MIRA INFORM REPORT
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Report Date : |
29.07.2011 |
IDENTIFICATION DETAILS
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Name : |
P.T. LP DISPLAYS INDONESIA |
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Formerly Known As : |
P.T. LG PHILIPS DISPLAYS INDONESIA |
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Registered Office : |
MM 2100 Industrial Town Block G, (Kawasan Industri MM2100 Blok G), Desa Gandameka – Cikarang Barat, Cibitung, Bekasi 17520, West Java |
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Country : |
Indonesia |
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Date of Incorporation : |
16.04.2001 |
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Com. Reg. No.: |
No.
AHU-AH.01.10-18829 |
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Legal Form : |
Limited
Liability Company |
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Line of Business : |
Color Picture
Tube Manufacturing |
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 : |
US$ 20,000,000 |
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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 – March 31st, 2011
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Country Name |
Previous Rating (31.12.2010) |
Current Rating (31.03.2011) |
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Indonesia |
b1 |
b1 |
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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 |
Name of Company
P.T. LP DISPLAYS
INDONESIA
company Address
Head Office &
Factory
MM 2100
Industrial Town Block G
(Kawasan Industri MM2100 Blok G)
Desa Gandameka – Cikarang Barat
Cibitung, Bekasi 17520
West Java
Indonesia
Phones -
(62-21) 8989534, 8989548 (Hunting)
Fax - (62-21) 8982343, 8989524
Land Area - 50,000 sq.
meters
Office Space - 37,000 sq.
meters
Region - Industrial
Estate
Status - Owned
Date of Incorporation
a. 16 April 2001 as P.T. LG PHILIPS DISPLAYS
INDONESIA
b. 13 April 2007 as P.T. LP DISPLAYS INDONESIA
Legal Form
P.T. (Perseroan
Terbatas) or Limited Liability Company
Company Reg. No.
The Ministry of
Law and Human Rights
No.
AHU-AH.01.10-18829
Dated 28 October
2009
Company Status
Foreign
Investment (PMA) Company
Permit by the Government
Department
The Department of
Finance
NPWP No.
01.868.712.9-431.001
The Capital
Investment Coordinating Board
- No. 162/I/PMA/2001
Dated 7 March 2001
- No. 672/III/PMA/2001
Dated 5 June 2001
- No. 809/III/PMA/2001
Dated 26 June 2001
- No. 237/III/PMA/2005
Dated 16 March 2005
- No. 221/III/PMA/2006
Dated 23 February 2006
The Department of
Industry
No.
389/T/Industri/2005
Dated 18 May 2005
Related Company
P.T. LG
ELECTRONIC INDONESIA (Electronic and Electrical Household Appliances
Assembling)
CAPITAL AND OWNERSHIP
Capital
Structure :
Authorized
Capital : US$
380,000,000.-
Issued Capital : US$ 97,000,000.-
Paid up Capital : US$ 97,000,000.-
Shareholders/Owners
:
MGA HOLDING
CORPORATION LIMITED -
US$ 97,000,000.-
Address : Hong Kong
China
BUSINESS ACTIVITIES
Lines of
Business :
Color Picture
Tube Manufacturing
Production
Capacity :
a. Color Picture Tube (CPT) -
5.0 million pieces p.a.
b. Color Display Tube (CDT) -
2.0 million pieces p.a.
c. Deflection Yoke (DY) - 6.0
million pieces p.a.
d. Electric Gun (E-Gun) - 10.0 million pieces p.a.
Total
Investment :
a. Equity Capital - US$
97.0 million
b. Loan Capital -
US$ 39.8 million
c. Total Investment - US$ 136.8 million
Started
Operation :
August 2001
Brand Name :
LP Displays
Technical
Assistance :
Mega Holding
Corporation Limited, Hong Kong
Number of
Employee :
1,500 persons
Marketing Area
:
Export - 90%
Local - 10%
Main Customer
:
Buyers in South
Korea
Market
Situation :
Very Competitive
Main
Competitor :
P.T. MT PICTURE
DISPLAY INDONESIA
Business Trend
:
Growing
BANKER, AUDITOR & LITIGATION
Bankers :
a. CITIBANK
N.A.
