MIRA INFORM REPORT

Report Date :

24.12.2012

IDENTIFICATION DETAILS

Name :	CHANG CHUN PLASTICS CO., LTD.
Registered Office :	No.301, 7th FL., Songkiang Road, Taipei
Country :	Taiwan
Date of Incorporation :	28.12.1957
Com. Reg. No.:	11384708
Legal Form :	Joint Stock Company
Line of Business :	Manufacture and sales of chemicals
No. of Employees :	About 3,000 Employees

RATING & COMMENTS

MIRA’s Rating :

A

RATING		STATUS	PROPOSED CREDIT LINE
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

Status :	Good
Payment Behaviour :	Regular
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 – June 30^th, 2012

Country Name	Previous Rating (31.03.2011)	Current Rating (30.06.2012)
Taiwan	A2	A2

Risk Category	ECGC Classification
Insignificant	A1
Low	A2
Moderate	B1
High	B2
Very High	C1
Restricted	C2
Off-credit	D

TAIWAN - ECONOMIC OVERVIEW

Taiwan has a dynamic capitalist economy with gradually decreasing government guidance of investment and foreign trade. In keeping with this trend, some large, state-owned banks and industrial firms have been privatized. Exports, led by electronics, machinery, and petrochemicals have provided the primary impetus for economic development. This heavy dependence on exports exposes the economy to fluctuations in world demand. In 2009, Taiwan's GDP contracted 1.9%, due primarily to a 20% year-on-year decline in exports. In 2010 GDP grew 10.9%, as exports returned to the level of previous years, and in 2011, grew 5.2%. However, 2012 growth will likely be less, according to most forecasters, because of softening global demand. Taiwan's diplomatic isolation, low birth rate, and rapidly aging population are major long-term challenges. Free trade agreements have proliferated in East Asia over the past several years, but so far Taiwan has been excluded from this greater economic integration largely because of its diplomatic status with the exception of the landmark Economic Cooperation Framework Agreement (ECFA) signed with China in June 2010. The MA administration has said that the ECFA will serve as a stepping stone toward trade pacts with other regional partners, and negotiations on a deal with Singapore began this year. Follow-on components of ECFA, including deals on trade in goods, services, and investment, have yet to be completed. Taiwan's Total Fertility rate of just over one child per woman is among the lowest in the world, raising the prospect of future labor shortages, falling domestic demand, and declining tax revenues. Taiwan's population is aging quickly, with the number of people over 65 accounting for 10.9% of the island's total population as of 2011. The island runs a large trade surplus, and its foreign reserves are the world's fourth largest, behind China, Japan, and Russia. Since 2005 China has overtaken the US to become Taiwan's second-largest source of imports after Japan. China is also the island's number one destination for foreign direct investment. Three financial memorandums of understanding, covering banking, securities, and insurance, took effect in mid-January 2010, opening the island to greater investments from the mainland's financial firms and institutional investors, and providing new opportunities for Taiwan financial firms to operate in China. Closer economic links with the mainland bring greater opportunities for the Taiwan economy, but also poses new challenges as the island becomes more economically dependent on China while political differences remain unresolved.

Source : CIA

Contact Points

Company Name:	Chang Chun Plastics Co., Ltd.
Supplied Name:	Chang Chun Plastic Co Ltd
Trading Address:	No.301, 7th Fl., Songkiang Road, Taipei, Taiwan R.O.C.
Supplied Address:	No301 Songkiang Road, 7th Floor, Taipeo 10477, Taiwan
Telephone Number:	+886 2-2500-1800
Fax Number:	+886 2-2500-1800

Notes:

The exact name and address are as above.

Credit Summary

Credit Opinion:

Business connections are permissible.

Company Identification Details

Registered Name:	Chang Chun Plastics Co., Ltd.
Registered Address:	No.301, 7th FL., Songkiang Road, Taipei, Taiwan R.O.C.
Date of Foundation:	1957-12-28
Registration Number:	11384708
Registry:	Department of Commerce, Ministry of Economic Affairs, R.O.C.
Registered Capital:	NTD 3,404,802,610 (USD 115,422,808) (As of 2012.12, 1 NTD = 0.0339 USD)
Paid-up Capital:	NTD 3,404,802,610 (USD 115,422,808)
Legal Representatives:	Shuhong Lin
Legal Form:	Joint Stock Company
Principal Activities:	Manufacture and sales of chemicals
Staff:	About 3,000 Employees
Listed at Stock Exchange:	No
Date of Last Annual Return:	2012-6-3

History

Subject was incorporated on 1957-12-28 with registered number 11384708 as Joint Stock Company in Taiwan.

Awards

Year	Awards
2009	Blue chip importer and exporter
2010	Blue chip importer and exporter
2011	Blue chip importer and exporter

Standard of Blue chip importer and exporter

Unit: USD

Year	Amount
2009	15,000,000
2010	20,000,000
2011	22,000,000

Shareholders

Name	Subscription Shares
Shuhong Lin	21,560,326
Xinyi Zheng	53,186,536
Longxing Liao	24,196,908
Xuanyi Liao	2,321,209
Xianjin Chen	4,722,177
Xiandong Lin	17,317,422
Zheng Zheng	15,284,230
Rongzong Chen	113,597
Qiongyu Liao	8,353,060
Qingrong Lin	11,192,581
Wanzhi Zheng	220,787

The information above is that of subject’s major shareholders.

