|
Report Date : |
29.12.2012 |
IDENTIFICATION DETAILS
|
Name : |
P.T. LOTUS INDAH TEXTILE INDUSTRIES |
|
|
|
|
|
|
Registered Office : |
30th Floor Gedung Artha Graha Sudirman Central Business District Jalan Jend. Sudirman Kav. 52-53 Jakarta Pusat, 12190 |
|
|
|
|
|
|
Country : |
Indonesia |
|
|
|
|
|
|
Date of Incorporation : |
03.03.1988 |
|
|
|
|
|
|
Com. Reg. No.: |
No. AHU-25385.AH.01.02.TH.2010 |
|
|
|
|
|
|
Legal Form : |
Limited Liability Company |
|
|
|
|
|
|
Line of Business : |
Textile (Spinning Mills) Industry |
|
|
|
|
|
|
No. of Employees : |
1,252 persons |
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 – June 30th, 2012
|
Country Name |
Previous Rating (31.03.2011) |
Current Rating (30.06.2012) |
|
Indonesia |
B1 |
B1 |
|
Risk Category |
ECGC
Classification |
|
Insignificant |
A1 |
|
Low |
A2 |
|
Moderate |
B1 |
|
High |
B2 |
|
Very High |
C1 |
|
Restricted |
C2 |
|
Off-credit |
D |
INDONESIA - ECONOMIC OVERVIEW
Indonesia, a vast polyglot nation,
grew an estimated 6.1% and 6.4% in 2010 and 2011, respectively. The government
made economic advances under the first administration of President YUDHOYONO
(2004-09), introducing significant reforms in the financial sector, including
tax and customs reforms, the use of Treasury bills, and capital market
development and supervision. During the global financial crisis, Indonesia
outperformed its regional neighbors and joined China and India as the only G20
members posting growth in 2009. The government has promoted fiscally
conservative policies, resulting in a debt-to-GDP ratio of less than 25%, a
small current account surplus, a fiscal deficit below 2%, and historically low
rates of inflation. Fitch and Moody's upgraded Indonesia's credit rating to investment
grade in December 2011. Indonesia still struggles with poverty and
unemployment, inadequate infrastructure, corruption, a complex regulatory
environment, and unequal resource distribution among regions. The government in
2012 faces the ongoing challenge of improving Indonesia's insufficient
infrastructure to remove impediments to economic growth, labor unrest over
wages, and reducing its fuel subsidy program in the face of rising oil prices.
Source
: CIA
P.T.
LOTUS INDAH TEXTILE INDUSTRIES
Head Office
30th
Floor Gedung Artha Graha
Sudirman
Central Business District
Jalan
Jend. Sudirman Kav. 52-53
Jakarta Pusat, 12190
Indonesia
Phones -
(62-21) 515 3081, 515 3083
Fax - (62-21) 515 3084
E-mail - patil@lotusindah.com
Website - http://www.lotusindah.com
Building Area - 32 storey
Office Space - 200 sq. meters
Region - Commercial
Building
Status - Rent
Factory
Jalan Raya Kedung Asem No. 1
Keduk
Baruk, Sungkut
Surabaya
60298
East
Java
Indonesia
Phones -
(62-31) 8706348 (Hunting)
Fax - (62-31) 8706352
Land Area - 80,000 sq.
meters
Building Space - 67,000 sq. meters
Region - Industrial
Zone
Status - Owned
Date of Incorporation :
3
March 1988
Legal
Form :
P.T.
(Perseroan Terbatas) or Limited Liability Company
Company
Reg. No. :
The Ministry of Law and Human Rights
- No. C2-4659.HT.01.01.TH.88
Dated 30 May 1988
- No. W10-HT.01.10-253
Dated 3 November 2006
- No. AHU-25385.AH.01.02.TH.2010
Dated 19 May 2010
Company
Status :
Foreign
Investment (PMA) Company
Permit
by the Government Department :
a.
The Department of Finance
NPWP No. 1.061.720.7-609.000
b.
The Capital Investment Coordinating
Board
- No. 35/I/PMA/1987
Dated 7 July 1987
-
No.
299/III/PMA/1990
Dated
24 July 1990
-
No.
144/II/PMA/1990
Dated
11 September 1990
-
No.
