MIRA INFORM REPORT

 

 

Report Date :

07.03.2012

 

IDENTIFICATION DETAILS

 

Name :

LIFE GEAR CORPORAITON

 

 

Registered Office :

Mita Nitto-Dai Bldg, 3-11-36 Mita Minatoku Tokyo 108-0073

 

 

Country :

Japan

 

 

Financials (as on) :

31.03.2011

 

 

Date of Incorporation :

October 1988

 

 

Legal Form :

Limited Company

 

 

Line of Business :

Import, wholesale of sneakers, footwear, bags

 

 

No. of Employees :

124

 

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 :

Yen 276.6 Million

Status :

Satisfactory

Payment Behaviour :

No Complaints

Litigation :

--

 

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 30, 2011

 

Country Name

Previous Rating

(30.06.2011)

Current Rating

(30.09.2011)

Japan

A1

A1

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 

Company name and address

 

LIFE GEAR CORPORAITON

REGD NAME:    KK Life Gear Corporation

MAIN OFFICE:  Mita Nitto-Dai Bldg, 3-11-36 Mita Minatoku Tokyo 108-0073 JAPAN

Tel: 03-5439-5701      Fax: 03-5439-5709

                                               

URL:                 http://www.lifegear.co.jp

E-Mail address: (thru the URL)

 

 

ACTIVITIES  

 

Import, wholesale of sneakers, footwear, bags

 

BRANCHES   

 

Osaka, Nagoya, Fukuoka, Kanagawa

 

OVERSEAS   

 

China

 

FACTORIES

 

China

 

 

OFFICERS

 

TAKUMA NAKAYAMA, PRES

Takashi Miyashita, dir

Takeshi Muto, dir                                                          

 

Yen Amount:     In million Yen, unless otherwise stated

 

 

SUMMARY

 

FINANCES                    FAIR                             A/SALES          Yen 15,395 M

PAYMENTS                  NO COMPLAINTS          CAPITAL           Yen 490 M

TREND             SLOW                          WORTH            Yen 24,150 M

STARTED                     1988                             EMPLOYES      124

 

 

COMMENT

 

TRADING FIRM, OWNED BY MITSUBISHI CORP.

FINANCIAL SITUATION CONSIDERED FAIR AND GOOD FOR ORDINARY BUSINESS ENGAGEMENTS.

                       

MAX CREDIT LIMIT: YEN 276.6 MILLION, 30 DAYS NORMAL TERMS

 

 

HIGHLIGHTS

           

            The subject company was established on the basis of a division separated from Mitsubishi Corporation (See REGISTRATION).  This is a trading firm specializing in import and wholesale of footwear, bags, other.  Goods are manufactured in China and imported.  Clients include department stores.

 

 

FINANCIAL INFORMATION

           

            Financial are consolidated by the parent, Mitsubishi Corp, and only partially disclosed.

 

The sales volume for Mar/2011 fiscal term amounted to Yen 15,395 million, a 1% up from Yen 15,193 million in the previous term.  The net profit was posted at Yen 1,539 million, compared with Yen 1,519 million a year ago.

 

            For the current term ending Mar 2012 the net profit is projected at Yen 1,545 million, on a 3% rise in turnover, to Yen 15,800 million. 

 

The financial situation is considered FAIR and good for ORDINARY business engagements.  Max credit limit is estimated at Yen 276.6 million, on 30 days normal terms.

 

 

REGISTRATION

 

Date Registered:  Oct 1988

Legal Status:      Limited Company (Kabushiki Kaisha)

Authorized:         9,800 shares

Issued:                9,800 shares

Sum:                   Yen 490 million

Major shareholders (%): Mitsubishi Corporation* (100)

           

*.. Largest trading house and one of core firms of Mitsubishi Group, founded 1950, listed

Tokyo, Osaka, Nagoya, London S/E’s, capital Yen 204,447 million, sales Yen 19,233,443

Million, operating profit Yen 316,141 million, recurring profit Yen 534,297 million, net profit

Yen 463,188 million, total assets Yen 11,295,599 million, net worth Yen 3,190,335 million,

Employees 58,470, pres Ken Kobayashi

Consolidated Financials are attached (See SUPPLEMENTS)

 

Nothing detrimental is known as to the commercial morality of executives.

 

 

OPERATION

           

Activities: Imports and wholesales footwear, sneakers, bags, other (--100%)

 

(Handling brands): Indian, Shaun Palmer, Solestar, other

 

Clients: [Department stores, chain stores] Achiles, Moon Star, Aoki Holdings, Isetan, other

No. of accounts: 100

Domestic areas of activities: Nationwide

Suppliers: [Mfrs, wholesalers] Mitsubishi Corp

 

Payment record: No Complaints

 

Location: Business area in Tokyo.  Office premises at the caption address are leased and maintained satisfactorily.

