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Report Date : |
27.09.2012 |
IDENTIFICATION DETAILS
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Name : |
SAPPI PAPER HONG KONG LTD. |
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Registered Office : |
41/F., |
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Country : |
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Date of Incorporation : |
25.05.2005 |
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Com. Reg. No.: |
35683752 |
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Legal Form : |
Private Limited Company. |
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Line of Business : |
Importer and Exporter of Wood pulp, paper and related products. |
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No. of Employees : |
About 15,000 (Group) |
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RATING & COMMENTS
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MIRA’s Rating : |
Ba |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal commitments. |
Satisfactory |
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Status : |
Good |
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Payment Behaviour : |
No Complaints |
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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 – June 30th, 2012
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Country Name |
Previous Rating (31.03.2011) |
Current Rating (30.06.2012) |
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Hong Kong |
A2 |
A2 |
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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 |
HONG KONG - ECONOMIC OVERVIEW
Hong Kong has a free market economy,
highly dependent on international trade and finance - the value of goods and
services trade, including the sizable share of re-exports, is about four times
GDP. Hong Kong's open economy left it exposed to the global economic slowdown
that began in 2008. Although increasing integration with China, through trade,
tourism, and financial links, helped it to make an initial recovery more
quickly than many observers anticipated, it again faces a possible slowdown as
exports to the Euro zone and US slump. The Hong Kong government is promoting
the Special Administrative Region (SAR) as the site for Chinese renminbi (RMB)
internationalization. Hong Kong residents are allowed to establish
RMB-denominated savings accounts; RMB-denominated corporate and Chinese
government bonds have been issued in Hong Kong; and RMB trade settlement is
allowed. The territory far exceeded the RMB conversion quota set by Beijing for
trade settlements in 2010 due to the growth of earnings from exports to the
mainland. RMB deposits grew to roughly 7.8% of total system deposits in Hong
Kong by the end of 2011, an increase of over 59% since the beginning of the
year. The government is pursuing efforts to introduce additional use of RMB in
Hong Kong financial markets and is seeking to expand the RMB quota. The
mainland has long been Hong Kong's largest trading partner, accounting for
about half of Hong Kong's exports by value. Hong Kong's natural resources are
limited, and food and raw materials must be imported. As a result of China's easing
of travel restrictions, the number of mainland tourists to the territory has
surged from 4.5 million in 2001 to 28 million in 2011, outnumbering visitors
from all other countries combined. Hong Kong has also established itself as the
premier stock market for Chinese firms seeking to list abroad. In 2011 mainland
Chinese companies constituted about 43% of the firms listed on the Hong Kong
Stock Exchange and accounted for about 56% of the Exchange's market
capitalization. During the past decade, as Hong Kong's manufacturing industry
moved to the mainland, its service industry has grown rapidly. Growth slowed to
5% in 2011. Credit expansion and tight housing supply conditions caused Hong
Kong property prices to rise rapidly in 2010 and inflation to rise 5.3% in
2011. Lower and middle income segments of the population are increasingly
unable to afford adequate housing. Hong Kong continues to link its currency
closely to the US dollar, maintaining an arrangement established in 1983.
Source : CIA
SAPPI PAPER
HONG KONG LTD.
ADDRESS: 41/F., AIA Tower, 183
Electric Road, North Point, Hong Kong.
PHONE: 2219 1060, 2219 1061,
2877 4974
FAX: 2877 4962
E-MAIL: kirsten.kuo@sappi.com
Managing Director: Ms. Chan Fung
Yi, Loretta
Incorporated on: 25th
May, 2005.
Organization: Private
Limited Company.
Capital: Nominal: HK$10,000.00
Issued: HK$10,000.00
Business Category: Paper and Pulp Trader.
Group Turnover: US$7,286
million (Year ended 30-09-2011)
Group Employees: About
15,000. (As at 30-09-2011)
Main Dealing Banker: Union Bank of Switzerland, Hong Kong Branch.
Banking Relation: Good.
Registered Head Office:-
41/F., AIA Tower, 183 Electric Road, North Point, Hong Kong.
Immediate Holding Company:-
Sappi Deutschland GmbH, Germany.
Ultimate Holding Company:-
Sappi Ltd., South Africa.
Sister/Affiliated Companies:-
Sappi Group of Companies
Jiangxi Chenming Paper Co. Ltd., China.
Lereko Property Co. (Pty) Ltd., South Africa.
PE Paper Escrow GmbH, Austria.
S.D. Warren Co., USA.
Sappi Alfeld GmbH, Germany.
Sappi Austria Produktions-GmbH & Co. KG, Austria.
Sappi Cloquet LLC, USA.
Sappi Ehingen GmbH, Germany.
Sappi Esus Beteiligungsverwaltungs GmbH, Austria.
Sappi Europe S.A., Belgium.
