it is both in Chinese and English version.
Email : sales@hualon.com.tw
Litigation ( 1 )
Position : Defendant
Other Parties Involved : Position Country Party's Name
Plaintiff
Case Issue : A petition to the Court against an action taken illegally.
Court :
Date Commenced : 2003
Date Closed : 16 May, 2003
Status : Case closed
DISHONORED CHECKS 5 Found
Dishonored Checks ( 1 )
Country :
Bank : CHINATRUST COMMERCIAL BANK LTD
Date : 1 June, 2005
Amount : NT$ 2 mill ~ NT$ 5 mill
Reason : Reason not stated
Dishonored Checks ( 2 )
Country :
Bank : COSMOS BANK
Date : 22 July, 2005
Amount : NT$ 26 mill ~ NT$ 50 mill
Reason : Reason not stated
Dishonored Checks ( 3 )
Country :
Bank : UNION BANK OF
Date : 5 December, 2004
Amount : NT$ 501K ~ NT$ 1 mill
Reason : Reason not stated
Dishonored Checks ( 4 )
Country :
Bank : E.SUN COMMERCIAL BANK LTD
Date : 1 March, 2005
Amount : NT$ 501K ~ NT$ 1 mill
Reason : Reason not stated
Dishonored Checks ( 5 )
Country :
Bank : FIRST COMMERCIAL BANK CO LTD
Date : 1 February, 2005
Amount : NT$ 501K ~ NT$ 1 mill
Reason : Reason not stated
Adverse Press Coverage ( 1 )
Country :
Newspaper : Commercial Times
Date : 23 October, 2004
Title : Financial restructuring request denied by Court
Summary : The Miaoli District Court denied the company's request for
financial restructuring due to the following considerations: 1) HUALON's debt
of over NT$ 29,200,000,000 (US$871,641,791) forfeits reimbursement ability; 2)
No support from creditor bank; and 3) the financial structure is hard to
improve in a short time. The company has alreay filed an appeal to the
Adverse Press Coverage ( 2 )
Country :
Newspaper : Central News Agency
Date : 24 November, 2004
Title : Company closed 2 factories
Summary : HUALON CORP stopped the operations of its Taoyuan and Chung Li
factories last November 16, 2004, with nearly 300 employees suddenly disbanded.
Because of its financial difficulties, the company will sell their factory
assets to raise funds.
Adverse Press Coverage ( 3 )
Country :
Newspaper : Organizational/Company Newsletters
Date : 22 February, 2005
Title : Employee Salary Arrears
Summary : HUALON CORP could not pay the pension annuity of their
employees due to its debt.
*Major Shareholders*
=================
Shareholders' Name
No. of Shares
-------------------------- ------------------
DRAGONSOFT CO LTD
41,985,020
HUALON MICROELECTRONICS CORP 19,092,670
CHIA HSIN LIVESTOCK CORP 11,855,896
*COMPANY MANAGEMENT*
==========================
Name Nationality
Job Description Dept. / Division
Mr. Lian-chin Chang Taiwanese
Manager Finance
Mr. Ming-feng Ho Taiwanese
Manager Finance
Mr. Cheng-fu Wu Taiwanese
Engineer -
Ms. Chia-chih Yao Taiwanese
Manager -
Mr. Ching-hsiung Liang Taiwanese
Vice Chairman -
Mr. Chiu-hui Wu Taiwanese
Vice General Manager -
Mr. Shun-ching Yang Taiwanese
Vice General Manager -
*Key Personnel*
=============
Mr. Andrew You-ming Weng (also
known as Y M Oung)
Founder : Co-Founder
Resident status :
Responsibilities : Handles the
daily operation of the firm including all financial and legal matters
Work experience : More than 25 years.
Ms. Chia-chih Yao
E-mail : archives@hualon.com.tw
*Main Products & Services*
=======================
Specializes in three (3) main
areas of work:
1. Imports of raw material polyester filament, nylon chip and other
related textile materials.
2. Manufacturing of a wide range of processed cotton, such as CD Pre-oriented
yarn and woven fabrics.
3. Exporting and domestic sales of
finished products.
