MIRA
INFORM REPORT
|
Report Date : |
21.09.2012 |
IDENTIFICATION DETAILS
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Name : |
CHINA TUHSU SNOW LOTUS CO., LTD |
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Registered Office : |
11/F, Cofco Fortune Plaza, No. 8, Chaoyangmen South
Street, Chaoyang District, Beijing, 100020 Pr |
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Country : |
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Financials (as on) : |
31.12.2010 |
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Date of Incorporation : |
11.02.1999 |
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Com. Reg. No.: |
110000009873568 |
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Legal Form : |
Shares Limited Company |
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Line of Business : |
selling cashmere products |
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No. of Employees : |
135 employees |
RATING & COMMENTS
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MIRA’s Rating : |
B |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
|
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26-40 |
B |
Capability to overcome financial difficulties seems comparatively
below average. |
Small |
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Status : |
Moderate |
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Payment Behaviour : |
Slow |
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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) |
|
China |
A2 |
A2 |
|
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 |
china - ECONOMIC OVERVIEW
Since the late 1970s China has moved from a closed, centrally planned
system to a more market-oriented one that plays a major global role - in 2010
China became the world's largest exporter. Reforms began with the phasing out
of collectivized agriculture, and expanded to include the gradual
liberalization of prices, fiscal decentralization, increased autonomy for state
enterprises, creation of a diversified banking system, development of stock
markets, rapid growth of the private sector, and opening to foreign trade and
investment. China has implemented reforms in a gradualist fashion. In recent
years, China has renewed its support for state-owned enterprises in sectors it
considers important to "economic security," explicitly looking to
foster globally competitive national champions. After keeping its currency
tightly linked to the US dollar for years, in July 2005 China revalued its
currency by 2.1% against the US dollar and moved to an exchange rate system
that references a basket of currencies. From mid 2005 to late 2008 cumulative
appreciation of the renminbi against the US dollar was more than 20%, but the
exchange rate remained virtually pegged to the dollar from the onset of the
global financial crisis until June 2010, when Beijing allowed resumption of a
gradual appreciation. The restructuring of the economy and resulting efficiency
gains have contributed to a more than tenfold increase in GDP since 1978.
Measured on a purchasing power parity (PPP) basis that adjusts for price
differences, China in 2010 stood as the second-largest economy in the world
after the US, having surpassed Japan in 2001. The dollar values of China's
agricultural and industrial output each exceed those of the US; China is second
to the US in the value of services it produces. Still, per capita income is
below the world average. The Chinese government faces numerous economic
challenges, including: (a) reducing its high domestic savings rate and
correspondingly low domestic demand; (b) sustaining adequate job growth for
tens of millions of migrants and new entrants to the work force; (c) reducing
corruption and other economic crimes; and (d) containing environmental damage
and social strife related to the economy's rapid transformation. Economic
development has progressed further in coastal provinces than in the interior,
and by 2011 more than 250 million migrant workers and their dependents had
relocated to urban areas to find work. One consequence of population control
policy is that China is now one of the most rapidly aging countries in the
world. Deterioration in the environment - notably air pollution, soil erosion,
and the steady fall of the water table, especially in the North - is another
long-term problem. China continues to lose arable land because of erosion and
economic development. The Chinese government is seeking to add energy
production capacity from sources other than coal and oil, focusing on nuclear
and alternative energy development. In 2010-11, China faced high inflation
resulting largely from its credit-fueled stimulus program. Some tightening
measures appear to have controlled inflation, but GDP growth consequently
slowed to near 9% for 2011. An economic slowdown in Europe is expected to
further drag Chinese growth in 2012. Debt overhang from the stimulus program,
particularly among local governments, and a property price bubble challenge
policy makers currently. The government's 12th Five-Year Plan, adopted in March
2011, emphasizes continued economic reforms and the need to increase domestic
consumption in order to make the economy less dependent on exports in the
future. However, China has made only marginal progress toward these rebalancing
goals.
|
Source : CIA |
Company name & address
CHINA
TUHSU SNOW LOTUS CO., LTD.
