MIRA INFORM REPORT

 

 

 

Report Date :

13.11.2008

 

IDENTIFICATION DETAILS

 

Name :

OH AIK GUAN FOOD INDUSTRIAL PTE LTD

 

 

Registered Office :

54 Senoko Drive Senoko Industrial Estate

 

 

Country :

Singapore

 

 

Financials (as on) :

31.12.2007

 

 

Date of Incorporation :

08.03.1999

 

 

Com. Reg. No.:

199901116E

 

 

Legal Form :

Exempt Pte Ltd

 

 

Line of Business :

Manufacturer, Wholesalers and Distributors of Food Products.

 

RATING & COMMENTS

 

MIRA’s Rating :

C

 

RATING

STATUS

PROPOSED CREDIT LINE

<10

C

Absolute credit risk exists. Caution needed to be exercised

Credit not recommended

 

Status :

Poor

 

 

Payment Behaviour :

Unknown


 

Subject Company 

 

OH AIK GUAN FOOD INDUSTRIAL PTE LTD

 

 

Line Of Business   

 
MANUFACTURER, WHOLESALERS AND DISTRIBUTORS OF FOOD PRODUCTS.

 

 

Parent Company    

 

N/A

 

 

Financial Elements 

 

                                                             FY 2007

                                                             COMPANY

                                               

Sales              :                                      S$4,589,344

Networth           :                     S$- 594,907

Paid-Up Capital    :                                    S$  500,000

Net result         :                      S$- 143,164

Net Margin(%)      :                  -3.12 

Return on Equity(%):                               24.06

Leverage Ratio     :                   -3.99

 

 

COMPANY IDENTIFICATION

 

Subject Company :

OH AIK GUAN FOOD INDUSTRIAL PTE LTD

Business Address:

54 SENOKO DRIVE SENOKO INDUSTRIAL ESTATE

Town:

SINGAPORE

Postcode:

758234

Country:

Singapore

Telephone:

6754 4028/64824786

Fax:

6481 2131

ROC Number:

199901116E

Easy Number company:

00004504489390

 

 

SUMMARY

 

Legal Form:

Exempt Pte Ltd

Date Inc.:

08/03/1999

Summary year :

31/12/2007

All amounts in this report are in :

SGD

Sales:

4,589,344

Networth :

-594,907

Capital:

500,000

Paid-Up Capital:

500,000

Employees:

15

Net result :

-143,164

Share value:

1

 
 
 
AUDITOR : NIL                                                         
                                                                      
BASED ON ACRA'S RECORD 
                               
                                              NO OF SHARES   CURRENCY               AMOUNT              
ISSUED ORDINARY                500,000                   SGD                        500,000.00
PAID-UP ORDINARY               -                              SGD                        500,000.00

 

 

REFERENCES

 

 

Litigation:

No

Company status :

TRADING

Started :

08/03/1999

 

 

PRINCIPAL(S)

 

 

OH BENG TUAN

S1446756D

Director

 

 

DIRECTOR(S)

 

 

CHEW LEE SAM

S0068267E

Company Secretary

Appointed on :

23/05/2008

 

Street :

190 MIDDLE ROAD #03-22 FORTUNE CENTRE

 

Town:

SINGAPORE

 

Postcode:

188979

 

Country:

Singapore

 

OH BENG TUAN

S1446756D

Director

Appointed on :

08/03/1999

 

Street :

481 SEMBAWANG DRIVE #08-479

 

Town:

SINGAPORE

 

Postcode:

750481

 

Country:

Singapore

 

OH BENG GAN

S1492195H

Director

Appointed on :

08/03/1999

 

Street :

501C WELLINGTON CIRCLE #11-58

 

Town:

SINGAPORE

 

Postcode:

753501

 

Country:

Singapore

 

OH MENG THENG

S1639063A

Director

Appointed on :

08/03/1999

 

Street :

809 WOODLANDS STREET 81 #06-167

 

Town:

SINGAPORE

 

Postcode:

730809

 

Country:

Singapore

 

OH BENG YONG

S1688356E

Director

Appointed on :

08/03/1999

 

Street :

876 WOODLANDS AVENUE 9 #02-250

 

Town:

SINGAPORE

 

Postcode:

730876

 

Country:

Singapore

 

OH YEW HONG

S7435819E

Director

Appointed on :

08/03/1999

 

Street :

48 CANBERRA DRIVE #12-15

 

Town:

SINGAPORE

 

Postcode:

768437

 

Country:

Singapore

 

OH BENG SOO

S0174075Z

Director

Appointed on :

15/11/2006

 

Street :

784 YISHUN AVENUE 2 #08-1523

 

Town:

SINGAPORE

 

Postcode:

760784

 

Country:

Singapore

 

OH BENG AIK

S0676929B

Director

Appointed on :

15/11/2006

 

Street :

179 ANG MO KIO AVENUE 5 #03-2880

 

Town:

SINGAPORE

 

Postcode:

560179

 

Country:

Singapore

 

AH SWEE CHOO

S2594060A

Director

Appointed on :

15/11/2006

 

Street :

179 ANG MO KIO AVENUE 5 #04-2882

 

Town:

SINGAPORE

 

Postcode:

560179

 

Country:

Singapore

 

 

 

FORMER DIRECTOR(S)

 

TANG LAI SANG

S2110413B

 

 

ACTIVITY(IES)

 

Activity Code:

15430

OILS - COOKING

Activity Code:

15500

OILS - VEGETABLE

Activity Code:

11760

IMPORTERS And EXPORTERS

Activity Code:

22190

TRADING COMPANIES

 
 
 
BASED ON ACRA'S RECORD
                               
1) MANUFACTURE OF NON-DAIRY CREAMER                                   
2) GENERAL WHOLESALE TRADE (INCLUDING GENERAL IMPORTERS AND EXPORTERS)

 

 

CHARGES

 

 

 

AVAILABLE

Date:

08/10/2007

Amount:

0

Comments :

 
CHARGE NO: C200708467                                                 
AMOUNT SECURED: 0.00 AND ALL MONIES OWING                             
CHARGEE: DBS BANK LTD

 

 

NOT AVAILABLE

Date:

16/12/2002

Amount:

0

Comments :

 
CHARGE NO: 200205487 (DISCHARGED)                                     
AMOUNT SECURED: 0.00 AND ALL MONIES OWING                             
CHARGEE: OVERSEA-CHINESE BANKING CORPORATION LTD

 

 

PREMISES/PROPERTY INFORMATIONS

 

 

AVAILABLE

Date:

13/11/2008

Tax rate:

10

Site Address :

54 SENOKO DRIVE SENOKO INDUSTRIAL DRIVE
SINGAPORE
758234
Singapore

Annual Value:

151,000

 

 

*     TAX RATE OF 4% MEANS THE ADDRESS (I.E RESIDENTIAL PROPERTY) IS OWNER OCCUPIED.

