MIRA
INFORM REPORT
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Report Date : |
13.06.2011 |
IDENTIFICATION DETAILS
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Name : |
RIANTEA LTD. |
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Registered Office : |
No. 81 Xingye Avenue, Huangxi, Changleng Foreign Investment
Zone (Ii), Xinjian County, Nanchang, Jiangxi Province 330038 Pr |
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Country : |
China |
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Financials (as on) : |
31.12.2010 |
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Date of Incorporation : |
06.02.2005 |
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Com. Reg. No.: |
360122210600194 |
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Legal Form : |
Limited Liabilities Company |
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Line of Business : |
Processing green tea, jasmine tea, oolong tea, operating and acting as an agent of importing and exporting various kinds of commodities and technology, domestic trade. |
RATING & COMMENTS
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MIRA’s Rating : |
B |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
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|
26-40 |
B |
Capability to overcome financial difficulties seems comparatively
below average. |
Small |
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Maximum Credit Limit : |
USD 30,000 |
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Status : |
Moderate |
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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
|
Country Name |
Previous Rating (31.12.2010) |
Current Rating (31.03.2011) |
|
China |
A2 |
A2 |
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Risk Category |
ECGC
Classification |
|
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 and address
RIANTEA LTD.
NO. 81 XINGYE AVENUE, HUANGXI,
CHANGLENG FOREIGN INVESTMENT ZONE (II),
XINJIAN COUNTY, NANCHANG, JIANGXI PROVINCE 330038 PR CHINA
TEL: 86 (0) 791-3670969/3770798
FAX: 86 (0) 791-3670919
EXECUTIVE SUMMARY
Date of Registration : FEBRUARY 6, 2005
REGISTRATION NO. : 360122210600194
LEGAL FORM : Limited liabilities company
REGISTERED CAPITAL : CNY 5,600,000
staff :
180
BUSINESS CATEGORY : PROCESSING
Revenue :
CNY 17,200,000 (UNaudited, AS OF DEC. 31, 2010)
EQUITIES :
CNY 5,810,000 (UNaudited, AS OF DEC. 31, 2010)
WEBSITE : http://riantea.com
E-MAIL :
frank@chinaspringtea.com
PAYMENT :
AVERAGE
Recommended Credit Limit: UP TO USD 30,000
MARKET CONDITION : average
FINANCIAL CONDITION : fairly stable
OPERATIONAL TREND : ordinary
GENERAL REPUTATION : AVERAGE
EXCHANGE RATE :
CNY 6.48 = USD 1
Adopted abbreviations (as follows)
SC - Subject Company
(the company inquired by you)
N/A – Not available
CNY – China Yuan Ren
Min Bi
OPERATIONAL TREND & GENERAL
REPUTATION
This section aims at indicating the relative positions of SC in respect
of its operational trend & general reputation
Operational Trend:- General
Reputation:-
Upward Excellent
Steady Good
Fairly Steady Fairly
Good
Ordinary Average
Fair Fair
Stagnant Detrimental
Downward Not
known
Not known Not
yet be determined
Not yet be determined
LEGAL STATUS & HISTORY
SC was established
as a limited liabilities company of PRC with State Administration of Industry
& Commerce (SAIC) under registration No.: 360122210600194 on February 6, 2005.
SC’s Organization Code Certificate No.:
769790769
SC’s registered capital: CNY 5,600,000
As of December 31, 2010, SC’s paid-in capital
was CNY 5,600,000.
Registration Change Record:
|
Date |
Change of Contents |
Before the change |
After the change |
|
2010-4 |
Registered Capital |
CNY 1,600,000 |
CNY 5,600,000. |
Current Co search indicates SC’s shareholders & chief executives are
as follows:-
|
Name of Shareholder (s) |
% of Shareholding |
|
Yuan Liren |
93 |
|
Chen Bin |
2 |
|
Other 4 individuals |
5 |
SC’s Chief Executives:-
Legal Representative, Chairman and General Manager: Yuan Liren
Director: Chen Bin
RECENT DEVELOPMENT
SC has got the certificate ISO9001.
SHAREHOLDER CHART &
BACKGROUND
Name %
of Shareholding
Yuan Liren 93
Chen Bin 2
Other 4 individuals 5
MANAGEMENT
Yuan Liren Legal Representative, Chairman and General
Manager
---------------------------------------------------------------------------------------------------
Ø
Gender: M
Ø
Qualification:
University
Ø
Working
experience (s):
At
present, working in SC as legal representative, chairman and general manager,
also working in Ahmad Tea (Nanchang) Ltd. as legal representive.
Chen Bin ,
Director
----------------------------------
Ø
Gender: M
Ø
Qualification:
University
BUSINESS OPERATION
SC’s registered business scope includes processing green tea,
jasmine tea, oolong tea, operating and acting as an agent of importing and
exporting various kinds of commodities and technology, domestic trade.