11/F, COFCO FORTUNE PLAZA, NO. 8,
CHAOYANGMEN SOUTH STREET,
CHAOYANG DISTRICT, BEIJING, 100020 PR CHINA
TEL: 86 (0) 10-85018208 FAX: N/A
EXECUTIVE SUMMARY
INCORPORATION DATE : FEB. 11, 1999
REGISTRATION NO. : 110000009873568
REGISTERED LEGAL FORM : SHARES
LIMITED CO.
STAFF STRENGTH : 135
REGISTERED CAPITAL : CNY 175,000,000
BUSINESS LINE : TRADING
TURNOVER :
CNY 703,284,000 (AS OF DEC. 31,
2010)
EQUITIES :
CNY -143,339,000 (AS OF DEC. 31, 2010)
PAYMENT :
AVERAGE
MARKET CONDITION : AVERAGE
FINANCIAL CONDITION :
FAIR
OPERATIONAL TREND : DOWNWARD
GENERAL REPUTATION :
AVERAGE
EXCHANGE RATE :
CNY 6.35= USD 1
Adopted abbreviations:
ANS - amount not stated
NS - not stated
SC - subject company (the company inquired by you)
NA - not available
CNY - China Yuan Renminbi
Note: SC’s correct contact number should be the heading one.
SC was registered as a shares limited co. at local Administration for Industry & Commerce (AIC - The official body of issuing and renewing business license) on Feb. 11, 1999.
Company Status: Shares Limited Co. This form of business in PR
China is defined as a legal person. Its registered capital is divided into
shares of equal par value and the co. raises capital by issuing share
certificates by promotion or by public offer. Shareholders bear limited
liability to the extent of shareholding, and the co. is liable for its
debts only to the extent of its total assets. The co has independent
property of legal person and enjoys property rights of legal person. The
characteristics of the shares limited co. are as follows: The establishment of the co.
requires at least two promoters and no more than 200, half of whom shall be
domiciled in The minimum registered capital
of a co. is CNY The board of directors must
consist of five to nineteen directors. If the co. raises capital by
public offer, the promoters must not subscribe less than 35% of the total
shares. the promoters’ shares are restricted to transfer- within one year
of the offer. A state-owned enterprise that
is restructured into a shares limited co. must comply with the conditions
& requirements specified under the law & administrative rule.
SC’s registered business scope includes importing and exporting commodities and technologies, excluding export commodities under state-unified operation and import commodities
operated by the state-designated companies, processing with imported materials,
processing with imported samples, assembling with imported parts, and
compensation trade in agreement; counter trade &
transit trade; selling livestock products, chemical raw materials and products,
hardware, needle textile, general merchandise, lumber, machinery, electronic
equipment, computers and office equipment and communications equipment;
technical detection of fabric; economic information consulting; conference
services; exhibition activities; computer software development; technical
services.
SC is mainly
engaged in selling cashmere products.
Mr. Wang Zhen has been legal representative and chairman of SC since
2010.
SC is known
to have approx. 135 employees at present.
SC
is currently operating at the above stated address,
and this address houses its operating office in the commercial zone of Beijing.
Our checks reveal that SC rents the total premise, but SC’s accountant
refused to release the gross area.
SC’s
another address is located in No. 1, Middle Road, Yinghai Industrial Park,
Yinghai Town, Daxing District, Beijing
http://www.snowlotus.com/
The website belongs to SC and “Beijing Snow-Lotus Cashmere Co., Ltd. The design is
professional and the content is well organized. At present the website is only in
Chinese version.
Changes
of its registered information:
|
Date of change |
Item |
Before the
change |
After the change |
|
|
Registered capital |
CNY 110,000,000 |
CNY 40,000,000 |
|
|
Legal representative |
Zhang Zhengming |
Han Xianyi |
|
|
Legal representative |
Han Xianyi |
Li Gang |
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|
Shareholders |
China National Native Produce & Animal
By-Products Imp. & Exp. Corp. 35% China Tuhsu Sanhuan Trade Corp. 15% China Tuhsu Feather & Eiderdown
Products Imp. & Exp. Corp. 15% China Tuhsu Fur Leather Import and Export
Co. 15% China Tuhsu Sunry Development Co., Ltd.
