MIRA
INFORM REPORT
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Report Date : |
29.06.2007 |
IDENTIFICATION DETAILS
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Name : |
SHANDONG TIANXING RAILWAY ENGINEERING CO., LTD. |
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Registered Office : |
32/F |
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Country : |
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Financials (as on) : |
31.12.2006 |
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Date of Incorporation : |
Jul. 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 : |
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 50,000 |
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Status : |
Satisfactory |
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Payment Behaviour : |
Regular |
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Litigation : |
Clear |
name & address
SHANDONG TIANXING RAILWAY ENGINEERING CO., LTD.
32/F
TEL : 86 (0) 531-82638286
FAX : 86 (0)
531-82638186
EXECUTIVE SUMMARY
INCORPORATION DATE : JUL. 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.
MARKET CONDITION : AVERAGE
FINANCIAL CONDITION : stable
OPERATIONAL TREND : steady
GENERAL REPUTATION : AVERAGE
EXCHANGE RATE :
CNY 7.63= US$1 AS OF
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 Jul. 27, 2005.
Company Status: Limited liabilities co. This form of business in PR China
is defined as a legal person. 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 50% of the registered capital while
contribution by intangible assets must not exceed 20% 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, steel and iron, woods,
building materials, chemical products, hot-water equipment and hardware;
processing railway ballast; manufacturing and selling railway 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.
SC is
currently operating at the above stated address, and this address houses its
operating office in the commercial zone of Jinan. 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 it is in
both Chinese and English versions.
No significant events or changes were found during our checks with local
AIC.
MAIN SHAREHOLDERS:
Name %
of Shareholding
Zhao Shixue 93.20
Qi Jinying 6.80
l
Chairman and
General Manager:
Mr. Zhao Shixue, in his
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. SC sells 100% of its products to the
overseas markets, mainly to
The buying terms of SC include Check, T/T and Credit of 30-60 days. The
payment terms of SC include T/T, L/C and Credit of 30-60 days.
*Major Suppliers:
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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
AC#：37001616304050023134
Relationship:
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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Accounts paid in
advance |
1,160 |
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Accounts
receivable |
580 |
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Inventory |
0 |
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Other
receivables |
1,170 |
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Other current
assets |
20 |
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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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============= |
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Short loans |
0 |
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Accounts payable |
0 |
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Accounts
received in advance |
0 |
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Taxes payable |
0 |
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Salaries 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
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2006 |
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*Current ratio |
8.29 |
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*Quick ratio |
8.29 |
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*Liabilities
to assets |
0.04 |
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*Net profit
margin (%) |
-1.89 |
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*Return on
total assets (%) |
-0.60 |
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*Fixed
assets/Total assets |
0.68 |
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*Inventory
/Turnover ×365 |
0 |
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*Accounts
receivable/Turnover ×365 |
67days |
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*Turnover/Total
assets |
0.32 |
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* Cost of
goods sold/Turnover |
0.95 |
PROFITABILITY:
FAIR
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The turnover of SC appears fair in 2006.
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SC’s net profit margin is fair in 2006.
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SC’s return on total assets is fair in 2006.
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SC’s cost of goods sold is fairly large, comparing
with its turnover.
LIQUIDITY: AVERAGE
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The current ratio of SC is maintained in a fairly
good in 2006.
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SC’s quick ratio is maintained in a fairly good in
2006.
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The accounts receivable of SC is average.
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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 fairly low.
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The risk for SC to go bankrupt is low.
Overall financial
condition of the SC: Stable.
SC is considered small-sized in its line with stable financial
conditions. Credit dealings with SC in small amount can be considered 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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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%)