MIRA INFORM REPORT

 

 

Report Date :

06.09.2012

 

IDENTIFICATION DETAILS

 

Name :

NIPPON PARISON CO LTD 

 

 

Registered Office :

1880 Kawaicho Iwakura City Aichi-Pref

 

 

Country :

Japan

 

 

Financials (as on) :

31.03.2012

 

 

Date of Incorporation :

January 1997

 

 

Com. Reg. No.:

1800-01-088196 (Aichi-Iwakura)

 

 

Legal Form :

Limited Company

 

 

Line of Business :

Manufacturer of PET bottles

 

 

No. of Employees :

170 employees

 

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 – March 31st, 2012

 

Country Name

Previous Rating

(31.12.2011)

Current Rating

(31.03.2012)

Japan

A1

A1

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 


 

JAPAN - ECONOMIC OVERVIEW

 

In the years following World War II, government-industry cooperation, a strong work ethic, mastery of high technology, and a comparatively small defense allocation (1% of GDP) helped Japan develop a technologically advanced economy. Two notable characteristics of the post-war economy were the close interlocking structures of manufacturers, suppliers, and distributors, known as keiretsu, and the guarantee of lifetime employment for a substantial portion of the urban labor force. Both features are now eroding under the dual pressures of global competition and domestic demographic change. Japan's industrial sector is heavily dependent on imported raw materials and fuels. A tiny agricultural sector is highly subsidized and protected, with crop yields among the highest in the world. Usually self-sufficient in rice, Japan imports about 60% of its food on a caloric basis. Japan maintains one of the world's largest fishing fleets and accounts for nearly 15% of the global catch. For three decades, overall real economic growth had been spectacular - a 10% average in the 1960s, a 5% average in the 1970s, and a 4% average in the 1980s. Growth slowed markedly in the 1990s, averaging just 1.7%, largely because of the after effects of inefficient investment and an asset price bubble in the late 1980s that required a protracted period of time for firms to reduce excess debt, capital, and labor. Measured on a purchasing power parity (PPP) basis that adjusts for price differences, Japan in 2011 stood as the fourth-largest economy in the world after second-place China, which surpassed Japan in 2001, and third-place India, which edged out Japan in 2011. A sharp downturn in business investment and global demand for Japan's exports in late 2008 pushed Japan further into recession. Government stimulus spending helped the economy recover in late 2009 and 2010, but the economy contracted again in 2011 as the massive 9.0 magnitude earthquake in March disrupted manufacturing. Electricity supplies remain tight because Japan has temporarily shut down almost all of its nuclear power plants after the Fukushima Daiichi nuclear reactors were crippled by the earthquake and resulting tsunami. Estimates of the direct costs of the damage - rebuilding homes, factories, and infrastructure - range from $235 billion to $310 billion, and GDP declined almost 0.5% in 2011. Prime Minister Yoshihiko NODA has proposed opening the agricultural and services sectors to greater foreign competition and boosting exports through membership in the US-led Trans-Pacific Partnership trade talks and by pursuing free-trade agreements with the EU and others, but debate continues on restructuring the economy and reining in Japan's huge government debt, which exceeds 200% of GDP. Persistent deflation, reliance on exports to drive growth, and an aging and shrinking population are other major long-term challenges for the economy.

 

Source : CIA


Company name

 

NIPPON PARISON CO LTD

 

 

REGD NAME 

 

Nippon Parison KK

 

 

MAIN OFFICE

 

880 Shimokobashi Sakaicho Sarushimagun Ibaraki-Pref 306-0432 JAPAN

Tel: 0280-87-8404     Fax: 0280-86-6887

 

*.. Registered at: 1880 Kawaicho Iwakura City Aichi-Pref

                       

URL:                 www.ishizuka.co.jp   (Of the parent, Ishizuka Glass Co Ltd)

E-mail:             (thru the URL)   

 

 

ACTIVITIES

 

Mfg of PET bottles

 

 

BRANCHES

 

Nil

 

 

FACTORIES

 

