MIRA INFORM REPORT
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Report Date : |
08.11.2011 |
IDENTIFICATION DETAILS
|
Name : |
CHINA NATIONAL TOWNSHIP ENTERPRISES
CORPORATION |
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Registered Office : |
8/F, Jingchao Building, No. 5 South Nongzhan Road,
Chaoyang District, Beijing, 100026 Pr |
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Country : |
China |
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Financials (as on) : |
31.12.2010 |
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Date of Incorporation : |
07.09.1983 |
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Com. Reg. No.: |
100000000001324 |
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Legal Form : |
State Owned Enterprise |
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Line of Business : |
importing and exporting trade,
acting as an importing and exporting agent, bidding business, etc |
RATING & COMMENTS
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MIRA’s Rating : |
Ba |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
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Maximum Credit Limit : |
USD 800,000 |
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|
Status : |
Satisfactory |
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Payment
Behaviour : |
Usually Correct |
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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 – September 30th, 2011
|
Country Name |
Previous Rating (30.06.2011) |
Current Rating (30.09.2011) |
|
China |
a2 |
a2 |
|
Risk Category |
ECGC
Classification |
|
Insignificant |
A1 |
|
Low |
A2 |
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Moderate |
B1 |
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High |
B2 |
|
Very High |
C1 |
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Restricted |
C2 |
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Off-credit |
D |
Company name & address
CHINA NATIONAL
TOWNSHIP ENTERPRISES CORPORATION
8/F, JINGCHAO BUILDING, NO. 5 SOUTH NONGZHAN ROAD,
CHAOYANG DISTRICT, BEIJING, 100026 PR CHINA
TEL: 86 (0) 10-59193823/59193804 FAX: 86 (0) 10-59193814/59193815/59193849
EXECUTIVE SUMMARY
INCORPORATION
DATE : Sep. 7, 1983
REGISTRATION
NO. : 100000000001324
REGISTERED
LEGAL FORM : STATE OWNED ENTERPRISE
STAFF
STRENGTH : 70
REGISTERED
CAPITAL :
CNY 63,510,000
BUSINESS
LINE : trading
TURNOVER : CNY 1,097,810,000 (AS OF DEC. 31,
2010)
EQUITIES : CNY 124,000,000
(AS OF DEC. 31, 2010)
PAYMENT :
AVERAGE
RECOMM. CREDIT RANGE : UP TO USD 800,000 (periodical review)
MARKET CONDITION : COMPETITIVE
FINANCIAL CONDITION : fairly STABLE
OPERATIONAL TREND :
STEADY
GENERAL REPUTATION : WELL-KNOWN
EXCHANGE RATE : CNY 6.35 = 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
SC was registered as a state owned enterprise at state Administration for Industry & Commerce (AIC - The official body of issuing and renewing business license) on Sep. 7, 1983.
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 wholesaling gasoline, kerosene, diesel within marine
fisheries system (valid until June 21, 2015); operating medical devices (specific
projects subject to the license, valid until June 16, 2015); import and export
of crop seeds (valid until April 30, 2013); operating grass seed (valid until
January 24, 2015); wholesaling (non-physical way) pre-packaged foods, bulk food
(water products) (valid until February 28, 2013); operating steel, nonferrous
metal, textile and chemical raw materials and products (excluding dangerous
chemicals), mineral products, building materials, wood, electrical and
mechanical equipment, instrumentation, hardware, automobiles, motorcycles and
spare parts, and agricultural and livestock feed , fertilizer; green project
design and construction; mechanical and electrical equipment tendering and
bidding; import and export business; indoor and outdoor decoration; organizing
landscape design; providing consulting services, information services related
to the main business.
SC is mainly engaged in importing and
exporting trade, acting as an importing and exporting agent, bidding business,
etc.
Mr. Shi Mingshan has been legal
representative and general manager of SC since 2008.
SC is
known to have approx. 70 employees at present.
SC is currently operating at the above stated address, and this address houses its operating office and head office in the commercial zone of Beijing. Our checks reveal that SC owns the total premise about 5,000 square meters.
http://www.cntec.com.cn The design is
professional and the content is well organized. At present it is in both
Chinese and English versions.
E-mail: info@cntec.com.cn
Changes of its registered information are as
follows:
|
Date of change |
Item |
Before the change |
After the change |
|
2008 |
Legal Representative |
Wu Peilong |
Shi Mingshan |
|
Registration No. |
1000001000132 |
100000000001324 |
|
|
2011 |
Superior department’s name |
China National Agricultural Development Group Corp. |
China National Agricultural Development Group Co., Ltd. |
|
Registered capital |
CNY 59,210,000 |
CNY 63,510,000 |
SUPERIOR
DEPARTMENTS:
Name
China National Agricultural Development Group Co., Ltd.
China National
Agricultural Development Group Co., Ltd. (referred to as "CNADC") is
a central agricultural enterprise under direct governance of the State—owned
Assets Supervision and Administration Commission of the State Council (SASAC).
The business of CNADC spreads over to every province (autonomous region or
municipality directly under the central government) of China. CNADC has
established branches or bases in more than 40 countries (regions) around the
world and keeps economic and trade ties with over 80 countries (regions).
Legal representative: Liu Shenli
Registration No.: 100000000003053
Add: No. 31 Minfeng Lane, Xidan, Beijing
Tel: 86-10-88067008
Fax: 86-10-88067017
Website: http://www.cnadc.com.cn/
l
Legal
representative and
general manager:
Mr. Shi Mingshan, about 52 years old, with university education, he is
currently responsible for the overall management of SC.