SC is mainly
engaged in processing tea.
Brand: 
SC’s products
mainly include: green tea, jasmine tea, oolong tea.
SC sources its materials 100% from domestic
market, mainly Jiangxi. SC sells 95% of its products in domestic market, and 5%
to overseas market, mainly India.
The buying terms
of SC include T/T and Credit of 30-60 days. The payment terms of SC include
T/T, L/C and Credit of 30-60 days.
*Major Customer:
=============
Ahmad Tea
(Nanchang) Ltd.
Staff & Office:
--------------------------
SC is known
to have approx. 180 staff at
present.
SC rents an area as
its operating office and factory, but the detailed information is unknown.
RELATED COMPANY
SC
is not known to have any subsidiary at present.
PAYMENT
Overall payment appraisal:
( ) Excellent ( ) Good (X) Average ( ) Fair ( ) Poor ( ) Not yet be 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.
BANKING
The bank
information of SC is not filed in SAIC.
FINANCIALS
Balance Sheet
|
Unit: CNY’000 |
As
of Dec. 31, 2009 |
As
of Dec. 31, 2010 |
|
510 |
780 |
|
|
Accounts
receivable |
280 |
1,640 |
|
Advances to
suppliers |
0 |
0 |
|
Other receivable |
-1,470 |
-4,660 |
|
Inventory |
860 |
1,640 |
|
Non-current
assets within one year |
0 |
0 |
|
Other current
assets |
320 |
-840 |
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|
------------------ |
------------------ |
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Current assets |
500 |
-1,440 |
|
Fixed assets |
5,280 |
6,070 |
|
Construction in
progress |
0 |
610 |
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Intangible
assets |
0 |
0 |
|
Deferred income
tax assets |
0 |
0 |
|
Other
non-current assets |
1,290 |
2,220 |
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|
------------------ |
------------------ |
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Total assets |
7,070 |
7,460 |
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|
============= |
============= |
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Short-term loans |
4,080 |
1,500 |
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Notes payable |
0 |
0 |
|
Accounts payable |
200 |
70 |
|
Wages payable |
0 |
0 |
|
Advances from
clients |
0 |
0 |
|
Other payable |
0 |
20 |
|
Other current
liabilities |
10 |
60 |
|
|
------------------ |
------------------ |
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Current
liabilities |
4,290 |
1,650 |
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Non-current
liabilities |
1,120 |
0 |
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------------------ |
------------------ |
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Total liabilities |
5,410 |
1,650 |
|
Equities |
1,660 |
5,810 |
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|
------------------ |
------------------ |
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Total
liabilities & equities |
7,070 |
7,460 |
|
|
============= |
============= |
Income Statement
|
Unit: CNY’000 |
As of Dec. 31,
2010 |
|
Revenue |
17,200 |
|
Cost of sales |
16,060 |
|
Sales expense |
0 |
|
Management expense |
1,050 |
|
Finance expense |
0 |
|
Profit before
tax |
180 |
|
Less: profit tax |
30 |
|
150 |
Note: The above financial
records have not been audited.
Important Ratios
=============
|
|
As
of Dec. 31, 2009 |
As
of Dec. 31, 2010 |
|
*Current ratio |
0.12 |
-0.87 |
|
*Quick ratio |
-0.08 |
-1.87 |
|
*Liabilities
to assets |
0.77 |
0.22 |
|
*Net profit
margin (%) |
-- |
0.87 |
|
*Return on
total assets (%) |
-- |
2.01 |
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*Inventory /
Revenue ×365 |
-- |
35 days |
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*Accounts
receivable/ Revenue ×365 |
-- |
35 days |
|
*
Revenue/Total assets |
-- |
2.31 |
|
* Total
business cost / Revenue |
-- |
0.93 |
FINANCIAL COMMENTS
PROFITABILITY:
AVERAGE
l
The revenue of SC appears average in its line in
2010.
l
SC’s net profit margin is average in 2010.
l
SC’s return on total assets is average in 2010.
l
SC’s cost of goods sold is high, comparing with its
revenue.
LIQUIDITY: AVERAGE
l
The inventory of SC is maintained in an average
level.
l
The accounts receivable of SC is maintained in an
average level.
l
The short-term loan of SC appears large in 2009,
average in 2010.
l
SC’s revenue is in an average level, comparing with
the size of its total assets.
LEVERAGE: AVERAGE
l
The debt ratio of SC is low in 2010.
l
The risk for SC to go bankrupt is average.
Overall financial
condition of the SC: Fairly stable.
CONCLUSIONS
SC is considered small-sized in its line with fairly stable financial
conditions. A credit line at the above amount appears beyond SC’s capacities,
while a credit line up to USD30,000 is recommended.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.44.72 |
|
|
1 |
Rs.72.93 |
|
Euro |
1 |
Rs.64.72 |
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.