MIRA INFORM REPORT

 

 

Report Date :

20.04.2013

 

IDENTIFICATION DETAILS

 

Name :

P.T. TIMAH INDUSTRI

 

 

Registered Office :

Jl. Jend. Sudirman No. 51 Pangkal Pinang 33121 Bangka Island, Babel Province

 

 

Country :

Indonesia

 

 

Date of Incorporation :

18.06.1998

 

 

Com. Reg. No.:

No. AHU-AH.01.10-29895

 

 

Legal Form :

Limited Liability Company

 

 

Line of Business :

Mechanical, Engineering and Fabrication

 

 

No. of Employees :

180 persons

 

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

(31.03.2011)

Current Rating

(30.06.2012)

Indonesia

B1

B1

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 

 

INDONESIA - ECONOMIC OVERVIEW

 

Indonesia, a vast polyglot nation, grew an estimated 6.2% and 6.5% in 2010 and 2011, respectively. The government made economic advances under the first administration of President YUDHOYONO (2004-09), introducing significant reforms in the financial sector, including tax and customs reforms, the use of Treasury bills, and capital market development and supervision. During the global financial crisis, Indonesia outperformed its regional neighbors and joined China and India as the only G20 members posting growth in 2009. The government has promoted fiscally conservative policies, resulting in a debt-to-GDP ratio of less than 25%, a fiscal deficit below 3%, and historically low rates of inflation. Fitch and Moody's upgraded Indonesia's credit rating to investment grade in December 2011. Indonesia still struggles with poverty and unemployment, inadequate infrastructure, corruption, a complex regulatory environment, and unequal resource distribution among regions. The government in 2013 faces the ongoing challenge of improving Indonesia's insufficient infrastructure to remove impediments to economic growth, labor unrest over wages, and reducing its fuel subsidy program in the face of high oil prices.

Source : CIA


Name of Company

 

P.T. TIMAH INDUSTRI

 

 

Address

 

Head Office & Workshop

Jl. Jend. Sudirman No. 51

Pangkal Pinang 33121

Bangka Island, Babel Province

Indonesia

Phone               - (62-717) 425 8000 (hunting)

Fax                   - (62-717) 425 8080

Email                - corsec@pttimah.co.id

 

Jakarta Office

Jl. Medan Merdeka Timur No. 15

Jakarta 10110

Indonesia

Phone               - (62-21) 2352 8000 (hunting)

Fax                   - (62-21) 2352 8080

 

Factory

Jalan Eropa 1 Kav. A3,

Kawasan Industri Estate Cilegon (KIEC)

Kel. Kotasari, Kec. Grogol, Cilegon

Banten Province

Indonesia

 

 

Registration data

 

Date of Incorporation :

18 June 1998

 

Legal Form :

P.T. (Perseroan Terbatas) or Limited Liability Company

 

Company Reg. No. :

The Ministry of Laws and Human Rights

- No. C2-7751.HT.01.01.Th.98

  Dated 29 June 1998

- No. AHU-98048.AH.01.02.Tahun 2008

  Dated 18 December 2008

- No. AHU-AH.01.10-29895

  Dated 10 August 2012

 

Company Status :

National Private Company

 

Permit by the Government Department :

The Department of Finance

NPWP No. 01.628.271.7-051.000

 

Holding Company :

P.T. TIMAH (Persero) Tbk (Investment Holding)

 

 

CAPITAL AND OWNERSHIP

 

Capital Structure :

Authorized Capital             - Rp. 800,000,000,000.-

Issued Capital                   - Rp. 200,000,000,000.-

Paid up Capital                 - Rp. 200,000,000,000.-

 

Shareholders/Owners :

a. P.T. TIMAH (Persero) Tbk.               - Rp. 199,980,000,000.- (99.99%)

    Address : Jl. Jend. Sudirman No. 51

                    Pangkal Pinang 33121

                    Bangka Island, Babel Province

                    Indonesia

b. P.T. TIMAH INVESTASI MINERAL   - Rp.          20,000,000.- (  0.01%)

    Address : Jl. Medan Merdeka Timur No. 17

                    Jakarta Pusat 10110

                    Indonesia

 

 

BUSINESS ACTIVITIES

 

Lines of Business :

a. Mechanical, Engineering and Fabrication

b. Tin Chemical Industry

 

Production Capacity :

Tin Chemical (Bankastab) – 10,000 tons p.a.

 

Total Investment :

Owned Capital  - Rp. 200 billion

 

Started Operation :

1998

 

Brand Name :

Timah Industri

 

 

Technical Assistance :

None

 

Number of Employee :

180 persons

 

Marketing Area :

Domestic    - 100%

 

Main Customer :

a. PT. Tambang Timur (as main customer)

b. Etc.

 

Market Situation :

Very Competitive

 

Business Trend :

Growing

 

 

BANKER, AUDITOR & LITIGATION

 

B a n k e r s  :                                 

a. P.T. Bank MANDIRI Tbk

    Gedung Wisma Baja

    Jl. Jend. Gatot Subroto Kav. 54

    Jakarta Selatan

    Indonesia

 

b. P.T. Bank NEGARA INDONESIA Tbk

    Jl. Jend. Gatot Subroto No. 55

    Jakarta Selatan

    Indonesia

 

Auditor :

Internal Auditor

 

Litigation :

No litigation record in our database

 

 

FINANCIAL FIGURE

 

Annual Sales (estimated) :

2010 – Rp. 1,034.0 billion

2011 – Rp. 1,127.6 billion

2012 – Rp. 1,186.8 billion

 


Net Profit (estimated) :

2010 – Rp. 117.0 billion

2011 – Rp. 115.6 billion

2012 – Rp.   98.0 billion

 

