MIRA INFORM REPORT

 

 

Report Date :           

29.10.2011

 

IDENTIFICATION DETAILS

 

Name :

P.T. HONG FU INDONESIA

 

 

Registered Office :

Jl. Terusahan Babakan Jeruk IV No. 37, Kel. Sukagalih, Kec. Sukajadi, Bandung, West Java

 

 

Country :

Indonesia

 

 

Date of Incorporation :

14.12.1999

 

 

Com. Reg. No.:

No. AHU-92209.AH.01.02.Tahun 2008

 

 

Legal Form :

Limited Liability Company

 

 

Line of Business :

Industry and Trading of Specialty Chemicals for Textiles

 

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 :

US$ 820,000

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 – September 30th, 2011

 

Country Name

Previous Rating

                   (30.06.2011)                  

Current Rating

(30.09.2011)

Indonesia

b1

b1

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 

Name of Company

 

P.T. HONG FU INDONESIA

 

COMPANY Address

 

Head Office & Factory

Jl. Terusahan Babakan Jeruk IV No. 37

Kel. Sukagalih, Kec. Sukajadi,

Bandung, West Java

Indonesia

Phones             - (62-22) 2004760, 5422392

Fax                   - (62-22) 2017358

Land Area         - 1,200 sq. meters

Building Area     -    760 sq. meters

Region              - Commercial

Status               - Rent

 

Branch Office

Jl. Satria Raya II No. 8-10

Kel. Margahayu Utara

Bandung, West Java

Indonesia

Phones             - (62-22) 70670987

Fax                   - (62-22) 70658267

Building Area     - 460 sq. meters

Office Space      - 120 sq. meters

Region              - Commercial

Status               - Rent

 

 

Date of Incorporation

 

14 December 1999

 

Legal Form

 

P.T. (Perseroan Terbatas) or Limited Liability Company

 

Company Reg. No.

 

The Ministry of Law and Human Rights

a. No. C-25502.HT.01.01.TH.2000

    Dated 20 December 2000

b. No. AHU-92209.AH.01.02.Tahun 2008

    Dated 01 December 2008

 

 

Company Status

 

Foreign Investment Company (PMA)

 

 

Permit by the Government Department

 

The Department of Finance

NPWP No. 1.882.685.9-052

 

The Capital Investment Coordinating Board

No. 752/I/PMA/1999

Dated 22 October 1999

 

Affiliated/Associated Company :

Not available

 

 

CAPITAL AND OWNERSHIP

 

Capital Structure :

Authorized Capital                            - US$. 250,000.-

Issued Capital                                  - US$. 250,000.-

Paid up Capital                                - US$. 250,000.-

 

Shareholders/Owners :

a. Mr. Lim Wen Cheng of Taiwan       - US$. 100,000.- (40%)

b. Mr. Hsiao Hsien Jen of Taiwan       - US$.   50,000.- (20%)

c. Mr. Hou Yun Hsin of Taiwan          - US$.   50,000.- (20%)

d. Mr. Yen Min Kuei of Taiwan           - US$    50,000.- (20%)

 

BUSINESS ACTIVITIES

 

Lines of Business :

Industry and Trading of Specialty Chemicals for Textiles

 

Production Capacity :

Not available


Total Investment :

None

 

Started Operation :

2000

 

Brand Name :

HONG FU INDONESIA

 

Technical Assistance :

None

 

Number of Employee :

45 persons

 

Marketing Area :

Local     - 100%

 

Main Customers :

Textile Industries in Bandung and its surroundings

 

Market Situation :

Very Competitive

 

Main Competitors :

a. PT. Arindo Pacific Chemicals

b. PT. Aristek High Polymer

c. PT. Cognis Indonesia

d. PT. Dumaco Chemicals

e. Etc.

 

Business Trend :

Growing

 

 

BANKER, AUDITOR & LITIGATION

 

Banker :

Bank China Trust Indonesia

Bandung Branch

Jl. Jend. Gatot Subroto No. 17

Bandung, West Java

Indonesia

 

Auditor :

Internal Auditor

           

Litigation :

No litigation record in our database

 

 

FINANCIAL FIGURE

 

Annual Sales (estimated) :

2008 – Rp.   80.0 billion

2009 – Rp.   91.0 billion

2010 – Rp. 102.0 billion

2011 – Rp.   55.0 billion (January – June)

 

Net Profit (estimated) :

2008 – Rp. 2.2 billion

2009 – Rp. 2.6 billion

2010 – Rp. 2.9 billion

2011 – Rp. 1.5 billion (January – June)

           

Payment Manner :

Average

 

Financial Comments :

Satisfactory

 

 

KEY EXECUTIVES

 

Board of Management :

President Director                            - Mr. Lin Wen Cheng

Director                                           - Ms. Pantjasiwi Fadjarindarti


Board of Commissioners :

President Commissioner                   - Mr. Hsiao Hsien Jen

Commissioners                                - a. Mr. Hou Yun Hsin

                                                        b. Mr. Yen Min Kuei

 

Signatories :

