MIRA
INFORM REPORT
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Report Date : |
20.08.2007 |
IDENTIFICATION DETAILS
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Name : |
JIANGSU MUYANG
MYANDE FOOD MACHINERY Co., Ltd. |
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Registered Office : |
No. 198, |
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Country : |
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Financials (as on) : |
31.12.2006 |
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Date of Incorporation : |
November 6, 2002 |
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Com. Reg. No.: |
3210271400049 |
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Legal Form : |
Limited Liabilities Company |
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Line of Business : |
Engaged in manufacturing,
installing and selling different kinds of food machinery. |
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 30,000 |
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Status : |
Satisfactory |
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Payment Behaviour : |
Regular |
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Litigation : |
Clear |
name & address
JIANGSU MUYANG
MYANDE FOOD MACHINERY Co., Ltd.
no. 198,
TEL :
86 (0) 514-7849000
FAX :
86 (0) 514-7848883
EXECUTIVE SUMMARY
INCORPORATION DATE : NOVEMBER 6, 2002
REGISTRATION NO. : 3210271400049
REGISTERED LEGAL FORM : LIMITED LIABILITIES COMPANY
STAFF STRENGTH : 100
REGISTERED CAPITAL : CNY 20,000,000
BUSINESS LINE : MANUFACTURING
TURNOVER : CNY 39,330,000 (AS OF DEC. 31, 2006)
EQUITIES : CNY 7,560,000
(AS OF DEC. 31, 2006)
PAYMENT : AVERAGE
RECOMM.
MARKET CONDITION : average
FINANCIAL CONDITION : FAIR
OPERATIONAL TREND : fair
GENERAL REPUTATION : AVERAGE
EXCHANGE RATE : CNY
7.59 = US1$ AS OF 2007-8-20
Adopted abbreviations:
ANS - amount not stated
NS - not stated
SC - subject company (the company inquired by you)
NA - not available
CNY -
SC was registered as a limited liabilities company at local Administration for Industry & Commerce (AIC - The official body of issuing and renewing business license) on November 6, 2002.
Company Status: Limited liabilities co. This form of business in PR China
is defined as a legal person. No more than fifty shareholders contribute
its registered capital jointly. 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 CNY 30,000. 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 30% 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 designing, manufacturing, installing and selling grease, starch,
vegetable protein processing and comprehensive equipments; researching and
manufacturing food machinery, agricultural machinery, agricultural products and
by products processing machinery and drying apparatus; manufacturing and
selling cables.
SC is mainly
engaged in manufacturing, installing and selling different kinds of food
machinery.
Mr. Xu Bin has been legal representative and chairman of SC since
2002.
SC is
known to have approx. 100 staff members at present.
SC is
currently operating at the above stated address, and this address houses its
operating office and factory in the industrial zone
of Yangzhou. Our checks reveal that SC owns the total premise about 10,000
square meters.
http://www.myande.com/ The design is professional and the content is
well organized. At present it is in both Chinese and English versions.
No significant events or changes were found during our
checks with the local Administration for Industry and Commerce.
MAIN SHAREHOLDERS:
Name %
of Shareholding
Xu Bin 70
Rong Zhen 27
Wang Mu 2
Qian Jing 1
l
Legal representative and General manager:
Mr.
Working Experience(s):
From 2002 to present Working in SC as chairman and general manager.
SC is mainly
engaged in manufacturing, installing and selling different kinds of food
machinery.
SC’s products mainly
include oil seed expander, conditioner, jet dryer, magnetic metal remover,
screener and aspirator.
SC’s main brand is
‘Myande’.
SC sources its materials 100%
from domestic market. SC sells 100% of its products in domestic market.
The buying terms of SC include Check, T/T and Credit of
30-60 days. The payment terms of SC include Check, T/T and Credit of 30-60
days.
*Major Supplier:
=============
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 did not
provide any name of trade/service suppliers and we have no other sources to
conduct the enquiry at present.
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.
Agriculture Bank of
AC#：154801040002870
Relationship:
Balance Sheet (as of Dec. 31, 2006)
Unit: CNY’000
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Cash & bank |
11,060 |
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Inventory |
33,550 |
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Accounts
receivable |
0 |
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Advances to
suppliers |
3,430 |
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Other
receivables |
3,120 |
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Other current
assets |
130 |
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Current assets |
51,290 |
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Fixed assets |
15,960 |
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Fixed assets net
value |
13,700 |
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Projects under
construction |
2,090 |
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Long term
investment |
0 |
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Other assets |
1,830 |
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Total assets |
68,910 |
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Short loans |
6,000 |
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Accounts payable |
8,650 |
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Other payable |
16,170 |
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Taxes payable |
-1,790 |
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Advances from
customers |
31,950 |
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Other current
liabilities |
370 |
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Current
liabilities |
61,350 |
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Long term
liabilities |
0 |
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Total
liabilities |
61,350 |
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Equities |
7,560 |
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Total
liabilities & equities |
68,910 |
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Income Statement (as of Dec. 31, 2006)
Unit: CNY’000
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Turnover |
39,330 |
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Cost of goods
sold |
37,970 |
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Add:
Income from other operations |
350 |
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Sales expense |
4,570 |
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Management expense |
4,180 |
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Finance expense |
,390 |
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Profit before
tax |
-7,420 |
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Less: profit tax |
0 |
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Profits |
-7,420 |
Important Ratios
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as
of Dec. 31, 2006 |
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*Current ratio |
0.84 |
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*Quick ratio |
0.29 |
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*Liabilities
to assets |
0.89 |
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*Net profit
margin (%) |
-18.9 |
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*Return on
total assets (%) |
-10.8 |
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*Fixed assets/Total
assets |
0.20 |
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*Inventory
/Turnover ×365 |
311days |
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*Accounts
receivable/Turnover ×365 |
/ |
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*Turnover/Total
assets |
0.57 |
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* Cost of
goods sold/Turnover |
0.97 |
PROFITABILITY:
FAIR
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The turnover of SC appears average in its line.
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SC’s net profit margin is fairly poor.
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SC’s return on total assets is fairly poor.
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SC’s cost of goods sold is fairly high, comparing
with its turnover.
LIQUIDITY: FAIR
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The current ratio of SC is maintained in a fair
level.
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SC’s quick ratio is maintained in a fair level.
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The inventory of SC appears TOO LARGE.
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SC’s short-term loan appears fairly large.
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SC’s turnover is in an acceptable level, comparing
with the size of its total assets.
LEVERAGE: FAIR
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The debt ratio of SC is fairly high.
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The risk for SC to go bankrupt is average.
Overall financial
condition of the SC: Fair.
SC is considered medium-sized in its line with fair financial conditions.
A credit line up to USD 30,000 would appear 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. |
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%)