*     TAX RATE OF 10% MEANS THE ADDRESS (I.E RESIDENTIAL PROPERTY) IS PARTIALLY OR FULLY RENTED OUT BY THE OWNER/OWNED BY COMPANY.

*     FOR PROPERTIES OTHER THAN RESIDENTIAL PROPERTIES REGARDLESS RENTED OUT OR NOT, THE TAX RATE IS 10% (I.E INDUSTRIAL AND COMMERCIAL PROPERTY).

*     ANNUAL VALUE IS THE ESTIMATED ANNUAL RENT THE PROPERTY CAN FETCH IF IT WERE RENTED OUT. THE ANNUAL VALUE IS DETERMINED IN THE SAME MANNER REGARDLESS OF WHETHER THE PROPERTY IS LET-OUT, OWNER-OCCUPIED OR VACANT.

 

 

 

BANKERS

 

OVERSEA-CHINESE BANKING CORPORATIONLIMITED

DBS BANK LTD.

 

 

SHAREHOLDERS(S)

 

OH BENG TUAN

85,000

Private Person

 

Street :

481 SEMBAWANG DRIVE #08-479

Town:

SINGAPORE

Postcode:

750481

Country:

Singapore

 

OH BENG GAN

85,000

Private Person

 

Street :

501C WELLINGTON CIRCLE #11-58

Town:

SINGAPORE

Postcode:

753501

Country:

Singapore

 

OH MENG THENG

85,000

Private Person

 

Street :

809 WOODLANDS STREET 81 #06-167

Town:

SINGAPORE

Postcode:

730809

Country:

Singapore

 

OH BENG YONG

85,000

Private Person

 

Street :

876 WOODLANDS AVENUE 9 #02-250

Town:

SINGAPORE

Postcode:

730876

Country:

Singapore

 

OH YEW HONG

85,000

Private Person

 

Street :

48 CANBERRA DRIVE #12-15

Town:

SINGAPORE

Postcode:

768437

Country:

Singapore

 

OH BENG SOO

75,000

Private Person

 

Street :

784 YISHUN AVENUE 2 #08-1523

Town:

SINGAPORE

Postcode:

760784

Country:

Singapore

 

 

PAYMENT HISTORY AND EXPERIENCES

 

Trade Morality:

AVERAGE

Liquidity :

LACKING

Payments :

Unknown

Trend :

LEVEL

Financial Situation:

BAD

 

 

 

FINANCIAL ELEMENTS

 

All amounts in this report are in :

SGD

 

Audit Qualification:

 

 

 

Date Account Lodged:

14/06/2008

 

 

Balance Sheet Date:

31/12/2007

31/12/2006

 

Number of weeks:

52

52

 

Consolidation Code:

COMPANY

COMPANY

 

 

--- ASSETS

 

Tangible Fixed Assets:

846,069

932,251

 

Total Fixed Assets:

846,069

932,251

 

Inventories:

357,221

187,360

 

Receivables:

437,100

335,658

 

Cash,Banks, Securitis:

100,363

258,813

 

Other current assets:

37,291

22,957

 

Total Current Assets:

931,975

804,788

 

TOTAL ASSETS:

1,778,044

1,737,039

 

--- LIABILITIES

 

 

 

Equity capital:

500,000

100,000

 

Profit & lost Account:

-1,094,907

-951,743

 

Total Equity:

-594,907

-851,743

 

Long Term Loans:

1,024,745

1,032,259

 

Other long term Liab.:

46,579

30,004

 

Total L/T Liabilities:

1,071,324

1,062,263

 

Trade Creditors:

187,094

94,873

 

Short term liabilities:

20,690

62,997

 

Advanced payments:

19,296

 

 

Due to Bank:

405,699

234,206

 

Other Short term Liab.:

610,382

962,787

 

Total short term Liab.:

1,301,627

1,526,519

 

Prepay. & Def. charges:

58,466

171,656

 

TOTAL LIABILITIES:

2,372,951

2,588,782

 

 

 

PROFIT & LOSS ACCOUNT

 

Net Sales

4,589,344

3,632,589

 

Gross Profit:

840,464

1,148,895

 

NET RESULT BEFORE TAX:

-143,164

204,445

 

Tax :

 

500

 

Net income/loss year:

-143,164

203,945

 

Interest Paid:

79,981

58,744

 

Depreciation:

179,511

169,016

 

Purchases,Sces & Other Goods:

3,748,880

2,483,694

 

Wages and Salaries:

102,092

58,975

 

Financial Income:

1,405

 

 

 

 

RATIOS

 

Date Account Lodged:

31/12/2007

31/12/2006

 

Turnover per employee:

305956.27

242172.6

 

Net result / Turnover(%):

-0.03

0.06

 

Fin. Charges / Turnover(%):

0.02

0.02

 

Stock / Turnover(%):

0.08

0.05

 

Net Margin(%):

-3.12

5.61

 

Return on Equity(%):

24.06

-23.94

 

Return on Assets(%):

-8.05

11.74

 

Net Working capital:

-369652

-721731

 

Cash Ratio:

0.08

0.17

 

Quick Ratio:

0.41

0.39

 

Current ratio:

0.72

0.53

 

Receivables Turnover:

34.29

33.26

 

Leverage Ratio:

-3.99

-3.04

 

 
 
 

