MIRA INFORM REPORT

 

 

Report Date :

30.08.2007

 

IDENTIFICATION DETAILS

 

Name :

P.T. ARMITA ABADI

 

 

Registered Office :

Jl. Industri Utama Block SS-6, Kawasan Industri Jababeka Tahap II, Bekasi, 17550, West Java

 

 

Country :

Indonesia

 

 

Date of Incorporation :

 

30 October 1990

 

 

Legal Form :

Limited Liability Company

 

 

Line of Business :

Essences & Flavors Manufacturing

 

 

RATING & COMMENTS

 

MIRA’s Rating :

Ba

 

RATING

STATUS

PROPOSED CREDIT LINE

41-55

Ba

Overall operation is considered normal. Capable to meet normal commitments.

Satisfactory

 

Maximum Credit Limit :

US$ 195,000

 

 

Status :

Satisfactory

 

 

Payment Behaviour :

Regular

 

 

Litigation :

Clear

 

 

Name of Company

 

P.T. ARMITA ABADI

 

 

Address

 

Head Office & Factory

Jl. Industri Utama Block SS-6

Kawasan Industri Jababeka Tahap II,

Bekasi, 17550

West Java

Phones              - (021) 89830606 (Hunting), 89835322

Fax                    - (021) 89830505

E-mail                - armita@centrin.net.id

Land Area         - 3,000 sq. meters

Office Space      - 1,400 sq. meters

Region              - Industrial Estate

Status               - Rent

 

 

Date of Incorporation

 

30 October 1990

 

                                  

Legal Form

 

P.T. (Perseroan Terbatas) or Limited Liability Company

 

 

Company Reg. No.

 

The Ministry of Justice and Human Rights

No. C-UM.02.01.9905

Dated  11 June 2003

 

 

Company Status 

 

National Private Company

 

           

Permit by the Government Department

 

The Department of Finance

NPWP No. 01.596.829.0-413.000

 

 

Related Company

 

a. P.T. ARSINDO EKA PRATAMA (Distribution and Supplies of Industrial Chemicals)

b. P.T. AUTOCHEM INDUSTRY (Industrial Chemical for Automotive)

 

 

CAPITAL AND OWNERSHIP

 

Capital Structure :

Authorized Capital                             : Rp. 500,000,000.-

Issued Capital                                   : Rp. 500,000,000.-

Paid up Capital                                  : Rp. 500,000,000.-

 

Shareholders/Owners :

a. Mr. Richard Jos Satahusada          - Rp. 200,000,000.-

    Address : Jl. Puri Indah Blok E I/36

                     Jakarta Barat

                     Indonesia

b. Mr. Handojo Tjiptohadihardjo        - Rp. 200,000,000.-

    Address : Jl. Raya Gubeng No. 49

                     Surabaya, East Java

                     Indonesia

c. Mr. Soemianto Soetrisno                - Rp. 100,000,000.-

    Address : Jl. Paradise B 13 Blok R/9

                     Jakarta Utara

                     Indonesia



BUSINESS ACTIVITIES

                              

Lines of Business:       

Essences & Flavors Manufacturing

 

 

Production Capacity

 

Essences & Flavors – 2,000 tons p.a.

 

 

Total Investment

 

a. Owned Capital                             - Rp   5.0 billion

b. Loan Capital                                - Rp   7.0 billion

c. Total Investment                           - Rp 12.0 billion

 

 

Started Operation

 

1991

 

 

Brand Name

 

None

 

 

Technical Assistance

 

None

 

 

Number of Employee

 

65 persons                                       

 

 

Marketing Area

 

Local  (Domestic)    - 100%

 

 

Main Customer

 

a. P.T. GARUDA FOOD INDUSTRIES

b. P.T. INDOFOOD SUKSES MAKMUR Tbk.

c. P.T. HAKIKI DONARTA

e. P.T. INKENAS AGUNG

f.  Etc.

 

 

Market Situation

 

Very Competitive

 

 

Main Competitors

 

a. P.T. SASA INTI

b. P.T. ELODA MITRA

c. P.T. NETANIA KASIH KARUNIA

d. Etc.

 

 

Business Trend

 

Growing

 

 

BANKER, AUDITOR & LITIGATION

 

Bankers :

a. P.T. Bank NIAGA Tbk

    Jalan Gajah Mada No. 18

    Jakarta Pusat

b. P.T. Bank PERMATA Tbk.

    Jalan hayam Wuruk No. 84-85

    Jakarta Pusat

 

Auditor :

Internal Auditor

           

Litigation :

No litigation record in our database

 

 

FINANCIAL FIGURE

 

Annual Sales (estimated) :

2004 – Rp.   9.8 billion

2005 – Rp. 13.0 billion

2006 – Rp. 14.5 billion

 

Net Profit  :

2004 – Rp. 720.0 million

2005 – Rp. 800.0 million

2006 – Rp. 950.0 million

           

Payment Manner :

Average

 

Financial Comments :

Satisfactory

 

 

KEY EXECUTIVES

 

Board of Management :

  President Director                           - Mr. Richard Jos Satahusada

  Directors                                        - Mr. Soemianto Soetrisno

 

Board of Commissioners :

Member                                          - Mr. Handojo Tjiptodihardjo

                                                           

Signatories :

President Director (Mr. Richard Jos Satahusada) or Director (Mr. Soemianto Soetrisno) which must be approved by the commissioner (Mr. Handojo Tjiptodihardjo).

