MIRA
INFORM REPORT
|
Report Date : |
10th
February, 2007 |
IDENTIFICATION
DETAILS
|
Name : |
VIETNAM
PAPER CORPORATION |
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Registered Office : |
Phong Chau Town, Phu Ninh Dist, Phu Tho
Province |
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Country : |
Viet
Nam |
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Financials (as on) : |
31.12.2005 |
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Date of Incorporation : |
1995 |
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Com. Reg. No.: |
109891 |
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Legal Form : |
State owned company |
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Line of Business : |
Ø Manufacture and trading in paper, xenluylo Ø Manufacture and trading in pulp Ø
Manufacture and trading in materials
relating to paper production |
RATING & COMMENTS
|
MIRA’s Rating : |
A |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
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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Status : |
Good |
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|
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Payment Behaviour : |
Regular |
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|
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Litigation : |
Clear |
SUBJECT IDENTIFICATION &
LEGAL FORM
|
English Name |
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VIETNAM
PAPER CORPORATION |
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Vietnamese
name |
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TONG
CONG TY GIAY VIETNAM |
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Trade
Name |
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VINAPACO
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Type of Business |
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State owned company |
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Founded
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1995 |
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Business Registration |
|
No.109891 |
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Issued
on |
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August 21st 1995 |
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Issued
by |
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Hanoi Department of Planning and Investment |
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Registered Capital |
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1,045,865,000,000
VND |
|
Tax
Code |
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0100100135 |
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Total
Employees |
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6,000 |
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Qualification |
|
Qualified |
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Note: Bai Bang Paper Company has merged into the subject in late 2005. |
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ADDRESS
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Head Office |
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Address |
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Phong Chau Town, Phu Ninh Dist, Phu Tho Province |
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Country |
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Vietnam |
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Tel |
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(84-210) 829755 |
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Fax |
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(84-210) 829177 |
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Hanoi
Office |
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Address |
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No. 25A Lý Thuong Kiet Str, Hoan Kiem Dist,
Hanoi City |
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Country |
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Vietnam |
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Tel |
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(84-4) 8260146 |
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Fax |
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(84-4) 8247792 |
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Da
Nang City Branch |
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Address |
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Lot H1, Road No.3, Hoa Khanh Industrial
Zone, Lien Chieu Dist, Da Nang city |
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Country |
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Vietnam |
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Tel |
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(84-511) 733980 |
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Fax |
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(84-511) 733892 |
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Ho Chi
Minh City Branch |
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Address |
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No. 6 Bau Cat Road, Ward 14, Tan Binh Dist,
Ho Chi Minh City |
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Country |
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Vietnam |
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Tel |
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(84-8) 8493821 |
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Fax |
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(84-8) 8493822 |
DIRECTORS
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1.
NAME |
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Mr. VO SY DONG |
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Position |
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General Director |
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Contact
Address |
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Phong Chau Town, Phu Ninh Dist, Phu Tho Province |
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Nationality |
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Vietnamese |
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2.
NAME |
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Mr. DO XUAN TRU |
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Position |
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Vice General Director |
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Contact
Address |
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Phong Chau Town, Phu Ninh Dist, Phu Tho Province |
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Nationality |
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Vietnamese |
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3.
NAME |
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Mr. NGUYEN CONG HONG |
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Position |
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Vice General Director |
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Contact
Address |
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Phong Chau Town, Phu Ninh Dist, Phu Tho Province |
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Nationality |
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Vietnamese |
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4.
NAME |
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Mr. NGUYEN ANH DUNG |
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Position |
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Vice General Director |
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Contact
Address |
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Phong Chau Town, Phu Ninh Dist, Phu Tho Province |
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Nationality |
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Vietnamese |
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5.
NAME |
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Mr. NGUYEN ANH NHI |
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Position |
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Vice General Director |
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Contact
Address |
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No. 25A Ly Thuong Kiet Str, Hoan Kiem Dist,
Hanoi City |
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Nationality |
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Vietnamese |
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6.
NAME |
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Mr. NGUYEN THE BINH |
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Position |
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Vice General Director |
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Contact
Address |
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No. 25A Ly Thuong Kiet Str, Hoan Kiem Dist,
Hanoi City |
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Nationality |
|
Vietnamese |
BUSINESS NATURE AND ACTIVITIES
The
subject registered in the following lines of business:
Manufacture and trading in paper, xenluylo
Manufacture and trading in pulp
Manufacture and trading in materials relating to paper production
IMPORT & EXPORT ACTIVITIES
IMPORT: The subject imports from Germany, and Brazil.
EXPORT: The subject supplies its products to Malaysia, United State, Singapore, Indonesia, Philippines, Iran.
Note: The subject import about 20% of materials for paper production.
BANKERS
|
1.
INDUSTRIAL AND COMMERCIAL BANK OF VIETNAM – DEN HUNG BRANCH |
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|
Address |
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Van Phu Ward, Viet tri City, Phu Tho Province |
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Country |
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Vietnam |
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Tel |
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(84-210) 970238 |
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Fax |
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(84-210) 970002 |
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Account No. |
|
710A 0 0001 |
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2.
