MIRA INFORM REPORT

 

 

Report Date :           

26.09.2012

 

IDENTIFICATION DETAILS

 

Name :

NP TRADING CO LTD 

 

 

Registered Office :

1-2-2 Hitotsubashi Chiyodaku Tokyo 100-8158

 

 

Country :

Japan

 

 

Financials (as on) :

31.03.2012

 

 

Date of Incorporation :

July 1979

 

 

Legal Form :

Limited Company

 

 

Line of Business :

Import, Export, Wholesale of pulp & paper, paper products

 

 

No. of Employees :

451

 

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 :

Good

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 – June 30th, 2012

 

Country Name

Previous Rating

(31.03.2012)

Current Rating

(30.06.2012)

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

 

NP TRADING CO LTD

 

 

REGD NAME

 

Nippon Kami Tsusho KK

 

 

MAIN OFFICE

 

1-2-2 Hitotsubashi Chiyodaku Tokyo 100-8158 JAPAN

Tel: 03-6665-7032     Fax: 03-3217-3221

 

URL:                 http//:www.np-t.co.jp  

E-mail:             info-general@np-t.co.jp    

 

 

ACTIVITIES  

 

Import, export, wholesale of pulp & paper, paper products

 

 

BRANCHES

 

Sapporo, Fuji, Nagoya, Osaka, Tokuyama, Hiroshima, Matsuyama, Fukuoka

 

 

OVERSEAS

 

Jakarta, Hong Kong, Kuala Lumpur, China, Singapore, Thailand, Ho Chiminh, Taiwan,

 

 

OFFICER(S)

 

KYOICHI FUJIKAWA, PRES       Masao Kiuchi, s/mgn dir

Takeshi Tamatani, mgn dir          Yoshihiro Saito, mgn dir

Masaya Kawahara, mgn dir         Nobuhiro Okumura, dir

 

Yen Amount:     In million Yen, unless otherwise stated

 

SUMMARY    

 

FINANCES        FAIR                             A/SALES          Yen 248,920 M

PAYMENTSNo Complaints    CAPITAL           Yen 1,000 M

TREND UP                                WORTH            Yen 12,718 M

STARTED         1979                             EMPLOYES      451

 

 

COMMENT    

 

TRADING FIRM SPECIALIZING IN PULP & PAPER, OWNED BY NIPPON PAPER GROUP. 

 

FINANCIAL SITUATION CONSIDERED FAIR AND GOOD FOR ORDINARY BUSINESS ENGAGEMENTS

 

 

HIGHLIGHTS

           

The subject company was established originally as Jujo Shoji Co Ltd for handling paper products for local, import and export.  In Apr 2004 merged with San-Mic Chiyoda Co Ltd, and in Apr 2006 merged with Komine Nissho Co Ltd and renamed as captioned.  And further in Oct 2007, merged with Mantsune Corporation.  This is a general trading company, owned by Nippon Paper Group (See REGISTRATION), specializing in import, export and wholesale of printing paper, functional paper, newsprint, packaging materials, other paper products (For details see OPERATION).  Clients are major paper mills, specialized wholesalers, etc, nationwide.  Goods are both imported and exported.  Has 8 overseas subsidiaries: Jakarta, Malaysia, Hong Kong, China, Singapore, Vietnam, Taiwan and Thailand. 

 

 

FINANCIAL INFORMATION

 

The sales volume for Mar/2011 fiscal term amounted to Yen 248,920 million, a 2% up from Yen 244,872 million in the previous term.  Market has revived after being substantially affected by the global economic downturn in the last term.  Demand increased.  Exports rose.  The recurring profit was posted at Yen 1,913 million and the net profit at Yen 528 million, respectively, compared with Yen 1,648 million recurring profit and Yen 1,088 million net profit, respectively, a year ago.  High Yen eroded profits in Yen terms. 

 

For the current term ending Mar 2012 the recurring profit is projected at Yen 2,000 million and the net profit at Yen 540 million, respectively, on a 2% rise in turnover, to Yen 253,500 million.  Business is steady expanding.  Exports to China are active.