Employee Shareholders Association 20% |
China National Native Produce & Animal
By-Products Imp. & Exp. Corp. 35% China Tuhsu Sanhuan Trade Corp. 15% China Tuhsu Feather & Eiderdown
Products Imp. & Exp. Corp. 15% China Tuhsu Fur Leather Import and Export
Co. 15% Ningxia St. Edenweiss International
Enterprises Group Co., Ltd. 9% Shanghai Senyan Industrial Co., Ltd. 9% China Textile Academy 2% |
|
|
Legal representative |
Li Gang |
Jiang Hua |
|
Shareholders |
China National Native Produce & Animal
By-Products Imp. & Exp. Corp. 35% China Tuhsu Sanhuan Trade Corp. 15% China Tuhsu Feather & Eiderdown
Products Imp. & Exp. Corp. 15% China Tuhsu Fur Leather Import and Export
Co. 15% Ningxia St. Edenweiss International
Enterprises Group Co., Ltd. 9% Shanghai Senyan Industrial Co., Ltd. 9% China Textile Academy 2% |
China National Native Produce & Animal
By-Products Imp. & Exp. Corp. 35% China Tuhsu Sanhuan Trade Corp. 15% China Tuhsu Feather & Eiderdown
Products Imp. & Exp. Corp. 15% China Tuhsu Fur Leather Import and Export
Co. 15% Ningxia St. Edenweiss Co., Ltd. 9% Shanghai Senyan Industrial Co., Ltd. 9% China Textile Academy 2% |
|
|
|
Legal representative |
Jiang Hua |
Chen Tao |
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|
Shareholders |
China National Native Produce & Animal
By-Products Imp. & Exp. Corp. 35% China Tuhsu Sanhuan Trade Corp. 15% China Tuhsu Feather & Eiderdown
Products Imp. & Exp. Corp. 15% China Tuhsu Fur Leather Import and Export
Co. 15% Ningxia St. Edenweiss Co., Ltd. 9% Shanghai Senyan Industrial Co., Ltd. 9% China Textile Academy 2% |
China National Native Produce & Animal
By-Products Imp. & Exp. Corp. 35% China Tuhsu Sanhuan Trade Corp. 15% China Tuhsu Feather & Eiderdown
Products Imp. & Exp. Corp. 15% China Tuhsu Fur Leather Import and Export
Co. 15% Beijing Yukai Garments Co., Ltd. 9% Shanghai Senyan Industrial Co., Ltd. 9% China Textile Academy 2% |
|
|
Registered capital |
CNY 40,000,000 |
The present amount |
|
Shareholdings |
China National Native Produce & Animal By-Products Imp. & Exp.
Corp. 35% China Tuhsu Sanhuan Trade Corp. 15% China Tuhsu Feather & Eiderdown Products Imp. & Exp. Corp. 15% China Tuhsu Fur Leather Import and Export Co. 15% Beijing Yukai Garments Co., Ltd. 9% Shanghai Senyan Industrial Co., Ltd. 9% China Textile Academy 2% |
China National Native Produce & Animal By-Products Imp. & Exp.
Corp. 81.71% China Tuhsu Sanhuan Trade Cor China Tuhsu Feather & Eiderdown Products Imp. & Exp. Cor China Tuhsu Fur Leather Import and Export Co. 3.43% Beijing Yukai Garments Co., Ltd. 2.06% Shanghai Senyan Industrial Co., Ltd. 2.06% China Textile Academy 0.46% |
|
|
|
Shareholdings |
China National Native Produce & Animal By-Products Imp. & Exp.
Corp. 81.71% China Tuhsu Sanhuan Trade Cor China Tuhsu Feather & Eiderdown Products Imp. & Exp. Cor China Tuhsu Fur Leather Import and Export Co. 3.43% Beijing Yukai Garments Co., Ltd. 2.06% Shanghai Senyan Industrial Co., Ltd. 2.06% China Textile Academy 0.46% |
China National Native Produce & Animal By-Products Imp. & Exp.