Working Experience(s):
From 2008 to present Working in SC as general manager and legal representative;
Also working in China Fishery Tianjin Corp. as legal representative and general manager
SC is mainly engaged in c
Main business:
International Trade: SC has issued a system
of marine fisheries of gasoline, kerosene, diesel wholesale franchise license,
import and export crop seeds license, grass seed business license, food
distribution license, operation of hazardous chemicals license and medical
equipment license by the Ministry of Commerce. The main products categories:
agricultural products, aquatic products, oil crops, wool, seeds, agricultural
plastics, agricultural machines and equipment, refined oil for fishing and
other core businesses.
Tendering Service: SC was awarded the first
Grade “A” Procurement Agency of Government in the agricultural system by the
Ministry of Finance. It issued the central investment agency qualification for
the tender by National Development and Reform Commission. In recent years,
there were 122 tender agent projects in our company, which these projects cover
agricultural systems research, teaching, technical services and so on.
Storage Logistics: SC has standard storage in
Jinghai, Tianjin, which it has capacity of 2 million square meters. As the
basis of the modern international logistics center in Tianjin and the port, the
storage is the distribution base of agricultural products, imports of
agricultural production, wholesale, transport for SC.
SC sources its materials 30% from domestic market, and 70%
from overseas market. SC sells 80% of its products in domestic market, and 20%
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.
Note: SC’s management declined
to release its major suppliers and clients.
SC is known to have the following subsidiaries:
Beijing Jiu Jiu Jiu Goods & Materials Trade Corp.
Tel: 8610-64193802/42
Fax: 8610-64193842
China Fishery Tianjin Corp.
Tel: 8622-27367678
Fax: 8622-27367678
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.
Agricultural
Bank of China
AC# 042701040003025
China Minsheng Bank
AC#N/A
Relationship: Normal.
Balance Sheet
Unit: CNY’000
|
|
As of Dec. 31, 2009 |
As of Dec. 31, 2010 |
|
Cash & bank |
308,840 |
226,790 |
|
Inventory |
287,100 |
352,300 |
|
Accounts receivable |
300 |
2,970 |
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Advances to suppliers |
188,080 |
295,880 |
|
Other receivables |
940 |
51,120 |
|
Other current assets |
10 |
20 |
|
|
------------------ |
------------------ |
|
Current assets |
785,270 |
929,080 |
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Fixed assets net value |
15,010 |
14,350 |
|
Projects under construction |
0 |
0 |
|
Long term investment |
41,760 |
20,850 |
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Intangible assets |
260 |
210 |
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Other assets |
8,830 |
2,930 |
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|
------------------ |
------------------ |
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Total assets |
851,130 |
967,420 |
|
|
============= |
============= |
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Short loans |
0 |
0 |
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Notes payable |
24,140 |
21,310 |
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Accounts payable |
193,310 |
120,110 |
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Advances from clients |
392,270 |
567,360 |
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Taxes payable |
-34,440 |
-46,290 |
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Salaries payable |
2,500 |
3,740 |
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Other payable |
167,510 |
177,190 |
|
Other current liabilities |
0 |
0 |
|
|
------------------ |
------------------ |
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Current liabilities |
745,290 |
843,420 |
|
Long term liabilities |
0 |
0 |
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|
------------------ |
------------------ |
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Total liabilities |
745,290 |
843,420 |
|
Equities |
105,840 |
124,000 |
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|
------------------ |
------------------ |
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Total liabilities & equities |
851,130 |
967,420 |
|
|
============= |
============= |
Income Statement
Unit: CNY’000
|
|
As of Dec. 31, 2009 |
As of Dec. 31, 2010 |
|
Turnover |
693,400 |
1,097,810 |
|
Cost of goods sold |
639,550 |
1,036,190 |
|
Taxes and additional of main operation |
470 |
550 |
|
Sales expense |
8,630 |
9,860 |
|
Management expense |
14,820 |
18,550 |
|
Finance expense |
-2,520 |
-3,300 |
|
Investment income |
0 |
-2,380 |
|
Non-operating income |
790 |
240 |
|
Non-operating expense |
300 |
0 |
|
Profit before tax |
32,940 |
36,700 |
|
Less: profit tax |
8,230 |
9,780 |
|
Profits |
24,710 |
26,920 |
Important Ratios
=============
|
|
As of Dec. 31, 2009 |
As of Dec. 31, 2010 |
|
*Current ratio |
1.05 |
1.10 |
|
*Quick ratio |
0.67 |
0.68 |
|
*Liabilities to assets |
0.88 |
0.87 |
|
*Net profit margin (%) |
3.56 |
2.45 |
|
*Return on total assets (%) |
2.90 |
2.78 |
|
*Inventory /Turnover ×365 |
152 days |
117 days |
|
*Accounts receivable/Turnover ×365 |
1 day |
1 day |
|
*Turnover/Total assets |
0.81 |
1.13 |
|
* Cost of goods sold/Turnover |
0.92 |
0.94 |
PROFITABILITY: AVERAGE
l
The
turnover of SC appears fairly good in its line, and it increased greatly in
2010.
l
SC’s net
profit margin is average.
l
SC’s
return on total assets is average.
l
SC’s
cost of goods sold is fairly 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 large.
l
The
accounts receivable of SC appears average.
l
There is
no short-term loan of SC in both years.
l
SC’s
turnover is in an average level in 2010, comparing with the size of its total
assets.
LEVERAGE: FAIR
l
The debt
ratio of SC is 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. In view of
its favorable background and market conditions, the given credit amount would
appear to be within SC’s capacities.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.49.08 |
|
UK Pound |
1 |
Rs.78.65 |
|
Euro |
1 |
Rs.67.79 |
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.