Products also include :
- Polyester conventional filament
- Nylon conventional stretch yarn
- Nylon dyed conventional stretch yarn
- Nylon-6 draw textured yarn
Products : Blended yarns
Bottle grade
chips
Caprolactam
Composite,
fibers
Cotton
*Brand*
=======
Brand HUALON
*Payment Terms*
=============
Sales
------
Local : Cash
30-90 days credit
Export : Letter of Credit
(L/C)
Document against
Acceptance (D/A) Telegraphic Transfer (T/T)
Purchases
--------------
Local : 30-90 days credit
Import : Letter of Credit
(L/C)
Document against Acceptance (D/A)
Telegraphic Transfer (T/T)
Open account /DA
terms with settlement using Telegraphic Transfer (T/T)
*Competitors*
===========
The following locally based companies supply similar range of products :
- SHINKONG SPINNING CO LTD
- LEALEA ENTERPRISE CO LTD
- HOMER CHING ENTERPRISE CO LTD
- KAOSHA TEXTILE CO LTD
- FORMOSA ASAHI SPANDEX CO LTD
*Association*
===========
Member of :
-
*Production Capacity*
==================
Item :
Polyester chip
Maximum capacity : 120,819 (NTD
1,000/Tons)
Current capacity : 421,875
(NTD 1,000/Tons)
Year :
2005
Item :
Polyester filament
Maximum capacity : 155,463 (NTD
1,000/Tons)
Current capacity : 365,175
(NTD 1,000/Tons)
Year :
2005
Item :
Nylon chip
Maximum capacity : 25,160 (NTD 1,000/Tons)
Current capacity : 56,575 (NTD
1,000/Tons)
Year :
2005
Item :
Nylon filament
Maximum capacity : 22,720 (NTD 1,000/Tons)
Current capacity : 58,400 (NTD
1,000/Tons)
Year :
2005
Item :
Polyster mixture series
Maximum capacity : 29,632 (NTD
1,000/Tons)
Current capacity : 59,130
(NTD 1,000/Tons)
Year :
2005
Item :
Pan head
Maximum capacity : 9,991 (NTD
1,000/Tons)
Current capacity : 31,025
(NTD 1,000/Tons)
Year :
2005
Item :
Circular knitting fabrics
Maximum capacity : 0 (NTD
1,000/Tons)
Current capacity : 43,800
(NTD 1,000/Tons)
Year : 2005
Item : Warp knitting fabrics
Maximum capacity : 4,102 (NTD
1,000/Tons)
Current capacity : 40,150 (NTD
1,000/Tons)
Year : 2005
Item :
Water-jet woven fabrics
Maximum capacity : 130,926 (NTD
1,000/Tons)
Current capacity : 470,500
(NTD 1,000/Tons)
Year :
2005
*Projects*
========
Commencement date : June 1989
Type of project :
Construction of textile factory
Location :
State's Free Trade Zone
Project partner :
Project amount : USD 75
million
Specifications : A
91,907 sq.m. plant will be built in the state's free trade zone. Construction
of the new
plant is slated to begin in August
1989, with mass production at the plant
beginning at the end of 1990.
*Local Distribution Network*
=======================
31% of the annual turnover is attributed to local sales.
*Domestic Raw Material Suppliers*
===========================
Major local suppliers include :
PTA
------
- CHINA AMERICAN PETROCHEMICAL CO LTD (CAPCO LTD)
- TUNTEX PETROCHEMICALS INC
- FORMOSA CHEMICALS & FIBRE CORP
MEG
-------
-
- DOW CHEMICAL TAIWAN LTD
- ORIENTAL UNION CHEMICAL CORP
CPL
------
- CHINA PETROCHEMICAL DEVELOPMENT CORP
- MARUBENI TAIWAN CO LTD
Cotton
----------
- SUN YARN TEXTILE CO LTD
*Domestic Suppliers*
=================
CHINA AMERICAN PETROCHEMICAL CO LTD (CAPCO LTD)
CHINA PETROCHEMICAL DEVELOPMENT CORP
DOW CHEMICAL TAIWAN LTD
FORMOSA CHEMICALS & FIBRE CORP
JWU BANG CORP
MARUBENI TAIWAN CO LTD
ORIENTAL UNION CHEMICAL CORP
SUN YARN TEXTILE CO LTD
TUNTEX PETROCHEMICALS INC
*Domestic Customers*
==================
Major local customers include :
Customer's name : E-HSIN INT'L CORP
Product :
Textile
Customer's name : WIN GARMENTS
MFG CO LTD
Products :
Textile, clothes
Customer's name : HUALON CHEMICAL
& TEXTILE CO LTD
Products : Cloth
Customer's name : JWU BANG CORP
*Export Markets*
=============
69% of the annual turnover is attributed to export.
