MIRA INFORM REPORT

 

 

Report Date :           

07.04.2011

 

IDENTIFICATION DETAILS

 

Name :

P.T. MAHAMERU CENTRATAMA SPINNING MILLS

 

 

Registered Office :

Jalan Cisirung Km 2, (Jl. Mohamad Toha Km. 6.5), Bandung 40227, West Java

 

 

Country :

Indonesia

 

 

Date of Incorporation :

08.03.1988

 

 

Com. Reg. No.:

No. AHU-AH.01.10-21111

 

 

Legal Form :

Limited Liability Company

 

 

Line of Business :

Spinning Mill Industry

 

RATING & COMMENTS

 

MIRA’s Rating :

Ba

 

RATING

STATUS

PROPOSED CREDIT LINE

41-55

Ba

Overall operation is considered normal. Capable to meet normal commitments.

Satisfactory

 

Maximum Credit Limit :

US$ 1,690,000

 

 

Status :

Satisfactory

 

 

Payment Behaviour :

Usually Correct

 

 

Litigation :

Clear

 

NOTES :

Any query related to this report can be made on e-mail : infodept@mirainform.com while quoting report number, name and date.

 

 

ECGC Country Risk Classification List – December 31, 2010

 

Country Name

Previous Rating

                   (30.09.2010)                  

Current Rating

(31.12.2010)

Indonesia

b1

b1

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 

Name of Company  

 

P.T. MAHAMERU CENTRATAMA SPINNING MILLS

 

 

company Address

 

Head Office & Factiry

Jalan Cisirung Km 2

(Jl. Mohamad Toha Km. 6.5)

Bandung 40227

West Java -Indonesia

Phones             - (62-22) 520 5777(Hunting)

Fax                   - (62-22) 520 3030

Land Area         - 1.6 hectares

Building Space  - 0.7 hectares

Region              - Industrial Zone

Status               - Owned

 

 

Date of Incorporation

 

08 March 1988

                                  

 

Legal Form

 

P.T. (Perseroan Terbatas) or Limited Liability Company

 

                                                       

Company Reg. No.

 

The Ministry of Law and Human Rights

  a.  No. AHU-32138.AH.01.02.Tahun 2010

      Dated 24 June 2010

  b.  No. AHU-AH.01.10-21111

      Dated 18 August 2010

 

 

Company Status

 

Domestic Investment Company (PMDN)

           

Permit by the Government Department

 

The Department of Finance

NPWP No. 02.736.588.1-445.000

 

The Investment Coordinating Board

No. 70/I/PMDN/1989

Dated 06 February 1989

 

 

Related Company

 

P.T. HIMALAYA TUNAS TEXINDO (Textile Industry)

 

 

CAPITAL AND OWNERSHIP

 

Capital Structure :

Authorized Capital             - Rp. 25,000,000,000.-

Issued Capital                   - Rp. 14,020,000,000.-

Paid up Capital                 - Rp. 14,020,000,000.-

 

Shareholders/Owners :

a. Mr. Ray Lumanta                                 - Rp. 2,804,000,000.- (20%)

    Address : Jl. Alam Kanayakan Town House I

                    Bandung, West Java

                    Indonesia

b. Mrs. Yulianti Tanurachman                 - Rp. 2,804,000,000.- (20%)

    Address : Jl. Hegarmanah No. 21

                    Bandung, West Java

                    Indonesia

c. Mrs. DR. Agnes Christina Margono - Rp. 2,804,000,000.- (20%)

    Address : Jl. Banda No. 14

                    Bandung, West Java

                    Indonesia

d. Mrs. Agustina Lusiana Lumanta      - Rp. 2,804,000,000.- (20%)

    Address : Jl. Simprug Garden VI/B.1-2

                    South Jakarta

                    Indonesia

e. Mrs. Kristianty Lumanta                       - Rp. 2,804,000,000.- (20%)

    Address : Jl. Alam Kanayakan No. 44

                    Bandung, West Java

                    Indonesia

 

BUSINESS ACTIVITIES

 

Lines of Business :

Spinning Mill Industry

 

Production Capacity :

Yarns 10/s O.E.   – 42,000 bales p.a.

 

Total Investment :

a. Equity Capital            - Rp. 14.0 billion

b. Loan Capital              - Rp. 30.0 billion

c. Total Investment         - Rp. 44.0 billion

 

Started Operation :

1972

 

Brand Name :

None

 

Technical Assistance :

None

 

Number of Employee :

260 persons                                   

 

Marketing Area :

Local    - 100%

 

Main Customers :

a. PT. Himalaya Tunas Texindo

b. PT. Bintang Harapan

c. Etc.