           

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

 

 


REGISTRATION

 

Date Registered:  July 1979

Legal Status:    Limited Company (Kabushiki Kaisha)

Authorized:       8 million shares

Issued:           2 million shares

Sum:                 Yen 1,000 million

Major shareholders (%): Nippon Paper Group Inc* (100)

 

* Holding company formed in Mar 2001 via business combination between Nippon Paper Ind and Daishawa Paper Mfg, one of 2 largest paper makers in rivalry with Oji Paper, founded 2001, listed Tokyo, Osaka, Nagoya S/E’s, capital Yen 55,730 million, sales Yen 1,099,817 million, operating profit Yen 35,608 million, recurring profit Yen 31,599, net loss Yen 24,172 million, total assets Yen 1,508,647 million, net worth Yen 368,987 million, employees 13,688, pres Yoshio Haga

           

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

 

 

OPERATION

 

Activities: A trading house for import, export & wholesale of pulp & paper (80%), food additives, machinery, other (20%).

Overseas trading ratio (10%)

 

(Handling items):

General Paper: Wood free paper, coated paper,1/S coated art paper, LWC, wrapping paper, tissue paper, colored wood free paper, MG poster paper, cast coated paper;

 

Functional Paper: ink jet printer paper, function paper, carbonless copy paper, label paper, clean paper, thermal paper, interleaving paper, photocatalystic coated paper, oil blotting paper, oil resistant paper, cloth paper for diary, water soluble paper;

 

Industrial Paper: bleached Kraft paper, wall paper, battery separator, release paper, cup stock, decorated paper;

 

Paperboard: Kraft liner board, corrugated medium, coated duplex board, chip board, coated ivory board, coated cardboard;

 

Newsprint Paper:

Newsprint paper, telephone directory;

 

Paper for Cigarette: rice paper, tipping paper, plug wrapping paper;

 

Fancy Paper: variety of fancy paper, colored Kraft paper, aluminum evap0orated paper;

 

Paints, Ink, Adhesive Materials, Food Additives, Machinery, Film, Aluminum Foil & related products, tapes, Food for fish, Pulp, Waste Paper, other.

 

Clients: [Paper mills, wholesalers] Nippon Paper Ind, Toppan Forms, Kyodo Paper Holdings, Ricoh Co, Otsuka Corp, Lintec Corp, Riso Kagaku Corp, Nitto Denko Corp, other

            No. of accounts: 1,000

            Domestic areas of activities: Nationwide

 

Suppliers: [Mfrs, wholesalers] Nippon Paper Ind, Lintec Corp, Nippon Paper Chemical Ind, Futamura Chemical, Oji Paper, Nippon Daishowa Paperboard, Mitsubishi Corp, JSR, Arakawa Chemical Ind, other

 

 

Payment record: No Complaints

 

Location: Business area in Tokyo.  Office premises at the caption address are owned by the parent, Nippon Paper Holdings Inc and maintained satisfactorily.

 

Bank References:

·         SMBC (H/O)

·         MUFG (Yaesudori)

Relations: Satisfactory

 

 

FINANCES

(In Million Yen)

 

       Terms Ending:

31/03/2012

31/03/2011

31/03/2010

31/03/2009

Annual Sales

 

253,500

248,920

244,872

287,416

Recur. Profit

 

2,000

1,913

1,648

2,493

Net Profit

 

540

528

1,088

989

Total Assets

 

 

109,276

112,993

116,564

Current Assets

 

 

91,155

94,110

97,483

Current Liabs

 

 

92,962

97,086

102,363

Net Worth

 

 

12,718

12,644

11,164

Capital, Paid-Up

 

 

1,000

1,000

1,000

Div.P.Share(¥)

 

 

15.00

15.00

32.10

<Analytical Data>

(%)

(%)

(%)

(%)

    S.Growth Rate

1.84

1.65

-14.80

3.53

    Current Ratio

 

..

98.06

96.93

95.23

    N.Worth Ratio

..

11.64

11.19

9.58

    R.Profit/Sales

 

0.79

0.77

0.67

0.87

    N.Profit/Sales

0.21

0.21

0.44

0.34

    Return On Equity

..

4.15

8.60

8.86

 

Notes: Forecast (or estimated) figures for the 31/03/2011 fiscal term. 

 


FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.53.53

UK Pound

1

Rs.86.82

Euro

1

Rs.69.03

 

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.