Sappi Fine Paper plc, South Africa.
Sappi Finland I Oy, Finland.
Sappi Gratkorn GmbH, Austria.
Sappi Holding GmbH, Austria.
Sappi International S.A., Belgium.
Sappi Lanaken NV, Belgium.
Sappi Lanaken Press Paper NV, Belgium.
Sappi Maastricht B.V., the Netherlands.
Sappi Management Services (Pty) Ltd., South Africa.
Sappi Nijmegen B.V., the Netherlands.
Sappi Papier Holding GmbH, Austria.
Sappi Schweiz AG, Switzerland.
Sappi Share Faciliation Co. (Pty) Ltd., South Africa.
Sappi Southern Africa (Pty) Ltd., South Africa.
Sappi Stockstadt GmbH, Germany.
Sappi Trading Africa (Pty) Ltd., South Africa.
Sappi Trading Australia Pty. Ltd., Australia.
Sappi Trading de Mexico SA de CV, Mexico.
Sappi Trading do Brasil Ltda., Brazil.
Sappi Trading Hong Kong Ltd., Hong Kong.
Sappi Trading Pulp AG, Switzerland.
Sappi UK Ltd., UK.
Sappisure Försäkrings AB, Sweden.
Sweet Mind Ltd., Hong Kong.
US Paper Corporation, USA.
Usutu Pulp Co. Ltd., South Africa.
etc.
35683752
0972780
Managing Director: Ms. Chan Fung
Yi, Loretta
Sales Contact: Mr. Kirsten Kuo
Nominal Share Capital: HK$10,000.00 (Divided into 10,000 shares of
HK$1.00 each)
Issued Share Capital: HK$10,000.00
(As per registry dated 25-05-2012)
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Name |
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No. of shares |
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Sappi Deutschland GmbH Berliner Allee 14, D-30175 Hannover, Germany. |
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10,000 ===== |
(As per registry dated 25-05-2012)
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Name (Nationality) |
Address |
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CHAN Fung Yi, Loretta |
Flat 13E, Block 11, Laguna City, Kowloon, Hong Kong. |
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LEUNG Pik Hung |
Flat A, 48/F., Block 7, Oscar By The Sea, Tseung Kwan O, Kowloon, Hong
Kong. |
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Peter Thomas GOER |
Volgelsangstr 23, 30952 Ronnenberg/Benthe, Germany. |
(As per registry dated 25-05-2012)
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Name |
Address |
Co. No. |
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Sappi Trading Hong Kong Ltd. |
41/F., AIA Tower, 183 Electric Road, North Point, Hong Kong. |
0175198 |
The subject was incorporated on 25th May, 2005 as a private limited
liability company under the Hong Kong Companies Ordinance.
Apart from these, neither material change nor amendment has been ever
traced and noted.
Activities: Importer
and Exporter.
Lines: Wood
pulp, paper and related products.
Group Employees: About
15,000. (As at 30-09-2011)
Commodities Imported: Taiwan, Southeast Asia, North America, etc.
Markets: Europe,
North America, etc.
Group Turnover: US$5,304 million (Year ended
30-09-2007)
US$5,863
million (Year ended 30-09-2008)
US$5,369
million (Year ended 30-09-2009)
US$6,572
million (Year ended 30-09-2010)
US$7,286
million (Year ended 30-09-2011)
Terms/Sales: L/C, T/T, etc
Terms/Buying: L/C,
D/P, O/A, etc.
Nominal Share Capital: HK$10,000.00 (Divided into 10,000 shares of
HK$1.00 each)
Issued Share Capital: HK$10,000.00
Group Net Profit/(Loss): US$202 million (Year
ended 30-09-2007)
US$102 million (Year ended 30-09-2008)
(US$177 million)
(Year ended 30-09-2009)
US$ 66 million (Year
ended 30-09-2010)
(US$232 million)
(Year ended 30-09-2011)
Profit or Loss: Group suffered from a loss in FY 2011.
Condition:
Keeping in a
normal manner.
Facilities:
Making active
use of general banking facilities.
Payment:
Met trade
commitments as required.
Commercial Morality: Satisfactory.
Bankers:-
Union Bank of Switzerland, Hong Kong
Branch.
Standard Chartered Bank (Hong Kong)
Ltd., Hong Kong.
Standing:
Good.
Sappi Paper Hong Kong Ltd. is a wholly-owned subsidiary of Sappi
Deutschland GmbH which is a Germany-based firm.
Its ultimate holding company Sappi Ltd. [Sappi] is a South Africa-based
firm. In fact, the subject is a member of
the Sappi Group in the Asia Pacific region.
The subject has had an associated company Sappi Trading Hong Kong Ltd.
[Sappi Trading] located at its operating office.