Net Margin          :                                                             (100*Net income loss year)/Net sales 

Return on Equity    :                                                           (100*Net income loss year)/Total equity

Return on Assets    :                                                          (100*Net income loss year)/Total fixed assets

Net Working capital :                                                         (Total current assets/Total short term liabilities)/1000

Cash Ratio          :                                                              Cash Bank securities/Total short term liabilities

Quick Ratio         :                                                              (Cash Bank securities+Receivables)/Total Short term liabilities

Current ratio       :                                                              Total current assets/Total short term liabilities

Inventory Turnover  :                                                          (360*Inventories)/Net sales 

Receivables Turnover:                                                      (Receivable*360)/Net sales 

Leverage Ratio      :                                                           Total liabilities/(Total equity-Intangible assets)

 

 

FINANCIAL COMMENTS

 

NOTE: THE FINANCIAL STATEMENT IN THIS REPORT IS UNAUDITED AND  FINANCIAL ANALYSIS IS NOT CONDUCTED. THE FINANCIAL STATEMENT SERVES AS A REFERENCE ONLY. IN REPLACEMENT, ADVERSE CHECK ON ITS LOCAL DIRECTORS ARE MADE.
 
EXEMPT PRIVATE COMPANY                                                
WHERE THE SHARES OF A PRIVATE COMPANY ARE NOT OWNED BY ANY CORPORATE  BODY AND THERE ARE NO MORE THAN 20 MEMBERS, THE PRIVATE COMPANY IS  KNOWN AS AN EXEMPT PRIVATE COMPANY.
 
AN EXEMPT PRIVATE COMPANY ENJOYS A GREATER AMOUNT OF PRIVACY THAN A PRIVATE COMPANY. IT IS NOT REQUIRED TO FILE ACCOUNTS WITH THE REGISTRAR IF IT CAN PRODUCE A CERTIFICATE SIGNED BY ONE OF ITS  DIRECTORS, SECRETARY AND AUDITOR CONFIRMING THE FOLLOWING POINTS:     
 
1.             THE COMPANY IS AN EXEMPT PRIVATE COMPANY.
 
2.             THE AUDITED ACCOUNTS HAVE BEEN TABLED BEFORE THE SHAREHOLDERS AT THE ANNUAL GENERAL MEETING.                                        
 
3.             THE COMPANY IS ABLE TO MEET ITS LIABILITIES.                       
                                                                      
THERE IS THEREFORE NO DISCLOSURE TO THE PUBLIC OF THE ACCOUNTS OF THE COMPANY ALTHOUGH THE ACCOUNTS STILL HAVE TO BE AUDITED EVERY YEAR AND  APPROVED AT AN ANNUAL GENERAL MEETING OF THE COMPANY.                 
                                                                      
A PRIVATE COMPANY THAT IS WHOLLY OWNED BY THE GOVERNMENT MAY BECOME AN EXEMPT PRIVATE COMPANY IF THE MINISTER FOR FINANCE, IN THE NATIONAL INTEREST, DECLARES IT TO BE SUCH BY A GAZETTE NOTIFICATION.           
                                                                      
EXEMPT FROM AUDIT                                                     
AN EXEMPT PRIVATE COMPANY IS EXEMPT FROM AUDIT REQUIREMENTS IF THE  STARTING DATE OF ITS FINANCIAL YEAR IS BETWEEN 15 MAY 2003 AND 31 MAY 2004 AND ITS TURNOVER FOR THAT FINANCIAL YEAR DOES NOT EXCEED $2.5     MILLION. FOR FINANCIAL YEARS STARTING 1 JUNE 2004, THE AMOUNT OF THE   TURNOVER HAS BEEN RAISED TO $5 MILLION. THESE COMPANIES ARE STILL     
REQUIRED TO MAINTAIN PROPER ACCOUNTING.

 

 

BACKGROUND/OPERATION

 

THE COMPANY WAS INCORPORATED IN THE REPUBLIC OF SINGAPORE ON 08/03/1999 AS A LIMITED EXEMPT PRIVATE COMPANY AND IS TRADING UNDER ITS PRESENT NAMESTYLE AS "OH AIK GUAN FOOD INDUSTRIAL PTE LTD".
 
AS AT 10/11/2008, THE COMPANY HAS AN ISSUED AND PAID-UP CAPITAL OF  500,000 SHARES, OF A VALUE OF S$500,000.                              
                                                                                                                                            
PRINCIPAL ACTIVITIES:
SUBJECT IS REGISTERED WITH THE ACCOUNTING AND CORPORATE REGULATORY AUTHORITY (ACRA) TO BE PRINCIPALLY ENGAGED IN THE BUSINESS OF:        
 
1) MANUFACTURE OF NON-DAIRY CREAMER                                   
 
2) GENERAL WHOLESALE TRADE (INCLUDING GENERAL IMPORTERS AND EXPORTERS)
                                                                      
THE COMPANY WAS LISTED IN THE SINGAPORE LOCAL DIRECTORIES UNDER THE   CLASSIFICATION OF: FOOD PRODUCTS
 
DURING THE FINANCIAL YEAR(S), UNDER REVIEW, SUBJECT'S PRINCIPAL  ACTIVITIES ARE THOSE OF MANUFACTURER, WHOLESALERS AND DISTRIBUTORS OF FOOD PRODUCTS.
 
FROM THE RESEARCH DONE, THE FOLLOWING INFORMATION WAS GATHERED:       
                                                                 
BACKGROUND:                                                           
SUBJECT IS A PRODUCER AND EXPORTER OF HIGH QUALITY 100% PURE TOASTED SESAME OIL.                                                           
                                                                      
IT ENGAGES IN BOTH THEIR BRAND AND ALSO OEM (CONTRACT PACK) FOR THEIR CUSTOMERS. IT ALSO ASSISTS CUSTOMERS IN SOURCING AND CONSOLIDATING OTHER ORIENTAL FOOD INGREDIENTS AND SAUCES. IT COULD OFFER FROM CONSUMER TO INSTITUTIONAL PACKS AS WELL AS PRAVITE LABELLING                                                             
                                                                      
 SUBJECT'S PRODUCTS ARE CERTIFIED AS "HALAL" BY MUJIS (SINGAPORE) AND "KOSHER" BY KOSHER SUPERVISION OF AMERICA (KSA). 
                                                                      
ITS KEY CLIENTS ARE FROM THE FOOD INDUSTRY.

