MIRA
INFORM REPORT
|
Report Date : |
09.06.2011 |
IDENTIFICATION DETAILS
|
Name : |
SHANDONG QIFENG
SPECIALTY PAPER LTD. |
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Registered Office : |
No. 22, Zhutai Road, Zhutai Town, Linzi District, Zibo, Shandong
Province, 255432 Pr |
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Country : |
China |
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Financials (as on) : |
31.12.2010 |
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Date of Incorporation : |
25.06. 2001 |
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Com. Reg. No.: |
370300228072653 |
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Legal Form : |
Shares Limited Company |
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Line of Business : |
Manufacturing and selling top-grade decorative base paper and other related products. |
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 8,000,000 |
|
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 – March 31st, 2011
|
Country Name |
Previous Rating (31.12.2010) |
Current Rating (31.03.2011) |
|
China |
A2 |
A2 |
|
Risk Category |
ECGC
Classification |
|
Insignificant |
A1 |
|
Low |
A2 |
|
Moderate |
B1 |
|
High |
B2 |
|
Very High |
C1 |
|
Restricted |
C2 |
|
Off-credit |
D |
Name and address
SHANDONG QIFENG
SPECIALTY PAPER LTD.
NO. 22, ZHUTAI ROAD, ZHUTAI TOWN, LINZI
DISTRICT,
ZIBO, SHANDONG PROVINCE, 255432 PR CHINA
TEL: 86 (0) 533-7780091 FAX:
86 (0) 533-7788998
EXECUTIVE SUMMARY
INCORPORATION DATE :
JUN. 25, 2001
REGISTRATION NO. : 370300228072653
REGISTERED LEGAL FORM : SHARES
LIMITED CO.
CHIEF EXECUTIVE :
MR. LI XUEFENG (CHAIRMAN)
STAFF STRENGTH :
1,167
REGISTERED CAPITAL : CNY 206,150,000
BUSINESS LINE :
MANUFACTURING
TURNOVER :
CNY 1,353,281,000 (Consolidated, AS OF DEC. 31, 2010)
EQUITIES :
CNY 1,969,839,000 (Consolidated, AS OF DEC. 31, 2010)
PAYMENT :
AVERAGE
RECOMM. CREDIT RANGE : UP TO USD 8,000,000
MARKET CONDITION : COMPETITIVE
FINANCIAL CONDITION : fairly good
OPERATIONAL TREND : STEADY
GENERAL REPUTATION : AVERAGE
EXCHANGE RATE :
CNY
6.48 = 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 Renminbi
Note: SC is also known as Shandong Qifeng Special Paper Co.,
Ltd.
SC was registered as a Shares limited co. at local
Administration for Industry & Commerce (AIC - The official body of issuing
and renewing business license).
Company Status: Shares limited co. (股份有限公司) This form of business in PR China is defined as a legal
person. Its registered capital is divided into shares of equal par value
and the co. raises capital by issuing share certificates by promotion or by
public offer. Shareholders bear limited liability to the extent of
shareholding, and the co. is liable for its debts only to the extent of its
total assets. The co has independent property of legal person and enjoys
property rights of legal person. The
characteristics of the shares limited co. are as follows: The establishment of the co. requires at least two
promoters and no more than 200, half
of whom shall be domiciled in China.. Natural person are allowed to
serve as promoters. The minimum registered capital of a co. is CNY The board of directors must consist of five to nineteen
directors. If the co. raises capital by public offer, the promoters
must not subscribe less than 35% of the total shares. the promoters’ shares
are restricted to transfer- within one year of the offer. A state-owned enterprise that is restructured into a
shares limited co. must comply with the conditions & requirements
specified under the law & administrative rule.
SC’s registered
business scope includes researching, developing, manufacturing and selling top -grade decorative base paper; including plain
colored decorative base paper, printing adornment paper, surface wear-resisting
paper, balance base paper and other more than 300 kinds of products.
SC is mainly
engaged in manufacturing and selling top-grade decorative base
paper and other related products.
Mr. Li
Xuefeng is legal representative and
chairman of SC at present.
SC is known to have approx. 1,167 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 Zibo. Our checks reveal
that SC owns the total premise about 266,000 square meters.
http://www.qifeng.cn/ The design is professional and the content is
well organized. At present it is in both Chinese and English versions.