Subsidiaries & Branches

Branches and factories

1
Address:	8, Chung Hua Road, Fong Shan Village, ShinChu Industry Park, ShinChu 303, Taiwan
Telephone Number:	+886-3-598-1511
Fax Number:	+886-3-598-1676
2
Address:	14, Industry 1 Road, Jin-wu Industry Park, Kaohsiung 814, Taiwan
Telephone Number:	+886-7-371-1301
Fax Number:	+886-7-371-0819
3
Address:	8 Hwa-Shi Road, DaFa Industry Park, Kaohsiung 831, Taiwan
Telephone Number:	+886-7-787-2654
Fax Number:	+886-7-787-2408
4
Name:	Mailiao Branch
Address:	No.27 Formosa Industrial Complex, Mailiao, Yunlin, 638 Taiwan
Telephone Number:	+886-5-681-2790
Fax Number:	+886-5-681-2798
Registered Number	70760209
Manager Name:	Xinyi Zheng
Date of Incorporation:	1999-12-29
Date of Last Annual Return:	2002-5-17

Personnel Information

Core Management

Directors

1
Name	Shuhong Lin
Position	Board Chairman
2
Name	Xinyi Zheng
Position	Managing Director
3
Name	Longxing Liao
Position	Managing Director
4
Name	Xuanyi Liao
Position	Director
5
Name	Xianjin Chen
Position	Director
6
Name	Xiandong Lin
Position	Director
7
Name	Zheng Zheng
Position	Director
8
Name	Rongzong Chen
Position	Director
9
Name	Qiongyu Liao
Position	Director
10
Name	Qingrong Lin
Position	Supervisor
11
Name	Wanzhi Zheng
Position	Supervisor

Personnel Structure

Total Employees

About 3,000 Employees

Operation Information

Offices & Factories

	Headquarters
Add	No.301, 7th Fl., Songkiang Road, Taipei, Taiwan R.O.C.

Production Information

l Subject is a manufacture of chemicals for Textile Industry, Electronic Industry, etc.

Purchase Information

l The major registered activities of subject:

Business Code	Details
C801050	Manufacture of plastic raw materials
C801020	Manufacture of petrochemical materials
CC01020	Manufacture of wire and cable.
CC01060	Manufacture of wire communication machinery
ZZ99999	Besides licensed business, all other business items those are not banned or restricted.

l Subject purchases raw materials mainly abroad. While it is introduced that subject’s purchasing all depends on the specific conditions and customers’ demands.

Sales Information

l The subject is mainly engaged in manufacturing and trading of chemical products for Chemical Industry, Textile Industry, Electronic Industry, etc.

l Major products sold as following:

1	Product
2	Acetone
3	Acrylamide
4	Acrylic resin
5	Amino resin for coating
6	Bis-phenol a
7	Brominated epoxy flame retardant
8	Copper-foil
9	Dry film photo resist
10	Dry paper strength resin
11	E-glass fiber chopped strand
12	El grade developer for semiconductor & lcd
13	El grade propylene glycol monomethyl ether
14	El grade propylene glycol monomethyl ether
15	El grade propylene glycol monomethyl ether acetate
16	El grade stripper for semiconductor & lcd
17	El grade thinner for semiconductor & lcd
18	Electronic grade normal butyl acetate
19	Epoxidized soyabean oil
20	Epoxy resin
21	Epoxy resin molding compound
22	Etching liquid
23	Ethylene vinyl alcohol copolymer
24	Fiber chopped strand
25	Flexible copper clad laminate
26	Formaldehyde
27	Furan no-bake resin
28	Glacial acetic acid
29	Glass epoxy copper clad laminate
30	Hdpe drum
31	Hexamine
32	High purity hydrogen peroxide for semiconductor
33	High solids amino crosslinking agent
34	Hindered phenol antioxidants
35	Hydrogen peroxide
36	Insulation paper
37	Others

l Subject introduced that subject has 4 factories that help subject manufacture the chemical products.

l Subject’s selling territory covers domestic and foreign markets.

Import and export right:

Import right	Yes
Export right	Yes

Settlements

Purchase

Domestic Purchase

Product	Payment Terms	Proportion
Raw materials, etc	CBD, COD, etc	100%

Foreign Purchase

Product	Payment Terms	Proportion
Raw materials, etc	CBD, etc	100%

Sales

Domestic Markets

Product	Sales Terms	Proportion
Chemicals	CBD, etc	100%

Export

Product	Sales Terms	Proportion
Chemicals	CBD, etc	100%

Financial Information

Subject has no obligations to disclose its financial statements to the third party according to the relevant policy in Taiwan and the only source from which we can obtain the information is the subject itself.

Subject declined to disclose its financials citing the grounds of company’s confidentiality; from other source we can not obtain the relevant information, either.

Bankers

Subject declined to disclose its bank details; from other source we can not obtain the relevant information, either.

Public Record

Mortgage

No chattel mortgage record of subject has been found within the recent 3 months.

Lawsuit

Up to date of reporting, no existing or latent litigation of the subject has been found.

Interview Details

Name

Mr. Chan

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.55.08
UK Pound	1	Rs.89.53
Euro	1	Rs.72.77

INFORMATION DETAILS

Report Prepared by :

PRL

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.