MIRA
INFORM REPORT
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Report Date : |
11.12.2008 |
IDENTIFICATION
DETAILS
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Name : |
DALIAN TWINLEAF PLASTIC PACKAGING SYSTEM CO., LTD. |
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Registered Office : |
Room 2602, No.158 Youhao Road, Zhongshan
District, Dalian, Liaoning Province,
116001 Pr |
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Country : |
China |
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Financials (as on) : |
31.12.2007 |
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Date of Incorporation : |
24.09.1998 |
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Com. Reg. No.: |
2102002113529 |
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Legal Form : |
Limited Liabilities Company |
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Line of Business : |
Selling Plastic Package Materials and Printing Machinery. |
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. |
Small |
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Maximum Credit Limit : |
usd 50,000 |
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Status : |
Small Company |
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Payment Behaviour : |
No Complaints |
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Litigation : |
Clear |
name & address
DALIAN TWINLEAF PLASTIC PACKAGING SYSTEM CO., LTD.
room 2602, no.158
youhao road, zhongshan district, dalian,
liaoning PROVINCE,
116001 PR CHINA
TEL: 86 (0) 411-82520245
FAX: 86 (0) 411-82520231
EXECUTIVE SUMMARY
INCORPORATION DATE : september 24, 1998
REGISTRATION NO. : 2102002113529
REGISTERED LEGAL FORM : Limited liabilities
company
STAFF STRENGTH :
50
REGISTERED CAPITAL : CNY 10,000,000
BUSINESS LINE :
trading
TURNOVER :
CNY 166,760,000 (AS OF DEC. 31, 2007)
EQUITIES :
CNY 6,750,000 (AS OF DEC. 31, 2007)
PAYMENT :
AVERAGE
RECOMM. CREDIT RANGE : UP TO usd 50,000
MARKET CONDITION : average
FINANCIAL CONDITION : fairly STABLE
OPERATIONAL TREND : fairly STEADY
GENERAL REPUTATION : AVERAGE
EXCHANGE RATE :
CNY6.88 = USD1
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 limited liabilities company at local
Administration for Industry & Commerce (AIC - The official body of issuing
and renewing business license) on September 24, 1998.
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 selling plastic package materials, steel, timber,
instruments and meters, hardware, chemical products, household articles and
auto parts.
SC is mainly engaged
in selling plastic package materials and printing machinery.
Mr. Pan Xin has
been chairman of SC since 1998.
SC is known to
have approx. 50 employees at present.
SC is
currently operating at the above stated address, and this address houses its
operating office in the commercial zone of Dalian. Our checks reveal that SC
rents the total premise about 200 square meters.
http://www.twinleaf.cn
The design is professional and the content is well organized. At present the
web site is both in Chinese and English versions.
E-mail: info@dltwinleaf.net
Changes of its registered information are as follows:
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Date
of change |
Item |
Before the
change |
After the change |
|
2007 |
Registered capital |
CNY 5,000,000 |
CNY 10,000,000 |
MAIN SHAREHOLDERS:
Name %
of Shareholding
Pan Xin 78
Ma Yanguang 22
l
Chairman and General Manager:
Mr. Pan Xin, 40 years old with university education. He is currently
responsible for the overall management of SC.
Working Experience(s):
From 1998 to present Working
in SC as chairman and general manager.
SC is mainly
engaged in selling plastic package materials and printing machinery.
SC’s products
mainly include: polyethylene, polypropylene, package machinery.
SC sources its materials 40% from domestic market,
and 60% from overseas market, mainly USA and Southeast Asian market. SC sells
100% of its products in domestic market, mainly Liaoning.
The buying terms of SC include T/T, L/C and Credit of 30-60 days. The
payment terms of SC include T/T and Credit of 30-60 days.
*Major Suppliers:
==============
US ExxonMobil Inc.
Kuen Yuh Machinery Engineering 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’s suppliers
declined to make any comments.
