MIRA INFORM REPORT
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Report Date : |
07.02.2012 |
IDENTIFICATION DETAILS
|
Name : |
SHANDONG LOFTEN ALUMINIUM FOIL CO., LTD. |
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Registered Office : |
No. 1568 Binbo Avenue, Boxing County,
Shandong Province 256500 Pr |
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Country : |
China |
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Financials (as on) : |
30.09.2011 |
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Date of Incorporation : |
11.08.2000 |
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Com. Reg. No.: |
371600228011118 |
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Legal Form : |
Shares Limited Company |
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Line of Business : |
manufacturing and selling aluminum foil |
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No. of Employees
: |
714 |
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 |
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Maximum Credit Limit : |
USD 5,000,000 |
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Status : |
Satisfactory |
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Payment
Behaviour : |
No Complaints |
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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 |
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Very High |
C1 |
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Restricted |
C2 |
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Off-credit |
D |
Company name & address
Shandong Loften Aluminium Foil Co., Ltd.
no. 1568 binbo
avenue, boxing county
shandong province
256500 PR CHINA
TEL: 86 (0)
543-2161727
FAX: 86 (0)
543-2161727
EXECUTIVE SUMMARY
Date of Registration : August 11, 2000
REGISTRATION NO. : 371600228011118
LEGAL FORM : SHARES LIMITED COMPANY
REGISTERED CAPITAL :
cny 155,000,000
staff : 714
BUSINESS CATEGORY :
manufacturing
REVENUE :
CNY 1,363,934,000 (FROM JAN. 1 TO SEP. 30, 2011)
EQUITIES :
CNY 888,159,000 (AS OF SEP. 30, 2011)
WEBSITE : www.loften.com.cn
E-MAIL :
info-ck@loften.cn
PAYMENT : AVERAGE
Recommended Credit Limit : UP TO USD 5,000,000 (PERIODICAL REVIEW)
MARKET CONDITION : COMPETITIVE
FINANCIAL CONDITION :
FAIRly stable
OPERATIONAL TREND :
STEADY
GENERAL REPUTATION : fairly
good
EXCHANGE RATE : CNY 6.31 = USD 1
Adopted abbreviations
(As Follows)
SC - Subject Company
(the company inquired by you)
N/A – Not available
CNY – China Yuan Ren
Min Bi
OPERATIONAL TREND & GENERAL
REPUTATION
This section aims at indicating the relative positions of SC in respect of
its operational trend & general reputation
Operational Trend:- General
Reputation:-
Upward Excellent
Steady Good
Fairly Steady Fairly
Good
Ordinary Average
Fair Fair
Stagnant Detrimental
Downward Not
known
Not known Not yet be determined
Not yet be determined
LEGAL STATUS & HISTORY
***Note: The provide address (F-20, G C Tower No.
1088, Yuanshen Road, Shanghai) and telephone number (0086 021 61042856 &
0086 021 61042867) belongs to SC’s sales office in Shanghai.
SC was established
as a limited liabilities company of PRC on August 11, 2000. However, SC changed to present legal form, and was
registered as shares limited company
of PRC with State Administration of Industry & Commerce (SAIC) under
registration No.: 371600228011118 on September 17, 2007.
SC’s Organization Code Certificate
No.: 72498434-0
SC’s registered capital: cny 155,000,000
SC’s paid-in capital: cny 155,000,000
Registration Change Record:
|
Date |
Change
of Contents |
Before
the change |
After
the change |
|
|
Legal
Form |
Limited
Liabilities Company |
Shares
Limited Company |
|
Company
Name |
Shandong
Loften Aluminium Foil Industry Co., Ltd. |
Shandong
Loften Aluminium Foil Co., Ltd. |
|
|
2010 |
Registered Capital |
CNY 58,000,000 |
CNY 77,500,000 |
|
2011 |
Registered Capital |
CNY 77,500,000 |
CNY 155,000,000 |
Current Co search indicates SC’s shareholders & chief
executives are as follows:-
|
Name of Shareholder (s) (as
of June 30, 2011) |
% of Shareholding |
|
Yu Rongqiang |
50.52 |
|
Beijing Huiquan International
Investment Co., Ltd. |
5.07 |
|
Dong Zichun |
3.87 |
|
Boxing County Yinhe Investment
Co., Ltd. |
3.86 |
|
Di Zhengde |
3.10 |
|
Hong Qunli |
0.65 |
|
Pang Shuzheng |
0.39 |
|
Gao Xiangmin |
0.39 |
|
Wang Lu |
0.39 |
|
Teng Jingzhi |
0.39 |
|
Yu Yonggang |
0.39 |
|
Li Shuhe |
0.39 |
|
Yu Zhiqiang |
0.39 |
|
Huang Xiaoling |
0.39 |
|
Other Shareholders |
29.81 |
SC’s Chief Executives:-
|
Position |
Name |
|
Legal Representative, Chairman, and
General Manager |
Yu Rongqiang |
|
Deputy General Manager |
Pang
Shuzheng |
|
Lin Lvye |
|
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Director |
Liu Hongxia |
|
Fan Lian |
|
|
Chu Minhong |
|
|
Zhou Zong’an |
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Supervisor |
Li Ping |
|
Liu Qingbo |
RECENT DEVELOPMENT
SC is a listed company in Shenzhen Stock Exchange Market with the code
of 002379.