Corp. 88.57% China Tuhsu Sanhuan Trade Corp. 1.71% China Tuhsu Feather & Eiderdown Products Imp. & Exp. Corp.
1.71% China Tuhsu Fur Leather Import and Export Co. 3.43% Beijing Yukai Garments Co., Ltd. 2.06% Shanghai Senyan Industrial Co., Ltd. 2.06% China Textile Academy 0.46% |
|
Company name |
China Tuhsu Sunry Development Co., Ltd. |
The present one |
|
|
|
Shareholders |
China National Native Produce & Animal By-Products Imp. & Exp.
Corp. 88.57% China Tuhsu Sanhuan Trade Corp. 1.71% China Tuhsu Feather & Eiderdown Products Imp. & Exp. Corp.
1.71% China Tuhsu Fur Leather Import and Export Co. 3.43% Beijing Yukai Garments Co., Ltd. 2.06% Shanghai Senyan Industrial Co., Ltd. 2.06% China Textile Academy 0.46% |
The present ones |
|
|
Legal Representative |
Chen Tao |
The present one |
|
Unknown |
Registration no. |
1000001003125 |
The present one |
MAIN SHAREHOLDER:
Name %
of Shareholding
Shanghai Senyan Industrial Co., Ltd. (in
Chinese Pinyin) 2.057
China Textile Academy 0.457
Beijing Yukai Garments Co., Ltd. (in Chinese
Pinyin) 2.057
China Tuhsu Fur Leather Import and Export Co.
(Literal translation) 3.429
China National Native Produce & Animal
By-Products Imp. & Exp. Corp. 92.000
China National Native Produce & Animal
By-Products Imp. & Exp. Corp.
=====================================================
Registration No.: 100000000001453
Chief Executive: Wang Zhen
Add: COFCO Fortune Plaza, No.8, Chao Yang
Men South Street, Chaoyang District, Beijing
Tel: 86-10-85018181
Fax: 86-10-85615151
E-mail: tuhsu@cofco.com
/ info@tuhsu.com.cn
Legal
representative and chairman:
Mr. Wang Zhen , ID# 110103196008091574, born in 1960, he is currently responsible
for the overall management of SC.
Working Experience(s):
From 2010 to present Working in SC as legal representative and chairman;
Also working in China National Native Produce & Animal By-Products Imp. & Exp. Corp. as legal representative.
General Manager:
Mr. Chen Tao, ID# 440111196908020313, born in 1969, he is currently responsible for the daily management of SC.
Working Experience(s):
At present Working in SC as general manager.
Directors:
Meng Hui ID# 110105196510137737
Chi Liang # G401315(7)
Hu Changping ID# 420106197010020819
Xu Shangfeng ID# 110101195610094076
Li Weidong ID# 110108196807225710
Xing Jinyuan ID# 110101196203224018
Supervisors:
Ren Haisheng ID#
110108640410239
Hu Bo ID# 110102197103052715
Zhao Yunxiao ID# 110101196210234089
SC is mainly
engaged in selling cashmere products.
SC’s products
mainly include down jackets, cashmere sweater, fur clothing, etc.
Brand: “Xuelian”
brand.
SC sources its
materials 70% from domestic market, and 30% from overseas markets, mainly South
Africa and South America. SC sells 70% of its products in domestic market, and
30% to overseas market, mainly America and Europe.
The buying terms of SC include Check, T/T, L/C and Credit of 30-60 days.
The payment terms of SC include Check, T/T, L/C and Credit of 30-60 days.
Note: SC refused
to release its major suppliers and customers.
SC is known to have the following subsidiary:
Beijing Snow-Lotus Cashmere Co., Ltd.
Beijing
Sunry-longtai Fur MFG. Co., Ltd.
A.B.C.
Textile Co., Ltd.
Yixing
Zhongxing Tuhsu Co., Ltd.
Inner
Mongolia China Tuhsu Snow Lotus Cashmere Garment Co.,
Ltd.
