MIRA
INFORM REPORT
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Report Date : |
23.10.2008 |
IDENTIFICATION DETAILS
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Name : |
shijiangzhuang green carbon products Co., Ltd. |
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Registered Office : |
23D, East Suit,
Fuyuan Bldg, No. 260-1 Heping East Road,
Shijiazhuang, Hebei Province, 050031 Pr |
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Country : |
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Financials (as on) : |
31.12.2007 |
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Date of Incorporation : |
01.02. 2000 |
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Com. Reg. No.: |
130100400008098 |
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Legal Form : |
Chinese-Foreign Equity Joint Venture |
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Line of Business : |
Manufacturing, Processing and Selling Carbon Products, Refractory
Materials, etc. |
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 8,000 |
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Status : |
Small Company |
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Payment Behaviour : |
No Complaints |
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Litigation : |
Clear |
name & address
shijiangzhuang green carbon products Co., Ltd.
23D, EAST SUIT,
FUYUAN BLDG, NO.
TEL: c
EXECUTIVE SUMMARY
INCORPORATION DATE : FEBRUARY 1, 2000
REGISTRATION NO. : 130100400008098
REGISTERED LEGAL FORM : CHINESE-FOREIGN EQUITY
JOINT VENTURE
STAFF STRENGTH :
25
REGISTERED CAPITAL :
USD 180,000
BUSINESS LINE :
PROCESSING
TURNOVER :
CNY 12,170,000 (AS OF DEC. 31, 2007)
EQUITIES :
CNY 1,280,000 (AS OF DEC. 31, 2007)
PAYMENT :
AVERAGE
RECOMM.
MARKET CONDITION : AVERAGE
FINANCIAL CONDITION : fairly STABLE
OPERATIONAL TREND : FAIRLY STEADY
GENERAL REPUTATION : AVERAGE
EXCHANGE RATE :
CNY
6.8355 = US$ 1
Adopted abbreviations:
ANS - amount not stated
NS - not stated
SC - subject company (the company inquired by you)
NA - not available
CNY -
Company Status: Chinese-foreign equity joint venture
enterprise This form of business in PR China
is defined as a legal person. It is a limited co. jointly invested by one
or more foreign companies and one or more PR China controlled companies
within the territories of PR China according to a certain proportion of
capital investment. The investing parties exercise business management,
share profits and bear all risks and liabilities of the co. together. The
equity joint venture law requires that foreign party contribute not less
than 25% of the registered capital, with no maximum. The investing parties
are free to agree on method of profit distribution and liabilities bearing
according to the proportion of capital investment. Each investing parties
contributes funds, tangible assets, technology & etc. The board of
directors excises the high authority. The joint venture usually has a
limited duration of 10 to 50 years. Enterprise with large investment, long
construction periods, low investment returns, introducing of advanced
technology & advanced technology products that have good competition position
in international market may extend beyond the 50 years limit.
SC was
registered as a Chinese-foreign equity
joint venture enterprise at local Administration for Industry &
Commerce (AIC - The official body of issuing and renewing business license) on February
1, 2000.
SC’s registered
business scope includes manufacturing carbon products, fine manufacturing and
processing of amino acid series products; selling self-made products.
SC is mainly
engaged in simple manufacturing, processing and selling carbon products,
refractory materials, etc.
Mr. Wu Jingbo has
been legal representative and chairman of SC since February, 2000.
SC is known to have approx. 25 employees at present.
SC is
currently operating at the above stated address, and this address houses its
operating office and head office in the commercial zone of Shijiazhuang. Our
checks reveal that SC rents the total premise, but SC’s accountant refused to
release the gross area.
http://www.carbon-metal.com/
The design is professional and the content is well organized. At present it is
in both Chinese and English versions.
Email: carbon@heinfo.net
Note: The address in the website is SC’s former address.
No significant events or changes were found during our checks with the
local Administration for Industry and Commerce.
MAIN SHAREHOLDERS:
Name %
of Shareholding
Hebei Jigong Industry Co., Ltd. (in Chinese
Pinyin) 70
Bixing Wu (Belizean) 30
l
Legal representative, chairman and general
manager:
Mr. Wu Jingbo, born in 1965. He is currently responsible for the overall
management of SC.
Working Experience(s):
From 2000 to present Working
in SC as chairman, legal representative and general manager.