E-mail: qifeng@qifeng.cn
qifeng@zb-public.sd.cninfa.net
SC is a listed company in Shenzhen Stock Exchange Market with the code
002521.
According to SC’s
accountant, SC’s former name was Shandong
Qifeng Group Co., Ltd.
SC has been focusing on quality
management and is now the only enterprise in the industry which is certified to
ISO9001 Quality Management System, ISO14001 Environment Management System and
OHSAS Occupational Safety and Health Management System. In 2005, “ShuangFeng”
brand top-grade decorative base paper was appraised as “Shandong Provincial Top
Brand Name” and “Shandong Provincial Top Brand”.
Changes
of its registered information:
|
Date of change |
Item |
Before the change |
After the change |
|
Unknown |
Registration No. |
3703002807265 |
Present one |
MAIN
SHAREHOLDERS: (As of Dec. 31, 2010)
Name
%
of Shareholding
Li Xuefeng 31.19
Zibo Basen Economy and Trade Co., Ltd. (in
Chinese Pinyin) 11.22
Zibo Liuyu Economy and Trade Co., Ltd. (in Chinese
Pinyin) 7.21
Shanghai Fuyuanzhiye Investment Group Co.,
Ltd. 4.16
Jiangsu Dinghong Venture Investment Co.,
Ltd. (in Chinese Pinyin) 3.57
Shanghai Tianyi Assets Management Co., Ltd.
(in Chinese Pinyin) 3.57
Zhou Shuling 2.38
Shenzhen Capital Group Co., Ltd. 1.78
Wang Lei 1.45
Zhang Xiangzeng 1.18
Other shareholders 32.29
l
Legal representative and Chairman:
Mr. Li Xuefeng , born in 1949, with Master’s degree. He is currently responsible
for the overall management of SC.
Working Experience(s):
At present Working
in SC as chairman and legal representative.
Also working in Shandong Boxing County Ou-Hua
Special Paper Co., Ltd. as executive director.
l
General manager:
Mr. Li Andong , born in 1972, with university education. He is currently
responsible for the daily management of SC.
Working Experience(s):
At present
Working in SC as general manager.
Also working in Zibo
Ou-Mu Special Paper Co., Ltd. as chairman.
l
Directors:
Zhang Xiangzeng
Zhang Renfu
SC is mainly
engaged in manufacturing and selling top-grade decorative base
paper and other related products.
SC’s products
mainly include: top-grade decorative base paper and
Maleic Anhydride, etc.
SC sources its materials 80% from domestic market and 20% from the
overseas market. SC sells 60% of its products to overseas market, mainly in Western Europe, South American and Southeast Asia, and
40% in domestic market.
The buying terms of SC include Check, L/C, 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.
*Major Customers:
==============
Jiangsu Mingsun Wood Industry Co., Ltd.
Chengdu QuanU Furniture Co., Ltd.
Shouguang Dongyu Hongxiang Wood Industry Co., Ltd.
*Major Suppliers:
==============
Hebei Gill Chemical Industry Co., Ltd.
Henan Billions Chemicals Co., Ltd.
Suzano Trading Ltd.
SC is known to invest in the following companies:
Zibo Ou-Mu Special Paper Co., Ltd.
Shandong Boxing County Ou-Hua
Special Paper 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’s suppliers
refused to make any comments.
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.
Agricultural
Bank of China
AC#232301040004543
Relationship:
Normal.
Note: SC’s
accountant refused to make any comments about the given bank information.