 

Market Situation :

Very Competitive

 

Main Competitors :                         

a. P.T. Apak Inti Corpora

b. P.T. Argo Manunggal

c. P.T. Fuji Palapa Textile

d. P.T. Panasia Indosyntex

e. P.T. Sunrise Bumi Textile

 

Business Trend :

Fluctuating

 

BANKER, AUDITOR & LITIGATION

 

Bankers :

a.   P.T. Bank NEGARA INDONESIA Tbk

      Jl. Jend. Sudirman No. 931

      Bandung, West Java

      Indonesia

 

b.   P.T. Bank CENTRAL ASIA Tbk

      Jl. Astana Anyar No. 128

      Bandung, West Java

      Indonesia

 

Auditor :

Internal Auditor

           

Litigation :

No litigation record in our database and local courts

 

 

FINANCIAL FIGURE

 

Annual Sales (estimated) :

2007 – Rp. 136.0 billion

2008 – Rp. 148.6 billion

2009 – Rp. 134.0 billion

2010 – Rp. 122.0 billion

 

Net Profit (estimated) :

2007 – Rp. 3.4 billion

2008 – Rp. 3.7 billion

2009 – Rp. 3.3 billion

2010 – Rp. 2.4 billion

           

Payment Manner :

Almost promptly

 

Financial Comments :

Satisfactory

 

 

KEY EXECUTIVES

 

Board of Management :

Director                                           - Mr. Ray Lumanta

                                                                                                           

Board of Commissioners :

President Commissioner                   - Mrs. DR. Agnes Christina Margono

Commissioners                                - a. Mrs. Yulianti Tanurachman

                                                        b. Mrs. Agustina Lusiana Lumanta

                                                        c. Mrs. Kristianty Lumanta

                                                                                                           

Signatories :

The Director (Mr. Ray Lumanta) which must be approved by Board of Commissioners

 

 

CAPABILITIES

 

Management Capability :

Satisfactory

 

Business Morality :

Satisfactory

 

Credit Risk :

Above average

 

Credit Recommendation :

Credit should be extended under guarantee

 

Proposed Credit Limit :

C.O.D. To small amount

 

Maximum Credit Limit :

US$ 1,690,000 on 90 days D/A

 

 

OVERALL PERFORMANCE

 

P.T. MAHAMERU CENTRATAMA SPINNING MILLS (P.T. MCSM) was established in 1988 with an authorized capital of Rp. 5,000,000,000 of which Rp. 1,000,000,000 was issued and fully paid up.  The founding shareholders of the company are Mr. Husen Lumanta and his young brothers Mr. Tarsipin Lumanta, Mr. Mansur Yansen Lumanta and Mr. Ating Lumantan.  They are Chinese origin Indonesian business family.  The company's notarial act was since revised a number of times.  In 2000’s the authorized capital was raised to Rp. 25,000,000,000.- of which Rp. 12,626,764,000.- was issued and paid up.  The latest in May 2010, the issued capital was raised to Rp. 14,020,000,000.- entirely paid up.   Since the time, shareholders of the company are Mr. Ray Lumanta (20%), Mrs. Ylianti Tanurachman (20%), Mrs. DR. Agnes Christina Margono (20%), Mrs. Agustina Lusiana Lumanta (20%) and Mrs. Kristianty Lumanta (20%).  The deed of amendment was made by Mrs. Irene Ratnaningsih Handoko, SH., a public notary in Bandung and it was approved by the Ministry of Law and Human Right in its Decision Letter No. AHU-32138.AH.01.02.TH.2010 dated 24 June 2010 and No. AHU-AH.01.10-21111 dated 18 August 2010. No changes have been effected in term of its shareholding composition and capital structures to date.

 

P.T. MCSM operates under Domestic Investment (PMDN) facilities in the spinning mill industry, with its plant located at Jalan Cisirung Km. 2, (Moh. Toha Km. 6,5) Bandung,  West  Java where  it stands on a  1.26hectare  land.   Already in operation since 1972, the plant has been expanded several times.  The company produced yarns 10/s O.E 42,000 bales per annum.   The spinning mills has used up an investment of Rp  44.0 billion, of which Rp 14.0 billion was derived from company capital and the balance from loans. Some 80% of the  company's production is absorbed by his sister company P.T. HIMALAYA TUNAS TEXINDO and the rest being marketed  to textile  industries operating in Jakarta, Bandung (West Java) and Semarang (Central Java). We observed that P.T. MCSM is classified as a medium sized company of its kind in the country of which the operation has been declining in the last three years.