504/III/PMA/1992
Dated
9 September 1992
-
No.
03/II/PMA/1993
Dated
25 January 1993
-
No.
137/II/PMA/2000
Dated
10 August 2000
-
No.
1237/III/PMA/2000
Dated
10 August 2000
Related
Company :
A
Member Company of the TOLARAM Group, Singapore (See Attachment)
Capital
Structure :
Authorized
Capital : US$ 8,500,000.-
Issued
Capital :
US$ 7,800,000.-
Paid
up Capital :
US$ 7,800,000.-
Shareholders/Owners
:
a. FIBERS TECHNOLOGY CORPORATION Pte.,
Ltd. - US$ 7,650,000.-
Address : Singapore
b. Mr. Rajeshlal M. Vaswani -
US$ 150,000.-
Address :
Indonesia
Lines
of Business :
Textile
(Spinning Mills) Industry
Production
Capacity :
a. Spun Yarns -
18,500,000 bales p.a.
b.
Embroidery - 2,540,000 yards p.a.
c.
Synthetic Yarns - 7,000 bales p.a.
d.
Non Woven Fabrics - 2,000,000 meters p.a.
e.
Dyeing & Finishing - 1,700,000 yards p.a.
Total
Investment :
a.
Equity Capital -
US$ 6.8 million
b.
Loan Capital -
US$ 32.7 million
c.
Total Investment -
US$ 39.5 million
Started
Operation :
1989
Brand
Name :
LITI
Technical
Assistance :
Fibers
Technology Corporation Pte., Ltd., Singapore
Number
of Employee :
1,252
persons
Marketing
Area :
Export -
94.19%
Local -
5.81%
Main
Customer :
Buyers
in Europe Union and the USA, Asian Countries
Market
Situation :
Very
Competitive
Main
Competitors :
a.
P.T. ASIA COTTON INDUSTRY
b.
P.T. BUDI MUARATEX
c.
P.T. MERMAID TEXTILE INDUSTRIES
d. P.T. VASTEX PRIMA INDUSTRIES
e.
Etc.
Business
Trend :
Growing
B a n k e r s :
a. P.T. Bank
CENTRAL ASIA Tbk
Jalan Veteran No. 28
Surabaya, East Java
Indonesia
b. P.T. Bank MANDIRI Tbk
Jalan Raya Darmo No. 95-A
Surabaya, East Java
Indonesia
c. P.T. Bank SUMITOMO MITSUI INDONESIA
Wisma BII, 8th Floor
Jalan Pemuda
No. 60-70
Surabaya,
East Java
Indonesia
d. P.T. Bank DBS INDONESIA
Plaza Permata, 8th – 9th
and 12th Floor
Jalan M.H.
Thamrin Kav. 57
Jakarta Pusat, 10350
Auditor
:
Hadori,
Sugiarto Adi & Rekan (HLB)
Litigation
:
No
litigation record in our database
Annual
Sales :
2009
– US$ 29.1 million
2010
– US$ 36.2 million
2011
– US$ 38.0 million (estimated)
2012
– US$ 20.0 million (January – June) estimated
Net
Profit :
2009
– US$ 94,834
2010
– US$ 139,272
2011
– US$ 150,000 (estimated)
2012
– US$ 158,000 (January – June) estimated
Payment
Manner :
Average
Financial
Comments :
Satisfactory
Board of Management :
President Director - Mr. Pradeep Sainani
Directors -
a. Mr. Madan Pal Sing
b. Mr. Ravidra B. Patil
c. Mr. Satya Prakash Garg
General Manager - Mr. R.K. Sharma
Board of Commissioners :
President Commissioner - Mr. Sajen Aswani
Commissioners - a. Mr. Mohan K. Vaswani
b. Mr. Vishamkar T. Adnani
Signatories :
President
Director (Mr. Pradeep Sainani) or one of the Directors (Mr. Madan Pal Singh,
Mr. Ravidra B. Patil or Mr. Satya Prakash Garg) which must be approved by Board
of Commissioner
Management Capability :
Good
Business Morality :
Good
Credit Risk :
Average
Credit Recommendation :
Credit should be proceeded with monitor
Proposed
Credit Limit :
Small
amount – periodical review
P.T.