SHAREHOLDER CHART &
BACKGROUND
Name (as of June 30,
2011) % of
Shareholding
Yu Rongqiang 50.52
Beijing Huiquan International
Investment Co., Ltd. 5.07
Dong Zichun 3.87
Boxing County Yinhe Investment
Co., Ltd. 3.86
Di Zhengde 3.10
Hong Qunli 0.65
Pang Shuzheng 0.39
Gao Xiangmin 0.39
Wang Lu 0.39
Teng Jingzhi 0.39
Yu Yonggang 0.39
Li Shuhe 0.39
Yu Zhiqiang 0.39
Huang Xiaoling 0.39
Other Shareholders 29.81
Beijing Huiquan International
Investment Co., Ltd.
========================================
Date of Registration: September 30, 1997
Registration No.: 110000009585851
Legal Form: Shares Limited
Company
Registered Capital: CNY 50,000,000
MANAGEMENT
Yu Rongqiang , Legal Representative, Chairman and General Manager
-------------------------------------------------------------------------------------------------------
Ø
Gender: M
Ø
Age: 40
Ø
Qualification:
Junior College
Ø
Working
experience (s):
From 1996 to 2000, worked in Boxing Loften Metal Co., Ltd. as general manager
From 2000 to present, working in SC as legal representative, chairman and general manager
Pang
Shuzheng, Deputy General
Manager
------------------------------------------------------------------
Ø
Gender: M
Ø
Age: 43
Ø
Qualification:
University
Ø
Working
experience (s):
From 2003 to 2007, working in SC as deputy general manager
Lin Lvye, Deputy
General Manager
----------------------------------------------------------
Ø
Gender: M
Ø
Age: 58
Ø
Qualification:
University
Ø
Working
experience (s):
From 2005 to 2008, worked in Shanxi Jinneng Group Aluminum Material Co., Ltd. as general manager
At present, working in SC as deputy general manager
Also working in Qingdao Runfeng Aluminum Foil Co., Ltd. as legal representative
BUSINESS OPERATION
SC’s registered business scope includes manufacturing,
processing and selling board foil, exporting its products; importing materials,
machinery and equipment, instrument and parts needed for its production;
selling stainless steel plate, galvanized sheet.
SC is
mainly engaged in manufacturing and selling aluminum foil.
Brand: LOFTEN
SC’s products
mainly include: PTP pharma foils and soft packing pharma
foils for pharmaceuticals packing; household foils for food packing; container
foils that are used for punched packing containers, such as airline meal boxes
and food packing containers; bottleneck foils for packing beer bottleneck
covers; and cable foils for cable shielding.
SC sources its materials 100% from domestic
market. SC sells 70% of its products in domestic market, mainly Shanghai and
Shandong, and 30% to overseas market, mainly USA, Europe and Southeast Asia.
The
buying terms of SC include T/T and Credit of 30-60 days. The payment terms of
SC include T/T, L/C and Credit of 30-60 days.
Staff & Office:
--------------------------
SC is
known to have approx. 714
staff at present.
SC owns an area as
its operating office & factory of approx. 225,000 sq. meters at the heading
address.
RELATED COMPANY
SC is
known to have 5 subsidiaries at present:
n
Shandong
Loften Aluminium Foil Products Co., Ltd.
n
Boxing
Ruifeng Aluminium Co., Ltd.
n
ShangHai
LuShen Aluminium Material Co., Ltd.
n
Qingdao
Runfeng Aluminium Foil Co., Ltd.
n
Qingdao
Baofeng Aluminium Foil Co., Ltd.
PAYMENT
Overall payment appraisal:
( ) Excellent ( ) Good (X) Average ( ) Fair ( ) Poor ( ) Not yet be 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.