President Director (Mr. Lin Wen Cheng) or Director (Ms. Pantjasiwi Fadjarindarti) which must be approved by President Commissioner (Mr. Hsiao Hsien Jen) or Commissioners (Mr. Hou Yun Hsin and Mr. Yen Min Kuei)

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$ 820,000 on 90 days D/A

 

 

OVERALL PERFORMANCE

 

P.T. HONG FU INDONESIA (P.T. HFI) was established on December 14, 1999 with the authorized capital of US$. 250,000.- entirely was issued and paid up. The founding shareholders of the company are Mr. Lin Wen Cheng (40%), Mr. Hsiao Hsien Jen (20%), Mr. Hou Yun Hsin (20%) and Mr. Yen Min Kuei (20%).  They are Taiwan businessmen.  The deed of company was approved by the Ministry of Law and Human Right in its Decision Letter No. C-25502 HT.01.01.TH.2000 dated December 20, 2000 and No. AHU-92209.AH.01.02.Tahun 2008 dated December 1, 2008.  No changes have been effected in term of its shareholding composition and capital structures to date.

 

Pursuant to the company’s notary deed, the Company’s registered office located at Bandung (West Java) and the company can open branch offices or representative offices at home and abroad.   P.T. HFI engaged to operate in industry of specialty chemical for textile industries.

 

P.T. HFI was established within the framework of foreign investment (PMA), which has received permit from the Investment Coordinating Board (BKPM) in 1999 in the field of industry of specialty chemical for textile.  Ms. Pantjasiwi Fadjarindarti, the director of the company explained that P.T. BCI produces specialty chemical for textile such as textile auxiliaries.  Besides, P.T BCI also imports of textile chemicals such as pigment and dyestuff.  The products are imported from Taiwan.  Then, the products are marketed locally to textile industries in Bandung and its surroundings.  We observed that P.T. HFI is classified as a small sized company of its kind in the country of which the operation has been growing in the last three years.

 

The demand for specialty chemicals for textile and textile auxiliaries has kept on rising in the last five years in line with the growth of textile and textile products in the country. According to the Central Bureau of Statistics (BPS), the Indonesia textile products export in 2002 amounted to 1,425.9 tons (US$ 3,075.9 million) to 1,307.5 tons (US$ 3,064.6 million) in 2003 to 1,300.4 tons (US$ 3,354.6 million) in 2004 to 1,427.3 tons (US$ 3,704.0 million) in 2005 to 1,477.800 tons (US$ 3,908.6 million) in 2006 to 1,473.6 tons (US$ 4,178.0 million) in 2007 declined to 1,312,200 tons (US$ 4,127.9 million) in 2008 to 1,369,600 tons (US$ 3,602.8 million) in 2009 and rose again to 1,525,900 tons (US$ 4,721.8 million) in 2010. 

 

The export volume and value of the national Textile Products and Garment in 2002 to 2010 are pictured on the following table.

 

      Year

Textile Products

Garment

(Thousand Ton)

(US$ Million)

(Thousand Ton)

(US$ Million)

2002

2003

2004

2005

2006

2007

2008

2009

2010

1,425.9

1,307.5

1,300.4

1,427.3

1,477.8

1,473.6

1,312.2

1,369.6

1,525.9

3,075.9

3,064.6

3,354.6

3,704.0

3,908.6

4,178.0

4,127.9

3,602.8

4,721.8

333.1

339.9

327.3

369.5

399.6

399.8

417.6

393.4

445.2

3,887.2

4,037.9

4,351.9

4,967.0

5,608.1

5,712.9

6,092.2

5,735.6

6,598.0

Source:  Central Bureau of Statistic     

 

Until this time P.T. HFI has not been registered with Indonesian Stock Exchange, so that they shall not obliged to announce their financial statement. We observed that total sales turnover of the company in 2008 amounted to Rp. 80.0 billion increased to Rp. 91.0 billion in 2009 rose again to Rp. 102.0 billion in 2010 and projected to go on rising by at least 6% in 2011. The operation in 2010 yielded an estimated net profit of at least Rp. 2.9 billion and the company has an estimated total networth of at least Rp. 40.0 billion. So far, we did not heard that the company having been black listed by the Central Bank (Bank Indonesia).

 

The management of P.T. HFI is led by Mr. Lin Wen Cheng (60) as president director, a businessman from Taiwan with more than 20 years experience in trading and distribution of textile chemicals.  In daily activities, he is assisted by Ms. Pantjasiwi Fadjarindarti (45) for Indonesia as Director. The management is also handled by experienced staff in this business, having maintained a wide business relation with private businessmen at home and abroad as well as with government sectors. So far, we did not hear that the company’s management involved in a dirty business practice or detrimental cases that settled in the country. The company’s litigation record is clean and it has not registered with the black list of Bank of Indonesia.

 

P.T. HONG FU INDONESIA is appraised fairly good for business transaction. But owing to economic condition in the country is still unstable, we recommend to treat prudently in extending any new loan to the company.

 

 

FOREIGN EXCHANGE RATES

 

Currency
Unit

Indian Rupees

US Dollar

1

Rs.48.82

UK Pound

1

Rs.78.57

Euro

1

Rs.69.29

 

 

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.