LOTUS INDAH TEXTILE INDUSTRIES (P.T. LITI) was established 1988 with the
authorized capital of US$ 3,000,000 of which US$ 1,000,000 was issued and fully
paid up. The founding shareholders of P.T. LITI are P.T. MULTIBIS AGUNG PRIMA
of Indonesia and ASEAN INTEREST Ltd of Hong Kong. In 1990, into the company
entered CALT INVESTMENT Ltd of Hong Kong as a new shareholder and concurrently
the authorized capital was raised to US$ 5,000,000 of which US$ 3,000,000 was
issued and fully paid up. In 1996, CALT INVESTMENT Ltd and P.T. MULTIBIS AGUNG
PRIMA withdrew and replaced by Mr. Rajeshlal Mohanlal Vaswani, Mr. Yogeshlal
Mohanlal Vaswani and Mr. Deep Bhoraj Kundhani, the three are Indonesian
businessmen of Indian extraction. In July 2001, the authorized capital was
raised to US$ 8,500,000 of which US$ 6,800,000 was issued and fully paid up.
Since that time, whole shares of P.T. LITI have been controlled by FIBERS
TECHNOLOGY CORPORATION Pte., Ltd of Singapore (97.8%) and Mr. Rajeshlal M
Vaswani (2.2%). The deed of amendment was made by Mrs. Dyah Ambarwaty Setyoso,
SH., was approved by the Ministry of Law and Human Right in its Decision Letter
No. W10-HT.01.10-253, dated November 03, 2006. Later according to the latest
revision of notary documents of Mrs. Siti Nurul Yuliami, SH., M.Kn., No. 31
dated 22 January 2010 the company issued capital was increased to US$ 7,800,000
entirely paid up. With this development the composition of its shareholders has
been changed to become FIBERS TECHNOLOGY CORPORATION PTE, LTD., Singapore
(98.08%) and Mr. Rajeshlal Mohanlal Vaswani (1.92%). The deed of amendments was
approved by the Ministry of Law and Human Rights in its decision letter No.
AHU-25385.AH.01.02.TH.2010 dated May 19, 2010.
We
observe FIBERS TECHNOLOGY Corp. Pte., Ltd., is a member of the TOTALARAM Group,
a large sized company group in Singapore led by Mr. Mohan K. Vaswani (71) and
his family members such as Mr. Sajen Aswani (52) and Mr. Rajeshlal M. Vaswani
(41).
P.T.
LITI has been in operation since 1989 dealing with spinning mills industry by
taking over a textile plant of P.T. HORISON SYNTEN bankrupted in 1988. Its
plant is located at Jalan Raya Kedung Asem No. 1, Kedung Baruk Rungkut,
Surabaya, East Java on a land of 8 hectares. P.T. LITI has gathered experience
in textile field spanning more than 25 years. Following a strategy of growth
and diversification, the Company has extended its activities from production of
Synthetics Stitch-Bonded Non Woven, Embroidery, Ring Spun Yarn to fabric along
with Dyeing/finishing fabric, multifold yarn for industrial use. Today the
Company has made tremendous progress and is well established as an integrated
manufacturer of a wide range of products from yarn to fabric to meet the
demands of various industrial sectors. Keeping pace with technological
developments in the field of textiles, P.T. LITI went in for the modification
and modernization of its key sectors in 2002. This helped the company to
achieve a high level of productivity also assuring a high standard of quality
to meet the customer requirements.
P.T. LITI Products :
ü Spun Yarn
About 18,000 metric tonnes / annum of ring-spun synthetic yarn with special
focus on polyester
Count range
|
|
Single - Ne 6/1 - Ne 40/1 |
Application - Knitting and weaving of
apparels an non apparels. Industrial Sewing Threads, Carpet warp, Firehose,
Coated fabrics, Braiding and other industrial usage.
ü Embroidery
Production set-up 1,800,000 meters /
annum and equipped with fifth generation Saurer Unica on 16.3 and 22 yarn
Pentamant.
Products:
|
- |
Poly
cotton trims |
|
- |
Poly
cotton Allovers on 44", 58" and wide width |
|
- |
Guipurelace,
Allover and Motifs |
|
- |
Net
Lace and Allover |
|
- |
Guipure
Macrame for curtains |
|
- |
Embroidered
Bedlinen |
ü Non Woven-Stitch
Bondeed
Market leader in delivering high
quality, high performance structural component solutions for the global
footwear industry as well as engineered applications for other industries.
