MIRA INFORM REPORT

 

 

Report Date :

26.03.2012

 

IDENTIFICATION DETAILS

 

Name :

SOLAR APPLIED MATERIALS TECHNOLOGY CORP.

 

 

Formerly Known As :

SOLAR APPLIED MATERIAL TECHNOLOGY CORP.

 

 

Registered Office :

No.85, Cheng-Kung St., Guantian Dist., Tainan City 720, Taiwan (R.O.C.)

 

 

Country :

Taiwan

 

 

Financials (as on) :

31.12.2011

 

 

Date of Incorporation :

29.08.1978

 

 

Com. Reg. No.:

43787872

 

 

Legal Form :

Joint Stock Company

 

 

Line of Business :

Manufacture and trade of precious metal, thin films and the related products.

 

 

No. of Employees :

1,400

 

 

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 :

USD 2,000,000

Status :

Good

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 – September 30, 2011

 

Country Name

Previous Rating

(30.06.2011)

Current Rating

(30.09.2011)

Taiwan

A2

A2

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 


Contact Points

 

Company Name:

Solar Applied Materials Technology Corp.

Supplied Name:

Solar Applied Materials Technology Corp

Trading Address:

No.1, Gangya 3rd Rd , Annan District, Tainan City 709, Taiwan, R.O.C

Supplied Address:

1F NO A Gangya 3rd Rd Annan Distt Tainan City Taiwan

Telephone Number:

+886 6-5110123

Fax Number:

+886 6-3841767

Notes:

The exact address is as above.

 

 

Credit Summary

 

Credit Rating:

Maximum credit USD 2,000,000

Credit Opinion:

Business connections are permissible.

 

 

Company Identification Details

 

Registered Name:

Solar Applied Materials Technology Corp.

Registered Address:

No.85, Cheng-Kung St., Guantian Dist., Tainan City 720, Taiwan (R.O.C.)

Date of Foundation:

1978-8-29

Registration Number:

43787872

Registry:

Department of Commerce, Ministry of Economic Affairs, R.O.C.

Registered Capital:

NTD 5,000,000,000 (USD 168,903,000)

(As of 2012.3, 1 NTD = 0.03378 USD)

Paid-up Capital:

NTD 3,739,481,320 (USD 126,322,000)

Legal Representatives:

Lihe Chen

Legal Form:

Joint Stock Company

Principal Activities:

Manufacture and trade of precious metal, thin films and the related products.

Staff:

About 1,400 Employees

Listed at Stock Exchange:

Yes(Public, TPE:1313)  

Date of Last Annual Return:

2012-2-22

 

 

History

 

Subject was incorporated on 1978-8-29 with registered number 43787872 as Joint Stock Company in Taiwan.

Subject was listed on Taiwan Stock Exchange on 2004-04-09.

 

Change of Name

Former English Name

Solar Applied Material Technology Corp.

Current English Name

Solar Applied Materials Technology Corp.

 

Awards

Year

Awards

2008

Blue chip importer and exporter

2009

Blue chip importer and exporter

2010

Blue chip importer and exporter

 

Standard of Blue chip importer and exporter

Unit: USD

Year

Amount

2008

19,000,000

2009

15,000,000

2010

20,000,000

 

 

Shareholders

 

Name

Subscription Shares

Lihe Chen

11,090,571       

 

Hetian Investment Co., Ltd (Translated)

 

16,927,610

 

Qifeng Huang

4,505,320

Litian Chen

5,873,067

Shengyuan Investment Co., Ltd (Translated)

5,596,155

 

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

 

 

Subsidiaries & Branches

 

Factories and Branches:

1

Name

ESTP Plant

Address

No. 16 , Gong 1st Rd. , Tainan Country Environment Science&Technology Park, Liuying Township, Taiwan R.O.C

Telephone Number

+886-6-6025008

Fax Number

+886-6-6230676

2

Name

Solar Park – Engineer Development & Service Center

Address

No.1, Sec. 2, Huanyuan E. Rd., Liuying Township, Tainan County 736, Taiwan R.O.C

Telephone Number

+886-6-6025008

Fax Number

+886-6-6234147

3

Name

Kuangtien Plant

Address

No. 85 , Cheng-Kung St. , Kuang-Tien Industrial District, Tainan Country, 72046 Taiwan R.O.C

Telephone Number

+886-6-6987612

Fax Number

+886-6-6985613

4

Name

North Region Operation Center

Address

3F, No. 1-1, Chang-An Village, Hukou Township, Hsinchu county 303, Taiwan R.O.C

5

Name

Taichung Office

Address

15F., No.2-107, Wuquan Rd., West Dist., Taichung City 40355, Taiwan (R.O.C.)

Telephone Number

+886-4-23753941

Fax Number

+886-4-23753940

 

Subject introduced that it also has some offices and factories located in the mainland of China, but subject declined to disclose the details about them.