BANK FOR INVESTMENT AND DEVELOPMENT OF VIETNAM – PHONG CHAU BRANCH |
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Address |
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Phong Chau Ward, Phu Tho Town, Phu Tho Province |
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Country |
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Vietnam |
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Tel |
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(84-210) 820409 |
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Fax |
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(84-210) 820146 |
SHAREHOLDERS
|
1. Name |
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THE SUBJECT IS STATE
OWNED COMPANY |
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Under management of |
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Ministry of Industry |
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Represented by |
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Mr. VO SY DONG |
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Position |
|
General Director |
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Contact Address |
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Phong Chau Town, Phu Ninh Dist, Phu Tho Province |
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Nationality |
|
Vietnamese |
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Share |
|
100% |
PAYMENT HISTORY AND EXPERIENCES
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Trade Morality |
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Good |
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Liquidity |
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Average |
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Payments |
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Good |
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Financial Situation |
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Good |
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Development trend |
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Good |
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Litigation Data |
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No reported |
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Bankruptcy |
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No reported |
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Payment Method |
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TT, L/C |
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Sale Method |
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Supplying for distributors and customers |
FINANCIAL DATA
BALANCE SHEET
Unit:
VND Million
|
Balance
sheet date |
31/12/05 |
31/12/04 |
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|
Number
of weeks |
52 |
52 |
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ASSETS
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||||
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A. Working assets & short-term Investment |
689,564 |
1,031,770 |
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I. Cash and cash equivalents |
49,652 |
6,895 |
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II. Short-term investment |
0 |
0 |
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1. Short-term securities investment |
0 |
0 |
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2. Other short-term investment |
0 |
0 |
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3. Provision for short-term investment |
0 |
0 |
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III. Receivables |
336,910 |
621,989 |
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1. Receivables from customers |
94,024 |
82,844 |
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2. Prepayment for providers |
3,682 |
48,150 |
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3. Value-added tax deducted |
0 |
0 |
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4. Internal receivables |
209,456 |
440,911 |
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5. Other receivables |
30,408 |
50,084 |
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6. Provision for bad receivables |
-660 |
0 |
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IV. Inventory |
302,395 |
402,415 |
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1. Purchased goods in transit |
59 |
60 |
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2. Raw materials |
253,714 |
260,445 |
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3. Instrument, tools |
12,119 |
13,113 |
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4. Cost for production and business in process |
3,004 |
3,458 |
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5. End products |
21,665 |
27,478 |
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6. Goods |
269 |
174 |
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7. Goods on consignment |
39,909 |
97,687 |
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8. Provision for devaluation of stocks |
-28,344 |
0 |
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V. Other current assets |
607 |
471 |
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1. Advances |
604 |
466 |
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2. Prepaid expenses |
0 |
5 |
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3. Pending expenses for transfer |
3 |
0 |
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4. Pending assets |
0 |
0 |
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5. Mortgage, collateral and short run collateral |
0 |
0 |
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VI. Administrative |
0 |
0 |
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1.
Administrative expenses for previous year |
0 |
0 |
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2.
Administrative expenses for current year |
0 |
0 |
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B. Fixed assets & Long term investment |
804,116 |
879,529 |
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I. Fixed assets |
744,443 |
806,577 |
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1. Tangible fixed assets |
743,182 |
806,056 |
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+ Original cost |
1,581,186 |
1,597,766 |
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+ Accumulated depreciation value |
-838,004 |
-791,710 |
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2. Financial leasing fixed assets |
1,261 |
521 |
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+ Original cost |
1,699 |
750 |
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+ Accumulated depreciation value |
-438 |
-229 |
||
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3. Intangible fixed assets |
0 |
0 |
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+ Original cost |
0 |
0 |
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+ Accumulated depreciation value |
0 |
0 |
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II. Long term investment |
2,057 |
1,618 |
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1. Long-term securities investment |
0 |
0 |
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2. Joint-venture capital contribution |
2,057 |
1,618 |
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3. Other long-term investment |
0 |
0 |
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4. Provision for long-term investment devaluation |
0 |
0 |
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III. Capital construction in process |
57,616 |
71,334 |
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IV. Other |
0 |
0 |
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TOTAL ASSETS |
1,493,680 |
1,911,299 |
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LIABILITIES
|
||||
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A. Payable loans |
1,134,100 |
1,502,449 |
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I. Short term payables |
370,891 |
499,146 |
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1. Short-term borrowings |
210,146 |
228,387 |
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2. Due long-term liabilities |
0 |
0 |
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3. Payables to supplier |
20,708 |
75,270 |
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4. Prepayment of buyer |
627 |
506 |
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5. Taxes and accounts dutiable |
6,252 |
12,546 |
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6. Employee payments |
34,543 |
23,207 |
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7. Internal payables |
95,108 |
142,463 |
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8. Other payables |
3,507 |
16,767 |
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II. Long term loans |
754,364 |
990,274 |
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1. Long-term borrowings |
747,083 |
989,990 |
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2. Long-term payables |
7,281 |
284 |
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III. Other payables |
8,845 |
13,029 |
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1. Payable expenses |
8,845 |
13,029 |
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2. Pending assets |
0 |
0 |
||
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3. Receipts long-term collateral and deposit |
0 |
0 |
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B. Owner’s Equity |
359,580 |
408,850 |
||
|
I.