ACTIVITIES:                                                           
* MANUFACTURER & EXPORTER OF SESAME OIL AND ORIENTAL FOODSTUFFS
 
PRODUCTS & SERVICES:                                                  
* FOOD INGREDIENTS                                                    
* SPECIALISED PRODUCTS INCLUDE VEGETARIAN, KOSHER AND HALAL           
* SPECIALITY FOOD INCLUDE CONDIMENTS AND PRESERVES, OILS, VEGETABLE   
  OILS, SAVOURY SAUCES, STOCKS AND FLAVOURINGS AND SESAME OIL
* BRAND PACKING                                                       
                                                                      
BRANDNAMES:                                                           
* OH AIK GUAN - 100% PURE SESAME OIL, SAUCES
* CRANE       - BLENDED SESAME OIL                                    
* BAMBOO      - SESAME OIL IN CATERING / FOODSERVICE PACKS            
* JIN DING    - ORIENTAL SAUCES & CONDIMENT
 
IMPORT COUNTRIES:                                                     
* CHINA                                                               
* BURMA                                                               
* PAKISTAN                                                            
* INDIA
* AFRICAN NATIONS                                                     
                                                                      
EXPORT COUNTRIES:                                                     
* UNITED KINGDOM
* HOLLAND                                                             
* GERMANY                                                             
* AUSTRIA                                                             
* USA                                                                 
* CANADA
* ISRAEL                                                              
* KOREA                                                               
* PHILIPPINES                                                         
* INDONESIA                                                           
* MALAYSIA
* NEW ZEALAND                                                         
                                                                      
AGENT & DISTRIBUTOR OF:                                               
* C M ENTERPRISE (NEW ZEALAND)
* S D M S FOOD (ISRAEL)                                               
* HEUSCHEN & SCHROUFF ORIENTAL FOODS TRADING BV (HOLLAND)
 
FROM THE TELE-INTERVIEW CONDUCTED, SUBJECT CONFIRMED ITS BUSINESS ADDRESS AND CONTACT NUMBERS. FURTHER ENQUIRIES WERE REJECTED. NO OTHER TRADE INFORMATION WAS AVAILABLE.
                                                                      
REGISTERED & BUSINESS ADDRESSES:                                      
54 SENOKO DRIVE                                                       
SENOKO INDUSTRIAL DRIVE                                               
SINGAPORE 758234
DATE OF CHANGE OF ADDRESS: 23/07/2003                                 
- OWNED PREMISE
 

WEBSITE: http://www.puresesameoil.com                                 
 
EMAIL      : info@puresesameoil.com

 

 

MANAGEMENT

 

THE DIRECTORS AT THE TIME OF THIS REPORT ARE:                         
                                                                      
1) OH BENG SOO, A SINGAPOREAN                                         
   - HOLDS NO OTHER DIRECTORSHIP AS RECORDED IN OUR DATABASE.
                                                                      
2) OH BENG AIK, A SINGAPOREAN                                         
   - HOLDS NO OTHER DIRECTORSHIP AS RECORDED IN OUR DATABASE.         
                                                                      
3) OH BENG TUAN, A SINAGPOREAN
  - HOLDS NO OTHER DIRECTORSHIP AS RECORDED IN OUR DATABASE.          
                                                                      
4) ONG BENG GAN, A SINGAPOREAN                                        
   - HOLDS NO OTHER DIRECTORSHIP AS RECORDED IN OUR DATABASE.
 
5) OH MENG THENG, A SINGAPOREAN                                       
   - HOLDS NO OTHER DIRECTORSHIP AS RECORDED IN OUR DATABASE.         
                                                                      
6) OH BENG YONG, A SINGAPOREAN                                        
   - HOLDS NO OTHER DIRECTORSHIP AS RECORDED IN OUR DATABASE.
7) AH SWEE CHOO, A SINGAPORE PERMANENT RESIDENT                       
    - HOLDS NO OTHER DIRECTORSHIP AS RECORDED IN OUR DATABASE.        
                                                                      
8) OH YEW HONG, A SINGAPOREAN
    - HOLDS NO OTHER DIRECTORSHIP AS RECORDED IN OUR DATABASE.

 

 

ADVERSE ON DIRECTORS

 

DIRECTOR'S NAME: OH BENG SOO                                          
ADVERSE REPORT AGAINST DIRECTOR: NOT AVAILABLE FROM OUR DATABASE      
PROPERTY OWNERSHIP: OWNS 1                                            
ANNUAL VALUE: S$6,300                                                 
CO-OWNER (S): N/A
                                                                      
DIRECTOR'S NAME: OH BENG AIK                                          
ADVERSE REPORT AGAINST DIRECTOR: NOT AVAILABLE FROM OUR DATABASE      
PROPERTY OWNERSHIP: NIL                                               
ANNUAL VALUE: N/A
CO-OWNER (S): N/A                                                     
                                                                      
DIRECTOR'S NAME: OH BENG TUAN                                         
ADVERSE REPORT AGAINST DIRECTOR: NOT AVAILABLE FROM OUR DATABASE      
PROPERTY OWNERSHIP: OWNS 1
ANNUAL VALUE: S$6,600                                                 
CO-OWNER (S): ZHANG JIANFANG                                          
                                                                      
DIRECTOR'S NAME: OH BENG GAN                                          
ADVERSE REPORT AGAINST DIRECTOR: NOT AVAILABLE FROM OUR DATABASE
PROPERTY OWNERSHIP: OWNS 1                                            
ANNUAL VALUE: S$7,200                                                 
CO-OWNER (S): CHUA SIEW LAN                                           
                                                                      
DIRECTOR'S NAME: OH MENG THENG
ADVERSE REPORT AGAINST DIRECTOR: NOT AVAILABLE FROM OUR DATABASE      
PROPERTY OWNERSHIP: OWNS 1                                            
ANNUAL VALUE: S$6,300                                                 
CO-OWNER (S): KHOR LEY TIN
 