 

Generally, demand for textile and textile products, including polyester textured yarn, finished fabrics, garment, textile chemicals, and raw materials has been fluctuating in the last five years.  According to the Central Bureau of Statistics (BPS) the Indonesian garments export in 2002 amounted to 333,100 tons (US$ 3,887.2 million) to 339,000 tons (US$ 4,037.9 million) in 2003 to 327.300 tons (US$ 4,351.9 million) in 2004 to 369.500 tons (US$ 4,967.0 million) in 2005 to 399,600 tons (US$ 5,608.1 million) in 2006, to 399,800 tons (US$ 5,712.9 million) in 2007 to 417,600 tons (US$ 6,092.2 million) in 2008 and declined to 393,400 tons (US$ 5,735.6 million) in 2009.  The Indonesia textile products export in 2002 amounted to 1,425.9 tons (US$ 3,075.9 million) to 1,307.5 tons (US$ 3,064.6 million) in 2003 to 1,300.4 tons (US$ 3,354.6 million) in 2004 to 1,427.3 tons (US$ 3,704.0 million) in 2005 to 1,477.800 tons (US$ 3,908.6 million) in 2006 to 1,473.6 tons (US$ 4,178.0 million) in 2007 declined to 1,312,200 tons (US$ 4,127.9 million) in 2008 and rose again to 1,369,600 tons (US$ 3,602.8 million) in 2009.

 

 

The export volume and value of the national TPT products in 2002 to 2009 are pictured on the following table.

     

      Year

Garment

Textile Products

(Thousand Ton)

(US$ Million)

(Thousand Ton)

(US$ Million)

2002

2003

2004

2005

2006

2007

2008

2009

333.1

339.9

327.3

369.5

399.6

399.8

417.6

393.4

3,887.2

4,037.9

4,351.9

4,967.0

5,608.1

5,712.9

6,092.2

5,735.6

1,425.9

1,307.5

1,300.4

1,427.3

1,477.8

1,473.6

1,312.2

1,369.6

3,075.9

3,064.6

3,354.6

3,704.0

3,908.6

4,178.0

4,127.9

3,602.8

Source: Central Bureau of Statistic

 

Until this time P.T. MCSM has not been listed in the Indonesian Stock Exchange so that the company shall not obliged to announce its financial statement to the public. We estimate that total sales turnover of P.T. MCSM in 2008 was estimated at Rp 148.0 billion declined to Rp 148.0 billion in 2009 and declined again to Rp 122.0 billion in 2010.  The operation in 2010 yielded an estimated net profit at Rp 2.4 billion and the company has an estimated total net worth at around Rp 45.0 billion.  So far we did not hear that the P.T. MCSM has been black listed by Bank Indonesia (Central Bank) or having detrimental cases being settled in local district court.  The company usually pays its debts punctually to suppliers.

 

P.T. MCSM's management is led by Mr. Ray Lumanta (30), a young businessman with ample experience in trading and spinning mills. He is a son of Mr. Husen Lumanta (61), the founder and prime-mover of P.T. HIMALAYA TUNAS TEXINDO.  The management is well experienced and  handled by professional managers in the above business having maintained wide relation with home and overseas private businessmen  as well as with the government sector.  So far, we have never yet come across reports on involvement of P.T. MCSM's management in any fraudulent dealings.

 

Considering the company’s operation is declining in the last three years and unstable economic condition in the country, we recommend to treat extra prudently in extending any new loans to P.T. MCSM.

 

 

FOREIGN EXCHANGE RATES

 

Currency
Unit

Indian Rupees

US Dollar

1

Rs.44.22

UK Pound

1

Rs.72.25

Euro

1

Rs.63.09

 

 

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

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

 

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%)

 

 

 

 

PRIVATE & CONFIDENTIAL : This information is provided to you at your request, you having employed MIPL for such purpose. You will use the information as aid only in determining the propriety of giving credit and generally as an aid to your business and for no other purpose. You will hold the information in strict confidence, and shall not reveal it or make it known to the subject persons, firms or corporations or to any other. MIPL does not warrant the correctness of the information as you hold it free of any liability whatsoever. You will be liable to and indemnify MIPL for any loss, damage or expense, occasioned by your breach or non observance of any one, or more of these conditions

This report is issued at your request without any risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or its officials.