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 Dalian Branch
AC#21201501400050007148
Relationship:
Normal.
Balance Sheet
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Unit: CNY’000 |
as
of Dec. 31, 2006 |
as
of Dec. 31, 2007 |
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Cash & bank |
18,000 |
8,390 |
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Inventory |
10,010 |
21,660 |
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Accounts
receivable |
2,030 |
12,360 |
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Other Accounts
receivable |
12,540 |
5,830 |
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To be
apportioned expense |
0 |
0 |
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Other current
assets |
3,170 |
5,080 |
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------------------ |
------------------ |
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Current assets |
45,750 |
53,320 |
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Fixed assets net
value |
420 |
830 |
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Projects under
construction |
0 |
0 |
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Long term
investment |
0 |
0 |
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Other assets |
0 |
0 |
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------------------ |
------------------ |
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Total assets |
46,170 |
54,150 |
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============= |
============= |
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Short loans |
0 |
8,000 |
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Accounts payable |
4,140 |
7,310 |
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Other Accounts
payable |
9,740 |
6,680 |
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Notes payable |
0 |
7,400 |
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Withdraw the
expenses in advance |
0 |
0 |
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Other current
liabilities |
5,420 |
6,010 |
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------------------ |
------------------ |
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Current
liabilities |
19,300 |
35,400 |
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Long term
liabilities |
25,000 |
12,000 |
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Other
liabilities |
0 |
0 |
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------------------ |
------------------ |
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Total
liabilities |
44,300 |
47,400 |
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Equities |
1,870 |
6,750 |
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------------------ |
------------------ |
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Total
liabilities & equities |
46,170 |
54,150 |
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Income Statement
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Unit: CNY’000 |
as of Dec. 31, 2007 |
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Turnover |
166,760 |
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Cost of goods
sold |
155,060 |
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Sales expense |
2,050 |
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Management expense |
2,400 |
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Finance expense |
730 |
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Profit before
tax |
-120 |
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Less: profit tax |
0 |
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Profits |
-120 |
Important
Ratios
=============
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As
of Dec. 31, 2006 |
As
of Dec. 31, 2007 |
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*Current ratio |
2.37 |
1.51 |
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*Quick ratio |
1.85 |
0.89 |
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*Liabilities
to assets |
0.96 |
0.88 |
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*Net profit
margin (%) |
/ |
-0.07 |
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*Return on
total assets (%) |
/ |
-0.22 |
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*Inventory
/Turnover ×365 |
/ |
47 days |
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*Accounts
receivable/Turnover ×365 |
/ |
27 days |
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*Turnover/Total
assets |
/ |
3.08 |
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* Cost of
goods sold/Turnover |
/ |
0.93 |
PROFITABILITY:
FAIR
l
The turnover of SC appears fairly good in its line.
l
SC’s net profit margin is fair.
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SC’s return on total assets is fair.
l
SC’s cost of goods sold is fairly high, comparing with its turnover.
LIQUIDITY: AVERAGE
l
The current ratio of SC is maintained in a normal level.
l
SC’s quick ratio is maintained in a normal level.
l
The inventory of SC appears fairly large.
l
The accounts receivable of SC is maintained in an average level.
l
SC’s short-term loan is in an average level in 2007.
l
SC’s turnover is in a fairly good level, comparing with the size of its
total assets.
LEVERAGE: FAIR
l
The debt ratio of SC is high.
l
The risk for SC to go bankrupt is average.
Overall financial
condition of the SC: Fairly Stable.
SC is considered medium-sized in its line with fairly stable financial
conditions. A credit line at the above amount appears to be beyond SC’s capacities,
while a credit line up to USD 50,000 is recommended.
FOREIGN EXCHANGE
RATES
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Currency |
Unit
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Indian Rupees |
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US Dollar |
1 |
Rs.48.52 |
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UK Pound |
1 |
Rs.72.62 |
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Euro |
1 |
Rs.63.76 |
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%)