 

 

 

 

 

 

CAPABILITIES

 

Management Capability :

Good

 

 

Business Morality

 

Good

 

 

Credit Risk

 

Average

 

 

Credit Recommendation

 

Credit should be proceeded with monitor

 

 

Proposed Credit Limit 

 

Small amount – periodical review

 

 

Maximum Credit Limit

 

US$ 195,000 on the 90 days of payments

 

 

OVERALL PERFOMANCE

 

P.T. ARMITA ABADI (P.T. AA) was established in Jakarta in October 1990 with an authorized capital of Rp 500,000,000.- of which Rp 200,000,000.- was issued and paid up. The company was founded by Mr. Richard Jos Satahusada, Mr. Aang Handamulya Setiamihardja, Mr. Soemianto Soetrisno and Mrs. Ir. Melina Megawati as the original shareholders. They are Indonesian businessmen of Chinese extraction. In January 1992 Mrs. Ir. Melina Megawati pulled out and her shares were taken over by Mr. Richard Jos Satahusada, Mr. Aang Handamulya Setiamihardja and Mr. Soemianto Soetrisno.   On May 2003, the issued and paid up capital was raised to Rp 500,000,000.-  By the same time, Mr. Aang Handamulya Setimihardja pulld out and his shares were taken over by Mr. Handojo Tjiptodihardjo, a Indonesian businessman of Chinese extraction.  The latest shareholder of P.T. AA are Mr. Richard Jos Satausada (40%), Mr. Soemianto Soetrisno (20%) and Mr. Handojo Tjiptodihardjo (40%).

 

We note that Mr. Richard Jos Satahusada, who is also the founder and majority business stake owner of P.T. ARSINDO EKA PRATAMA operating in industrial chemicals trading and distribution and P.T. AUTOCHEM INDUSTRY operating in industrial chemical for automotive.  Mr. Handojo Tjiptodihardjo, is the founder of the IMPACT PRATAMA Group.

 

P.T. AA has been in operation since 1991 in manufacture of food products, especially essences and flavors for snack food.  Its plant is located on a 3,000 sq.m. landsite at Jalan Industri Utama Block SS-6, Jababeka Industrial Estate Stage II, Bekasi (West Java). The plant produces food essences and flavors by job orders from customers made up of food processing industries in Jakarta, Bekasi, Karawang (also in West Java) and other places.   Besides, P.T. AA also imported of raw materials (garlic and spices products) from China, India and essences & flavors of the Basic Vegetable brand & Royco International Inc both from the USA,  flavors of the MOUSSEX Protex Chemical brand from France.   All the company's  products are sold in the ranks of food processing industries P.T. GARUDA FOOD INDUSRIES, P.T. INDOFOOD SUKES MAKMUR Tbk., P.T. HAKIKI DONARTA, P.T. INKENAS AGUNG, etc. We see that P.T. AA's operations have been slow in developing in conditions of the economic crisis in the country.

 

We note that generally the demand for food chemicals was rising by some 10% - 12% per year from 1992 up to the middle of 1997 in line with the growth of food processing industries as the consumers. But since the end of 1997 the demand has been falling under the impact of the economic crisis in the country. The crisis has badly hurt various industrial sectors, particularly those relying on imports for their basic materials or feedstocks. Moreover, the intake capacity of chemical consuming industries has been shrinking due to many food-processing companies having cut down production. On the other hand, the food chemical business is highly competitive on account of the many companies with similar activities and selling comparable imported products in the country. But P.T. AA is appraised to still have quite good business prospects once the economy starts recovering.

 

Until this time P.T. AA has not been registered with Indonesian Stock Exchange, so that they shall not obliged to announce their financial statement. We observed that total sales turnover of the company in 2004 is Rp. 9.8 billion increased to Rp. 13.0 billion in 2005 and to Rp. 14.5 billion in 2006.   The operation in 2006 yielded an estimated net profit at least Rp. 950 million and the company has an estimated total networth at Rp. 6.5 billion.   It is forecasted that total sales turnover of the company will increase at least 10% in 2007.   We observe that P.T. AA is supported by financially fairly strong behind it. So far, we have never heard of the company having been black listed by the Central Bank (Bank Indonesia). Mrs. Ina, the export import staff of the company disclosed that the company usually pays its debts punctually to suppliers.  

 

P.T. AA's management is headed by Mr. Richard Jos Satahusada (64) who already has about 25 years of experience in the manufacture and marketing of food chemicals.  Daily, he is assisted by Mr. Soemianto Soetrisno (48) as director. The company has an experienced management backed by a staff also with experience in the above business. They are widely connected in private business circles within and outside the country, while maintaining quite good relations with the government sector. So far, we have never heard of the management of the company being filed to the district court for detrimental cases.

 

 P.T. AA is appraised quite good for business transactions. In view of unstable economic condition in the country, we recommend to treat prudently in extending a new loan to the company.

 

                                                                                                                      


 

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.

 

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

 

 

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%)

 

 

 

 

PRIVATE & CONFIDENTIAL : This information is provided to you at your request, you having employed MIPL for such purpose. You will use the information as aid only in determining the propriety of giving credit and generally as an aid to your business and for no other purpose. You will hold the information in strict confidence, and shall not reveal it or make it known to the subject persons, firms or corporations or to any other. MIPL does not warrant the correctness of the information as you hold it free of any liability whatsoever. You will be liable to and indemnify MIPL for any loss, damage or expense, occasioned by your breach or non observance of any one, or more of these conditions