MIRA INFORM REPORT

 

 

Report Date :

13.04.2013

 

IDENTIFICATION DETAILS

 

Name :

ARCANE LIMITED

 

 

Registered Office :

Morita Bldg, 1-5-6 Nihombashi-Kakigaracho Chuoku Tokyo 103-0014

 

 

Country :

Japan

 

 

Financials (as on) :

30.09.2012

 

 

Date of Incorporation :

May 1980

 

 

Com. Reg. No.:

0100-01-096932 (Tokyo-Chuoku)

 

 

Legal Form :

Limited Company (Kabushiki Kaisha)

 

 

Line of Business :

Import, wholesale of wines, foodstuffs, centrally from France & Italy

 

 

No. of Employees :

115

 

 

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 – 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

 

ARCANE LIMITED

 

REGD NAME:    KK Arukan (registered in Japanese)

MAIN OFFICE:  Morita Bldg, 1-5-6 Nihombashi-Kakigaracho Chuoku Tokyo 103-0014 JAPAN

Tel: 03-3664-6551     Fax: 03-3660-1421

                         

URL:                             http://www.arcane-jp.com/

E-Mail address:                        info@arcane-jp.com

 

 

ACTIVITIES  

 

Import, wholesale of wines, foodstuffs, centrally from France & Italy

 

 

BRANCHES

 

Tokyo (Otaku), Osaka, Fukuoka

 

 

OVERSEAS   

 

Paris, Milan

 

 

OFFICER(S)  

 

HIDEO MORITA, PRES              Takeshi Kobayashi, v pres

Shigeru Sugiyama, v pres                       Tomohiko Noda, v pres

Hisashi Kawamura, mgn dir

 

Yen Amount:     In million Yen, unless otherwise stated

 

 

SUMMARY    

 

FINANCES                    FAIR                 A/SALES          Yen 9,687 M

PAYMENTS      No complaints   CAPITAL           Yen 70 M

TREND             UP                    WORTH            Yen 1,221 M

STARTED                     1980                 EMPLOYES      115

           


COMMENT

 

TRADING HOUSE SPECIALIZING IN FOODSTUFFS, CENTRALLY FROM ITALY & FRANCE.

FINANCIAL SITUATION CONSIDERED FAIR AND GOOD FOR ORDINARY BUISNESS ENGAGEMENTS

 

                       

HIGHLIGHTS

 

The subject company was established as a trading house for importing wines & foodstuffs from France, originally by a French capital.  In Mar 1999, transferred the ownership to Raykay Inc, foodstuffs wholesaler, at the registered address, owned by Morita Holdings Co Ltd/   In 2005 the firm became a wholly owned subsidiary of Morita Holdings KK, when the Raykay Inc dissolved in Jun 2005.  In Feb 2006, formed a holding company, Japan Food & Liquor Alliance Inc and became its wholly owned subsidiary.  This is a trading house for importing and wholesaling high-quality foodstuffs: caviar, foie gras, truffe, smoked salmon, escargot, spices, virgin olive oils, wine & spirits, etc.  Goods are imported from France centrally, other from Italy, etc.  Has offices in Paris and Milan.  Clients are major hotel chains, department stores, restaurants, food processors, confectionery mfrs, etc, nationwide. 

           

 

FINANCIAL INFORMATION

 

The sales volume for Sept/2012 fiscal term amounted to Yen 9,687 million, an 8% up from Yen 9,011 million in the previous term.  The recurring profit was posted at Yen 169 million and the net profit at Yen 79 million, respectively, compared with Yen 125 million net profit a year ago.

 

For the current term ending Sept 2013 the recurring profit is projected at Yen 180 million and the net profit at Yen 85 million, respectively, on a 3% rise in turnover, to Yen 10,000 million. 

.

The financial situation is considered FAIR and good for ORDINARY business engagements.  Max credit limit is estimated at Yen 169.0 million, on 30 days normal terms. 

 

 

REGISTRATION

 

Date Registered:  May 1980

Regd No.:         0100-01-096932 (Tokyo-Chuoku)

Legal Status:      Limited Company (Kabushiki Kaisha)

Authorized:         1,200 shares

Issued:                300 shares

Sum:                   Yen 70 million

Major shareholders (%): Japan Food & Liquor Alliance Inc*(100)

*.. Holding company formed in Feb 2006The subject firm became wholly owned subsidiary

 

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


OPERATION

 

Activities: Imports and wholesalers wines & spirits, caviar, foie gras, truffe, smoked salmon, ham & sausages, escargot, cheese & butter, olive oils, jam, spices, pasta, bread, wine vinegar, other foodstuffs and foodstuff ingredients (--100%).  Goods are imported from France and Italy.

 

Clients: [Restaurants, hotels, department stores] Hotel Okura, Palace Hotel, Hotel New Otani, Keio Plaza Hotel, Daiichi Hotel, Maxim de Paris, Takashimaya, Kokubu Ltd (food processor), Jalux Inc (JAL group), Iwase Esta Corp, other.

No. of accounts: 500

Domestic areas of activities: Nationwide

Suppliers: [Mfrs, wholesalers] Imports from France, Italy, Austria, Spain, other.

 

Payment record: No complaints

 

Location: Business area in Tokyo.  Office premises at the caption address are leased and maintained satisfactorily.

 

Bank References:

Resona (Dojima)

Relations: Satisfactory

 

 

FINANCES

 

(In Million Yen)

       Terms Ending:

30/09/2013

30/09/2012

30/09/2011

30/09/2010

Annual Sales

 

10,000

9,687

9,011

8,832

Recur. Profit

 

180

169

 

 

Net Profit

 

85

79

125

144

Total Assets

 

 

4,215

4,704

4,245

Current Assets

 

 

4,077

4,584

4,014

Current Liabs

 

 

1,547

2,121

3,121

Net Worth

 

 

1,221

1,058

1,029

Capital, Paid-Up

 

 

70

70

70

Div.P.Share(¥)

 

 

0.00

0.00

0.00

<Analytical Data>

(%)

(%)

(%)

(%)

    S.Growth Rate

3.23

7.50

2.03

27.94

    Current Ratio

 

..

263.54

216.12

128.61

    N.Worth Ratio

..

28.97

22.49

24.24

    R.Profit/Sales

 

1.80

1.74

..

..

    N.Profit/Sales

0.85

0.82

1.39

1.63

    Return On Equity

..

6.47

11.81

13.99

 

Notes: Forecast (or estimated) figures for the 30/09/2013 fiscal term.

 

 


 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.54.44

UK Pound

1

Rs.83.77

Euro

1

Rs.71.33

 

 

INFORMATION DETAILS

 

Report Prepared by :

PDT

 

 

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.