MIRA INFORM
REPORT
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Report Date : |
17.01.2011 |
IDENTIFICATION DETAILS
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Correct Name : |
DALIAN RICH ENTERPRISES GROUP CO., LTD. |
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Registered Office : |
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Country : |
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Financials (as on) : |
31.12.2009 |
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Date of Incorporation : |
13.04.2000 |
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Com. Reg. No.: |
210200000009055 |
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Legal Form : |
Limited Liabilities Company |
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Line of Business : |
processing and Selling Seafood |
RATING & COMMENTS
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MIRA’s Rating : |
Ba |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
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Maximum Credit Limit : |
USD 125,000 |
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Status : |
Satisfactory |
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Payment
Behaviour : |
No Complaints |
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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 – June 30, 2010
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Country Name |
Previous Rating (01.04.2010) |
Current Rating (30.06.2010) |
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a2 |
a2 |
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Risk Category |
ECGC
Classification |
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Insignificant |
A1 |
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Low |
A2 |
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Moderate |
B1 |
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High |
B2 |
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Very High |
C1 |
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Restricted |
C2 |
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Off-credit |
D |
Company name & address
DALIAN RICH ENTERPRISES
GROUP CO., LTD.
TEL: 86 (0) 411-87109977 FAX: 86 (0) 411-87109955
EXECUTIVE SUMMARY
INCORPORATION
DATE : APR. 13, 2000
REGISTRATION
NO. : 210200000009055
REGISTERED
LEGAL FORM : LIMITED LIABILITIES CO.
STAFF
STRENGTH : 380
REGISTERED
CAPITAL :
CNY 25,000,000
BUSINESS LINE : PROCESSING
TURNOVER : CNY 157,030,000 (AS OF DEC. 31, 2009)
EQUITIES : CNY
22,740,000 (AS OF DEC. 31, 2009)
PAYMENT
: AVERAGE
RECOMM.
MARKET
CONDITION : COMPETITIVE
FINANCIAL CONDITION : FAIRLY STABLE
OPERATIONAL
TREND :
STEADY
GENERAL
REPUTATION : AVERAGE
EXCHANGE
RATE : CNY 6.59= USD 1
Adopted abbreviations
ANS - amount not stated
NS - not stated
SC - subject company (the company inquired by you)
NA - not available
CNY -
SC was registered as a Limited liabilities co. at local Administration for Industry & Commerce (AIC - The official body of issuing and renewing business license) on Apr. 13, 2000.
Company Status: Limited liabilities co. This form of business in PR
China is defined as a legal person. No more than fifty shareholders contribute its registered
capital jointly. Shareholders bear limited liability to the extent of
shareholding, and the co. is liable for its debts only to extent of its
total assets. The characteristics of this form of co. are as follows: Upon the establishment of the
co., an investment certificate is issued to the each of shareholders. The board of directors is
comprised of three to thirteen members. The minimum registered capital
for a co. is CNY 30,000. Shareholders may take their
capital contributions in cash or by means of tangible assets or intangible
assets such as industrial property and non-patented technology. Cash contributed by all
shareholders must account for at least 30% of the registered capital. Existing shareholders have
pre-exemption right to purchase shares of the co. offered for sale by the
other shareholders and to subscribe for the newly increased registered
capital of the co.
SC’s registered business scope includes processing,
storing and selling aquatic products; purchasing aquatic products; purchasing,
processing, storing and selling vegetable; import and export business;
processing and selling cold noodle; processing with canned seafood (limited to
operate in branch).
SC is mainly engaged in processing and
selling seafood.
Mr. Deng Entang is legal representative and
chairman of SC at present.
SC is known to have approx. 380 employees at
present.
SC is currently
operating at the above stated address, and this address houses its operating
office and factory in the industrial zone of Dalian. Our checks reveal that SC
owns the total premise, but SC’s accountant refused to release the gross area.
http://www.richseafood.com/ The design is professional and the content is
well organized. At present the web site is in Chinese and English versions.
E-mail: info@richseafood.com
According to SC’s
website, SC’s former name was Dalian Rich Seafood Co., Ltd.
Changes of its registered
information are as follows:
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Date of change |
Item |
Before the change |
After the change |
|
2009 |
Registered capital |
CNY 8,000,000 |
CNY 15,000,000 |
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2010 |
Registered capital |
CNY 15,000,000 |
Present amount |
SC has got ISO
9001:2000 Certificate.
MAIN SHAREHOLDERS:
Name % of Shareholding
Deng Entang 81
Liang Qiu 19
l
Legal
representative and chairman:
Mr. Deng Entang,
with university education. He is currently responsible for the overall
management of SC.