*International Trade Ranking*
========================
The firm has been ranked among
Board of Foreign Trade (BOFT), details of rank are as follows :
Year Rank
----- -------
1997 41
2003 245
2004 311
2005 1,175
*Overseas Suppliers*
=================
Major overseas suppliers include :
Supplier's name : BASF SOUTH EAST
ASIA PTE LTD
Country :
Product/material : CPL
Supplier's name : SMART ASCENT CO
LTD
Country :
Product/material : Cotton
Supplier's name : COMPAGNIE
Country :
Product/material : Cotton
Supplier's name : CALCOT LTD
Country :
Product/material : Cotton
*LOCAL BRANCHES & MANAGEMENT*
===================================
Branch : HUALON CORP - TAYUAN HSIANG
Branch Address : 30, Lane 536, Chung Cheng East Rd Section 3 Tayuan
Hsiang, Taoyuan Hsien 337
Branch Tel : [+886] 3-3811801
Branch Management
Name Job Description Nationality
Mr. Kuang-yuang Chiu Manager Taiwanese
*(Subsidiaries , Joint-ventures & Affiliates)
=================================
Company Name : CHIA HSIN LIVESTOCK CORP
Address : 8Fl,
Country :
Relationship : Affiliate
Legal Form : Public Listed Company
Company Type : Manufacturer
Industry : Agricultural Products
Company Name : CHINO-EXCEL TECHNOLOGY CORP
Address : 6Fl,
Country :
Relationship : Affiliate
Legal Form : Private company with limited liability
Company Type : Manufacturer
Industry : Electronic Products & Components
Company Name :
Address : 1Fl, 69 Chung Hsiao 1st Toufen Chen 351 Miaoli Hsien
Country :
Relationship : Subsidiary
Legal Form : Private company with limited liability
Company Type : Trader
Industry : Textiles & Raw Material
Company Name : E BANG INT'L CORP
Address : 5Fl-8,
Country :
Relationship : Subsidiary
Legal Form : Private company with limited liability
Company Type : Manufacturer
Industry : Garments & Accessories
Company Name : E-HSIN INT'L CORP, THE
Address : 10Fl-2,
Country :
Relationship : Subsidiary
Legal Form : Private company with limited liability
Company Type : Trader
Industry : Chemicals
Company Name : HUALON CHEMICAL & TEXTILE CO LTD
Address : 9Fl,
Country :
Relationship : Subsidiary
Legal Form : Private company with limited liability
Company Type : Manufacturer
Industry : Textiles & Raw Material
Company Name : HUALON CORP (M) SDN BHD
Address : 9Fl Wisma Goldhill 67 Jalan Raja Chulan Kuala Lumpur 50200
Selangor
Country :
Relationship : Minor Investments
Legal Form : Private company with limited liability
Company Type : Manufacturer
Industry : Textiles & Raw Material
Company Name : HUALON CORP
Address : Nhon Trach 1 Industrial Park Phuoc Thien Ward Nhon Trach Dong
Nai
Country :
Relationship : Subsidiary
Legal Form : Private company with limited liability
Company Type : Trader
Industry : Textiles & Raw Material
Company Name : HUALON MICROELECTRONICS CORP
Address : 10Fl-3,
Country :
Relationship : Affiliate
Legal Form : Private company with limited liability
Company Type : Manufacturer
Industry : Electronic Products & Components
Company Name : JWU BANG CORP
Address : 1Fl, 69 Chung Hsiao 1st Toufen Chen 351 Miaoli Hsien
Country :
Relationship : Subsidiary
Legal Form : Private company with limited liability
Company Type : Trader
Industry : Textiles & Raw Material
Company Name : KUO HUA LIFE INSURANCE CO LTD
Address :
Country :
Relationship : Affiliate
Legal Form : Public Company
Company Type : Service
Industry : Financial Services - General
Company Name : KUO HUA SECURITIES CO LTD