 

Office in overseas:

1

Name

SG Office

Address

32 Ang Mo Kio Industrial Park2, #05-09 Sing Industrial Complex Singapore 569510

Telephone Number

+65 6756 3174

2

Name

US office

Address

46710 Fremont Blvd., Fremont, CA 94538

Telephone Number

+1 510-668-0618

Fax Number

+1 510-668-0568

 

Subject introduced that it has some agencies in the US, Canada, Netherlands, and if the customers want purchase the products from the countries, should contact the headquarter first in Taiwan.

 

 

 

 

Personnel Information

 

Core Management

 

Directors

1

Name

Lihe Chen

Position

Board of Chairman

2

Name

Cangxiao Li

Position

Director

3

Name

Jianyong Ma

Position

Director

4

Name

Qifeng Huang

Position

Director

5

Name

Litian Chen

Position

Director

6

Name

Jintang Zeng

Position

Independent Director

7

Name

Zhaolin Yang

Position

Independent Director

8

Name

Deming Zhang

Position

Supervisor

9

Name

Jiajun Chen

Position

Supervisor

10

Name

Yansong Yang

Position

Supervisor

 

Personnel Structure

 

Total Employees

About 1,400 Employees

 

 

Operation Information

 

Offices & Factories

 

 

Headquarters

Add

No.1, Gangya 3rd Rd , Annan District, Tainan City 709, Taiwan, R.O.C

 

Production Information

 

l         Subject is a manufacturer and trader of precious metal, thin films and the related products with the production activities

 

Purchase Information

 

l         The registered activities of subject:

Business Code

Details

J101040

Disposal of Waste material;

CA04010

Disposal of metal surface

ZZ99999

Besides licensed business, all other business items those are not banned or restricted.

 

l         The components and raw material for production are purchased from both local and abroad.

 

Sales Information

 

l         Subject is mainly engaged in manufacturing and trading of precious metal, thin films and the related products.

l         Subject introduced that its major products consist of four categories: precious chemicals/ materials, special chemicals, resources recycling and thin film target and evaporation materials.

l         Subject introduced some famous partners of it, such as Ames Solar Applied Silver Materials Corp., Forcera Materials Co., Ltd. and HTC & Solartech Service Limited.

l         Subject introduced that its trademark is named as SOLAR.

l         Subject’s selling territory covers all over the world. Subject introduced that it has some offices and agencies located all over the world.

 

Import and export right:

Import right

Yes

Export right

Yes

 

 

Settlements

 

Purchase

 

Subject declined the purchase settlements information, and from other sources, we couldn’t obtain the information, either.

 

Sales

 

Domestic Markets (Taiwan)

Product

Sales Terms

Proportion

Precious metal, thin films and the related products.

COD, etc

100%

 

Export

Product

Sales Terms

Proportion

Precious metal, thin films and the related products.

T.T, L/C, etc

100%

 

 

Balance Sheet

 

Unit: NTD/000

 

2011-12-31

2010-12-31

Assets

 

 

current assets

 

 

Cash and cash equivalents

121,081.00

281,860.00

Fair value of financial assets - current

72,937.00

20,336.00

Net Notes receivable

103,509.00

61,628.00

Net accounts receivables

1,139,308.00

1,287,201.00

Accounts receivable - related parties

196,661.00

73,039.00

Other financial assets- current

37,002.00

6,148.00

Deposit money

6,714,109.00

6,738,072.00

Advance payment

775,269.00

456,631.00

Other current assets

413,027.00

528,442.00

Current assets

9,572,903.00

9,453,357.00

Mutual funds and investment

 

 

Financial assets carried at cost – non current

230,162.00

166,022.00

Long-term of equity investment

2,956,618.00

2,337,119.00

Investment

2,956,618.00

2,337,119.00

Mutual funds and investment

3,186,780.00

2,503,141.00

Fixed assets

 

 

Cost

 

 

Land

245,312.00

225,859.00

Buildings and constructions

1,951,383.00

1,903,786.00

Machine Equipment

1,699,320.00

1,286,544.00

Storage equipment

412,004.00

269,079.00

Transport equipment

31,598.00

24,326.00

Office equipment

90,551.00

61,373.00

Other equipment

562,103.00

451,703.00

Value through revaluation

23,977.00

23,977.00

Total Cost and value through revaluation

5,016,248.00

4,246,647.00

Accumulated depreciation

-1,520,600.00

-1,148,866.00

Construction in progress and prepayments for equipment

2,482,206.00

595,607.00

Net Fixed Assets

5,977,854.00

3,693,388.00

Intangible assets

 

 

Computer software cost

59,761.00

56,637.00

Deferred pension costs

2,423.00

0

Other intangible assets

18,026.00

29,856.00

Total intangible assets

80,210.00

86,493.00

Other assets

 

 

The leased assets

0

21,653.00

Deposit paid

61,227.00

72,197.00

Deferred expense

6,641.00

2,854.00

Other assets - other

30,736.00

21,000.00

Total other assets

98,604.00

117,704.00

Total assets

18,916,351.00

15,854,083.00

Liabilities and shareholders' equity

 

 

Debts

 

 

Current liability

 

 

