MIRA
INFORM REPORT
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Report Date : |
17.09.2007 |
IDENTIFICATION DETAILS
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Name : |
shanghai light
industry and textile group imp. & Exp. co., ltd. |
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Registered Office : |
Room 1001 |
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Country : |
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Financials (as on) : |
31.12.2006 |
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Date of Incorporation : |
Apr. 24, 2002 |
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Com. Reg. No.: |
3101152013197 |
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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 usd100,000 |
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Status : |
Satisfactory |
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Payment Behaviour : |
Regular |
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Litigation : |
Clear |
name & address
shanghai light
industry and textile group imp. & Exp. co., ltd.
ROOM 1001
TEL :
86 (0) 21-68866617
FAX :
86 (0) 21-66865006
EXECUTIVE SUMMARY
INCORPORATION DATE : APR. 24, 2002
REGISTRATION NO. : 3101152013197
REGISTERED LEGAL FORM : LIMITED LIABILITIES
COMPANY
STAFF STRENGTH :
43
REGISTERED CAPITAL : CNY 8,000,000
BUSINESS LINE :
INTERNATIONAL TRADE
TURNOVER :
cny 498,390,000 (AS OF DEC. 31, 2006)
EQUITIES :
cny 14,130,000
(AS OF DEC. 31, 2006)
PAYMENT :
AVERAGE
RECOMM.
MARKET CONDITION : AVERAGE
FINANCIAL CONDITION : FAIRLY STABLE
OPERATIONAL TREND : steady
GENERAL REPUTATION : AVERAGE
EXCHANGE RATE :
CNY 7.52= US$1
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 Apr. 24, 2002.
Company Status: Limited liabilities co. This form of business in PR
China is defined as a legal person. No more than fifty shareholders
contribute its registered capital jointly. 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 CNY 30,000. 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 30% 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 importing and exporting various
goods and technology.
SC is mainly engaged
in international trade.
Mr. Huang Weirong
has been chairman of SC since 2006.
SC is known
to have approx. 43 staff members at present.
SC is
currently operating at the above stated address, and this address houses its
operating office in the commercial zone of Shanghai. Our checks reveal that SC
owns the total premise about 300 square meters.
http://www.shlitc.com . It is the
website of its parent company. The design is professional and the content is
well organized. At present it is in Chinese version.
SC’s former legal representative Mr. Zhao Baichuan was replaced by the
present one at the end of 2006.
MAIN SHAREHOLDERS:
Name %
of Shareholding
Shanghai Light Industry and Textile Group
Co., Ltd. 51
Zhao Baichuan 49
Shanghai Light Industry and Textile Group
Co., Ltd.
Add:
Tel: 86 21-59188888
Fax: 86 21-59199999
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Chairman:
Mr. Huang Weirong, in his
Working Experience(s):
From 2006 to present Working
in SC as chairman.
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General Manager:
Mr. Xue Longgen, in his
Working Experience(s):
From 2002 to present Working in SC as general manager.
SC is mainly engaged
in international trade.
SC’s products
mainly include: home textiles, light industry products, chemicals and rubber
products.
SC sources its
materials 80% from domestic market, and 20% from the overseas market, mainly
European countries. SC sells 20% of its products in domestic market, and 80% to
the overseas market, mainly American and European countries.
The buying terms of SC include Check, 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.
*Major Client:
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Shanghai Lingding Trade Co., Ltd.
*Major Supplier:
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Shanghai Pangde Trade 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.
Bank of Communications
AC#：310066771018003382264
Relationship:
Balance Sheet
Unit: CNY’000
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As
of Dec. 31, 2006 |
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Cash & bank |
28,350 |
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Advances to
suppliers |
31,040 |
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Accounts
receivable |
23,310 |
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Inventory |
14,850 |
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Other
receivables |
440 |
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Other current
assets |
10,860 |
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------------------ |
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Current assets |
108,850 |
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Fixed assets net
value |
4,910 |
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Projects under
construction |
0 |
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Long term
investment |
0 |
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Other assets |
110 |
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Total assets |
113,870 |
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============= |
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Short loans |
0 |
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Accounts payable |
41,650 |
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Advances from
clients |
52,770 |
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Taxes payable |
-2,680 |
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Salaries payable |
0 |
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Other payable |
1,760 |
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Other current
liabilities |
140 |
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Current
liabilities |
93,640 |
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Long term
liabilities |
6,100 |
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Total
liabilities |
99,740 |
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Equities |
14,130 |
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Total
liabilities & equities |
113,870 |
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Income Statement
Unit: CNY’000
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As of Dec. 31,
2006 |
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Turnover |
498,390 |
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Cost of goods
sold |
492,200 |
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Sales expense |
4,590 |
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Management expense |
1,940 |
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Finance expense |
-180 |
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Profit before
tax |
1,070 |
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Less: profit tax |
160 |
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Profits |
910 |
Important Ratios
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2006 |
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*Current ratio |
1.16 |
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*Quick ratio |
1.00 |
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*Liabilities
to assets |
0.88 |
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*Net profit
margin (%) |
0.18 |
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*Return on
total assets (%) |
0.80 |
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*Fixed
assets/Total assets |
0.04 |
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*Inventory
/Turnover ×365 |
11days |
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*Accounts
receivable/Turnover ×365 |
17days |
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*Turnover/Total
assets |
4.38 |
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* Cost of
goods sold/Turnover |
0.99 |
PROFITABILITY:
AVERAGE
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The turnover of SC appears fairly good in 2006.
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SC’s net profit margin is average in 2006.
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SC’s return on total assets is average in 2006.
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SC’s cost of goods sold is high, comparing with its
turnover.
LIQUIDITY: AVERAGE
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The current ratio of SC is maintained in a normal
level in 2006.
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SC’s quick ratio is maintained in a normal level in
2006.
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The accounts receivable of SC is average.
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The inventory of SC is average.
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SC’s turnover is in a fairly good level, comparing
with the size of its total assets.
LEVERAGE: FAIR
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The debt ratio of SC is fairly high.
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The risk for SC to go bankrupt is average.
Overall financial
condition of the SC: Fairly stable.
SC is considered small-sized in its line with fairly stable financial
conditions. Credit dealings with SC in moderate 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. |
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%)