(Bankers : Agricultural Bank of China Shandong Branch, 168 Liuquan Road,
Zhandian Zibo Shandong PR China, swift code- ABOCCNBJ150, Bank a/c-
15234914040000218)
Consolidated
Balance Sheet
Unit: CNY’000
|
|
as of Dec. 31,
2009 |
as of Dec. 31,
2010 |
|
Cash & bank |
107,214 |
1,586,360 |
|
Notes receivable |
56,715 |
37,600 |
|
Inventory |
253,775 |
243,612 |
|
Accounts receivable |
86,763 |
102,740 |
|
Advances to
supplies |
60,388 |
100,822 |
|
Other
receivables |
967 |
956 |
|
Other current
assets |
0 |
0 |
|
|
------------------ |
------------------ |
|
Current assets |
565,822 |
2,072,090 |
|
Long-term
investments |
0 |
0 |
|
Fixed assets |
216,248 |
390,241 |
|
Projects under
construction |
47,633 |
26,655 |
|
Intangible
assets |
64,216 |
62,938 |
|
Engineer
material |
9,428 |
3,113 |
|
Deferred tax
assets |
2,377 |
2,468 |
|
Goodwill |
2,320 |
2,320 |
|
Other assets |
0 |
0 |
|
|
------------------ |
------------------ |
|
Total assets |
908,044 |
2,559,825 |
|
|
============= |
============= |
|
Short loans |
308,134 |
330,968 |
|
Notes payable |
7,380 |
0 |
|
Accounts payable |
36,261 |
96,984 |
|
Advances from
customers |
50,454 |
18,666 |
|
Employee pay
payable |
7,854 |
10,451 |
|
Taxes payable |
-6,343 |
-13,586 |
|
Other Accounts
payable |
1,970 |
1,683 |
|
Due within one
year of non-current liabilities |
15,000 |
40,000 |
|
Other current
liabilities |
1 |
740 |
|
|
------------------ |
------------------ |
|
Current
liabilities |
420,711 |
485,906 |
|
Long term
liabilities |
104,393 |
104,080 |
|
|
------------------ |
------------------ |
|
Total
liabilities |
525,104 |
589,986 |
|
Shareholders
equities |
382,940 |
1,969,839 |
|
|
------------------ |
------------------ |
|
Total
liabilities & equities |
908,044 |
2,559,825 |
|
|
============= |
============= |
Consolidated
Income Statement
Unit: CNY’000
|
|
as of Dec. 31,
2009 |
as of Dec. 31,
2010 |
|
Turnover |
987,722 |
1,353,281 |
|
Cost of goods
sold |
727,080 |
1,049,393 |
|
Sales expense |
40,185 |
43,410 |
|
Management expense |
58,675 |
83,498 |
|
Finance expense |
17,639 |
15,148 |
|
Investment
income |
0 |
0 |
|
Profit before
tax |
141,582 |
162,114 |
|
Less: profit tax |
22,852 |
15,135 |
|
Net profit |
118,730 |
146,979 |
Important Ratios
=============
|
|
as of Dec. 31,
2009 |
as of Dec. 31,
2010 |
|
*Current ratio |
1.34 |
4.26 |
|
*Quick ratio |
0.74 |
3.76 |
|
*Liabilities
to assets |
0.58 |
0.23 |
|
*Net profit
margin (%) |
12.02 |
10.86 |
|
*Return on
total assets (%) |
13.08 |
5.74 |
|
*Inventory
/Turnover ×365 |
94 days |
66 days |
|
*Accounts
receivable/Turnover ×365 |
32 days |
28 days |
|
*Turnover/Total
assets |
1.09 |
0.53 |
|
* Cost of
goods sold/Turnover |
0.74 |
0.78 |
PROFITABILITY:
FAIRLY GOOD
l
The turnover of SC appears good in its line, and it
increased in 2010.
l
SC’s net profit margin is fairly good, but it was
declining in 2010.
l
SC’s return on total assets is fairly good, but it
was declining in 2010.
l
SC’s cost of goods sold is average, comparing with
its turnover.
LIQUIDITY: FAIRLY
GOOD
l
The current ratio of SC is maintained in a normal
level in 2009 and in a fairly good level in 2010.
l
SC’s quick ratio is maintained in a fair level in
2009 and in a fairly good level in 2010.
l
The inventory of SC appears average.
l
The accounts receivable of SC appears average.
l
SC’s short-term loan appears fairly large.
l
SC’s turnover is in an average level in 2009, but
in a fair level in 2010, comparing with the size of its total assets.
LEVERAGE: FAIRLY
GOOD
l
The debt ratio of SC is average in 2009 and low in
2010.
l
The risk for SC to go bankrupt is low.
Overall financial
condition of the SC: Fairly good.
SC is considered large-sized in its line with fairly good financial conditions.
The large amount of short-term loan could be a threat to SC’s financial
condition. But taking into consideration of SC’s general performance,
reputation as well as market conditions, a credit line up to USD 8,000,000
would appear to be within SC’s capacities.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.44.61 |
|
|
1 |
Rs.73.28 |
|
Euro |
1 |
Rs.65.47 |
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.