Ibaraki, Aichi, Gunma

 

 

OFFICER(S)

 

TAKAHIRO MORI, PRES            Norio Nukada, dir                      

Naomi Shimoyama, dir               Nobuyuki Nagashima, dir

Akihiro Yamanaka, dir                Hisatsugu Ishizuka, dir

 

Yen Amount:     In million Yen, unless otherwise stated

SUMMARY

 

FINANCES        FAIR                             A/SALES          Yen 16.043 M

PAYMENTS No Complaints   CAPITAL           Yen 1,530 M

TREND UP                                WORTH            Yen 2,949 M

STARTED         1997                             EMPLOYES      170

 

 

COMMENT

 

MFR OF PET BOTTLES, OWNED BY ISHIZUKA GLASS CO LTD. 

 

FINANCIAL SITUATION CONSIDERED FAIR AND GOOD FOR CREDIT ENGAGEMENTS: US$8,500,000 / O/A 180 DAYS

 

 

HIGHLIGHTS

           

The subject company was established by Ishihara Glass Co Ltd (See REGISTRATION) as its mfg division for making PET bottles & containers.  Has mfg bases in three areas centrally mfg PET bottles & containers.  Clients include Coca Cola Japan.

 

 

FINANCIAL INFORMATION

 

The sales volume for Mar/2012 fiscal term amounted to Yen 16,043 million, a 2% up from Yen 15,671 million in the previous term.  Demand for PET bottles & containers was brisk after the Great East Japan Earthquake that hit in Mar 2011.  The recurring profit was posted at Yen 346 million and the net profit at Yen 183 million, respectively, compared with Yen 123 million recurring profit and Yen 26 million net profit, respectively, a year ago.  .

 

For the current term ending Mar 2013 the recurring profit is projected at Yen 350 million and the net profit at Yen 190 million, respectively, on a 3% rise in turnover, to Yen 16,500 million.  Business is seen expanding steadily.

 

The financial situation is considered FAIR and good for ORDINARY business engagements. 

 

 

REGISTRATION

 

Date Registered:  Jan 1997

Regd No.:        1800-01-088196 (Aichi-Iwakura)

Legal Status:    Limited Company (Kabushiki Kaisha)

Authorized:       30,600 shares

Issued:              30,600 shares

Sum:                 Yen 1,530 million

Major shareholders (%): Ishihara Glass Co Ltd* (89.8), other

No. of shareholders: 3

 

*.. Ishizuka Glass Co Ltd, mfr of glass bottles & tableware, founded 1941, listed Tokyo, Nagoya S/E’s, capital Yen 5,911 million, sales Yen 56,900 million, operating profit Yen 611 million, recurring profit Yen 597 million, net loss Yen 412 million, total assets Yen 68,943 million, net worth Yen 18,620 million, employees 1,534, pres Akihiro Yamanaka

Consolidated Financials are attached (See ATTACHMENTS)

 

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

 

 

OPERATION

 

Activities: Manufactures PET bottles & containers (--100%).

 

Clients: [Mfrs, wholesalers] Ishizuka Glass, Coca Cola Japan, other

            No. of accounts: Limited

            Domestic areas of activities: Nationwide

 

Suppliers: [Mfrs, wholesalers] Ishizuka Glass, Coca Cola Business Service, other.

Imports from China, other.

 

Payment record: No Complaints

 

Location: Business area in Ibaraki-Pref.  Office premises at the caption address are owned and maintained satisfactorily.

 

Bank References:

Mizuho Bank (Nagoya-Chuo)

MUFG (Nagoya)

Relations: Satisfactory


 

FINANCES

(In Million Yen)

 

       Terms Ending:

31/03/2013

31/03/2012

31/03/2011

31/03/2010

Annual Sales

 

16,500

16,043

15,691

14,206

Recur. Profit

 

350

346

123

78

Net Profit

 

190

183

26

14

Total Assets

 

 

14,582

11,688

10,986

Current Assets

 

 

8,621

8,020

6,975

Current Liabs

 

 

7,873

6,162

5,846

Net Worth

 

 

2,949

2,764

2,726

Capital, Paid-Up

 

 

1,530

1,530

1,530

Div.Ttl in Million(¥)

 

 

8.1

4.5

8.1

<Analytical Data>

(%)

(%)

(%)

(%)

    S.Growth Rate

2.85

2.24

10.45

-9.89

    Current Ratio

 

..