Citibank Tower
Jalan Jend. Sudirman Kav. 54-55
Jakarta Selatan - Indonesia
b. P.T. Bank KEB INDONESIA
Jalan Jend. Sudirman No. 28
Jakarta 10220
- Indonesia
c. P.T. Bank WOORI INDONESIA
Jakarta Stock Exchange Building 16th
Floor
Jalan Jend. Sudirman Kav. 52
Jakarta 12190
- Indonesia
d. P.T. Bank CENTRAL ASIA Tbk
Wisma BCA
Jalan Jend.
Sudirman KAv. 22-23
Jakarta
Selatan - Indonesia
Auditor :
Internal Auditor
Litigation :
No litigation
record in our database
FINANCIAL FIGURE
Annual Sales
(estimated) :
2008 – Rp.
2,220.0 billion
2009 – Rp.
2,300.0 billion
2010 – Rp.
2,400.0 billion
Net Profit
(estimated) :
2008 – Rp. 177.6
billion
2009 – Rp. 195.5
billion
2010 – Rp. 207.4
billion
Payment Manner
:
Average
Financial
Comments :
Satisfactory
KEY EXECUTIVES
Board of Management :
President Director - Mr. Ju-Tae Park
Director -
Mr. Tae-Gyou Park
Board of Commissioners :
President Commissioner -
Mr. Soo-Dyeog Han
Commissioner -
Mr. Deok-Sik Moon
Signatories :
President Director (Mr.
Ju-Tae Park) or the Director (Mr. Tae-Gyou Park) which must be approved by
Board of Commissioner
CAPABILITIES
Management Capability :
Good
Business Morality :
Good
Credit Risk :
Average
Credit Recommendation :
Credit should be proceeded with monitor
Proposed
Credit Limit :
Small amount –
periodical review
Maximum Credit Limit :
US$ 20,000,000 on
90 days D/A
OVERALL PERFORMANCE
Originally named P.T. LG PHILIPS DISPLAYS INDONESIA was established in
Bekasi, West Java in April 2001 with the authorized capital of US$ 55,000,000
issued capital of US$ 27,500,000 wholly paid up. Founders and original
shareholders originally are LG ELECTRONICS INC., of South Korea and Mr. Kim Kee
In, a South Korean businessman. The company notary documents had been changed a
couple of times. In June 2001, LG ELECTRONICS INC., of South Korea pulled out
and replaced by its sister company LG PHILIPS DISPLAYS CHINA BV., of the
Netherlands and concurrently the authorized capital was increased to US$
380,000,000 issued capital to US$ 97,000,000 wholly paid up. In March 2005, LG
PHILIPS DISPLAYS INVESTMENTS of Netherlands entered into the company as new
shareholder. Later in April 2007 the company was changed to P.T. LP DISPLAYS
INDONESIA (P.T. LPDI). Then in September 2008 LG PHILIPS DISPLAYS CHINA B.V,
was changed to LP DISPLAYS INTERNATIONAL B.V., of Netherlands and concurrently
LP DISPLAYS EINDHOVEN B.V, of Netherlands joined the company as new
shareholder.
The latest in October 2009 LP DISPLAYS INTERNATIONAL B.V., and LP DISPLAYS EINDHOVEN B.V., pulled out and the whole shares sold to MGA HOLDING CORPORATION LIMITED of Hong Kong as new shareholder (100%). The Latest revision of notary documents was made by Mrs. Siti Safarijah, SH., was approved by the Ministry of Law and Human Right in its Decision Letter No. AHU-61255.AH.01.10-18829, dated October 28, 2009.
The majority business stakes of P.T. LPDI namely MGA HOLDING CORPORATION LIMITED., Hong Kong is a member company of the LG ELECTRONIC Group South Korea is running several member companies in Indonesia respectively P.T. LG ELECTRONIC INDONESIA is engaged in electronic and electrical household appliances assembling.