Payment Manner :

Almost Promptly

 

Financial Comments :

Satisfactory

 

 

KEY EXECUTIVES

 

Board of Management :

President Director                            - Mr. G. Handri Kustanto

Director                                           - Mrs. Lily Harlina

 

Board of Commissioners :

President Commissioner                   - Mr. Dadang Mulyadi, SE, MM

Commissioners                                - a. Mr. Ronald Tambunan

                                                        b. Mr. Zureidar

                                                        c. Mr. Edi Prasodjo, MSc

                                                        d. Mrs. Yennita

 

Signatories :

President Director (Mr. ) or Director (Mrs. Anya Nathalie Ahlstrom) which must be approved by Board of Commissioners (Mr. Ralf Klaus Wunderlich and Mr. Andrew John Terry)

 

 

CAPABILITIES

 

Management Capability :

Good

 

Business Morality :

Good

 

Credit Risk :

Below Average

 

Credit Recommendation :

Credit should be proceeded normally

 

Proposed Credit Limit :

Moderate amount

 

 

 

OVERALL PERFORMANCE

 

      P.T. TIMAH INDUSTRI (P.T. TIN) was established in Bangka based on notarial Deed No. 74 dated 18 June 1998 of Imas Fatimah, Sh., notary in Jakarta with an authorized capital of Rp. 800,000,000,000.- of which Rp. 200,000,000,000.- was issued and fully paid up.  The founding shareholders of the company are P.T. TIMAH (Persero) Tbk. (99.99%) and P.T. TIMAH INVESTASI MINERAL (0.01%).  The deed of establishment has been approved by the Minister of Justice of the Republic of Indonesia through Decision Letter No. C2-7751 HT.01.01.TH.98 dated 29 June1998.

 

      The Company’s article of association has been amended for several times, most recently by notarial Deed of Drs. Andy Alhadis Agus, SH., No. 12 dated 25 July 2012 the company board of director and the board of commissioner had been changed. However, no changes have been effected in term of its shareholding composition and capital structures to date. The amendment to notarial Deed has been approved by the Minister of Law and Human Rights of the Republic of Indonesia through Decree No. AHU-AH.01.10-29895 dated 10 August 2012.

 

      P.T. TIN has been operating since 1998 in mechanical, engineering and steel fabricating with its workshop located at Jl. Jend. Sudirman No. 51, Pangkal Pinang, Bangka Island, Babel Province on a land of some 27.3 hectares (owned by its holding company PT. Timah Tbk.).   Mr. Prawiro, an administrative staff of the company explained that P.T. TIN produces of spare parts of tin mining, steel fabrication and construction services for its affiliated company P.T. TAMBANG TIMAH is engaged in tin mining.  At the early of 2009, P.T. TIN starts bulding tin chemical plant located at Jalan Eropa 1, Kav.A3, Kawasan Industri Estate Cilegon, Kotasari sub-district, Grogol district, Cilegon, Banten on a land of 8.0 hectares.  The plant has been operating since mid-2010 with production capacity of 10,000 tons tin chemicals per annum.  The company’s products is marketed locally with “Bankastab” brand. According to plant its production capacity will be increased to 30,000 tons tin chemical per annum. We observed that P.T. TIN is classified as a medium sized company of its kind in the country of which the operation has been growing slowly in the last three years.

 

      Generally, the demand for mechanical, engineering, steel fabricating and tin chemical in the country had significantly rising by 8% to 10% per year in the last five years, in line with the growth of industrial sector such as mining, oil and natural gas, petrochemical, pulp and paper, etc.  But, as from October 2008, the demand growth for the products has kept on dwindling as an impact of global economic crisis as told above.  Beside, the competition is very tight on account many similar companies operating in the country.  The demand was increasing in the early 2009 due to economic condition was gradually recovery in the country. The growth rate is now estimated at 5% to 7% per year.  P.T. TIN is considered to be in a favorable business position in view of the company's experience in the above business.

 

      The company is neither public listed nor bond issued company. Therefore, the company has no obligation to publish financial statement publicly.  P.T. TIN’s management is very reclusive to outsider and rejecting to disclose its financial condition but we estimated that total sales turnover of the company in 2010 increased to Rp. 1,034.0 billion increased to Rp. 1,127.6 billion in 2011 and rose again to Rp. 1,186.8 billion in 2012.  The operation of the company in 2012 is estimated to have gained a net profit of Rp. 98.0 billion  with a total assets of Rp. 925.0 billion. It’s the sales turnover is projected to be rising at least 5% in 2013.   So far, we did not hear that P.T. TIN has been black listed by Bank Indonesia (Central Bank) or involved in detrimental cases being settled in the court.

 

      Since July 2012, the management of P.T. TIN led by Mr. G. Handri Kustanto (52) replacing Mr. Purwijayanto (53) as President Director. In his daily activities, he is assisted by Mrs. Lily Harlina (48) as Director.  The company’s management is appraised to have experience in mechanical, engineering and steel fabricating.  The management also supported by a number team of professional managers having maintained a wide business relation with private businessmen at home and abroad as well as with government sectors.   So far, we did not hear that the management of the company being filed to the district court for detrimental cases or involved in any business malpractices. The company’s litigation record is clean and it has not registered with the black list of Bank of Indonesia.

 

      We believed that P.T. TIMAH INDUSTRI is sufficiently fairly good for business transaction. However, in view of the economic condition in the country is still unstable, we recommend to treat prudently in extending any new loan to the company.

 


 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.54.03

UK Pound

1

Rs.82.43

Euro

1

Rs.70.49

 

 

INFORMATION DETAILS

 

Report Prepared by :

PRL

 

 

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.