Sappi Trading operates a network for the selling and distribution of the
Group’s products outside its core operating regions of North America, Europe
and Southern Africa.
Headquartered in Hong Kong (China), Sappi Trading manages a
network of 11 sales offices and serves over 100 countries around the
world. Sales and logistical operations
are provided for most of the Group’s pulp sales and a large proportion of the
Group’s fine paper and specialty paper sales in export markets. Sappi Trading
also manages the Group’s China joint venture’s export sales.
By providing the Group’s manufacturing regions with cost effective
access to worldwide markets, the division is an essential component in
maximising Sappi’s profitability.
Sappi is a global paper and pulp group.
It is a leading producer of coated woodfree and coated mechanical paper
widely used in books, brochures, magazines, catalogues and many other print
applications. It believes it is also the
world’s largest producer of chemical cellulose, used primarily in the
manufacture of viscose fibre, acetated tow, and consumer and pharmaceutical
products. In addition, it produces
newsprint, uncoated graphic and business papers, premium quality packaging
papers, a range of coated speciality papers and a range of paper grade pulp.
Sappi is a public company incorporated in the Republic of South
Africa. Its principal executive offices
are located at 48 Ameshoff Street, Braamfontein, Johannesburg, 2001, Republic
of South Africa, its telephone number is 27‑11‑407-8111. It currently has its primary listing on the
JSE Ltd. [JSE], formerly the Johannesburg Stock Exchange, and has a secondary
listing on the New York Stock Exchange.
Sappi was founded and incorporated in 1936 in South Africa and is a
corporation organized under the Companies Act 61 of 1973 of the Republic of
South Africa. Until 1990, Sappi primarily
expanded its operations within southern Africa.
Since 1990, it has grown through acquisitions outside of southern
Africa. In the mid 1990’s, it acquired
S.D. Warren Company, a market leader in the United States in coated woodfree
paper and a major producer of other speciality paper products. It now conducts business as Sappi Fine Paper
North America. In the late 1990’s, it
acquired KNP Leykam, a leading European producer of coated woodfree paper. KNP Leykam now conducts business as Sappi
Fine Paper Europe. In 2002, it acquired
Potlatch Corporation’s coated woodfree paper business and have integrated it in
Sappi Fine Paper North America. During
August 2009, it permanently ceased operations at Muskegon mill in the United
States. Customers were being served from
its other North American operations. On
2nd November, 2009, it delisted from the London Stock Exchange. The London share register was closed on 23rd
November, 2009 with all remaining shareholders on the United Kingdom share
register being transferred to the South African share register.
Sappi’s trading network, Sappi Trading, coordinates the international
marketing and distribution of its woodfree and mechanical paper products
outside its core regions. Sappi Trading
operates in Hong Kong (China) which is the subject, Sydney (Australia), Sao
Paulo (Brazil), Shanghai (China), Konstanz (Germany), Nairobi (Kenya), Mexico
City (Mexico), Singapore, Johannesburg and Durban (South Africa), Zurich
(Switzerland), Taipei (Taiwan) and New York (United States). It manages a network of agents around the
world, handling exports to over 70 countries.
Sappi Trading also manages the export logistics of the southern African
operations. In total, Sappi Trading had
148 employees in 2010.
On 31st January, 2010, Sappi closed its production facilities at the
Usutu mill in Swaziland due to market conditions and forest fire damage. During January 2010, Sappi permanently ceased
operations at the Kangas mill in Finland.
The sales of the Sappi Group for the year ended 30th September, 2011
amounted to US$7,286 million, grew by 10.9% as compared with
US$6,572 million in FY 2010. In FY
2011, the Group suffered from a great loss, it made a loss of US$232 million as
compared with a net profit of US$66 million in FY 2010.
In the second half of fiscal 2011, the Group ceased operations at Adamas
Mill in South Africa and Biberist Mill in Switzerland.
It was due to the changes of the market conditions of the world, the
Group made a great loss in FY2011. In
the years ahead, the Group will emphasize on developing high margin paper
products and close down some of its factories.
The subject is fully supported by the Sappi Group.
FOREIGN EXCHANGE RATES
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Currency |
Unit
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Indian Rupees |
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US Dollar |
1 |
Rs.53.58 |
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1 |
Rs.86.60 |
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Euro |
1 |
Rs.68.94 |
INFORMATION DETAILS
|
Report
Prepared by : |
PRL |
RATING EXPLANATIONS
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
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>86 |
Aaa |
Possesses an extremely sound financial base with the strongest capability
for timely payment of interest and principal sums |
Unlimited |
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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 |
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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 |
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41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
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26-40 |
B |
Capability to overcome financial difficulties seems comparatively
below average. |
Small |
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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 |
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<10 |
C |
Absolute credit risk exists. Caution needed to be exercised |
Credit not
recommended |
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NB |
New Business |
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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.