MIRA INFORM REPORT
|
Report Date : |
27.04.2011 |
IDENTIFICATION DETAILS
|
Name : |
CHANGLE FOREIGN TRADE CORP. |
|
|
|
|
Registered Office : |
2nd
Floor, Building 1, No. 57, Zisheng Road, Wuhang Town, Changle City, Fujian Province, 350200 Pr
|
|
|
|
|
Country : |
China |
|
|
|
|
Financials (as on) : |
31.12.2009 |
|
|
|
|
Date of Incorporation : |
20.11.1990 |
|
|
|
|
Com. Reg. No.: |
350182100010185 |
|
|
|
|
Legal Form : |
State-Owned Enterprise |
|
|
|
|
Line of Business : |
International
Trade |
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 : |
USD 100,000 |
|
Status : |
Satisfactory |
|
Payment
Behaviour : |
No Complaints |
|
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) |
|
China |
a2 |
a2 |
|
Risk Category |
ECGC
Classification |
|
Insignificant |
A1 |
|
Low |
A2 |
|
Moderate |
B1 |
|
High |
B2 |
|
Very High |
C1 |
|
Restricted |
C2 |
|
Off-credit |
D |
Company name & address
CHANGLE
FOREIGN TRADE CORP.
2ND FLOOR, BUILDING 1, NO. 57, ZISHENG ROAD, WUHANG TOWN,
CHANGLE CITY, FUJIAN PROVINCE, 350200 PR
CHINA
TEL: 86 (0) 591-28929770/28825787 FAX:
86 (0) 591-28922379
EXECUTIVE SUMMARY
INCORPORATION DATE : NOV. 20, 1990
REGISTRATION NO. : 350182100010185
REGISTERED LEGAL FORM : STATE-OWNED ENTERPRISE
STAFF STRENGTH : 50
REGISTERED CAPITAL : CNY 6,890,000
BUSINESS LINE :
TRADING
TURNOVER :
CNY 364,383,000 (AS OF DEC. 31, 2009)
EQUITIES :
CNY 10,090,000 (AS OF DEC. 31, 2009)
PAYMENT :
AVERAGE
RECOMM. CREDIT RANGE : UP TO
USD 100,000
MARKET CONDITION :
COMPETITIVE
FINANCIAL CONDITION :
FAIRLY STABLE
OPERATIONAL TREND : STEADY
GENERAL REPUTATION :
AVERAGE
EXCHANGE RATE :
CNY 6.52=USD 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
Note: SC is also known as Changle Foreign Trade Corp., Fujian, China.
SC was registered as a state-owned enterprise at local Administration for Industry & Commerce (AIC-The official body of issuing and renewing business license) on Nov. 20, 1990.
Company Status: State-Owned
Enterprise This form of business in PR China is defined as a commodity
production or operational units of a socialist character which in
accordance with the law, has autonomy in management, takes full
responsibility for its profits and losses and practices independent
business accounting. It is a legal person established directly by central /
local government or enterprise owned by central or local government. In
theory, the liabilities of this form of enterprise are ultimately borne by
the government, since the adoption of company law in mid-1994, the Chinese
government has planned to separate the ownership from management and
liabilities bearing.
SC’s
registered business scope includes importing and exporting various commodities
and technologies, excluding items limited by the
State; processing with imported materials, processing with imported samples,
assembling with imported parts, and compensation trade in agreement, counter trade & transit trade; with permit if needed.
SC is mainly
engaged in international trade.
Mr. Zheng Chao has been legal representative and general manager of SC since 2003.
SC is known to have approx. 50 employees at present.
SC is currently operating at the above stated address, and this address houses its operating office in the commercial zone of Changle. The detailed information about the premise is unspecified.
http://www.changleforeigntrade.com/
The
design is professional and the content is well-organized. At present it is in
both Chinese and English versions.
Email: Vincent515@126.com
Changes
of its registered information:
|
Date of change |
Item |
Before the change |
After the change |
|
|
Legal representative |
Zheng Liangguan |
|
|
|
Legal representative |
Zheng Shisheng |
Present one |
|
Unknown |
Registration no. |
3501821100673 |
Present one |
SUPERIOR
DEPARTMENT:
Name
% of
shareholdings
Changle City Finance Bureau 100
l
Legal Representative and General Manager:
Mr. Zheng Chao , ID# 350126571008031, born in 1957. He is currently responsible for the overall management of SC.
Working Experience(s):
From 2003 to present Working in SC as legal representative and general manager.
SC is mainly
engaged in international trade.
SC’s products mainly include Lace Fabric and Netting, Fashionable Straw Hat , Shoes, etc.
