MIRA
INFORM REPORT
|
Report Date : |
19.01.2008 |
IDENTIFICATION
DETAILS
|
Name : |
YANTAI ZHENGHAI ELECTRONIC MASK CO
LTD |
|
|
|
|
Registered Office : |
No. 21, Zhujiang
Road, Economic & Technical Development Zone, Yantai City, Shandong Province
264006 Pr |
|
|
|
|
Country : |
China |
|
|
|
|
Financials (as on) : |
31.12.2006 |
|
|
|
|
Date of Incorporation : |
Feb. 3, 1993 |
|
|
|
|
Com. Reg. No.: |
004008 |
|
|
|
|
Legal Form : |
Shares Limited Co. |
|
|
|
|
Line of Business : |
Manufacturing and Selling Aperture Mask used for Color Video Tubes and Display
Tubes. |
RATING &
COMMENTS
|
MIRA’s Rating : |
A |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
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 |
|
Maximum Credit Limit : |
USD 2,000,000 |
|
|
|
|
Status : |
Good |
|
|
|
|
Payment Behaviour : |
No Complaints |
|
|
|
|
Litigation : |
Clear |
name & aDDRESS
yantai zhenghai electronic mask co., ltd.
no.
21, zhujiang road, economic & technical development zone
yantai
city, shandong province 264006 PR CHINA
21
TEL:
86 (0) 535-6378866
FAX:
86 (0) 535-6374804
EXECUTIVE SUMMARY
INCORPORATION
DATE : feb. 3, 1993
REGISTRATION
NO. : 004008
REGISTERED
LEGAL FORM : shares limited co.
STAFF
STRENGTH :
590
REGISTERED
CAPITAL : cny 250,000,000
BUSINESS
LINE :
manufacturing
TURNOVER : CNY
600,520,000 (AS OF DEC. 31, 2006)
EQUITIES :
CNY 506,490,000 (AS OF DEC. 31, 2006)
PAYMENT
:
average
RECOMM.
CREDIT RANGE : up to USD
2,000,000 (periodical review)
MARKET
CONDITION :
COMPETITIVE
FINANCIAL
CONDITION : fairly
stable
OPERATIONAL
TREND : steady
GENERAL
REPUTATION : average
EXCHANGE
RATE : CNY
7.24= US$1
Adopted abbreviations
ANS - amount not stated
NS - not stated
SC - subject company (the company inquired by you)
NA - not available
CNY - China Yuan Ren Min Bi
SC was registered as a shares limited co. at local Administration for Industry & Commerce (AIC-The official body of issuing and renewing business license) on Feb. 3, 1993.
Company Status: Shares limited co. This form of business in PR
China is defined as a legal person. Its registered capital is divided into
shares of equal par value and the co. raises capital by issuing share
certificates by promotion or by public offer. Shareholders bear limited
liability to the extent of shareholding, and the co. is liable for its
debts only to the extent of its total assets. The characteristics of the
shares limited co. are as follows: The establishment of the co.
requires at least five promoters and at least three of them must be PR-
China controlled legal persons. Natural person can not be allowed to serve
as promoters. The minimum registered capital
of a co. is CNY 10M. while that of the co. with foreign investment is CNY
30M. The total capital of a co. which propose to apply for publicly listed
must not less than CNY 50M. The board of directors must
consist of an odd number of five to nineteen directors. If the co. raises capital by public
offer, the promoters must not subscribe less than 35% of the total shares.
the promoters’ shares are restricted to transfer- within three years of the
offer. Directors can not transfer the shares they hold in the co. during
their terms of office. A state-owned enterprise that
is restructured into a shares limited co. must comply with the conditions
& requirements specified under the law & administrative rule.
SC’s registered business scopes include manufacturing and selling aperture mask for
color video and display tubes, relevant electronic products; supplying after
services and technical services.
SC is mainly engaged in manufacturing and selling aperture mask used for color video
tubes and display tubes.
Mr. Bi Bohai has been chairman of SC since
1993.
SC is known to
have approx. 590 staff members at present.
SC is
currently operating at the above stated address, and this address houses its
operating office and factory in the development zone of Yantai. Our checks reveal
that SC owns the total premise about 95,621 square meters.
http://www.ymc-cn.com
The design is professional and the content is well organized. At present the
web is both in Chinese and English versions.
SC is the production
base of CRT shadow mask designated by the central government during "the
Eighth Five-Year Plan". It's one of "the 10 top New & Hi-Tech
enterprises of Shandong Province" with a province-level R&D center.
