MIRA
INFORM REPORT
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Report Date : |
03.09.2007 |
IDENTIFICATION
DETAILS
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Name : |
FOREST LEATHER CO LTD
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Registered Office : |
36-56, Lane Tien Chung Yang, Chung Yang Li Yuanlin Chen
Changhwa Hsien 510 |
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Country : |
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Financials (as on) : |
31.12.2006 |
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Date of Incorporation : |
April 28, 1990 |
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Com. Reg. No.: |
23709744 |
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Legal Form : |
Private Company With Limited Liability |
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Line of Business : |
Importing of raw pigskins. Value-added processing of pigskins and production if
components for the sporting shoe industry. Selling to international markets. |
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 USD200,000 |
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Status : |
Satisfactory |
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Payment Behaviour : |
Usually correct |
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Litigation : |
Clear |
name &
address
FOREST LEATHER CO LTD
36-56, LANE TIEN CHUNG YANG, CHUNG YANG LI YUANLIN CHEN
CHANGHWA HSIEN 510,
TEL : [+886] 4-8334845
FAX : [+886] 4-8357500
EXECUTIVE SUMMARY
INCORPORATION DATE :
APRIL 28, 1990
REGISTRATION NO. :
23709744
LEGAL FORM :
PRIVATE COMPANY WITH LIMITED LIABILITY
CHIEF EXECUTIVE :
MS. HSIU-LI LIN (CHAIRMAN)
STAFF STRENGTH :
16
CAPITAL :
US$ 453,172
BUSINESS LINE :
MANUFACTURER
TURNOVER :
US $7,639,056.83 (AS OF DEC. 31, 2006)
EQUITIES :
N/A (AS OF DEC. 31, 2006)
PAYMENT :
AVERAGE
RECOMM.
MARKET CONDITION :
AVERAGE
FINANCIAL CONDITION :
N/A
OPERATIONAL TREND :
FAIRLY STEADY
GENERAL REPUTATION :
AVERAGE
EXCHANGE RATE :
TWD 33.1022 = US$1 AS OF
Adopted abbreviations:
ANS - amount not stated
NS - not stated
SC - subject company (the company inquired by you)
NA - not available
M – million
TWD –
*Office & Facilities*
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Size
: 2396 sq meter (Approx)
Location
: Changhwa Hsien
Property status :
Owned by FOREST LEATHER CO LTD
Type of building :
Industrial building
Comments :
Serves as office and factory
Other contact details
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Tel nos : 4-8330022 / 8334843
E-mails :
tina@forestco.com.tw
rnd@forestco.com.tw
forest@ms17.hinet.net
Previous address : 4, Lane 171, Hui Ming Hui Ming St Yuanlin
Chen Changhwa Hsien 510
*Corporate & Organization Structure*
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A small-sized company operated and managed by the owner and
small but professional management team.
*Licenses & Permits*
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(1)
License number :
9964658100
Date issued
: 16 December, 1993
Issuing authority :
Industrial Development Bureau, MOEA
Type of license :
Factory license
(2)
License number :
9964670300
Date issued
: 28 August, 1998
Issuing authority :
Industrial Development Bureau, MOEA
Type of license :
Factory license
*Reputation*
==========
Reference checking for the purpose of establishing the
firm's reputation within the respective industry failed to reveal any negative
information.
Web
site: www.forestco.com.tw
The design is professional and
the content is well organized. At present it is both in Chinese and English
versions.
Email : trade@forestco.com.tw
For the past 17 years there is no record of litigation.
*Major Shareholders*
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Shareholders' Name
No. of Shares
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Mr. Teh-Yi Lo 6,250
Ms. Hsiu-li Lin 5,050
Mr. Ya-chi Lo 1,950
Mr. Wei-Teh Lo 1,750
*COMPANY MANAGEMENT*
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Name Nationality Job Description
Mr. Michael Wei-jen Lo Taiwanese
Representative Sales
Ms. Hsiu-li Lin Taiwanese General Manager
*Key Personnel*
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(1)
Ms. Hsiu-li Lin
Founder
: Co-founder
Work experience :
More than 15 years experience.
Responsibilities :
Handles the daily operation of the firm including all financials, sales and
legal matters.