Address : 8Fl, 42,
Country :
Relationship : Subsidiary
Legal Form : Private company with limited liability
Company Type : Service
Industry : Financial Services - General
Company Name : LONSING CHUNG CO LTD
Address : 5Fl,
Country :
Relationship : Subsidiary
Legal Form : Private company with limited liability
Company Type : Trader
Industry : Textiles & Raw Material
Company Name : LONYI HSING CO LTD
Address : 5Fl,
Country :
Relationship : Subsidiary
Legal Form : Private company with limited liability
Company Type : Trader
Industry : Textiles & Raw Material
Company Name : SAN-ETSU CO LTD
Address : 1
Country :
Relationship : Subsidiary
Legal Form : Private company with limited liability
Company Type : Manufacturer
Industry : Textiles & Raw Material
Company Name : TAIWAN FIBER CO LTD
Address : 1Fl,
Country :
Relationship : Subsidiary
Legal Form : Private company with limited liability
Company Type : Importer
Industry : Textiles & Raw Material
Company Name : TEXTONNIA CZECH SPOL SRO
Address : Kostelecka 416 Hronov Nachod
Country :
Relationship : Subsidiary
Legal Form : Private company with limited liability
Company Type : Manufacturer
Industry : Textiles & Raw Material
*Strategic Partners & Alliances*
==========================
Group name : E-HSIN ENTERPRISE GROUP
Details : - A group of 9
companies involved in the areas of textiles, electronics, footwear, life
insurance,
livestock,
trade, and finance.
- Took
shape in the early 1980's, but can actually trace its origins back to the
1970's
PAYMENT RATING : 4 OBTAINED SCORES : 42
|
Implication |
Implications |
|
|
1 |
Scores 85–100 |
Excellent |
|
2 |
Scores 75 – 84 |
Above Average |
|
3 |
Scores 50 – 74 |
Average |
|
4 |
Scores 35 – 49 |
Fair |
|
5 |
Scores 15 – 34 |
Below Average |
|
6 |
Scores 01 – 14 |
Poor |
|
NR |
No Data |
No Data |
The rating indicates the
payment pattern of SC based upon our Payment Database, comments from suppliers of
SC, information from banks (if available), as well as industrial sources.
Dealings on open terms may be possible for SMALL
amounts depending on individual judgement experience.
*Bank Details*
============
Bank Name : CHIAO TUNG BANK CO LTD
Branch : Chungcheng Dist,
Branch Address :
SWIFT Code : BKCMTWTP
Bank Name : CHINATRUST COMMERCIAL BANK LTD
Branch : Hsin-i Dist,
Branch Address : 14Fl
SWIFT Code : CTCBTWTP
Bank Name : FIRST COMMERCIAL BANK CO LTD
Branch : Chungcheng Dist,
Branch Address : 10Fl,
SWIFT Code : FCBKTWTP
Bank Name : HUA NAN COMMERCIAL BANK LTD
Branch : Chungcheng Dist,
Branch Address :
SWIFT Code : HNBKTWTP
Bank Name : MEGA INT'L COMMERCIAL BANK CO LTD
Branch : Chungcheng Dist,
Branch Address :
SWIFT Code : ICBCTWTP
Bank Name : TAIWAN COOPERATIVE BANK
Branch : Chungcheng Dist,
Branch Address :
SWIFT Code : TACBTWTP
Bank Name :
Branch : Chungcheng Dist,
Branch Address :
SWIFT Code : UWCBTWTP
Bank Name : TAIPEI FUBON COMMERCIAL BANK CO LTD
Branch : Chungshan Dist,
Branch Address :
SWIFT Code : TPBKTWTP
Balance Sheet
Currency : NTD
Denomination : in Thousand
2005 2004 2003 2002 2001
------ ------- ------- ------- ------
Current Assets 2,270,023 2,743,864 3,650,869 4,364,889 5,868,018
Funds & long-term investments
2,345,761 3,733,500 5,325,994 7,801,576 10,192,222
Property
10,173,832 11,191,236 14,703,540 16,209,005 17,673,338
Other Assets 4,645,761 5,022,712 2,980,249 4,721,106 4,179,124
Total Assets 19,438,371 22,694,334 26,664,619 33,106,078 37,912,702