MAIN SHAREHOLDERS:
Name %
of Shareholding
Yantai Zhenghai Group Co., Ltd. 40.5
Yantai Wanlida Industry Development Co., Ltd. 30.0
Other shareholders 29.5
l
Chairman
and General manager:
Mr. Bi Bohai, in his
40’s with master’s degree. He is currently responsible for the overall
management of SC.
Working Experience(s):
From 1993 to present Working in SC as chairman and
general manager.
l
Assistant manager:
Mr. Guo Huanxiang, in his 40’s with master’s degree. He is currently
responsible for the daily management of SC.
Working Experience(s):
From 1993 to present Working in SC as assistant manager.
SC is mainly engaged in manufacturing and selling aperture mask used for color video
tubes and display tubes.
SC’s products mainly include: aperture mask used for color video tubes and
display tubes.
SC sources its materials 20% from
domestic market, mainly Shanghai, and 80% from overseas market, mainly Japan.
SC sells 60% of its products in domestic market, mainly Jiangsu, and 40% to
overseas market, mainly India and Malaysia.
The buying terms of
SC include Check, T/T, L/C, and Credit of 30-90 days. The payment terms of SC
include Check, T/T, L/C, and Credit of 15-30 days.
*Major Supplier:
==============
Shanghai Haizun
International Trade Co., Ltd.
*Major Customer:
==============
Nanjing Huafei Color Display Systems Co., Ltd.
SC is
known to have the following subsidiaries at present:
Yantai
Zhenghai Industry Co., Ltd.
Yantai
Zhenghai Yuanda Economic Trade Co., Ltd.
Yantai
Zhenghai Electronic Mask Co., Ltd. Technical Development Center
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.
Bank of China
AC#407027215208091001
Relationship: Normal.
Balance Sheet (as
of Dec. 31, 2006)
Unit: CNY’000
|
Cash & bank |
25,840 |
|
Inventory |
129,280 |
|
Accounts receivable |
128,190 |
|
Other Accounts receivable |
52,360 |
|
Advances to suppliers |
1,160 |
|
To be apportioned expense |
0 |
|
Other current assets |
19,620 |
|
|
------------------ |
|
Current assets |
356,450 |
|
Fixed assets |
628,270 |
|
Long term investment |
40,980 |
|
Other assets |
9,780 |
|
|
------------------ |
|
Total assets |
1,035,480 |
|
|
============= |
|
Short loans |
179,610 |
|
Bills payable |
16,000 |
|
Accounts payable |
55,440 |
|
Advances from clients |
360 |
|
Other Accounts payable |
15,370 |
|
Withdraw the expenses in advance |
0 |
|
Other current liabilities |
222,210 |
|
|
------------------ |
|
Current liabilities |
488,990 |
|
Long term liabilities |
40,000 |
|
Other liabilities |
0 |
|
|
------------------ |
|
Total liabilities |
528,990 |
|
Equities |
506,490 |
|
|
------------------ |
|
Total liabilities & equities |
1,035,480 |
|
|
============= |
Income Statement (as
of Dec. 31, 2006)
Unit: CNY’000
|
Turnover |
600,520 |
|
Cost of goods sold |
513,940 |
|
Sales expense |
4,900 |
|
Management expense |
31,740 |
|
Finance expense |
43,450 |
|
Profit before tax |
10,260 |
|
Less: profit tax |
-3,440 |
|
Profits |
13,700 |
Important Ratios
(as of Dec. 31, 2006)
=============================
*Current ratio 0.73
*Quick ratio 0.46
*Liabilities to assets 0.51
*Net profit margin (%) 2.28
*Return on total assets (%) 1.32
*Inventory /Turnover ×365 79days
*Accounts receivable/Turnover ×365 78days
*Turnover/Total assets 0.58
* Cost of goods sold/Turnover 0.86
PROFITABILITY: AVERAGE
l
The turnover of
SC appears fairly good in its line.
l
SC’s net profit
margin is average.
l
SC’s return on
total assets is average.
l
SC’s cost of
goods sold is average, comparing with its turnover.
LIQUIDITY: FAIR
l
The current
ratio of SC is maintained in a fair level.
l
SC’s quick
ratio is maintained in a fair level.
l
The inventory
of SC is maintained in an average level.
l
The accounts
receivable of SC is maintained in an average level.
l
The short-term
loan of SC appears fairly large.
l
SC’s turnover
is in a fair level, comparing with the size of its total assets.
LEVERAGE: AVERAGE
l
The debt ratio
of SC is average.
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
up to USD 2,000,000 would appear to be within SC’s capacities upon a periodical
review basis.
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%)