Resident status :
(2)
Mr. Michael Wei-jen Lo
Email
: michael@forestco.com.tw
*Main Products & Services*
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Specializes in the following areas of work :
1. Importing of raw pigskins.
2. Value-added processing of pigskins and production if
components for the sporting shoe industry.
3. Selling to international markets.
Products : Leather auxiliaries
Pig
skins
Raw
pigskins
Sports footwear components
Brand:
PIGNUSKIN
PIGSATINSUEDE
PIGSKINNUBUCK
PRO GREENS
*Payment Terms*
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Sales
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Local : Cash
30-90 days credit
Export : Letter of Credit (L/C)
Telegraphic Transfer (T/T)
Purchases
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Local : 30-90 days
credit
Import : Letter of Credit (L/C)
Telegraphic Transfer (T/T)
Open account
/ Documents against Acceptance (D/A) terms with settlement using Telegraphic
Transfer
(T/T)
*Competitors*
==========
The following locally based companies supply similar range
of products :
- GENTURN ENT CO
- KUNG-DA INDUSTRIAL CO LTD
- GO ASIA LEATHER CO
- LYNNTON CORP
*Local Distribution Network*
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The company is largely focused on the export market and
hence very little domestic sales are achieved.
*Export Markets*
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100% of the annual turnover is attributed to export.
Note : The figures listed above for export, only represent
the shipments made directly by the company. It is understood that the firm also
exports via locally based trading houses which export under their own corporate
name.
SC is not known to have any subsidiary at
present.
PAYMENT RATING : 3 OBTAINED SCORES : 63
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Implication |
Implications |
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1 |
Scores 85–100 |
Excellent |
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2 |
Scores 75 – 84 |
Above Average |
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3 |
Scores 50 – 74 |
Average |
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4 |
Scores 35 – 49 |
Fair |
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5 |
Scores 15 – 34 |
Below Average |
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6 |
Scores 01 – 14 |
Poor |
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NR |
No Data |
No Data |
The rating indicates the payment
pattern of SC based upon our Payment Database, comments from suppliers of SC,
information from banks (if available), as well as industrial sources.
Dealings on open terms may be possible for MODERATE
amounts depending on individual judgement experience.
As a private limited company with a paid-up capital of less
than USD 6 million, there is no legal requirement according to local corporate law
for public disclosure of detailed financials.
Although summary financials were obtained for reference.
*BANK DETAILS*
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Bank Name : HUA NAN COMMERCIAL BANK LTD
Branch : Chungcheng Dist,
Branch Address :
SWIFT Code : HNBKTWTP
*Int´l Trade Activity (Currency:
==============================
Year Imports Exports Total
2004 US$ 4,870,000.00 US$
585,000.00 US$ 5,455,000.00
2005 US$ 7,010,000.00 US$
1,520,000.00 US$ 8,530,000.00
2006 US$ 6,890,000.00 US$
790,000.00 US$ 7,680,000.00
*Financial Summary
(Currency:
==============================
Year Sales Assets Net Income
2006 US$ 7,639,056.83 US$ 643,893.59 US$ 692,261.19
SC is considered small-sized in its line with a 17 years’ operating
history. It is considered a credit line up to US$ 200,000 appears to be within SC’s capacities.
Attached:
trade references
SIC PRODUCT CLASSIFICATION & ACTIVITY
Activity Code
Product/Service Description
Exporting 3100 Leather
and Leather Products
Importing 0271 Furskins,
raw or undressed and fur-bearing animals
Manufacturing 3100 Leather and Leather Products
HARMONIZED PRODUCT CLASSIFICATION & ACTIVITY
Activity Code
Product/Service Description
Exporting 4205 Articles
of leather
Importing 3403915000 Preparations for treatment of leather,furskins & others
Importing 4100 Raw
hides & skins & leather
Importing 4103900060 Pig and hog skins, fresh, or salted, dried, limed, pickled or
otherwise preserved,
but
not tanned, parchment dressed or further prepared
Manufacturing 4205 Articles of leather
DETAILED PRODUCT CLASSIFICATION & ACTIVITY
Activity Product/Service
Description
Manufacturer Sports
footwear components
INTERNATIONAL TRADE: ACTIVITY & MARKETS
Exporting to
Exporting to
Exporting to
Exporting to
Exporting to
Exporting to
Exporting to
Importing from
Importing from
Importing from
Importing from
Importing from
Importing from
Importing from
Importing from
Importing from
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. |
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%)