MIRA
INFORM REPORT
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Report Date : |
01.05.2007 |
IDENTIFICATION
DETAILS
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Name : |
cooper chengshan
(shandong) tire co., ltd. |
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Registered Office : |
No.98 Nanshan
North Road, Rongcheng, Shandong Province, 264300 Pr |
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Country : |
China |
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Date of Incorporation : |
December 29, 2005 |
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Com. Reg. No.: |
004066 |
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Legal Form : |
Chinese-Foreign Equity Joint Venture
Enterprise |
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Line of Business : |
Manufacturing
and selling truck tires. |
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/normal. |
Small |
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Status : |
New Company |
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Payment Behaviour : |
Regular |
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Litigation : |
Clear |
name & address
cooper chengshan
(shandong) tire co., ltd.
no.98 nanshan north road, rongcheng,
shandong PROVINCE, 264300 PR CHINA
TEL :
86 (0) 631-7523207
FAX :
86 (0) 631-7571780
EXECUTIVE SUMMARY
INCORPORATION DATE : december 29, 2005
REGISTRATION NO. : 004066
REGISTERED LEGAL FORM : Chinese-foreign equity
joint venture enterprise
STAFF STRENGTH :
5,400
REGISTERED CAPITAL : usd 43,800,000
BUSINESS LINE :
manufacturing
TURNOVER :
n/a (AS OF DEC. 31, 2006)
EQUITIES :
n/a (AS OF DEC. 31, 2006)
PAYMENT :
AVERAGE
RECOMM. CREDIT RANGE : moderate amount
MARKET CONDITION : COMPETITIVE
FINANCIAL CONDITION : n/a
OPERATIONAL TREND : STEADY
GENERAL REPUTATION : fairly good
EXCHANGE RATE :
CNY7.72 = US$1 AS OF 2007-4-29
Adopted abbreviations:
ANS - amount not stated
NS - not stated
SC - subject company (the company inquired by you)
NA - not available
CNY - China Yuan Renminbi
SC was registered as a Chinese-foreign equity joint venture enterprise at local Administration for Industry & Commerce (AIC - The official body of issuing and renewing business license) on December 29, 2005.
Company Status: Chinese-foreign equity joint venture
enterprise This form of business in PR
China is defined as a legal person. It is a limited co. jointly invested by
one or more foreign companies and one or more PR China controlled companies
within the territories of PR China according to a certain proportion of
capital investment. The investing parties exercise business management,
share profits and bear all risks and liabilities of the co. together. The
equity joint venture law requires that foreign party contribute not less
than 25% of the registered capital, with no maximum. The joint venture
usually have a limited duration of 10 to 50 years. Enterprise with large
investment, long construction periods, low investment returns, introducing
of advanced technology & advanced technology products which have good
competition position in international market may extend beyond the 50 years
limit.
SC’s registered business
scope includes designing, developing, manufacturing and selling truck tires and
relation products, providing technical service, in accordance with the license.
SC is mainly
engaged in manufacturing and selling truck tires.
Mr. GENE HAROLD
ARNOLD has been chairman of SC since 2005.
SC owns about
5,400 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 Rongcheng. Our checks
reveal that SC rents the total premise about 800,000 square meters.
SC is not known to host web site of its own at present.
SC has started its normal operation in September of 2006, and total amount
of investment was USD 99,000,000.
MAIN SHAREHOLDERS:
Name %
of Shareholding
Cooper Tire Investment Holdings (Barbados)
Ltd. 51
(B.V.I) Xinchang Investment Co., Ltd. 14
Shandong Chengshan Tyre Co., Ltd. 35
Shandong Chengshan Tyre Co., Ltd.:
==========================
Shandong Chengshan Tyre Co., Ltd. was set up
on the basis of Rongcheng Rubber Factory by restructuring the economic system.
It has employees of 6,000 with total assets of 3,000 million CNY Yuan covering
area of one million square meters.
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Chairman:
Mr. GENE HAROLD ARNOLD (American), about 55 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.
l
Director:
Che Hongzhi
Li Zhongtao
HAROLD L.MIUER
MARK DAVID EHREN
Zhang Jianwei
Sheng Liying
SC is mainly engaged
in manufacturing and selling truck tires.
Note: SC started its normal operation in September of 2006.
Brand: starfire.
SC’s products
mainly include: truck tire
SC sources its materials 80% from domestic
market, and 20% from overseas market. SC sells 30% of its products in domestic
market, and 70% to overseas market, mainly USA, and Europe.
The buying terms of SC include T/T, L/C and Credit of 30-60 days. The
payment terms of SC include T/T, L/C and Credit of 30-60 days.
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.
SC started its normal operation in September of 2006 and its financial repots
are not available at present.
SC was established in 2005, and started its normal operation in
September of 2006. Taking into consideration of SC’s background, operation size
as well as reputation, we would rate SC as an average credit risk company.
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%)