DIRECTOR'S NAME: OH BENG YONG                                         
ADVERSE REPORT AGAINST DIRECTOR: NOT AVAILABLE FROM OUR DATABASE      
PROPERTY OWNERSHIP: OWNS 1                                            
ANNUAL VALUE: S$7,200                                                 
CO-OWNER (S): LIM GUAN HUAY
                                                                      
DIRECTOR'S NAME: AH SWEE CHOO                                         
ADVERSE REPORT AGAINST DIRECTOR: NOT AVAILABLE FROM OUR DATABASE      
PROPERTY OWNERSHIP: OWNS 1                                            
ANNUAL VALUE: S$6,900
CO-OWNER (S): OH BENG THIAN                                           
                                                                      
DIRECTOR'S NAME: OH YEW HONG                                          
ADVERSE REPORT AGAINST DIRECTOR: NOT AVAILABLE FROM OUR DATABASE      
PROPERTY OWNERSHIP: OWNS 1
ANNUAL VALUE: S$18,000                                                
CO-OWNER (S): GOH LI TIANG ROSALIND                                   
                                                                      
ANNUAL VALUE IS THE ESTIMATED ANNUAL RENT THE PROPERTY CAN   FETCH IF IT WERE RENTED OUT. THE ANNUAL VALUE IS DETERMINED IN THE SAME MANNER REGARDLESS OF WHETHER THE PROPERTY IS LET-OUT, OWNER-  OCCUPIED OR VACANT.

 

 

GENERAL COMMENTS

 

SINGAPORE'S COUNTRY RATING 2008                                                 
 
INVESTMENT GRADE
                                                                                
IN SINGAPORE, THE POLITICAL AND ECONOMIC SITUATION IS VERY GOOD. A QUALITY BUSINESS ENVIRONMENT HAS A POSITIVE INFLUENCE ON CORPORATE PAYMENT BEHAVIOUR.   
 
CORPORATE DEFAULT PROBABILITY IS VERY LOW ON AVERAGE.  ECONOMIC GROWTH REMAINED STRONG IN 2007 AND IN Q1 2008 (6.7%) THANKS TO A SHARP INCREASE IN CONSUMPTION SPURRED BY A BRIGHT EMPLOYMENT PICTURE, RISING REAL  WAGES, AND A POSITIVE WEALTH EFFECT PRODUCED BY RISING PROPERTY PRICES. IN THIS CONTEXT, BANKRUPTCIES CONTINUE TO DECLINE, AS REFLECTED BY THE FAVOURABLE COFACE PAYMENT INCIDENT INDEX TREND. SINGAPORE MOREOVER BOASTS THE BEST GOVERNANCE IN   ASIA THANKS TO AN EFFECTIVE LEGAL SYSTEM AND A GOOD LEVEL OF FINANCIAL TRANSPARENCY.                                                           
        
HOWEVER, A GROWTH SLOWDOWN IS EXPECTED FOR 2008 (4.5%) AMID WEAKER DEMAND GROWTH IN THE UNITED STATES, SINGAPORE'S NUMBER TWO TRADING PARTNER. THE FOREIGN TRADE  CONTRIBUTION TO GROWTH WILL THUS DECLINE ESPECIALLY WITH EXPORTS REPRESENTING  210 PER CENT OF GDP.
 
INFLATION ACCELERATED IN 2007 AND REACHED 7.5% IN MAY 2008 BECAUSE OF RISING RAW
MATERIAL PRICES. INDEED, SINGAPORE IMPORTS ALMOST ALL ITS ENERGY AND FOOD.      
 
HOWEVER, FOR THE ENTIRE YEAR, INFLATION SHOULD MODERATE AND REACH 2.8%. THE FINANCIAL SITUATION HAS REMAINED ROBUST AS THE EQUILIBRIUM OF PUBLIC SECTOR FINANCES AND THE SOLIDITY OF A BANKING SYSTEM POISED TO ADOPT BASEL II PRUDENTIAL STANDARDS ATTEST. EXTERNAL ACCOUNTS CONTINUE MOREOVER TO SHOW LARGE SURPLUSES THANKS TO GOOD PERFORMANCE IN A RANGE OF SECTORS INCLUDING   ELECTRONICS, TRANSPORT, CONSTRUCTION, TOURISM, AND FINANCIAL SERVICES. THE DECLINE EXPECTED IN THE CURRENT ACCOUNT SURPLUS IN 2008 SHOULD NOT JEOPARDISE  SINGAPORE'S EXCEPTIONAL FINANCIAL SOLIDITY.
 
UNDERPINNED BY SUBSTANTIAL FISCAL RESERVES AND A LARGE MAJORITY IN PARLIAMENT, THE PEOPLE'S ACTION PARTY OF PRIME MINISTER LEE HSIEN LOONG HAS SOUGHT AT ONCE  TO MAKE THE CITY-STATE MORE ATTRACTIVE TO FOREIGN INVESTORS AND TO BOLSTER THE   SPECIALISATION IN HIGH-VALUE ADDED SECTORS TO MEET THE GROWING COMPETITION FROM  LOW-COST ASIAN ECONOMIES. BESIDES REDUCTIONS IN CORPORATE INCOME TAX AND TAX INCENTIVES FOR COMPANIES SETTING UP OPERATIONS IN SINGAPORE, THE GOVERNMENT      CONTINUES TO PURSUE ITS INFRASTRUCTURE AND R&D INVESTMENT POLICY.               
 
                                                                               

ASSETS                                                                          

 
"THE COUNTRY HAS BEEN PURSUING AMBITIOUS DIVERSIFICATION STRATEGY, ESPECIALLY TO HIGH VALUE-ADDED SECTORS LIKE CHEMICALS, PHARMACEUTICALS, AND  FINANCE.                                                                        
 
"IT IS AMONG THE MOST ADVANCED COUNTRIES OF ASIA IN QUALITY COMPETITIVENESS TERMS.                                                          
 
"SINGAPORE HAS BECOME A MAJOR EXPORTER OF CAPITAL IN ASIA IN MANY ECONOMIC SECTORS -SUCH AS FINANCE, TELECOMMUNICATIONS, TRANSPORT - NOTABLY VIA THE STATE-
OWNED TEMASEK HOLDING COMPANY                                                   
 
"THE ECONOMY HAS BENEFITED FROM THE COUNTRY'S POLITICAL STABILITY AND EXCELLENT BUSINESS CLIMATE. 
 
