MIRA
INFORM REPORT
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Report Date : |
21.06.2012 |
IDENTIFICATION DETAILS
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Name : |
BROAD AIR CONDITIONING CO., LTD. |
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Registered Office : |
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Country : |
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Date of Incorporation : |
09.01.2003 |
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Com. Reg. No.: |
430194000000683 |
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Legal Form : |
Limited Liabilities Company |
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Line of Business : |
Manufacture and Sales Of Non-Electricity Central Air Conditioning |
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No. of Employees : |
2000 |
RATING & COMMENTS
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MIRA’s Rating : |
Ba |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
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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 – March 31st, 2012
|
Country Name |
Previous Rating (31.12.2011) |
Current Rating (31.03.2012) |
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China |
A2 |
A2 |
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Risk Category |
ECGC
Classification |
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Insignificant |
A1 |
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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
BROAD AIR CONDITIONING CO., LTD.
Currency in this report is Chinese Yuan
unless otherwise stated.
Exchange Rate: 1 USD=6.36 Chinese Yuan
"--"in this report indicates
"unavailable" due to insufficient information or "no
comments"
Notes:
1. The English name provided in the order isn’t
complete. SC’s complete name is as listed in the report.
2. Due to recent government intervention in the AIC
systems, credit reports could be impacted for a certain period. For companies
registered in Hunan, financial information couldn’t be obtained.
EXECUTIVE
SUMMARY
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DATE OF establishment |
JAN 9th, 2003 |
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Aic Registration No. |
430194000000683 |
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REGISTERED LEGAL FORM |
limited liabilities
company |
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REGISTERED CAPITAL |
200,000,000.00 |
|
main BUSINESS |
Manufacture and sales of non-electricity
central air conditioning |
|
employees |
2000 |
|
import and export permits |
yes |
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EXCHANGE RATE |
1 Usd=6.36 CNY
(June.20th, 2012) |
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Registered Address |
Broad Town, Changsha Economy and Technology Development Zone, Changsha
City, Hunan Province. |
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Zip Code |
410138 |
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Business Address |
Broad Town, Changsha Economy and Technology Development Zone, Changsha
City, Hunan Province. |
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Zip Code |
410138 |
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Telephone |
86 731 84086688 |
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Fax |
86 731 84611357 |
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SIC Code (China) |
3573 manufacture of refrigeration and air-conditioning equipments |
REGISTRATION
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Name (Chinese) |
远大空调有限公司 |
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Name (English) |
BROAD AIR CONDITIONING
CO., LTD. |
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Date of Establishment |
Jan 9th, 2003 |
|
Registry |
Administration Bureau of Industry and Commerce
–Changsha City |
|
Legal Representative |
Zhang Yue |
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AIC Registration Number |
430194000000683 |
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Registered Legal Form |
limited liabilities company |
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Registered Capital |
200,000,000.00 |
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Operating Duration |
From Jan 9th, 2003 to Dec 31st,
2013 |
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Business Scope |
Research, development,
manufacture, sales and providing related technology service of products and
energy equipments that match the non-electricity air conditioning; Research,
development, manufacture and sales of mechanical equipments, building
materials, sanitary wares, electronic computers, electrical machinery, etc; Import and export of goods
and technologies; Design of central air
conditioning system; Installation of electromechanical
equipments; Research, manufacture,
sales and providing service of air cleaner, air heat exchanger, central air
conditioning, home air conditioning, etc. (with license for those needed.) |
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Changes in Registration |
-- |
Limited liabilities co.
This form of business in PR China is defined as a
legal person. Its registered capital is contributed jointly by at least two
shareholders and no more than fifty. Shareholders bear limited liability to the
extent of shareholding, and the co. is liable for its debts only to extent of
its total assets. The characteristics of this form of co. are as follows:
Upon the establishment of the co., an investment
certificate is issued to the each of shareholders.
The board of directors is comprised of three to
thirteen members.