SC sources its materials 100% from domestic
market. SC sells 20% of its products in domestic market and 80% to overseas
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.
Note:
SC’s management declined to release its major clients and suppliers.
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.
China
Construction Bank Fuzhou Chengdong Sub-branch
AC#:
360920800261056939
Relationship:
Normal.
Balance Sheet
Unit: CNY’000
|
|
As of Dec. 31,
2008 |
As of Dec. 31,
2009 |
|
6,659 |
1,603 |
|
|
Notes receivable |
0 |
0 |
|
Foreign exchange accounts receivable |
0 |
1,303 |
|
Inventory |
||
|
Accounts receivable |
||
|
Export tax rebate receivable |
2,765 |
7,360 |
|
Advances to suppliers |
18,963 |
39,036 |
|
Other accounts receivable |
181 |
40 |
|
832 |
832 |
|
|
|
------------------ |
------------------ |
|
37,079 |
56,974 |
|
|
Fixed assets net
value |
||
|
Project under
construction |
0 |
0 |
|
Long term
investment |
0 |
0 |
|
Long-term
prepaid expenses |
0 |
0 |
|
Intangible and
other assets |
0 |
0 |
|
|
------------------ |
------------------ |
|
Total assets |
58,664 |
|
|
|
============= |
============= |
|
Short loans |
9,700 |
14,500 |
|
0 |
1,303 |
|
|
7,346 |
7,645 |
|
|
Advances from
clients |
12,778 |
25,326 |
|
Accrued payroll |
123 |
191 |
|
Welfare payable |
0 |
0 |
|
Taxes payable |
-681 |
-516 |
|
0 |
0 |
|
|
Other accounts
payable |
516 |
125 |
|
Other current
liabilities |
0 |
0 |
|
Interest payable |
0 |
0 |
|
|
------------------ |
------------------ |
|
Current
liabilities |
||
|
0 |
0 |
|
|
|
------------------ |
------------------ |
|
Equities |
||
|
|
------------------ |
------------------ |
|
Total
liabilities & equities |
38,858 |
58,664 |
|
|
============= |
============= |
Income Statement
Unit: CNY’000
|
|
As of Dec. 31,
2008 |
As of Dec. 31,
2009 |
|
Turnover |
||
|
Cost of goods sold |
||
|
Other operation
income |
340 |
514 |
|
Sales expense |
1,236 |
1,487 |
|
Management expense |
1,567 |
1,707 |
|
Finance expense |
221 |
278 |
|
Subsidy income |
320 |
804 |
|
Non-operating
income |
161 |
0 |
|
Non-operating expense |
19 |
11 |
|
Profit before
tax |
1,227 |
1,516 |
|
307 |
394 |
|
|
Profits |
920 |
1,122 |
Important
Ratios
=============
|
|
As
of Dec. 31, 2008 |
As
of Dec. 31, 2009 |
|
*Current ratio |
1.25 |
1.17 |
|
*Quick ratio |
1.20 |
1.16 |
|
*Liabilities
to assets |
0.77 |
0.83 |
|
*Net profit
margin (%) |
0.27 |
0.31 |
|
*Return on
total assets (%) |
2.37 |
1.91 |
|
*Inventory
/Turnover ×365 |
2 days |
1 day |
|
*Accounts
receivable/Turnover ×365 |
7 days |
7 days |
|
*Turnover/Total
assets |
8.65 |
6.21 |
|
* Cost of
goods sold/Turnover |
0.99 |
0.99 |
PROFITABILITY:
AVERAGE
l
The turnover of SC appears fairly good in both 2
years.
l
SC’s net profit margin appears average in both 2
years.
l
SC’s return on total assets appears average in both
2 years.
l
SC’s cost of goods sold is high in both 2 years,
comparing with its turnover.
LIQUIDITY: AVERAGE
l
The current ratio of SC is maintained in a normal
level in both 2 years.
l
SC’s quick ratio is maintained in a normal level in
both 2 years.
l
The inventory of SC appears average in both 2
years.
l
The accounts receivable of SC appears average in
both 2years.
l
SC’s short-term loan appears fairly large in both 2
years.
l
SC’s turnover is in a fairly good level in both 2
years, comparing with the size of its total assets.
LEVERAGE: FAIR
l
The debt ratio of SC is fairly high in both 2
years.
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. The large amount of short term loan could be a threat to SC’s financial
condition. A credit line up to USD 100,000 would appear to be within SC’s
capacities.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.44.59 |
|
UK Pound |
1 |
Rs.73.44 |
|
Euro |
1 |
Rs.64.81 |
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 |
|
---- |
NB |
New Business |
---- |
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%)
This report is issued at your request without any
risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or
its officials.