BANKING
Basic Bank:
Agricultural
Bank of China Boxing Sub-branch
AC#:
15-734901040022818
China
Construction Bank Boxing Sub-branch
AC#:
37001837808050154614
FINANCIALS
Consolidated Balance Sheet
|
Unit: CNY’000 |
As
of Dec. 31, 2010 |
As
of Sep. 30, 2011 |
|
381,189 |
713,952 |
|
|
Held for trading financial assets |
0 |
0 |
|
Notes receivable |
101,400 |
201,782 |
|
Accounts
receivable |
86,271 |
183,309 |
|
Advances to
suppliers |
515,771 |
721,875 |
|
Other receivable |
5,302 |
34,182 |
|
Inventory |
270,536 |
449,991 |
|
Other current
assets |
0 |
1,084 |
|
|
------------------ |
------------------ |
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Current assets |
1,360,469 |
2,306,175 |
|
Long-term equity
investment |
2,000 |
2,000 |
|
Fixed assets |
434,364 |
954,212 |
|
Construction in
progress |
479,129 |
104,399 |
|
Engineering
materials |
0 |
0 |
|
Intangible
assets |
125,054 |
189,817 |
|
Long-term
prepaid expenses |
216 |
1,383 |
|
Deferred income
tax assets |
2,773 |
9,530 |
|
Other
non-current assets |
0 |
44,278 |
|
|
------------------ |
------------------ |
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Total assets |
2,404,005 |
3,611,794 |
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|
============= |
============= |
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Short-term loans |
813,380 |
1,628,700 |
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Held for trading
financial liabilities |
0 |
0 |
|
Notes payable |
232,211 |
406,601 |
|
Accounts payable |
77,723 |
135,837 |
|
Advances from
clients |
9,357 |
22,499 |
|
Payroll payable |
1,638 |
1,064 |
|
Tax payable |
-53,577 |
-87,150 |
|
Interest payable |
0 |
0 |
|
Other payable |
8,411 |
9,627 |
|
Current
liabilities due within one year |
165,000 |
59,000 |
|
Other current
liabilities |
0 |
0 |
|
|
------------------ |
------------------ |
|
Current
liabilities |
1,254,143 |
2,176,178 |
|
Non-current liabilities |
282,750 |
547,457 |
|
|
------------------ |
------------------ |
|
Total
liabilities |
1,536,893 |
2,723,635 |
|
Equities |
867,112 |
888,159 |
|
|
------------------ |
------------------ |
|
Total
liabilities & equities |
2,404,005 |
3,611,794 |
|
|
============= |
============= |
Consolidated Income Statement
|
Unit: CNY’000 |
As
of Dec. 31, 2010 |
From
Jan. 1 to Sep. 30, 2011 |
|
Revenue |
1,021,886 |
1,363,934 |
|
Cost of sales |
881,441 |
1,216,165 |
|
Taxes and surcharges |
2,389 |
2,826 |
|
Sales expense |
24,466 |
17,529 |
|
Management expense |
30,069 |
27,568 |
|
Finance expense |
34,595 |
73,103 |
|
Investment
income |
196 |
300 |
|
Non-operating
income |
2,391 |
2,280 |
|
Non-operating expense |
84 |
50 |
|
Profit before
tax |
49,876 |
23,795 |
|
Less: profit tax |
13,359 |
6,797 |
|
Profits |
36,517 |
16,998 |
Important Ratios
=============
|
|
As
of Dec. 31, 2010 |
As
of Sep. 30, 2011 |
|
*Current ratio |
1.08 |
1.06 |
|
*Quick ratio |
0.87 |
0.85 |
|
*Liabilities
to assets |
0.64 |
0.75 |
|
*Net profit
margin (%) |
3.57 |
1.25 |
|
*Return on
total assets (%) |
1.52 |
0.47 |
|
*Inventory /
Revenue ×365/270 |
97
days |
90 days |
|
*Accounts
receivable/ Revenue ×365/270 |
31
days |
37 days |
|
*
Revenue/Total assets |
0.43 |
0.38 |
|
* Cost of
sales / Revenue |
0.86 |
0.89 |
FINANCIAL
COMMENTS
PROFITABILITY:
AVERAGE
l
The revenue of SC appears
fairly good.
l
SC’s net profit margin is average.
l
SC’s return on total assets is average.
l
SC’s cost of sales is average, comparing with its revenue.
LIQUIDITY:
AVERAGE
l
The current ratio of SC is maintained in a normal
level.
l
SC’s quick ratio is maintained in a normal level.
l
The inventory of SC appears average.
l
The accounts receivable of SC appears average.
l
SC’s short-term loans appear large.
l
SC’s revenue is in a
fair level, comparing with the size of its total assets.
LEVERAGE:
AVERAGE
l
The debt ratio of SC is average.
l
The risk for SC to go bankrupt is low.
Overall financial
condition of the SC: Fairly Stable.
CONCLUSIONS
SC is considered medium-sized in its line with
fairly stable financial conditions. The fairly large amount of
short-term loans may be a threat to SC’s financial condition. A credit line up
to USD 5,000,000 is recommended upon a periodical review basis.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.48.68 |
|
UK Pound |
1 |
Rs.76.75 |
|
Euro |
1 |
Rs.63.57 |
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.