The minimum registered capital for a co. is listed
as follows:
-manufacturing co. :
RMB 500,000.00
-trading &wholesaling co. :
RMB 500,000.00
-retailing co. : RMB 300,000.00
-consultancy & service co. :
RMB 100,000.00
Shareholders may take their capital contributions
in cash or by means of tangible assets or intangible assets such as industrial
property and non-patented technology.
Cash contributed by all shareholders must account
for at least 50% of the registered capital while contribution by intangible
assets must not exceed 20% of the registered capital.
Existing shareholders have pre-exemption right to purchase
shares of the co. offered for sale by the other shareholders and to subscribe
for the newly increased registered capital of the co.
REGISTRATION INFO: AVAILABLE
FINANCIAL REPORTS: AVAILABLE
FIELD
INVESTIGATION
1.
SC’s business income comes mainly
from non-electricity central air conditioning. Its sales business is usually developed indirectly to its end customers.
The industry of air conditioning is an industry with fierce competition. There
are a lot of similar enterprises in the local place as SC’s competitors.
However, with long history and certain business scale, SC’s products have
strong competitiveness in the market. It has accumulated certain amount of
customers and enjoys certain popularity in the local industry. Generally speaking,
SC’s competitiveness is above average in the local industry.
2.
Changsha
City, SC’s location is a highly developed city. It is the best commercial city
in China. Changsha City has already undertaken two trade fairs which provides
SC with good economy and social environment.
SHAREHOLDERS
AND SHARES
As
indicated in the following table: (UNIT: CNY)
|
Shareholder |
Capital
Subscribed |
Percentage |
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Broad Group Co., Ltd. |
180,000,000.00 |
90% |
|
Zhang Yue |
20,000,000.00 |
10% |
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Total |
200,000,000.00 |
100% |
|
Shareholder |
Way
of Investment |
Paid-up
Percentage |
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Broad Group Co., Ltd. |
-- |
100% |
|
Zhang Yue |
-- |
100% |
Background
of major shareholder
|
Name |
Broad Group Co., Ltd. |
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Address |
Broad Town, Changsha Economy and Technology Development Zone, Changsha
City, Hunan Province. |
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Tel |
86 731 84086688 |
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Fax |
86 731 84610087 |
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Registration No. |
110000005214583 |
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Main business |
Investment and enterprise management business. |
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Name |
Zhang Yue |
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Gender |
Male |
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Title |
Executive director |
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Date of birth |
-- |
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Education |
University |
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Working experience |
10-15 years’ working experience. |
AFFILIATE(S)
No affiliates of subject
company is found after checking.
MANAGEMENT
|
Name |
Zhang Yue |
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Gender |
Male |
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Title |
Executive director |
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Date of birth |
-- |
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Education |
University. |
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Working experience |
10-15 years. |
NUMBER OF EMPLOYEES
Employees:
2000
Management
Staff: 300
Recent
recruitment: Yes
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Job-hunting websites |
Job title |
Number |
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www.hnrcsc.com |
Service engineer, dynamic engineer. |
11 |
BANKERS INFORMATION
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Bank name |
Bank of China– Hunan Branch |
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Account No. (CNY) |
-- |
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Tel. |
86 731 82580888 |
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Comment |
The staff of the bank confirmed SC opened an
account in the bank, but refused to disclose its account information due to
bank secrecy. |
OFFICE FACILITIES
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Geographic Location |
Broad Town, Changsha Economy and Technology Development Zone, Changsha
City, Hunan Province. |
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Area |
370,000 square meters |
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Environment |
Suburb. |
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Traffic condition |
Convenient. |
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Purpose |
Office/Warehouse/Factory. |
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Property Ownership |
Self-owned |
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Other address |
-- |
WEBSITE
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Website |
www.broad.com |
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e-mail |
-- |
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Operation status |
Normal |
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Copyright |
Copyright reserved by Broad Group Co., Ltd. |
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Language |
Chinese and English. |
TRADEMARKS
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Total trademark |
15 (only the latest 3 are listed) |
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Registration No. |
