MIRA
INFORM REPORT
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Report Date : |
18.01.2007 |
IDENTIFICATION
DETAILS
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Name : |
BROSE CHANGCHUN
AUTOMOTIVE SYSTEMS Co., Ltd. |
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Registered Office : |
No. 1177 Yingkou Road, Changchun Economic
& Technological Development District, Jilin Province, 130031 Pr |
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Country : |
China |
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Financials (as on) : |
31.12.2005 |
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Date of Incorporation : |
MAY 27, 2004 |
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Com. Reg. No.: |
001786 |
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Legal Form : |
Wholly Foreign-Owned
Enterprise |
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Line of Business : |
Manufacturing
and selling vehicle parts. |
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 : |
Moderate |
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Payment Behaviour : |
Usually
correct |
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Litigation : |
Clear |
name & address
BROSE CHANGCHUN AUTOMOTIVE SYSTEMS Co., Ltd.
no. 1177 yingkou ROAD, CHANGCHUN ECONOMIC & TECHNOLOGICAL DEVELOPMENT DISTRICT, JILIN PROVINCE, 130031 PR CHINA
TEL: 86 (0) 431-84991067
FAX: 86 (0) 431-84991067
EXECUTIVE SUMMARY
INCORPORATION DATE :
MAY 27, 2004
REGISTRATION NO. :
001786
REGISTERED LEGAL FORM : WHOLLY FOREIGN-OWNED enterprise
STAFF STRENGTH : 200
REGISTERED CAPITAL : EUR 11,000,000
BUSINESS LINE : MANUFACTURING
TURNOVER :
cny 4,630,000 (AS OF DEC. 31, 2005)
EQUITIES :
CNY 96,540,000 (AS OF DEC. 31, 2005)
PAYMENT :
AVERAGE
RECOMM. CREDIT RANGE : UNDER SECURED TERMS
MARKET CONDITION : COMPETITIVE
FINANCIAL CONDITION : FAIRLY POOR
OPERATIONAL TREND : fair
GENERAL REPUTATION : AVERAGE
EXCHANGE RATE : CNY 7.77 =US$1 AS OF 2007-1-17
Adopted abbreviations:
ANS - amount not stated
NS - not stated
SC - subject company (the company inquired by you)
NA - not available
RMB - China Ren Min Bi Yuan
Note: The correct address of SC should be the above stated one, and the given address - No. 577 Anchi Road, Anting, Auto Exhibition Center Building No.3, Shanghai belongs to Brose (Shanghai) Automotive Technology Consulting Co., Ltd. which is the newly established general headquarters of Brose Group in Asia.
SC was registered as a wholly foreign-owned enterprise at local Administration for Industry & Commerce (The official body of issuing and renewing business license) on May 27, 2004.
Company Status: Wholly foreign-owned
enterprise This form of
business in PR China is defined as a legal person. It is a limited co.
established within the territories of PR China with capital provided
totally by the foreign investors. More than one foreign investors may
jointly invest in a wholly foreign-owned enterprise. The investing
party/parties solely exercise management, reap profit and bear risks and
liabilities by themselves. This form of companies usually have a limited
duration is extendible upon approval of Examination and Approval
Authorities.
SC’s registered business scopes include developing and manufacturing vehicle electronic door panel module, glass riser, frame lock device, seat adjuster and its parts; providing related consulting services and after-sales services.
SC is mainly engaged in
manufacturing and selling vehicle parts.
Mr. KURT sauerngeimer has been chairman of
SC since 2004. SC
owns approximately 200 staff 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
Changchun. Our checks reveal that SC owns the total premise about 16,000 square
meters.
www.brose.net. The design is professional and
the content is well organized. At present it is in both Chinese and English
versions.
E-Mail: Frank.schreiber@brose.net.
SC’s
former registered capital was EUR 5,000,000 and in Nov. 2005 it was increased
to EUR 11,000,000.
Note:
The mobile phone number client provided is 86 13844836673. We have tried this
number repeatedly during the past days, but no body answered it all the time.
MAIN SHAREHOLDERS:
Name %
of Shareholding
Brose International GmbH 100
The Brose Group, founded in 1919 in Coburg,
Germany, is one of the fastest growing international automotive suppliers.
Worldwide, more than 8,600 employees work at almost 40 international locations
in 20 countries.
Its business covers the development and
production of Window Regulators, Door Systems, Seat Adjusters and Closure
Systems. Especially in the business of Window Regulators and Door Systems, it
is the world market leader. In average, every fourth car in the world is equipped
with Brose products.