Capital and Funds |
350,811 |
394,539 |
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1. Working capital |
301,972 |
373,766 |
||
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2. Differences from asset revaluation |
0 |
-4,826 |
||
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3. Exchange rate differences |
0 |
0 |
||
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4. Development investment funds |
13,330 |
14,169 |
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5. Reserved funds |
10,075 |
10,213 |
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6. Retained profit |
24,217 |
0 |
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7. Construction capital sources |
1,217 |
1,217 |
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II. Other administrative and fund sources |
8,769 |
14,311 |
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1. Provident funds for unemployment |
0 |
0 |
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2. Reward and welfare funds |
6,975 |
12,194 |
||
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3. Management funds of higher level |
0 |
0 |
||
|
4. Functional operation funds |
0 |
0 |
||
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5. Fund sources formed by fixed assets |
1,794 |
2,117 |
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TOTAL LIABILITY AND EQUITY |
1,493,680 |
1,911,299 |
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PROFIT & LOSE STATEMENT
|
Description |
FY 05 |
|
Total revenue |
1,123,452 |
|
Export revenue |
59,539 |
|
Deductions Items |
825 |
|
- Discount |
354 |
|
- Devaluation |
266 |
|
- Return of sold goods |
205 |
|
- Turnover tax, Luxury tax & Export tax |
0 |
|
1. Net revenue |
1,122,627 |
|
2. Cost of goods sold |
950,950 |
|
3. Gross Profit |
171,677 |
|
4. Sales expenses |
11,153 |
|
5. Enterprise administrative expenses |
70,454 |
|
6. Net
income from business activities |
90,070 |
|
Income from financial activities |
387 |
|
Expenditure from financial activities |
66,335 |
|
7. Net income from financial operation |
-65,948 |
|
Irregular income |
205 |
|
Irregular expenditure |
0 |
|
8. Irregular Profit |
205 |
|
9. Total pre-tax
profit |
24,327 |
|
10. Income tax |
0 |
|
11. After tax profit |
24,327 |
|
|
|
FINANCIAL FACTORS
|
Description |
FY 05 |
FY 04 |
|
Current liquidity ratio |
1.86 |
2.07 |
|
Quick Liquidity ratio |
1.04 |
1.26 |
|
Inventory circle |
2.70 |
N/A |
|
Average receive period |
109.54 |
- |
|
Utilizing Asset Performance |
0.75 |
- |
|
Liability/ Total Asset (%) |
75.93 |
78.61 |
|
Liability/ Owner's equity (%) |
315.40 |
367.48 |
|
Income before tax/ Total asset (%) ROA |
1.63 |
N/A |
|
Income before tax/ Owner's equity (%) ROE |
6.77 |
- |
|
Gross Profit / Total revenue (%) GPM |
15.28 |
- |
|
Income before tax/ Total revenue (%) NPM |
2.17 |
- |
INTERPRETATION ON THE SCORES:
The subject is a state owned corporation. It was official established in 1995 to focus controlling state owned of paper manufacture companies. Before 2005, the subject was an office with the responsibility of management subsidiary companies in paper production industry. On February 2005, following the decision No. 29/2005/Qd-TTG issued by Prime Minister, the Bai Bang Company merged into office of Vietnam Paper Corporation and plays as mother company. The subject held two subsidiary companies, six joint stock company (owning 51%) and five other joint venture companies. The current position in the industry of the subject is good.
The premises of the subject are large. At present, the production capacity of the subject is 100,000 tons of product per year; 60,000 tons of pulp per annum. In the second stage of development strategy, the subject is increasing the capacity to 250,000 tons of products per year. The turnover of the subject is good. In the first nine months of 2006 the subject gained 1,280,129 VND Million in revenue. The market share of the subject is large. It occupied almost customers in whole country of Vietnam. The product of the subject is also exported to overseas. In 2006, the subject has signed contract with Sunshine International Group in united state to export 1,000 tons products of paper to United State market. The revenue from export in last year was about 20,000 USD million. The total output of paper products per year in Vietnam is about 850,000 tons, of which the subject accounts for 258,000 tons. The pulp production capacity of the subject is about 108,000 tons among total 288,000 tons of productivity of industry. The management capacity of the subject is above average. The staffs of the subject are graded at average. The future prosperity of the subject seems bright.
In general, the operation and finance of the subject are regarded good. The business of the subject is stable and development. The subject has capacity to meet financial commitments. No caution needed for the business transactions.
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 |
|