 

WEAKNESSES                                                                      

 
"SKILLED LABOUR IS IN SHORT SUPPLY IN THE SECTORS THE COUNTRY WISHES TO DEVELOP.                                                                        
 
"THE AGEING POPULATION COULD ULTIMATELY UNDERMINE ECONOMIC PERFORMANCE.        
 
"GROWING INEQUALITY AND THE EMERGENCE OF LONG-TERM UNEMPLOYMENT AMONG THE
LEAST SKILLED COULD GENERATE SOCIAL TENSIONS.                                   
 
"THE VERY OPEN ECONOMY IS VULNERABLE TO A WORLD ECONOMIC DOWNTURN.             
                                                                             
              

                                                                

WHOLESALE AND RETAIL TRADE SECTOR                                               

 
PAST PERFORMANCE                                                                
THE WHOLESALE AND RETAIL TRADE SECTOR GREW BY 6.0% IN 2Q 2008, HIGHER THAN THE  5.5% GROWTH IN 1Q 2008. NON-OIL RE-EXPORTS GREW BY 14.0% IN 2Q 2008, STRONGER THAN THE 11.0% GROWTH IN 1Q 2008. RETAIL SALES FELL BY 2.9% IN 2Q 2008. HOWEVER, THIS REPRESENTED A DECLINE OVER A RELATIVELY HIGHER BASE IN 2Q 2007(8.1% GROWTH). EXCLUDING MOTOR VEHICLES, RETAIL SALES FELL BY 1.4% IN 2Q 2008, IN  CONTRAST TO THE 1.4% GROWTH IN 1Q 2008.
 
DOMESTIC WHOLESALE TRADE INDEX                                                  
THE OVERALL DOMESTIC WHOLESALE TRADE ROSE BY 11.1% IN 2Q 2008 OVER 1Q 2008.      EXCLUDING PETROLEUM, DOMESTIC SALES ROSE BY 2.9%.                               
                                                                                
AFTER SEASONAL ADJUSTMENT, DOMESTIC SALES ROSE BY 4.5% IN 2Q 2008 OVER 1Q 2008. EXCLUDING PETROLEUM, DOMESTIC SALES FELL BY 1.9%.                               
                                                                                
ON A YEAR-ON-YEAR BASIS, THE OVERALL DOMESTIC WHOLESALE TRADE GREW BY 25.4% OVER THE PREVIOUS YEAR. EXCLUDING PETROLEUM, DOMESTIC SALES ROSE BY 4.7%. AFTER REMOVING PRICE EFFECT, THE OVERALL DOMESTIC WHOLESALE TRADE FELL BY 2.0% IN 2Q
2008 OVER 2Q 2007.                                                              
                                                                                
ON A QUARTER-OVER-QUARTER BASIS, MOST WHOLESALE SECTORS REPORTED HIGHER DOMESTIC
SALES AFTER RECORDING SLOWER BUSINESS IN THE PREVIOUS QUARTER.
 
DOMESTIC SALES OF TIMBER, PAINTS AND CONSTRUCTION MATERIALS, AND INDUSTRIAL AND 
CONSTRUCTION MACHINERY REGISTERED INCREASES OF 22.7% AND 21.1% IN 2Q 2008.      
                                                                                
PETROLEUM AND PETROLEUM PRODUCTS, AND CHEMICALS AND CHEMICAL PRODUCTS ROSE BY   
20.2% AND 12.6% RESPECTIVELY IN 2Q 2008 OVER 1Q 2008. AFTER ADJUSTING FOR PRICE
 
CHANGES, SALES REMAINED AT SIMILAR LEVELS AS 1Q 2008.                           
                                                                                
CONVERSELY, DOMESTIC GENERAL WHOLESALE TRADE FELL BY 15.2%. IT WAS FOLLOWED BY  
DOMESTIC SALES OF FOOD, BEVERAGES AND TOBACCO, SHIP CHANDLERS AND BUNKERING, AND
HOUSEHOLD EQUIPMENT AND FURNITURE WHICH CONTRACTED BY 4.1% TO 6.9% OVER 1Q 2008.
                                                                                
ON A YEAR-ON-YEAR BASIS, THE WHOLESALE SECTORS RECORDED MIXED PERFORMANCE IN    
DOMESTIC SALES IN 2008 OVER 2Q 2007.                                            
                                                                                
THE DOMESTIC SALES OF PETROLEUM AND PETROLEUM PRODUCTS, SHIP CHANDLERS AND
BUNKERING, TIMBER, PAINTS AND CONSTRUCTION MATERIALS, AND CHEMICALS AND CHEMICAL
PRODUCTS ROSE BY 17.8% TO 54.7% IN 2Q 2008. SALES OF TIMBER, PAINTS AND         
CONSTRUCTION MATERIALS ROSE BY 8.7% OVER 2Q 2007.                               
                                                                                
CONVERSELY, DOMESTIC GENERAL WHOLESALE TRADE FELL BY 24.6%. WHOLESALE TRADE OF
FOOD, BEVERAGES AND TOBACCO, HOUSEHOLD EQUIPMENT AND FURNITURE, AND TRANSPORT   
EQUIPMENT FELL BY 7.7% TO 9.3%. DOMESTIC SALES OF ELECTRONIC COMPONENTS DECLINED
BY 4.3% IN 2Q 2008 WHILE TELECOMMUNICATIONS AND COMPUTERS REMAINED STABLE.      

