MIRA INFORM REPORT

 

 

Report Date :

17.11.2011

 

IDENTIFICATION DETAILS

 

Name :

SMART SHIRTS (LANKA) LTD

 

 

Registered Office :

Lot No 10, Phase – 1, Off Air Port Road, Investment Promotion Zone, Katunayake,

 

 

Country :

Sri Lanka

 

 

Date of Incorporation :

16.06.1978

 

 

Com. Reg. No.:

PVS 5104

 

 

Legal Form :

Public Limited Liability Company  (In Operation)

 

 

Line of Business :

Manufacture & Exporting of Garments

 

 

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

 

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 – September 30, 2011

 

Country Name

Previous Rating

(30.06.2011)

Current Rating

(30.09.2011)

Sri Lanka

A2

A2

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 

GENERAL

- Basic information at a glance

 

Name of Subject of Inquiry

:

SMART SHIRTS (LANKA) LTD

Legal Form  & Status

:

Public Limited Liability Company  (In Operation)

Chairman

:

B. Jeyaratnam

Primary Line of Business

:

Manufacture & Exporting of Garments

   Head Office & Main  

   Factory

:

 

Lot No 10,

Phase – 1,

Off Air Port Road,

Investment Promotion Zone,

Katunayake,

Sri Lanka

 

Tel. No: (0094 11) 225 0500

Fax No: (0094 11) 225 2160

 

Email: jeyaratnamb@smart-shirt.com  

           nareshvanigasooriyar@smart-shirts.com

 

Web Site: www.smart-shirts.com

 

Location: Owned 

No. of Employees

:

Approximately 12,000

Banker

:

HSBC Bank

 

 

 

 

 

 

 

 

 

 

 

COMPANY DETAILS 

- Registration and Shareholder Details

 

 

Registration No

:

PVS 5104

Date of Registration

:

16th June 1978

Re-Registration No

:

PB 1240

Date of Re- Registration

:

30th November 2009

Registered Office

:

Lot No. 10, Phase – 01, Off Airport Road, IPZ, Katunayake

Board of Directors

As  At

10th December 2010

:

B. Jeyaratnam (Malaysian)

Chairman

Li Rucheng (China)

Director

Xu Qigang (China)

Director

Zhang Feimeng (China)

Director

Xu Lei (Hong Kong – China)

Director

S. Yee May Amy (Hong Kong – China)

Director

C. Choihar Lucinda (Hong Kong – China)

 

Issued Share Capital

:

LKR 16,000,000.00

Nominal Value of Share

:

LKR              10.00

 Share Holders

:

 Share Holders

No. of Shares

South Asia Garments Limited

1,600,000

Auditors

:

PricewaterhouseCoopers

Company Secretaries

:

Varners International (Pvt) Ltd

Customers

:

·   Wholesaler

·   Retailers

·   End Users

Sister concerns

:

·   Kelwood, USA

 

 

FINANCIAL DETAILS

- Most recent available Financial Information

 

     THE COMPANY HAS DECLINED TO PROVIDE ANY FINANCIAL INFORMATION

 

 

Information parted by

(General Details)

 

Name                           : Naren

Designation                 :Group Financial Controller

Contact No.                  : 91- 009411 2250511

Date                             :16.11.2011

 

 

CURRENT INVESTIGATION                      

 

 

·         History.

The Subject Company SMART SHIRTS (LANKA) LIMITED is a Public   Limited   liability Company incorporated on 16th June 1978. And then the company was re-registered on 30th November 2009 under registration number PB 1246.

 

                 The Subject Company initially registered as L. M. K. Ceylon Limited and name was changed to SMART SHIRTS (LANKA) LIMITED on 14th March 1984. And also the Subject Company is approved by Board of Investment (BOI).

 

SMART SHIRTS (LANKA) LIMITED is a subsidiary of KELWOOD USA which is doing operation in Singapore, Hong Kong and Sri Lanka. The Subject Company is ISO 9001-2000 certified company and there are 10 factories including a washing plant are operated in Sri Lanka.

 

·         Location.

 

The Subject Company’s Head Office is located at # Lot No. 10, Phase – 01, Off Airport Road, IPZ, Katunayake. There are 10 factories are functioned under SMART SHIRTS (LANKA) LIMITED.

 

·         Operations Details.

 

General

The subject company primary line of business is Manufacturers and Exporters of Garments.

 

Export Products

Shirts, Pants, T-shirts, Jeans, 

 

Export Countries

UK, USA, India 

 

No of Employees

                  Approximately 12,000 (within 10 factories)

 

           

·         Financial Data

 

                  The company has declined to provide any financial information

 

·         General Comments

 

Provided all the basic details to prepare this report, but refused to provide its finance information.

 

·         Trade references

 

                  The subject company did not provide any trade reference referrals

 

·         Trading Terms

Purchasing Terms: Cash, Credit (30 Days)

                  Selling Terms: L/C, Cash, Credit (30 Days

)

·         Credit Recommendations

 

                  Since no financial information has been forthcoming from the company, it is not possible to comment on the merits or otherwise of the company.

 

No computerised data bases exist to make checks whether the partners or the company has any legal action or lawsuit initiated against any of them but informal (but not in-depth) checks do not indicate any such cases in the public knowledge.

 

 

 

 

FOREIGN EXCHANGE RATES

 

Currency
Unit

Indian Rupees

US Dollar

1

Rs.50.90

UK Pound

1

Rs.80.30

Euro

1

Rs.68.47

 

 

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%)

 

PRIVATE & CONFIDENTIAL : This information is provided to you at your request, you having employed MIPL for such purpose. You will use the information as aid only in determining the propriety of giving credit and generally as an aid to your business and for no other purpose. You will hold the information in strict confidence, and shall not reveal it or make it known to the subject persons, firms or corporations or to any other. MIPL does not warrant the correctness of the information as you hold it free of any liability whatsoever. You will be liable to and indemnify MIPL for any loss, damage or expense, occasioned by your breach or non observance of any one, or more of these conditions

This report is issued at your request without any risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or its officials.