Current Liabilities (Before)
24,716,137 25,113,544 18,425,138 18,924,054 18,668,243
(After)
18,425,138 18,924,054 18,668,243
Long-term Liabilities 2,669,247 2,750,130 9,369,554 9,214,177 10,116,998
Other Liabilities 10,115,326 6,468,294 4,810,641 3,981,210 3,727,687
Total Liabilities (Before)
37,500,710 34,331,968 32,605,333 32,119,441 32,512,928
(After) 32,605,333 32,119,441 32,512,928
Common stock
6,412,944 6,412,944 6,412,944 6,412,944 24,345,602
Capital Reserve 137,234 137,234 137,234 65,179 2,087,760
Retained Earnings (Before)
(24,150,592)
(17,749,518)
(12,129,278) (4,726,414) (20,266,995)
(After) (12,129,278) (4,726,414) (20,266,995)
Total Shareholder's Equity
(Before)
(18,062,339)
(11,637,634) (5,940,714) 986,637 5,399,774
(After)
(5,940,714) 986,637 5,399,774
Income Statement
Currency : NTD
Denomination : in Thousand
2005 2004 2003 2002 2001
------
------- ------- ------- -------
Operating revenue
10,138,064 16,498,780 14,291,105 13,697,310 18,668,915
Gross Profit
(925,458) (497,593) (645,566) (437,199) 110,075
Operating Income
(1,176,965)
(1,522,617)
(1,223,933) (1,065,123) (1,312,364)
Non-operating income 1 13,313 9,731 18,338 65,911
Non-operating expense 427,611 413,053 443,555 828,012 1,355,905
Net Income
(6,401,074) (5,620,240) (7,450,125) (4,414,658) (15,085,658)
Earnings (losses) per share (After)
(11.40) 10.02 13.53 8.04 26.74
*Financial Ratios*
==============
2005 2004 2003 2002 2001
------ ------- ------- ------- -------
Ratio of liabilities to Assets (%) 192.92 151.28 122.28 97.02 84.00
Ratio of long-term capital to fixed
Assets (%)
(1.51) (1.04) 6.00 49.00 75.00
Current ratio (%)
9.00 11.00 20.00 23.00 32.00
Quick ratio (%)
2.00 3.00 6.00 6.00 10.00
Interest coverage
(15.00) (13.00) (11.00) (5.00) (10.00)
Turnover of receivable (times) 103 18.02 9.04 5.58 4.55
Average collection period of receivable 4 21 40 65 80
Turnover of inventories (times) 6.18 7.41 4.69 3.92 4.60
Turnover of expense (times) 1.87 1.38 1.23 2.29 2.95
Average days of sales 59 50 78 93 79
Turnover of fixed assets (times) 1 1.47 0.92 0.81 1.06
Turnover of total assets (times) 0.52 0.73 0.54 0.41 0.49
Return on total assets (%) (28.36) (21.52) (23.82) (10.65) (31.00)
Return on shareholder's Equity (%)
(43.10) 64.00 301.00 (139.00) (120.00)
Operating Income
(18.00) (9.00) (17.00) (5.00) (5.00)
Net Income before tax (99.80) (99.00) (72.00) (68.00) (18.00)
Profit margin (%)
(63.00) (34.00) (52.00) (32.00) (81.00)
Retroactive
(11.40) (10.02) (13.54) (8.04) (6.42)
Cash flows ratio (%) 087 0.45 0.38 0.02 10.00
Cash flows adequacy (%) (7.00) 847.00 366.00 77.00 79.00
Cash reinvestment ratio (%) 1.50 0.49 0.20 0.01 4.00
Degree of operating leverage (0.99) (10.32) (72.53) (9.48)
(10.60)
Degree of financial leverage 0.73 0.78 0.73 0.56 0.49
*Accountant*
===========
KPMG
*Financial Summary (Currency:
===============================
Year Sales Assets Net Income
1992 US$ 722,438,666.67 US$
1,558,567,814.81 US$ 31,483,925.93
1993 US$ 814,279,333.33 US$
1,698,616,148.15 -US$ 14,221,703.70
1994 US$ 1,067,466,592.59 US$
1,822,081,296.30 US$ 65,890,518.52
1995 US$ 1,277,130,925.93 US$
1,960,539,740.74 US$ 98,247,407.41
1998 US$ 1,048,296,296.30 US$
2,333,148,148.15 -US$ 119,740,740.74
1999 US$ 813,623,093.75 US$
1,813,103,781.25 -US$ 2,893,593.75
2000 US$ 794,961,679.63 US$
1,608,271,819.60 -US$ 132,406,594.09
2001 US$ 541,756,094.02 US$
1,100,194,486.36 -US$ 437,773,012.19