Working Experience(s):
At present Working in SC as legal representative and chairman.
l
Supervisor:
Liang Qiu
SC is mainly engaged in processing and
selling seafood.
SC’s products mainly include Alaska Pollock fillet,
Chum & Pink salmon fillets, etc.
SC sources its materials 80% from domestic
market and 20% from overseas market. SC sells 50% in domestic market and 50% to
overseas market.
The buying terms of
SC include Check, T/T, L/C and Credit of 30-60 days. The payment terms of SC
include Check, T/T, L/C and Credit of 30-60 days.
Subsidiaries:
(according to SC’s website)
==============================
· Dalian Rich Hengye International Trade Co., Ltd.
· Dalianwan Fish Market Co., Ltd.
·
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.
SC’s accountant refused to release the bank details.
Balance Sheet
Unit: CNY’000
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As of Dec. 31, 2008 |
As of Dec. 31, 2009 |
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Cash & bank |
9,910 |
3,690 |
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Inventory |
26,420 |
36,950 |
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Bills receivable |
0 |
0 |
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Accounts receivable |
4,400 |
30,240 |
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Advances to suppliers |
620 |
350 |
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Other receivables |
2,130 |
2,530 |
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Other current assets |
60 |
0 |
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------------------ |
------------------ |
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Current assets |
43,540 |
73,760 |
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Fixed assets net value |
10,870 |
13,200 |
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Long term investment |
0 |
3,900 |
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Projects under construction |
0 |
0 |
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Intangible and other assets |
0 |
2,730 |
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------------------ |
------------------ |
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Total assets |
54,410 |
93,590 |
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=========== |
=========== |
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Short loan |
1,900 |
19,950 |
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Accounts payable |
24,520 |
20,520 |
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Bills payable |
0 |
0 |
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Advances from clients |
30 |
500 |
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Taxes payable |
-1,090 |
-630 |
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Other Accounts payable |
15,980 |
29,670 |
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Other current liabilities |
530 |
840 |
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------------------ |
------------------ |
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Current liabilities |
41,870 |
70,850 |
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Long term liabilities |
0 |
0 |
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------------------ |
------------------ |
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Total liabilities |
41,870 |
70,850 |
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Equities |
12,540 |
22,740 |
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------------------ |
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Total liabilities & equities |
54,410 |
93,590 |
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Income Statement
Unit: CNY’000
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As of Dec. 31, 2009 |
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Turnover |
157,030 |
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Cost of goods sold |
148,470 |
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Sales expense |
1,990 |
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Management expense |
3,080 |
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Finance expense |
400 |
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Profit before tax |
3,090 |
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Less: profit tax |
80 |
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Profits |
3,010 |
Important Ratios
=============
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As of Dec. 31, 2008 |
As of Dec. 31, 2009 |
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*Current ratio |
1.04 |
1.04 |
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*Quick ratio |
0.41 |
0.52 |
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*Liabilities to assets |
0.77 |
0.76 |
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*Net profit margin (%) |
/ |
1.92 |
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*Return on total assets (%) |
/ |
3.22 |
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*Inventory /Turnover ×365 |
/ |
86 days |
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*Accounts receivable/Turnover ×365 |
/ |
70 days |
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*Turnover/Total assets |
/ |
1.68 |
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* Cost of goods sold/Turnover |
/ |
0.95 |
PROFITABILITY: FAIRLY GOOD
l
The
turnover of SC appears fairly good in 2009.
l
SC’s net
profit margin is average in 2009.
l
SC’s
return on total assets is fairly good in 2009.
l
SC’s
cost of goods sold is high, comparing with its turnover.
LIQUIDITY: FAIR
l
The
current ratio of SC is maintained in a normal level.
l
SC’s
quick ratio is maintained in a fair level.
l
The
inventory of SC appears fairly large.
l
The
accounts receivable of SC appears average in 2008 and fairly large in 2009.
l
The
short-term loan of SC appears average in 2008 and fairly large in 2009.
l
SC’s
turnover is in an average level, comparing with the size of its total assets in
2009.
LEVERAGE: AVERAGE
l
The debt
ratio of SC is fairly high.
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 inventory could be a threat to SC’s financial condition. The given
credit amount would appear to be within SC’s capacities upon a periodical
review basis.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
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Indian Rupees |
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US Dollar |
1 |
Rs.45.30 |
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|
1 |
Rs.71.73 |
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Euro |
1 |
Rs.60.40 |
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 |
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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NB |
New Business |
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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%)
This report is issued at your request without any
risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL)
or its officials.