109.50

130.15

119.31

    N.Worth Ratio

..

20.22

23.65

24.81

    R.Profit/Sales

 

2.12

2.16

0.78

0.55

    N.Profit/Sales

1.15

1.14

0.17

0.10

    Return On Equity

..

6.21

0.94

0.51

 

Notes: Forecast (or estimated) figures for the 31/03/2013 fiscal term.

 

 

 

 

SUPPLEMENTS

 

CONSOLIDATED FINANCIALS OF THE PARENT, ISHIZUKA GLASS CO LTD 

FINANCES: (Consolidated in million yen)

 

 

 

Terms Ending:

31/03/2012

31/03/2011

INCOME STATEMENT

 

 

 

  Annual Sales

 

56,900

56,006

 

  Cost of Sales

47,252

45,117

 

      GROSS PROFIT

9,648

10,889

 

  Selling & Adm Costs

9,037

9,629

 

      OPERATING PROFIT

611

1,260

 

  Non-Operating P/L

-14

-253

 

      RECURRING PROFIT

597

1,007

 

      NET PROFIT

-412

-671

BALANCE SHEET

 

 

 

 

  Cash

 

2,588

1,763

 

  Receivables

 

10,055

11,416

 

  Inventory

 

12,853

12,557

 

  Securities, Marketable

 

 

 

  Other Current Assets

1,899

1,335

 

      TOTAL CURRENT ASSETS

27,395

27,071

 

  Property & Equipment

34,817

31,459

 

  Intangibles

 

37

26

 

  Investments, Other Fixed Assets

6,699

8,567

 

      TOTAL ASSETS

68,948

67,123

 

  Payables

 

5,507

5,684

 

  Short-Term Bank Loans

11,870

11,883

 

 

 

 

 

 

  Other Current Liabs

8,484

6,981

 

      TOTAL CURRENT LIABS

25,861

24,548

 

  Debentures

 

8,637

9,259

 

  Long-Term Bank Loans

6,202

4,595

 

  Reserve for Retirement Allw

3,957

3,972

 

  Other Debts

 

5,671

6,288

 

      TOTAL LIABILITIES

50,328

48,662

 

      MINORITY INTERESTS

 

 

 

Common stock

5,911

5,911

 

Additional paid-in capital

4,149

4,149

 

Retained earnings

945

1,508

 

Evaluation p/l on investments/securities

919

550

 

Others

 

6,964

6,610

 

Treasury stock, at cost

(268)

(267)

 

      TOTAL S/HOLDERS` EQUITY

18,620

18,461

 

      TOTAL EQUITIES

68,948

67,123

CONSOLIDATED CASH FLOWS

 

 

 

 

Terms ending:

31/03/2012

31/03/2011

 

Cash Flows from Operating Activities

 

3,890

5,902

 

Cash Flows from Investment Activities

-4,019

-3,808

 

Cash Flows from Financing Activities

559

-2,774

 

Cash, Bank Deposits at the Term End

 

1,688

963

ANALYTICAL RATIOS            Terms ending:

31/03/2012

31/03/2011

 

 

Net Worth (S/Holders' Equity)

18,620

18,461

 

 

Current Ratio (%)

105.93

110.28

 

 

Net Worth Ratio (%)

27.01

27.50

 

 

Recurring Profit Ratio (%)

1.05

1.80

 

 

Net Profit Ratio (%)

-0.72

-1.20

 

 

Return On Equity (%)

-2.21

-3.63

 

 


FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.55.89

UK Pound

1

Rs.88.63

Euro

1

Rs.70.03

 

INFORMATION DETAILS

 

Report Prepared by :

MNL

 

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.