                                                                                

FOREIGN WHOLESALE TRADE INDEX

                                                                                
FOREIGN WHOLESALE TRADE SALES ROSE BY 11.8% IN 2Q 2008 OVER 1Q 2008. EXCLUDING  PETROLEUM, SALES ROSE BY 4.7%.                                                  
                                                                                
AFTER SEASONAL ADJUSTMENT, FOREIGN SALES ROSE BY 6.7% OVER 1Q 2008. EXCLUDING PETROLEUM, SALES ROSE SLIGHTLY BY 1.0%.                                         
                                                                                
ON A YEAR-ON-YEAR BASIS, FOREIGN WHOLESALE SALES ROSE BY 28.4% OVER 1Q 2008.     EXCLUDING PETROLEUM, SALES ROSE BY 15.3%. AFTER REMOVING PRICE EFFECT, OVERSEAS  SALES ROSE SLIGHTLY BY 1.1% OVER 2Q 2007.
                                                                                
COMPARED TO 1Q 2008, FOREIGN SALES ROSE IN THE MAJORITY OF WHOLESALE SECTORS IN  2Q 2008.                                                                        
                                                                                
FOOD, BEVERAGES AND TOBACCO WHOLESALERS REPORTED HIGHER OVERSEAS SALES OF 21.9% IN 2Q 2008 OVER 1Q 2008, THE LARGEST INCREASE AMONG ALL SECTORS. IT WAS FOLLOWED BY PETROLEUM AND PETROLEUM PRODUCTS, AND HOUSEHOLD EQUIPMENT AND FURNITURE WITH INCREASES OF 19.4$ AND 16.1% RESPECTIVELY. FOREIGN SALES OF SHIP CHANDLERS AND   BUNKERING ROSE BY 8.1% IN 2Q 2008 OVER 1Q 2008.TIMBER, PAINTS AND CONSTRUCTION   MATERIALS, CHEMICALS AND CHEMICAL PRODUCTS, AND INDSUTRIAL AND CONSTRUCTION MACHINERY ALSO ROSE BY BETWEEN 5.8% TO 7.2%.                                    
                                                                                
AFTER ADJUSTING FOR PRICE INCREASES, THE SALES VOLUME OF PETROLEUM AND PETROLEUM
PRODUCTS, CHEMICALS AND CHEMICAL PRODUCTS, SHIP CHANDLERS AND BUNKERING          CONTRACTED COMPARED TO 1Q 2008.
                                                                                
CONVERSELY, FOREIGN SALES OF TELECOMMUNICATIONS AND COMPUTERS, AND GENERAL       WHOLESALE TRADE FELL IN 2Q 2008 OVER 1Q 2008. SALES OF ELECTRONIC COMPONENTS     REMAINED STABLE AS COMPARED TO 1Q 2008.
 
COMPARED TO A YEAR AGO, MOST WHOLESALE SECTORS REPORTED DOUBLE-DIGIT GROWTHS IN 
FOREIGN SALES IN 2Q 2008.                                                       
                                                                                
WHOLESALING OF FOOD, BEVERAGES AND TOBACCO CONTINUED TO RECORD HIGHER GROWTH     RATES IN FOREIGN SALES, WITH HIGHER TURNOVER OF 94.8% IN 2Q 2008 OVER A YEAR AGO. AFTER ADJUSTING FOR PRICES, SALES VOLUME ROSE BY 77.3% OVER A YEAR AGO.    
                                                                                
WITH HIGHER FUEL PRICES. WHOLESALE SECTORS OF PETROLEUM AND PETROLEUM PRODUCTS,  SHIP CHANDLERS AND BUNKERING REPORTED HIGHER FOREIGN SALES OF 43.7% AND 38.1%    RESPECTIVELY OVER A YEAR AGO. AFTER REMOVING PRICE EFFECT, THE SALES VOLUME OF PETROLEUM AND PETROLEUM PRODUCTS FELL BY 10.7% WHILE SALES VOLUME OF SHIP       
CHANDLERS AND BUNKERING DECLINED BY 13.6.                                       
                                                                                
GENERAL WHOLESALE TRADE, CHEMICALS AND CHEMICAL PRODUCTS, TRANSPORT EQUIPMENT,  
AND HOUSEHOLD EQUIPMENT AND FURNITURE, AND INDUSTRIAL AND CONSTRUCTION MACHINERY     ALSO REGISTERED STRONG SALES GROWTH OF BETWEEN 5.8% TO 24.7%.                   
                                                                                
CONVERSELY, FOREIGN SALES OF ELECTRONIC COMPONENTS, TIMBER, PAINTS AND           CONSTRUCTION MATERIALS, AND TELECOMMUNICATIONS AND COMPUTERS FELL BY 4.9% TO
8.6% IN 2Q 2008 COMPARED TO 2Q 2007.                                                 
                                                                                
     

                                                                          

NEWS

 
RETAIL SPENDING DOWN FOR THIRD STRAIGHT MONTH                                   
 
RETAIL SPENDING FELL FOR THE THIRD STRAIGHT MONTH IN AUGUST AS DEMAND FOR CARS   AND RECREATIONAL GOODS DROPPED AMID THE COUNTRY'S FIRST RECESSION SINCE 2002.  WHILE SPENDING ROSE 4.2% FROM AUGUST LAST YEAR, IT WAS 5.8% FROM JULY THIS YEAR, ACCORDING TO THE RETAIL SALES INDEX RELEASED BY THE DEPARTMENT OF STATISTICS
(DOS) YESTERDAY.                                                                
 
TOTAL RETAIL SALES IN AUGUST WERE ESTIMATED AT S$2.71 BILLION, DOWN FROM S$2.88  BILLION IN JULY.                                                                
 
THE SLOWDOWN IN SPENDING MEANT PEOPLE SPLASHED OUT LESS ON CARS, FURNITURE AND   HOUSEHOLD EQUIPMENT, PETROL, APPAREL, FOOTWEAR AND RECREATIONAL GOODS.
 
SALES FELL ACROSS THE BOARD FROM THEIR JULY TAKINGS, WITH DECLINES RANGING FROM 
3.6% TO 20.4%.                                                                  
 
BUT THERE WAS A DOUBLE-DIGIT RISE IN SALES OF BIG-TICKET LUXURY ITEMS.           TELECOMMUNICATIONS APPARATUS AND COMPUTER RETAILERS ENJOYED SALES GROWTH OF     
19.5%, WHILE THE WATCH AND JEWELLERY SECTOR'S RECEIPTS ROSE BY 13.6% IN JULY.
 
