MIRA
INFORM REPORT
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Report Date : |
17.05.2007 |
IDENTIFICATION DETAILS
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Name : |
liaoning north
glass machine Co., Ltd. |
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Registered Office : |
No. 10, Gaoying
Road, Hunnan New Zone, Shenyang, Liaoning Province, 110179 Pr |
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Country : |
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Financials (as on) : |
31.12.2006 |
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Date of Incorporation : |
July 30, 2001 |
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Com. Reg. No.: |
2101322102855 |
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Legal Form : |
Limited Liabilities Company |
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Line of Business : |
Engaged in developing,
manufacturing and selling glass machines. |
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 10,000 |
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Status : |
Satisfactory |
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Payment Behaviour : |
Regular |
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Litigation : |
Clear |
name & address
liaoning north glass
machine Co., Ltd.
no. 10,
TEL :
86 (0) 24-23786583
FAX :
86 (0) 24-23780183
EXECUTIVE SUMMARY
INCORPORATION DATE : july 30, 2001
REGISTRATION NO. : 2101322102855
REGISTERED LEGAL FORM : LIMITED LIABILITIES COMPANY
STAFF STRENGTH : 33
REGISTERED CAPITAL : CNY 5,000,000
BUSINESS LINE : MANUFACTURING
TURNOVER : CNY 19,980,000 (AS OF DEC. 31, 2006)
EQUITIES :
CNY 7,840,000
(AS OF DEC. 31, 2006)
PAYMENT :
AVERAGE
RECOMM.
MARKET CONDITION : COMPETITIVE
FINANCIAL CONDITION : FAIR
OPERATIONAL TREND : FAIRLY STEADY
GENERAL REPUTATION : AVERAGE
EXCHANGE RATE : CNY
7.68 = US1$ AS OF 2007-5-16
Adopted abbreviations:
ANS - amount not stated
NS - not stated
SC - subject company (the company inquired by you)
NA - not available
CNY -
SC’s correct company name should be Liaoning North Glass Machine Co., Ltd. instead of the given name-Liaoming North Glass Maching Co., Ltd.
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 30, 2001.
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 developing, manufacturing glass machinery equipment,
technology transfer, technology services, building materials, electromechanical
devices, exporting its products and importing the equipment,
parts and materials needed for its producing; processing with imported materials, processing with supplied materials
and samples, assembling with supplied parts, and compensation trade.
SC is mainly
engaged in developing, manufacturing and selling glass machines.
Ms. Zhang Zhihua
has been legal representative and chairman of SC since 2001.
SC owns
approximately 33 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 Shenyang. Our checks
reveal that SC owns the total premise about 30,000 square meters.
http://www.bfglass.com/ The design
is professional and the content is well organized. At present it is in both
Chinese and English versions.
Email: info@bfglass.com
SC has passed ISO 9001:2000 quality system management
certification.
MAIN SHAREHOLDERS:
Name %
of Shareholding
Zhang Zhihua 20
Zhang Baocheng 40
Zhang Baoguo 20
Liu Hongshuang 20
l
Legal representative and General manager:
Ms. Zhang Zhihua, in her 40’s with university
education. She is currently responsible for the overall management of SC.
Working Experience(s):
From 2001 to present Working in SC as chairman and general manager.
l
Vice-general manager:
Mr. Zhang Baocheng, in his 50’s with
university education. He is currently responsible for the daily management of SC.
Working Experience(s):
From 2001 to present Working in SC as vice-general manager.
SC is mainly
engaged in developing, manufacturing and selling glass machines.
Through years, SC
has developed and research auto-clave for laminated glass production line, pre-pressing
machine, PVB-film stretching machine, vacuum cabinet, bullet-proof glass
cutter, washing and drying machine used for laminated glass production line,
etc.
SC sources its materials 100%
from domestic market. SC sells 60% of its products in domestic market, and 40%
to overseas market, mainly
The buying terms of SC include Check, T/T and Credit of
30-60 days. The payment terms of SC include Check, 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.
China
Construction Bank
AC#：21001410008052505400
Relationship:
Balance Sheet (as
of Dec. 31, 2006)
Unit: CNY’000
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Cash & bank |
3,040 |
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Inventory |
6,350 |
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Accounts
receivable |
0 |
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Advances to
suppliers |
-1,480 |
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Other
receivables |
260 |
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Other current
assets |
10 |
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Current assets |
8,180 |
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Fixed assets |
9,730 |
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Fixed assets net
value |
7,810 |
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Projects under
construction |
8,210 |
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Long term
investment |
0 |
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Other assets |
10 |
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Total assets |
24,210 |
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Short loans |
0 |
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Accounts payable |
130 |
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Other payable |
4,620 |
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Advances from
customers |
11,500 |
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Other current
liabilities |
-220 |
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Current
liabilities |
16,030 |
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Long term
liabilities |
340 |
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Total liabilities |
16,370 |
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Equities |
7,840 |
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Total
liabilities & equities |
24,210 |
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Income Statement (as
of Dec. 31, 2006)
Unit: CNY’000
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Turnover |
19,980 |
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Cost of goods
sold |
18,510 |
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Sales expense |
0 |
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Management expense |
1,160 |
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Finance expense |
110 |
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Profit before
tax |
290 |
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Less: profit tax |
110 |
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Profits |
180 |
Important Ratios
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as
of Dec. 31, 2006 |
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*Current ratio |
0.51 |
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*Quick ratio |
0.11 |
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*Liabilities
to assets |
0.68 |
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*Net profit
margin (%) |
0.90 |
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*Return on
total assets (%) |
0.74 |
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*Fixed
assets/Total assets |
0.32 |
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*Inventory
/Turnover ×365 |
116days |
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*Accounts
receivable/Turnover ×365 |
/ |
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*Turnover/Total
assets |
0.83 |
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* Cost of
goods sold/Turnover |
0.93 |
PROFITABILITY:
AVERAGE
l
The turnover of SC appears fairly good in its line.
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SC’s net profit margin is average.
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SC’s return on total assets is average.
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SC’s cost of goods sold is acceptable, comparing
with its turnover.
LIQUIDITY: FAIR
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The current ratio of SC is maintained in a low
level.
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SC’s quick ratio is maintained in a VERY LOW level.
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The inventory of SC is maintained in an acceptable
level.
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SC’s turnover is in an acceptable level, comparing
with the size of its total assets.
LEVERAGE: FAIR
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The debt ratio of SC is average.
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The risk for SC to go bankrupt is average.
Overall financial
condition of the SC: Fair.
SC is considered small-sized in its line with fair financial conditions.
A credit line up to USD 10,000 would appear to be within SC’s capacities upon a
periodical review basis.
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%)