2002 US$ 393,713,998.28 US$
951,597,528.03 -US$ 126,894,452.43
2003 US$ 412,084,919.26 US$
768,875,980.39 -US$ 214,824,826.99
2004 US$ 496,203,909.77 US$
682,536,360.90 -US$ 169,029,774.44
2005 US$ 320,317,977.88 US$
614,166,540.28 -US$ 202,245,624.01
*Int´l Trade Activity (Currency:
===============================
Year Imports Exports
Total
1997 US$ 433,100,000.00 US$ 24,500,000.00 US$ 457,600,000.00
1998 US$ 355,700,000.00 US$ 24,900,000.00 US$ 380,600,000.00
2001 US$ 64,119,331.17 US$ 92,838,164.25 US$ 156,957,495.42
2002 US$ 35,677,042.51 US$ 80,648,053.89 US$ 116,325,096.40
2003 US$ 26,907,975.00 US$ 91,215,234.00 US$
118,123,209.00
2004 US$ 28,770,971.01 US$ 93,265,966.02 US$ 122,036,937.03
2005 US$ 14,916,741.99 US$ 16,521,714.00 US$ 31,438,455.99
2006 US$ 8,577,889.99 US$ 18,672,095.01 US$ 27,249,985.00
SC is considered an old-established business with fair financial
conditions. Great caution is required in
providing credit to SC and COD is recommended.
Attached:
trade references
SIC PRODUCT CLASSIFICATION & ACTIVITY
Activity Code Product/Service Description
Exporting 2281 Yarn,
spun, of cotton, man-made fibers, and silk
Exporting 2299 Textile
goods
Exporting 2399 Fabricated
textile products
Importing 2261 Finish Cotton Fabrics
Importing 2800 Chemicals
and Allied Products
Importing 2879 Agricultural
pesticides and other agricultural chemicals
Importing 2899 Chemical
preparations
Importing 3561 Pumps
and pumping equipment, except fluid power pumps
Manufacturing 2221 Broad
woven fabrics, manmade fibers and silk
Manufacturing 2241 Narrow
woven fabrics
HARMONIZED PRODUCT CLASSIFICATION & ACTIVITY
Activity Code Product/Service Description
Exporting 5402330000 Synthetic
filament yarn other than sewing thread, not put up for retail sale,
textured
yarn of polyesters
Exporting 5402410010 Synthetic
filament yarn (other than sewing thread): mulitfilament, untwisted or
twisted
less than 5 turns per meter, of nylon, partially oriented
Exporting 5402420000 Other
yarns, untwisted or twisted, less than or equal to 50 turns per meter, of
polyesters,
partially oriented, not put up for retail sale
Exporting 5402520000 Synthetic
filament yarn: single other twisted yarns, of polyester filament, greater
than
50 turns per meter, not put up for retail sale
Exporting 540741 Upholstery
Fabric, Woven
Exporting 5911 Textile
products etc. for specific tech uses
Exporting 6002921000 Other
knitted or crocheted fabric, of cotton, circular knit, wholly of cotton yarns
exceeding
100 metric number per single yarn
Importing 2823000000 Titanium
oxides
Importing 2901210000 Ethylene
(ethene)
Importing 2933710000 6-hexanelactam
(epsilon-caprolactam)
DETAILED PRODUCT CLASSIFICATION & ACTIVITY
Activity Product/Service
Description
Exporter Yarns
Importer Ethylene
Importer Fungicides
Importer Turbine
pumps
Importer Weaving
machinery parts
Importer Loom parts
Importer Extruding
machine parts
Importer Water
filtration machine parts
Importer Fuel injection
pump part
Importer Cotton
INTERNATIONAL TRADE : ACTIVITY & MARKETS
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Importing from
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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 |
|
NR |
In view of the lack of information, we have no basis upon which to
recommend credit dealings |
No Rating |
|
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%)