With the first plant set up in China 10
years ago, Brose has now 3 production and development facilities across over
China.
l
Chairman and General manager:
Mr. KURT sauerngeimer,
Germany, in his 40’s with university education. He is currently responsible for
the overall management of SC.
Working Experience(s):
From 2004 to present Working
in SC as chairman and general manager.
The provided contact person Mr. Frank Sereiber is a manager of Brose (Shanghai) Automotive Technology Consulting Co., Ltd. His telephone number is 86 21-38575515.
SC is mainly engaged in
manufacturing and selling vehicle parts.
The
products include electric vehicle seat adjuster, manual drive seat parts,
vehicle door lock and vehicle door systems.
SC sources its
materials 85% from domestic market, and 15% from Germany. SC sells 90% of its
products in domestic market, and 10% to Southeast Asian market and Europe.
The buying terms of SC include Check, T/T, L/C and Credit of 30-60
days. The payment terms of SC include Check, T/T, L/C and Credit of 30-60 days.
*Major Client:
============
Brose International GmbH
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.
SC declined to
release its bank details.
Balance Sheet
Unit: CNY’000
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As of Dec. 31,
2004 |
As of Dec. 31,
2005 |
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Cash & bank |
1,890 |
36,500 |
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Accounts receivable |
0 |
4,680 |
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Accounts payable advance |
1,890 |
780 |
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Other receivables |
40 |
14,060 |
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Inventory |
0 |
41,760 |
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Prepaid expenses |
0 |
420 |
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Other current assets |
0 |
0 |
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Current assets |
3,820 |
98,200 |
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Fixed assets net value |
330 |
56,330 |
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Projects under construction |
9,370 |
17,130 |
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Long term investment |
0 |
0 |
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Other assets |
0 |
0 |
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Total assets |
13,520 |
171,660 |
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Short loans |
5,860 |
0 |
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Accounts payable |
0 |
40,340 |
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Accounts receivable advance |
0 |
0 |
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Welfare expenses payable |
0 |
50 |
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Taxes payable |
0 |
-4,090 |
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Salaries payable |
0 |
0 |
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Other payable |
0 |
32,750 |
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Accrued expenses |
30 |
6,070 |
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Other current liabilities |
0 |
0 |
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------------------ |
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Current liabilities |
5,890 |
75,120 |
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Long term liabilities |
0 |
0 |
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Total liabilities |
5,890 |
75,120 |
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Equities |
7,630 |
96,540 |
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Total liabilities &
equities |
13,520 |
171,660 |
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Income Statement
Unit: CNY’000
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As of Dec. 31, 2004 |
As of Dec. 31, 2005 |
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Turnover |
0 |
4,630 |
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Cost of goods sold |
0 |
4,240 |
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Sales expense |
0 |
0 |
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Management expense |
0 |
32,250 |
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Finance expense |
0 |
60 |
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Profit before tax |
0 |
-31,930 |
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Less: profit tax |
0 |
0 |
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Profits |
0 |
-31,930 |
Important Ratios
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as
of Dec. 31, 2004 |
as
of Dec. 31, 2005 |
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*Current ratio |
0.65 |
1.31 |
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*Quick ratio |
0.65 |
0.75 |
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*Liabilities
to assets |
0.44 |
0.44 |
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*Net profit
margin (%) |
/ |
-689.63 |
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*Return on
total assets (%) |
0.00 |
-18.60 |
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*Fixed
assets/Total assets |
0.02 |
0.33 |
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*Inventory
/Turnover ×365 |
0 |
3292days |
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*Accounts
receivable/Turnover ×365 |
0 |
369days |
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*Turnover/Total
assets |
0.00 |
0.03 |
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* Cost of
goods sold/Turnover |
/ |
0.92 |
PROFITABILITY: POOR
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The
turnover of SC appears poor in its line.
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SC’s
net profit margin is poor.
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SC’s
return on total assets is 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 normal level.
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SC’s
quick ratio is maintained in a fair level.
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The
accounts receivable of SC is maintained in a normal level.
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The
inventory of SC appears fairly large.
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SC’s
turnover is in a poor level, comparing with the size of its total assets.
LEVERAGE: AVERAGE
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The
debt ratio of SC is average.
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The
risk for SC to go bankrupt is above average.
Overall financial condition of the SC:
Fairly Poor.
SC is considered medium-sized in its line with fairly poor financial conditions. Taking into consideration of SC’s background, general performance, as well as market conditions we would rate SC as an above average credit risk company. Credit dealings with SC are recommended under secured terms 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/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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