Short term loan

1,311,136.00

2,122,828.00

Fair value of financial liabilities

5,720.00

0

Hedging derivative financial liabilities

16,899.00

466,012.00

Notes payable

70,340.00

24,564.00

Accounts payable

422,783.00

369,687.00

Accounts payable-related parties

98,071.00

80,785.00

Income tax payable

57,129.00

164,870.00

Accrued expenses payable

408,534.00

498,865.00

Other payables

567,498.00

90,935.00

One year or operating cycle long term liabilities due within

1,682,000.00

0

Other current liabilities

48,590.00

37,046.00

Current liability

4,688,700.00

3,855,592.00

Long term liabilities

 

 

Fair value of financial liabilities non-current

6,977.00

0

Corporate bonds payable

3,743,405.00

1,500,000.00

Long term loan

1,026,629.00

1,691,020.00

Long term liabilities

4,777,011.00

3,191,020.00

Each preparation

 

 

Land appreciation tax

8,504.00

8,504.00

Each preparation total

8,504.00

8,504.00

Other liabilities

 

 

For retirement / pension liability

31,671.00

27,955.00

Guarantee deposits & margins received

64

92

Mining rights of long-term equity investment credit balance

217,746.00

166,344.00

Deferred income tax

31,882.00

23,575.00

Other liabilities-other

28,110.00

31,114.00

Total other liabilities

309,473.00

249,080.00

Total liabilities

9,783,688.00

7,304,196.00

Shareholders' rights and interests

 

 

Capital stock

 

 

Ordinary share capital

3,739,481.00

2,997,654.00

Stock dividend to be distributed

0

838

Capital surplus

 

 

Capital reserve–share premium account

3,063,542.00

3,063,127.00

Capital Reserve- Treasury Stock

16,854.00

0

Capital Reserve- Employee stock

4,766.00

4,766.00

Capital Reserve–Options

226,681.00

0

Total capital surplus

3,311,843.00

3,067,893.00

Retained earnings

 

 

Statutory surplus reserve

680,112.00

519,675.00

Special reserve

37,947.00

0

Not appropriated retained earnings

1,374,118.00

2,124,165.00

Total retained earnings

2,092,177.00

2,643,840.00

Shareholder rights and interests adjustment project together

 

 

Cumulative translation adjustments

72,538.00

-43,435.00

Unrealized revaluation value

5,488.00

5,488.00

Treasury Stock

-88,864.00

-122,391.00

Shareholder rights and interests adjustment project together

-10,838.00

-160,338.00

Total stockholders' equity

9,132,663.00

8,549,887.00

New Issued (under stockholders' equity section) shares Equivalents (Unit: Shares)

2,236,000.00

1,954,700.00

Treasury Stock of held by parent company also as held by subsidiaries (Unit: Shares)

0

0

 

 

Profit and Loss Accounts

 

Unit: NTD/000

 

2011

2010

Sales revenue

62,431,647.00

42,480,390.00

Sales return

6,490.00

4,507.00

Sales allowances

4,782.00

3,313.00

Net sales

62,420,375.00

42,472,570.00

Total revenue

62,420,375.00

42,472,570.00

Total sales cost 

60,192,765.00

40,009,391.00

Operating profit (gross loss)

2,227,610.00

2,463,179.00

Selling expenses

168,344.00

197,894.00

General and administrative expenses

393,972.00

487,178.00

Research and development expenses

328,744.00

265,443.00

Total operating expenses

891,060.00

950,515.00

Operating profit (loss)

1,336,550.00

1,512,664.00

Operating income and interest

 

 

Interest income

13,878.00

11,999.00

Income from investment

9,453.00

24,608.00

Investment Income Recognized Under Equity Method

0

17,389.00

Dividend income

9,453.00

7,219.00

Sanctions Fixed Assets Interests

0

322

Sanctions Investment Interests

13,199.00

0

Exchange Gain

0

483,012.00

Rental income

5,369.00

5,257.00

Financial asset evaluation interest

0

12,952.00

Miscellaneous Income

86,286.00

53,386.00

Operating income and interest

128,185.00

591,536.00

Non-operating expenses and losses

 

 

Interest Cost

218,517.00

144,129.00

Accounted for using equity method investment loss

36,878.00

0

Investment losses

36,878.00

0

Loss on disposal of fixed assets

4,976.00

0

Loss on disposal of investments

0

651

Exchange loss

210,545.00

0

Financial expenses

17,586.00

14,255.00

Loss on valuation of financial asset

45,548.00

0

Evaluation of loss of financial liabilities

28,770.00

0

Miscellaneous Cost

61

120

Non-operating expenses and losses

562,881.00

159,155.00

Continuing Operations' Income (Loss) Before unit tax

901,854.00

1,945,045.00

Income tax expense (income)

95,337.00

340,665.00

Continuing Operations' Unit net income (loss)

806,517.00

1,604,380.00

Net income (loss)

806,517.00

1,604,380.00

Basic earnings per share

2.16

4.31

Dilute earning per share

2.13

4.27

 

 

Bankers

 

The bankers’ information is not available from the subject or other sources.

 

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

Ms. Qiu

 


 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.50.90

UK Pound

1

Rs.80.77

Euro

1

Rs.67.40

 

 

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.