SC is mainly
engaged in simple manufacturing, processing and selling carbon products,
refractory materials, etc.
Main Products:
carbon products, refractory materials, graphite electrode, steel wire, etc.
SC sources its materials 100% from domestic
market. SC sells 10% of its products in domestic market, and 90% to overseas
market, mainly Korean market.
The buying terms of SC include Check, T/T and Credit of 30-60 days. The
payment terms of SC include Check, T/T, L/C and Credit of 30-60 days.
SC is known to have the following office:
Shijiangzhuang Green Carbon Products Co., Ltd.
Heping Road Office
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.
CITIC Bank of
AC#72411018240002878
Relationship:
Balance Sheet
Unit: CNY’000
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as of Dec. 31,
2006 |
as of Dec. 31,
2007 |
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Cash & bank |
20 |
50 |
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Inventory |
2,580 |
2,760 |
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Accounts
receivable |
1,340 |
950 |
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Advances to
supplies |
0 |
0 |
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Other
receivables |
0 |
0 |
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Subsidies
receivable |
880 |
200 |
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Prepaid expenses |
0 |
30 |
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Other current
assets |
30 |
10 |
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------------------ |
------------------ |
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Current assets |
4,850 |
4,000 |
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Fixed assets net
value |
1,030 |
930 |
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Projects under
construction |
0 |
0 |
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Long-term
investments |
0 |
0 |
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Intangible
assets |
20 |
20 |
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Other assets |
0 |
0 |
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------------------ |
------------------ |
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Total assets |
5,900 |
4,950 |
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============= |
============= |
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Short loans |
250 |
250 |
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Accounts payable |
1,110 |
1,290 |
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Advances from
customers |
0 |
0 |
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Accrued payroll |
50 |
0 |
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Welfares payable |
0 |
0 |
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Taxes payable |
-190 |
-80 |
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Other Accounts
payable |
3,590 |
2,210 |
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Accrued expenses |
10 |
0 |
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Other current
liabilities |
0 |
0 |
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----------------- |
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Current
liabilities |
4,820 |
3,670 |
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Long term
liabilities |
0 |
0 |
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------------------ |
------------------ |
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Total
liabilities |
4,820 |
3,670 |
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Shareholders
equities |
1,080 |
1,280 |
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Total
liabilities & equities |
5,900 |
4,950 |
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Income Statement (as of Dec. 31, 2007)
Unit: CNY’000
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Turnover |
12,170 |
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Cost of goods
sold |
11,630 |
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Sales expense |
160 |
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Management expense |
360 |
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Finance expense |
-150 |
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Non-operating
income |
40 |
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Profit before
tax |
190 |
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Less: profit tax |
0 |
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Profits |
190 |
Important Ratios
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as of Dec. 31,
2006 |
as of Dec. 31,
2007 |
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*Current ratio |
1.01 |
1.09 |
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*Quick ratio |
0.47 |
0.34 |
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*Liabilities
to assets |
0.82 |
0.74 |
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*Net profit
margin (%) |
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1.56 |
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*Return on
total assets (%) |
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3.84 |
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*Inventory
/Turnover ×365 |
days |
83 days |
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*Accounts
receivable/Turnover ×365 |
days |
29 days |
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*Turnover/Total
assets |
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2.46 |
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* Cost of
goods sold/Turnover |
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0.96 |
PROFITABILITY:
AVERAGE
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The turnover of SC appears average in its line.
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SC’s net profit margin is average.
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SC’s return on total assets is average.
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SC’s cost of goods sold is fairly high, comparing
with its turnover.
LIQUIDITY: FAIR
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The current ratio of SC is maintained in a normal
level in both two years.
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SC’s quick ratio is maintained in a fair level in
both two years.
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The inventory of SC appears fairly large in both
two years.
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The accounts receivable of SC is maintained in an
average level.
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SC’s short-term loan is in an average level in both
two years.
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SC’s turnover is in an average level, comparing
with the size of its total assets.
LEVERAGE: AVERAGE
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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. The large amount of inventory could be a threat to SC’s financial
condition. A credit line up to USD 8,000 would appear to be within SC’s
capacities upon a periodical review basis.
FOREIGN EXCHANGE RATES
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Currency |
Unit
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Indian Rupees |
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US Dollar |
1 |
Rs.49.79 |
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1 |
Rs.81.27 |
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Euro |
1 |
Rs.63.91 |
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%)