8466674 |
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Registration date |
July.9th, 2010 |
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Image |
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Registration No. |
8466656 |
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Registration date |
July.9th, 2010 |
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Image |
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Registration No. |
7815896 |
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Registration date |
Nov.6th, 2009 |
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Image |
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PATENTS
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Total patents |
4(only the latest 3 are listed) |
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Application No. |
200620052156.5 |
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Application date |
Sep.8th, 2006 |
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Patent name |
Box-type air cleaner. |
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Application No. |
200620052155.0 |
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Application date |
Sep.8th, 2006 |
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Patent name |
Central air conditioning terminal with air cleaner. |
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Application No. |
200610032208.7 |
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Application date |
Sep.7th, 2006 |
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Patent name |
Box-type air cleaner. |
MAIN
PRODUCTS & SERVICES
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Main business |
Manufacture and sales of non-electricity
central air conditioning. |
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Products and services |
SC mainly deals with manufacture and sales
of non-electricity central air conditioning using natural gas and waste heat
as energy sources. |
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Picture of specific products |
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Annual production capacity |
80,000 air conditionings per year. |
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Plants and equipments |
SC has 6 main production workshops which are
equipped with advance production equipments including numerical control
cutting machines, laser cutting machines, welding robots, painting robots,
etc. It has over 100 testing equipments. |
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Awards & Honors |
“Green Economy Prize of China” in 2009. |
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Certificates / licenses |
ISO9001 International Quality Management
System; TUV-SO9001 International Quality Management System; UL Safety
Certification. |
SALES INFORMATION
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Domestic sales |
40% |
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Regions |
All
over China |
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Major domestic clients |
Xiangyashan
Hospital of Central South University; Government purchasing Center of
Changsha Government. |
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Competitors |
QINGDAO HISENSE AIR CONDITIONING
CO. LTD; QINGDAO HAIER AIR CONDITIONING CO. LTD; SHENYANG SANYANG AIR
CONDITIONING CO. LTD; GUANGDONG SHENLING AIR-CONDITIONING EQUIPMENT CO.,LTD,
etc. |
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Payment terms |
Prompt payment; on credit |
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Export |
60% |
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Regions |
Europe,
America, Australia, Mid-east, Africa etc. |
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Major overseas clients |
GS
POWER CO.,LTD; SOKRA, LTD.; TEOMA S.A;
BROAD U.S.A. INC.; CYCLECT SINGAPORE PTE LTD, etc. |
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Payment terms |
L/C, T/T |
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SC’s products are mostly exported
to overseas countries. It has commercial agents in Europe, Asia, America, etc
and its products are sold to over 60 countries in the world. |
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The above information was
confirmed by SC’s employee. |
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PURCHASE INFORMATION
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Main Commodities Purchased |
Steel products, paint, diluent, firming
agent, healing resin, etc. |
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Number of Major Suppliers |
About 5 |
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Region |
Domestic:60 % Import:40 % |
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Major suppliers |
SHENYANG KANO SCIENTIFIC
INSTRUMENT CO.,LTD.; BEIJING JINKAIDA CENTURY ENVIRONMENT EQUIPMENT
MANUFACTURE CO. LTD; SHANGHAI EAST
PUMP (GROUP) CO., LTD, etc. |
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Main Terms of Payment |
Local: Prompt payment; on
credit Import: L/C, T/T |
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SC’s raw materials and equipments are mostly
purchased domestically. With large manufacture scale and a lot of suppliers,
SC has certain purchase advantages. |
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The above information was confirmed by SC’s
employee. |
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CREDIT
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Name of supplier |
SHENYANG
KANO SCIENTIFIC INSTRUMENT CO.,LTD. |
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Main commodities and service supplied |
Anemograph. |
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Interviewee |
Sales staff. |