A RECENT STRAITS TIMES SURVEY OF 62 TENANTS IN SIX ORCHARD ROAD MALLS FOUND RETAIL REVENUES HAVE FALLEN BY AS MUCH AS 30.0% IN THE PAST THREE WEEKS, COINCIDING WITH THE BANK FAILURES, STOCK MARKET ROUTS AND GROWING FEARS OVER THE GLOBAL FINANICAL TURMOIL.        
                                               
SEVERAL STORES HAVE ALSO LAUNCHED MID-SEASON SALES, AN EXERCISE UNUSUALLY
UNDERTAKEN ONLY IN PARTICULARY SLOW PERIODS.                                    
 
THE AUGUST FIGURES WERE MORE ENCOURAGING, HOWEVER, WHEN COMPARED WITH THE SAME  
PERIOD LAST YEAR. VIRTUALLY ALL SEGMENTS, FROM DEPARTMENT STORES TO              SUPERMARKETS, REPORTED DOUBLE-DIGIT GROWTHS OF 11.2 TO 29.6%. HOWEVER, MOTOR     VEHICLE SALES FELL 12.9% AND RECREATIONAL GOODS SALES CONTRACTED BY 6.8%.
 
INFLATION MAY HAVE PUSHED SALES FIGURES UP. AFTER REMOVING THE EFFECT OF HIGHER PRICES, WHICH WOULD GIVE A HIGHER OVERALL SALES VALUE, RETAIL SALES ACTUALLY    
REMAINED UNCHANGED FROM A YEAR AGO.                                             
 
VALUE OF PETROL SALES IN MARCH SOARED 39%, AS A RESULT OF RISING CRUDE OIL PRICES, EVEN THOUGH THE ACTUAL VOLUME WAS ONLY MARGINALLY HIGHER.
 
PETROL STATION SALES POSTED THE FASTEST GROWTH OF ALL RETAIL SEGMENTS IN MARCH, 
ACCORDING TO FIGURES THE DEPARTMENT OF STATISTICS RELEASED YESTERDAY.  PETROL SALES ROSE 28.2% IN FEBRUARY.                                            
                                                                                
MOST RETAIL SEGMENTS POSTED HIGHER GROWTH MARCH AFTER A WEAKER SHOWING IN FEBRUARY FOR THE COMPUTERS, FURNITURE, OPTICAL GOODS AND BOOKS SEGMENTS. BUT    MOTOR VEHICLES FELL 8.1% FROM MARCH 2007 AS A RESULT OF THE ESCALATING PETROL   PRICES. CRUDE OIL HIT ALMOST US$127 A BARREL RECENTLY.                          
                                                                                
THE SUPERMARKET AND FOOD AND BEVERAGE SEGMENTS ALSO REPORTED LOWER SALES ACTIVITY THAN IN FEBRUARY, WITH FALLS OF 4.7% AND 11.9%, RESPECTIVELY.OVERALL RETAIL SALES ROSE BY 5.6% COMPARED TO MARCH 2007. EXCLUDING MOTOR VEHICLES, SALES VOLUME ROSE BY 12.5%.                                           
                                                                                
OCBC ECONOMIST SELENA LING NOTED THE RETAIL NUMBERS INDICATED RELATIVELY HEALTHY CONSUMER SPENDING. "THIS IS A TESTIMONY TO THE FACT THAT THE SINGAPOREAN ECONOMY IS STILL ENJOYING BROAD-BASED GROWTH DESPITE THE GLOBAL SLOWDOWN," SHE SAID. THE TOTAL VALUE OF RETAIL SALES IN MARCH WAS ESTIMATED AT S$2.89 BILLION, COMPARED WITH S$2.59 BILLION IN FEBRUARY.
 
 

OUTLOOK                                                                         

                                                                                
GENERALLY, THE MAJORITY OF WHOLESALERS, WITH A NET WEIGHTED BALANCE OF 55% OF    FIRMS, FORECASTS BUSINESS ACTIVITIES IN THE COMING MONTHS, TO REMAIN AT SIMILAR  LEVELS. FOR THE REMAINING WHOLESALE FIRMS, A WEIGHTED 22% OF THEM EXPECTS BETTER BUSINESS CONDITIONS TO IMPROVE. THESE FIRMS ARE MAINLY IN THE BUSINESS OF WHOLESALE TRADE OF INDUSTRIAL MACHINERY AND EQUIPMENT, ELECTRONIC COMPONENTS, AND COMPUTER AND ACCESSORIES. ON THE OTHER HAND, A WEIGHTED 23% OF WHOLESALERS, MAINLY FROM FOOD AND BEVERAGES, AND PETROLEUM AND PETROLEUM PRODUCTS, FORECAST  BUSINESS CONDITIONS TO DETERIORATE IN THE COMING MONTHS. ON THE WHOLE, A NET WEIGHTED BALANCE OF 1% OF FIRMS EXPECTS GENERAL BUSINESS OUTLOOK TO REMAIN LESS  FAVOURABLE.                                                                     
                                                                                
A NET WEIGHTED BALANCE OF 20% OF RETAILERS PREDICTS LESS FAVOURABLE BUSINESS     CONDITIONS FOR THE PERIOD ENDING DECEMBER 2008. MOTOR VEHICLES RETAILERS, AND JEWWELLERY AND WATCHES CONTINUE TO PREDICT SLOWER SALES IN THE MONTHS AHEAD.    
                                                                                
EXTRACTED FROM:                MINISTRY OF TRADE AND INDUSTRY, SINGAPORE                       
                                                             SINGAPORE DEPARTMENT OF STATISTICS                              
                                                             THE STRAITS TIMES
                                                                               

 

FOREIGN EXCHANGE RATES

 

Currency
Unit

Indian Rupees

US Dollar

1

Rs.48.99

UK Pound

1

Rs.72.14

Euro

1

Rs.61.57

 

 

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%)

 

 

 

 

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