MIRA
INFORM REPORT
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Report Date : |
17.12.2008 |
IDENTIFICATION
DETAILS
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Name : |
LIAOYANG GUANGHUA CHEMICAL CO., LTD |
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Registered Office : |
No.168-19 Qingnian Street, Liaoyang, Liaoning Province, 111000 PR |
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Country : |
China |
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Date of Incorporation : |
06.11.2002 |
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Com. Reg. No.: |
2110002102339 |
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Legal Form : |
Limited Liabilities Company |
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Line of Business : |
manufacturing and Selling Sulfolane |
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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Status : |
Small Company |
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Payment Behaviour : |
No Complaints |
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Litigation : |
Clear |
name & address
liaoyang guanghua chemical co., ltd.
no.168-19 qingnian street, liaoyang,
liaoning PROVINCE, 111000 PR CHINA
168-19
TEL: 86 (0) 419-2313380/2313382 FAX: 86 (0) 419-2313289
EXECUTIVE SUMMARY
INCORPORATION DATE : november 6, 2002
REGISTRATION NO. : 2110002102339
REGISTERED LEGAL FORM : Limited liabilities
company
STAFF STRENGTH :
150
REGISTERED CAPITAL : CNY 4,000,000
BUSINESS LINE :
manufacturing
TURNOVER :
n/a
EQUITIES :
n/a
PAYMENT :
AVERAGE
RECOMM. CREDIT RANGE : small amount
MARKET CONDITION : average
FINANCIAL CONDITION : UNDTERMINED
OPERATIONAL TREND : STEADY
GENERAL REPUTATION : AVERAGE
EXCHANGE RATE :
CNY6.85 = 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 November 6, 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 manufacturing sulfolane [intermediates: oxygen (compressed),
hydrogen, sulfur dioxide], operate with the security license.
SC is mainly
engaged in manufacturing and selling sulfolane.
Mr. Tong Qingjie
has been chairman of SC since 2002.
SC is known to
have approx. 150 employees 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 Liaoyang. Our checks
reveal that SC rents the total premise about 40,000 square meters.
http://www.china-lgh.com
The design is professional and the content is well organized. At present the
web site is both in Chinese and English versions.
E-mail: ghhg@china-lgh.com
No significant events or changes were found during our checks with the
local Administration for Industry & Commerce
MAIN
SHAREHOLDERS:
Name %
of Shareholding
Sun Rongdong 16.6
Yang Wenhui 12.2
Zou Hongliang 15.0
Zou Hongjie 5.0
Tong Qingjie 51.2
l
Chairman and General Manager:
Mr. Tong Qingjie, with university education. He is currently responsible
for the overall management of SC.
Working Experience(s):
From 2002 to present Working
in SC as chairman and general manager.
l
Director:
Sun Rongdong
Yang Wenhui
Zou Hongliang
Zou Hongjie
SC is mainly engaged
in manufacturing and selling sulfolane.
SC’s products
mainly include: sulfolane.
SC sources its materials 100% from domestic
market, mainly Liaoning. SC sells 60% of its products in domestic market, and
40% to overseas market, mainly Japan, India, Israel, Turkey and Kazakhstan.
The buying terms of SC include Check, T/T and Credit of 30-60 days. The
payment terms of SC include T/T, L/C and Credit of 30-60 days.
*Major Customers:
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JAPAN MARUZEN COMPANY
JAPAN NIPPON OIL CO.
TURKEY PETKIM PETROKIMYA
KAZAKHSTAN OIL & GAS
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.
Industrial and Commercial Bank of China Liaoyang Branch
AC#
0711020109221023445
Relationship:
Normal.
Investigations were made with the local Administration for Industry and
Commerce (the authority that issuing and renewing business license), however,
no financial records of SC was found.
SC’s management declined to release any financial information.
SC is considered medium-sized in its line with a six years development
history. Credit dealings with SC should be confined into small amount at
present.
FOREIGN EXCHANGE
RATES
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Currency |
Unit
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Indian Rupees |
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US Dollar |
1 |
Rs.47.33 |
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UK Pound |
1 |
Rs.73.92 |
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Euro |
1 |
Rs.66.69 |
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%)