 

Bank References:

MUFG (Tamachi)

Relations: Satisfactory

 

 

FINANCES

(In Million Yen)

 

Terms Ending:

 

31/03/2012

31/03/2011

31/03/2010

31/03/2009

Annual Sales

 

15,800

15,395

15,193

15,352

Recur. Profit

 

 

 

 

 

Net Profit

 

1,545

1,539

1,519

1,535

Total Assets

 

 

N/A

N/A

N/A

Net Worth

 

 

24,150

22,571

21,036

Capital, Paid-Up

 

 

490

490

490

Div.P.Share(₯)

 

 

0.00

0.00

0.00

<Analytical Data>

(%)

(%)

(%)

(%)

    S.Growth Rate

2.63

1.33

-1.04

-0.31

    Current Ratio

 

 

..

..

..

    N.Worth Ratio

 

..

..

..

    N.Profit/Sales

9.78

10.00

10.00

10.00

 

Notes: Financials are only partially disclosed.

Forecast (or estimated) figures for the 31/03/2012 fiscal term.

 

 

SUPPLEMNTS

 

CONSOLIDATED FINANCIAL OF THE PARENT, MITSUBISHI CORP

FINANCES: (Consolidated in million yen)

 

 

 

Terms Ending:

31/03/2011

31/03/2010

INCOME STATEMENT

 

 

 

  Annual Sales

 

19,233,443

17,102,782

 

  Cost of Sales

1,803,541

16,086,185

 

      GROSS PROFIT

1,149,902

1,016,597

 

  Selling & Adm Costs

833,761

834,344

 

      OPERATING PROFIT

316,141

182,253

 

  Non-Operating P/L

218,156

115,619

 

      RECURRING PROFIT

534,297

297,872

 

      NET PROFIT

463,188

274,846

BALANCE SHEET

 

 

 

 

  Cash

 

1,208,742

1,080,544

 

  Receivables

 

2,133,395

2,018,823

 

  Inventory

 

970,675

848,448

 

  Securities, Marketable

 

 

 

  Other Current Assets

1,680,583

1,543,582

 

      TOTAL CURRENT ASSETS

5,993,395

5,491,397

 

  Property & Equipment

1,735,808

1,696,600

 

  Intangibles

 

 

 

 

  Investments, Other Fixed Assets

3,618,239

3,668,853

 

      TOTAL ASSETS

11,347,442

10,856,850

 

  Payables

 

1,879,958

1,864,811

 

  Short-Term Bank Loans

655,873

655,001

 

 

 

 

 

 

  Other Current Liabs

1,445,466

1,191,577

 

      TOTAL CURRENT LIABS

3,981,297

3,711,389

 

  Debentures

 

 

 

 

  Long-Term Bank Loans

3,188,749

3,246,029

 

  Reserve for Retirement Allw

48,657

54,535

 

  Other Debts

 

527,749

576,202

 

      TOTAL LIABILITIES

7,746,452

7,588,155

 

      MINORITY INTERESTS

 

 

 

Common stock

203,598

203,228

 

Additional paid-in capital

256,501

254,138

 

Retained earnings

3,091,532

2,706,986

 

Evaluation p/l on investments/securities

291,911

300,313

 

Others

 

(90,902)

(44,398)

 

Treasury stock, at cost

(151,650)

(151,572)

 

      TOTAL S/HOLDERS` EQUITY

3,600,990

3,268,695

 

      TOTAL EQUITIES

11,347,442

10,856,850

CONSOLIDATED CASH FLOWS

 

 

 

 

Terms ending:

31/03/2011

31/03/2010

 

Cash Flows from Operating Activities

 

331,204

701,573

 

Cash Flows from Investment Activities

-262,601

-138,502

 

Cash Flows from Financing Activities

76,749

-755,347

 

Cash, Bank Deposits at the Term End

 

1,208,742

1,080,544

ANALYTICAL RATIOS            Terms ending:

31/03/2011

31/03/2010

 

 

Net Worth (S/Holders' Equity)

3,600,990

3,268,695

 

 

Current Ratio (%)

150.54

147.96

 

 

Net Worth Ratio (%)

31.73

30.11

 

 

Recurring Profit Ratio (%)

2.78

1.74

 

 

Net Profit Ratio (%)

2.41

1.61

 

 

Return On Equity (%)

12.86

8.41

 

 


 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.50.03

UK Pound

1

Rs.79.32

Euro

1

Rs.66.02

 

 

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.