P.T. LPDI obtained a Foreign Investment (PMA) license issued by BKPM (Investment Coordinating Board) for dealing with electronic tube and component manufacturing operating as from August 2001 by taking over two of all four factories of its sister company P.T. LG ELECTRONICS DISPLAYS DEVICES INDONESIA located at MM-21000 Industrial Town, Bekasi, West Java which operation as from 1996. Both of the above two factories taken over by P.T. LPDI are color picture & display tube manufacturing unit and its component manufacturing unit. The plant produces color picture tube (CPT) some 5.0 million pieces, color display tube (CDT) of 2.0 million pieces, deflection yoke of 6.0 million pieces and electric gun (E-Gun) of 10.0 million pieces respectively per annum. But since February 2003 the unit of fly back transformer (FBT) and machinery has been transferred to P.T. JUNGWOO ELECTRONICS INDONESIA. The plant has been absorbed an investment of US$ 136.0 million, come from owned capital of US$ 97.0 million and the rest from loans. Some 90% of product is exported to South Korea while the rest is directly absorbed by its sister company in Indonesia namely P.T. LG ELECTRONIC INDONESIA for the assembling of color TV and color monitor. Beside that P.T. LPDI's product is also sold to SANYO brand TV assembling company in Indonesia. We see the operation of P.T. LPDI has been growing in the last tree years.
The demand for electronic components including color pictures tubes has
kept on rising in the five years in line with the progress achieved in color
television manufacturing industry in Indonesia. There are two similar companies
now operating in Indonesia respectively P.T. LP DISPLAYS INDONESIA and P.T. MT
PICTURE DISPLAY INDONESIA whose produce color picture tubes. According to the
Indonesian Electronic Goods Producers Association (GABEL), the demand for
Indonesian electronic goods, from both the domestic and export market, has been
rising sharply. The demand for electronic goods is still much dominated by
household appliances like color TV, video CD, electric iron, water pump, vacuum
cleaner, electric fan, gas stove, rice cooker, etc. Business position of P.T.
LPDI is fairly good because some 90% of the products is exported.
Until this time P.T. LPDI has not been registered with Indonesian Stock
Exchange, so that they shall not obliged to announce their financial statement.
The management of P.T. LPDI is very reclusive towards
outsiders and rejected to disclose its financial condition. We observed
that total sales turnover of the company in 2008 amounted to Rp. 2,220.0
billion rose to Rp. 2,300.0 billion in 2009 increased to Rp. 2,400.0 billion in
2010 and projected to go on rising by at least 5% in 2011. The operation in
2010 yielded an estimated net profit of at least Rp. 207.4 billion and the
company has an estimated total networth of at least US$ 113.0 million. We
observe that P.T. LPDI is supported by foreign partner with has financially
strong and sound behind it. So far, we did not heard that the company having
been black listed by the Central Bank (Bank Indonesia). The company usually
pays its debts punctually to suppliers.
The management of P.T. LPDI is led by Mr. Ju-Tae Park (54) a
professional manager of LG ELECTRONICS Group of South Korea. Daily activity he
is assisted by Mr. Tae-Gyou Park (48) also a professional manager of South
Korea. The management is handled by experienced professional manager in
electronic component trading of the LG ELECTRIC Group, South Korea having wide
relation with home and overseas private businessmen. They have already
maintained a wide business relation among private companies at home and abroad
as well as among government agencies. So far, we did
not hear that the management of the company being filed to the district court
for detrimental cases or involved in business malpractices. The company’s
litigation record is clean and it has not registered with the black list of
Bank of Indonesia. P.T. LP DISPLAYS INDONESIA is sufficiently fairly good for
business transaction.
FOREIGN EXCHANGE RATES
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Currency |
Unit
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Indian Rupees |
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US Dollar |
1 |
Rs.44.13 |
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UK Pound |
1 |
Rs.72.05 |
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Euro |
1 |
Rs.63.33 |
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.