MIRA
INFORM REPORT
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Report Date : |
21.12.2007 |
IDENTIFICATION
DETAILS
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Name : |
SHANDONG TIANXING RAILWAY ENGINEERING CO., LTD. |
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Registered Office : |
32/F Mingzhu International Commerce Port, No.88 Jingyi Road,
Ji’nan, Shandong Province, 250001 Pr |
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Country : |
China |
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Financials (as on) : |
31.12.2006 |
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Date of Incorporation : |
July 27, 2005 |
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Com. Reg. No.: |
3700002805214 |
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Legal Form : |
Limited Liabilities Company |
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Line of Business : |
Engaged in
international trade. |
RATING &
COMMENTS
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MIRA’s Rating : |
B |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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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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Maximum Credit Limit : |
Up To USD 10,000 |
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Status : |
Small Company |
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Payment Behaviour : |
No Complaints |
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Litigation : |
Clear |
name & address
SHANDONG TIANXING RAILWAY ENGINEERING CO., LTD.
32/F MINGZHU INTERNATIONAL COMMERCE PORT, NO.88 JINGYI ROAD, JI’NAN,
SHANDONG PROVINCE, 250001 PR CHINA
TEL : 86 (0)
531-82638286
FAX : 86 (0) 531-82638186
EXECUTIVE SUMMARY
INCORPORATION DATE : JULy 27, 2005
REGISTRATION NO. : 3700002805214
REGISTERED LEGAL FORM : LIMITED LIABILITIES
COMPANY
STAFF STRENGTH :
8
REGISTERED CAPITAL : CNY 10,000,000
BUSINESS LINE :
INTERNATIONAL TRADE
TURNOVER :
cny 3,180,000 (AS OF DEC. 31, 2006)
EQUITIES :
cny 9,550,000 (AS OF DEC. 31, 2006)
PAYMENT :
AVERAGE
RECOMM. CREDIT RANGE : up to USD 10,000
MARKET CONDITION : AVERAGE
FINANCIAL CONDITION : fairly STABLE
OPERATIONAL TREND : fairly steady
GENERAL REPUTATION : average
EXCHANGE RATE :
CNY7.38= US$1
Adopted abbreviations:
ANS - amount not stated
NS - not stated
SC - subject company (the company inquired by you)
NA - not available
CNY - China Yuan Ren Min Bi
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 July 27, 2005.
Company Status: Limited liabilities co. This form of business in PR
China is defined as a legal person. At least two shareholders and no more
than fifty 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 listed as follows: -manufacturing co. : CNY 500,000.00 -trading &wholesaling
co. : CNY 500,000.00 -retailing co. : CNY 300,000.00 -consultancy & service
co. : CNY 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 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 construction of railway
engineering, houses and buildings,
bridge engineering; selling railway special equipment, steels, woods, building materials,
chemical products, hot-water equipment and hardware; processing and selling
railway ballast; manufacturing and selling electric equipment; importing and
exporting various goods and technology;
processing with imported materials, processing with imported samples,
assembling with imported parts, and compensation trade in agreement.
SC is mainly
engaged in international trade.
Mr. Zhao Shixue
has been chairman of SC since 2005.
SC owns about 8
staff at present.
SC is
currently operating at the above stated address, and this address houses its
operating office in the commercial zone of Ji’nan. Our checks reveal that SC
owns the total premise about 100 square meters.
http://www.sdtianxing.com The
design is professional and the content is well organized. At present the web
site is both in Chinese and English versions.
E-mail: sdtianxing88@126.com
No significant events or changes were found during our checks with the
local Administration for Industry & Commerce.
MAIN SHAREHOLDERS:
Name %
of Shareholding
Zhao Shixue 93.20
Qi Jinying 6.80
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Chairman and
General Manager:
Mr. Zhao Shixue, 30 years old with university education. He is currently
responsible for the overall management of SC.
Working Experience(s):
From 2005 to present Working
in SC as chairman and general manager.
SC is mainly
engaged in international trade.
SC’s products
mainly include: steel materials and paper cases.
SC sources its materials
100% from domestic market, mainly Tianjin. SC sells 100% of its products to the
overseas markets, mainly USA and Europe.
The buying terms of SC include T/T and Credit of 30-60 days. The payment
terms of SC include L/C and Credit of 30-60 days.
*Major Customer:
=============
MTHBMT
*Major Supplier:
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Tianjin Jinshengda Steel Pipe Co., Ltd.
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.
Construction Bank of China Ji’nan Branch
AC#：37001616364050023134
Relationship:
Normal.
Balance Sheet
Unit: CNY’000
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As
of Dec. 31, 2006 |
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Cash & bank |
220 |
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Inventory |
0 |
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Accounts
receivable |
580 |
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Accounts paid in
advance |
1,160 |
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Other
receivables |
1,170 |
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Other current
assets |
20 |
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------------------ |
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Current assets |
3,150 |
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Fixed assets net
value |
6,770 |
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Projects under
construction |
0 |
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Long term
investment |
0 |
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Other assets |
10 |
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Total assets |
9,930 |
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Short loans |
0 |
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Accounts payable |
0 |
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Other payable |
370 |
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Other current
liabilities |
10 |
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Current
liabilities |
380 |
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Long term
liabilities |
0 |
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Total
liabilities |
380 |
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Equities |
9,550 |
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Total
liabilities & equities |
9,930 |
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Income Statement
Unit: CNY’000
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As of Dec. 31, 2006 |
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Turnover |
3,180 |
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Cost of goods
sold |
3,020 |
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Sales expense |
130 |
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Management expense |
90 |
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Finance expense |
0 |
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Profit before
tax |
-60 |
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Less: profit tax |
0 |
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Profits |
-60 |
Important Ratios (as of Dec. 31, 2006)
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*Current ratio 8.29
*Quick ratio 8.29
*Liabilities to
assets 0.04
*Net profit
margin (%) -1.89
*Return on total
assets (%) -0.60
*Inventory
/Turnover ×365 / days
*Accounts
receivable/Turnover ×365 67 days
*Turnover/Total
assets 0.32
* Cost of goods
sold/Turnover 0.95
PROFITABILITY:
FAIR
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The turnover of SC appears fair in its line.
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SC’s net profit margin is fair.
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SC’s return on total assets is fair.
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SC’s cost of goods sold is fairly high, comparing with its turnover.
LIQUIDITY: AVERAGE
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The current ratio of SC is maintained in a fairly good level.
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SC’s quick ratio is maintained in a fairly good level.
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SC has no inventory in 2006.
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The accounts receivable of SC is maintained in an acceptable level.
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SC has no short-term loan in 2006.
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SC’s turnover is in a fair level, comparing with the size of its total
assets.
LEVERAGE: AVERAGE
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The debt ratio of SC is low.
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The risk for SC to go bankrupt is above average.
Overall financial
condition of the SC: Fairly stable.
SC is considered small-sized in its line with a short operating history.
A credit line up to USD 10,000
would appear to be within SC’s capacities at present.
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%)