Production Capacity - 250,000 meters
per month. Fabrics are made from either 100% polyester or blended polyester and
Viscose
Stitch bonded fabrics are raw white in
luster and generally solid in grey stage with 120 cms and 240 cms width or dyed
120 cms width
Fabrics are made in 7,10,14,18 and 22
gauge structure
End use:
o
Shoe
interlining
o
Lamination
o
Printed
curtains
o
Bed
Covers
o
Vertical
blinds
o
Dust
sheets, etc.
The
main products of the company include spun yarns, synthetic yarns, embroidery
and non woven fabrics. The company has a production capacity of 18,500,000
bales of spun yarns, 2,540,000 yards of embroidery, 7,000 bales of synthetic
yarns and 2,000,000 tons of non-woven fabrics and 1,700,000 yards dyeing and
finishing fabrics per year. Development of the plant has used up an estimated
investment of US$ 39.5 million, with US$ 6.8 million having come from company’s
capital and US$ 32.7 million from loans. Mr. R.K. Sharma, a General Manager of
P.T. LITI when contacted disclosed that some 94.19% of the company’s products
are exported to various countries including Middle East, Canada, the USA,
Belgium, France, the UK, the Netherlands, Italy, South Korea, Malaysia, Middle
East, Africa and others while the rest is locally marketed especially to textile
industries such as P.T. INDO BHARAT RAYON, P.T. SOUTH PACIFIC VISCOSE and
others.
The
global economic slowdown followed by fast rising local bank interest rates has
also had a negative impact on the company's finances for having resulted in a
swelling of the company’s debts out of control. Meanwhile, the local TPT
(Textile and Textile Products) industries and other factors causing the
declining competitive ability of the national TPT products are the increasing
production costs, high interest rates, expensive customs office costs, illegal
retributions, textile and garment machinery restructuring costs and the rising
prices of production components (oil fuel prices and electric base tariffs).
P.T. LITI is classified as a large sized company of its kind in the country of
which the operation has been running smoothly and growing steadily in the last
three years.
The demand for
textile chemicals tended to be fluctuating within the last five years in line
with the fluctuating of Indonesian textile industry in general. According to
the Central Bureau of Statistics (BPS) the Indonesian garments export in 2002
amounted to 333,100 tons (US$ 3,887.2 million) to 339,000 tons (US$ 4,037.9
million) in 2003 to 327.300 tons (US$ 4,351.9 million) in 2004 to 369.500 tons
(US$ 4,967.0 million) in 2005 to 399,600 tons (US$ 5,608.1 million) in 2006, to
399,800 tons (US$ 5,712.9 million) in 2007 rose to 417,600 tons (US$ 6,092.2
million) in 2008 declined to 393.400 tons (US$ 5,735.6 million) in 2009 and
445,200 tons (US$ 6,598.0 million) in 2010 rose to 450.9 ton (7,801.5 million)
in 2011.. 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 1,477.8 tons (US$ 3,908.6 million) in 2006 to 1,473.6 tons
(US$ 4,178.0 million) in 2007 decrease to 1,312.2 tons (US$ 4,127.9 million) in
2008 rose to 1,369.6 tons (US$ 3,602.8 million) in 2009 and to 1,525.9 tons
(US$ 4,721.8 million) in 2010 decreased to 1,493.3 tons (5,563.3 million) in
2011.
The
domestic textile producers are pessimism the textile export in 2009 could match
the export numbers in 2008. The blow of the global economic crisis is resulted
in the reduced of demand from the export destination countries like the United
States (U.S.), Japan, and European Union region. While this year’s the exports
expected fall into US$ 9.7 billion. The Chairman of the Indonesian Textile
Association (API), Mr. Benny Soetrisno said that the decline in global
purchasing power caused of the demand in the Indonesian textile products could
not be able to grow as tight as 2008. The export volume and value of the
national TPT products in 2002 to 2011 are pictured on the following table.
|
Year |
Garment |
Textile Products |
||
|
(Thousand Ton) |
(US$ Million) |
(Thousand Ton) |
(US$ Million) |
|
|
2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 |
333.1 339.9 327.3 369.5 399.6 399.8 417.6 393.4 445.2 450.9 |
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 7,801.5 |
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 1,493.3 |
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 5,563.3 |
Source: Central
Bureau of Statistic
P.T.