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Telephone of Interviewee |
86 13940060788 |
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Payment comment |
The investigated person confirmed that SC is
one of their clients and SC’s credit status is good. |
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Date of interview |
June.20th, 2012 |
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Name of supplier |
SHANGHAI ORIENT PUMP
(GROUP) CO. LTD |
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Main commodities and service supplied |
Centrifugal pumps. |
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Interviewee |
Sales staff. |
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Telephone of Interviewee |
86 21 56022222 |
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Payment comment |
The investigated person confirmed that SC is
one of their clients, but refused to disclose SC’s payment status. |
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Date of interview |
June.20th, 2012 |
LITIGATION
RECORDS
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Total records |
3 |
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Name of person subject to enforcement |
BROAD AIR CONDITIONING CO. LTD |
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Court |
People’s Court of Haidian Dist, Beijing City |
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File date |
May 14th, 2008 |
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File No. |
(2008) Hai Zhi Zi 06660 |
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Status |
Closed. |
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Name of person subject to enforcement |
BROAD AIR CONDITIONING CO. LTD |
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Court |
People’s Court of Haidian Dist, Beijing City |
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File date |
Aug 23rd, 2007 |
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File No. |
(2007) Hai Zhi Zi 11540 |
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Status |
Closed. |
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Name of person subject to enforcement |
BROAD AIR CONDITIONING CO. LTD |
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Court |
People’s Court of Haidian Dist, Beijing City |
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File date |
Dec 21st, 2006 |
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File No. |
(2007) Hai Zhi Zi 01084 |
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Status |
Closed. |
OTHER
ADVERSE MEDIA INFORMATION
|
Date |
Source
|
Content
|
|
Oct
14th, 2005 |
http://www.lawxp.com/case/c308864.html |
Unfair
competition dispute. |
FINANCE
SC’s financial information
can’t be obtained from all available channels. According to SC’s staff, its
annual turnover of 2011 was about 3 billion CNY.
Important Ratios:
|
|
2010
Industry Financial Indices (393*) |
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Return on net
assets (%) |
16.08 |
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Return on total
assets (%) |
7.52 |
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Net profit
margin (%) |
7.20 |
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Turnover of
total assets |
1.05 |
|
Turnover of
current assets |
1.53 |
|
Turnover of
account receivable |
69.10 |
|
Inventory
turnover |
71.07 |
|
Asset liability ratio
(%) |
54.11 |
|
Current ratio |
1.34 |
|
Quick ratio |
1.02 |
Analysis of financial
indicator
The global warming trend
has become obvious in recent years. Demand for air conditioning in many countries
has been keeping increasing. The market space of SC’s products is becoming
larger and larger. SC’s sustainable operation risk and industry risk are low.
In addition, with high registered capital and strong capital power, SC’s
financial risk is low.
INDUSTRY
PROFILE
Industry
SIC Code (China): 3573 manufacture of refrigeration and air-conditioning
equipments
Description: manufacture of
refrigeration and sir-conditioning equipments that are used for manufacture and
commercial operation etc. excluding household air-conditioning equipments.
Status
Quo & Trend
China has become the largest refrigeration and air-conditioning
equipments manufacturing country and the second largest consumption country.
The industry of refrigeration and air-conditioning equipments began to recover
since late 2009.
So far, the strategy of low
carbon and low emission is the target of the industry development. Large sized
enterprises have more technical advantage in strategic development under
current national policy
Industry Associations
|
Name of association |
Membership of subject (Yes/No) |
|
China Refrigeration Air-conditioning
Industry Association |
Yes |
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China Home Appliances Association |
Not Known |
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China Refrigeration Association |
Not Known |
GENERAL
COMMENTS
Established
in January, 2003 with the registered capital of 200 million CNY, SC is engaged
in manufacture and sales of non-electricity central air conditioning. With long
history and large business scale, SC enjoys high popularity in the local
industry. SC has been constantly innovating in technologies. In 1992, SC
successfully developed the first direct-fired absorption lithium bromide cool
and warm water air conditioning. In 2002, it successfully developed indoor
gas-fired air conditioning. SC enjoys high popularity in the international
market.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.55.86 |
|
|
1 |
Rs.87.93 |
|
Euro |
1 |
Rs.70.88 |
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 |
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<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.