Shanghai
China Tuhsu Cashmere Garment Co., Ltd.
Shenyang
China Tuhsu Snow-Lotus Fashion Co., Ltd.
Etc.
Overall payment appraisal:
( ) Excellent (
) Good (X) Average (
) Fair ( ) Poor
( ) Not yet 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 refused to
release any information of its suppliers and the trade reference was not
available.
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.
Bank of China
AC#:
00934208091001
Relationship:
Normal.
Balance Sheet
|
Unit: CNY’000 |
as of Dec. 31,
2010 |
|
Cash & bank |
23,968 |
|
Inventory |
7,346 |
|
Accounts
receivable |
125,514 |
|
Bills receivable |
3,151 |
|
Advances to
suppliers |
273,832 |
|
Other
receivables |
163,053 |
|
Other current
assets |
0 |
|
|
------------------ |
|
Current assets |
596,864 |
|
Fixed assets net
value |
1,524 |
|
Long-term
investment |
43,553 |
|
Long-term
deferred expenses |
8,205 |
|
Intangible
assets |
674 |
|
Other assets |
0 |
|
|
------------------ |
|
Total assets |
650,820 |
|
|
============= |
|
Short loans |
294,534 |
|
Accounts payable |
29,012 |
|
Bills payable |
0 |
|
Advances from
clients |
29,028 |
|
Accrued
payroll |
2,860 |
|
Interest payable |
1,333 |
|
Other Accounts
payable |
430,922 |
|
Taxes payable |
6,470 |
|
Other
current liabilities |
0 |
|
|
------------------ |
|
Current
liabilities |
794,159 |
|
Long term
liabilities |
0 |
|
|
------------------ |
|
Total
liabilities |
794,159 |
|
Shareholders equities |
-143,339 |
|
|
------------------ |
|
Total
liabilities & equities |
650,820 |
|
|
============= |
Income Statement
|
Unit: CNY’000 |
as of Dec. 31,
2010 |
|
Turnover |
703,284 |
|
Cost of goods sold |
628,018 |
|
Taxes and additional of main
operation |
356 |
|
Sales expense |
73,338 |
|
Management expense |
10,768 |
|
Finance expense |
15,293 |
|
Asset impairment loss |
146,824 |
|
Investment
income |
0 |
|
Non-operating
income |
8 |
|
Non-operating expense |
10 |
|
Profit before
tax |
-171,315 |
|
Less: profit tax |
0 |
|
Profits |
-171,315 |
Important Ratios
=============
|
|
as of Dec. 31,
2010 |
|
*Current ratio |
0.75 |
|
*Quick ratio |
0.74 |
|
*Liabilities
to assets |
1.22 |
|
*Net profit
margin (%) |
-24.36 |
|
*Return on
total assets (%) |
-26.32 |
|
*Inventory
/Turnover ×365 |
4 days |
|
*Accounts
receivable/Turnover ×365 |
66 days |
|
*Turnover/Total
assets |
1.08 |
|
* Cost of goods
sold/Turnover |
0.89 |
PROFITABILITY:
FAIR
l
The turnover of SC appears fairly good in its line.
l
SC’s net profit margin is poor.
l
SC’s return on total assets is poor.
l
SC’s cost of goods sold is average, comparing with
its turnover.
LIQUIDITY: FAIR
l
The current ratio of SC is maintained in a fair
level.
l
SC’s quick ratio is maintained in a fair level.
l
The inventory of SC appears average.
l
The accounts receivable of SC appears fairly large.
l
The short-term loan of SC appears large.
l
SC’s turnover is in an average level, comparing
with the size of its total assets.
LEVERAGE: POOR
l
The debt ratio of SC is TOO high.
l
The risk for SC to go bankrupt is above average.
Overall financial
condition of the SC: Fair.
SC is considered medium-sized in its line with fair financial
conditions. The large amount of short-term loan could be a threat to SC’s
financial condition.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.54.34 |
|
UK Pound |
1 |
Rs.87.91 |
|
Euro |
1 |
Rs.70.57 |
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%)
This report is issued at your request without any
risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL)
or its officials.