LITI has not been registered with Indonesian Stock Exchange, so that they shall
not obliged to announce their financial statement. According to Financial
Statement which audited by Hadori Sugiarto Adi & Rekan (HLB) which ended 31
December 2009 amounted US$ 29.1 million with a net profit of US$ 94,834
increased to US$ 36.2 million with a net profit of US$ 139,272 in 2010. We
estimated the sales turnover in 2011 amounted at US$ 38.0 million with a net
profit of US$ 150,000 and as from January to June 2012 the sales turnover has
reached at least US$ 20.0 million with a net profit of US$ 158,000. It is
projected the sales revenue will be higher by at least 5% in 2013. We observe
that P.T. LITI is supported by foreign partner with has financially strong and
sound behind it. So far, we did not heard that the company having been black
listed by the Central Bank (Bank Indonesia). The company usually pays its debts
punctually to suppliers. Financial condense per 31 December 2009 and 2010 is
attached below.
(In US$)
|
Descriptions |
As per 31 December |
|
|
2010 |
2009 |
|
|
A.
ASSETS |
|
|
|
a.
Current Assets |
7,599,595 |
5,420,921 |
|
b. Non
Current Assets |
14,445,531 |
11,929,790 |
|
c.
Other Assets |
- |
- |
|
TOTAL ASSETS = TOTAL LIABILITIES & EQUITY |
22,045,126 |
17,350,711 |
|
B. LIABILITIES &STOCKHOLDERS EQUITY |
|
|
|
a.
Current Liabilities |
11,227,010 |
8,402,090 |
|
b. Non
Current Liabilities |
3,997,932 |
2,267,709 |
|
c.
Stockholders Equity : - Paid Up Capital - Translation adjustment - Retained Earnings Total Stock holders
Equity |
7,800,000 (1,317,197) 337,381 6,820,184 |
7,800,000 (1,317,197) 198,109 6,680,912 |
|
C. INCOME STATEMENT |
|
|
|
a.
Sales Net |
36,238,744 |
29,155,544 |
|
b.
Gross Profit |
5,185,796 |
4,440,223 |
|
c. Net Profit |
139,272 |
94,834 |
Notes: Ended 31 March 2010 and 2009
Audited by Hadori Sugiarto Adi & Rekan
The
management of the company is led by Mr. Pradeep Sainani (50), a businessman of
India. In his daily activities, he is assisted by Mr. Madan Pal Singh (63) and
Mr. Ravidra B. Patil (42) and Mr. Satya Prakash Garg (44), respectively as
director. The management has more than 17 years experience in textile industry.
The company is backed up by its sister company based in Singapore. The
management has wide relation with wide private businessmen of home and overseas
as well as with the 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. LOTUS INDAH
TEXTILE INDUSTRIES is sufficiently fairly good for business transaction.
Attachment:
List
of the TOLARAM Group Members
1.
AS
QUALITEX LTD., Estonia (Textile Industries)
2.
BITRATEX
INDUSTRIES, P.T. (Textile Industries)
3.
DE-UNITED
FOOD INDUSTRIES LTD., Nigeria (Instant Noodle Processing)
4.
HORIZON
PULP & PAPER, Estonia (Sack Kraft Paper Manufacturing)
5.
INSIGNIA
PRINT TECHNOLOGY, Nigeria (Printed Flexible Packaging)
6.
LUCKY
FIBER (NIGERIA) LTD., (Carpet Manufacturing)
7.
LOTUS
INDAH TEXTILE INDUSTRIES, P.T. (Spinning Mills)
8.
NIKKO
INDUSTRIES (NIGERIA) LTD., (Fishing Net Manufacturing)
9.
MULTIPRO
ENTERPRISE LTD., (Trading and Distribution of Food)
10.
TASTE
of ASIA (Trading of Food)
11.
Etc.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.54.85 |
|
|
1 |
Rs.88.39 |
|
Euro |
1 |
Rs.72.63 |
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%)
This report is issued at your request without any
risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL)
or its officials.