MIRA INFORM REPORT

 

 

Report Date :

24.04.2013

 

IDENTIFICATION DETAILS

 

Name :

EMS-CHEMIE (TAIWAN) LTD.

 

 

Formerly Known As :

EMS-CHEMIE (ASIA) LTD.

 

 

Registered Office :

No.36, Guangfu S. Rd., Hukou Township, Hsinchu County 303

 

 

Country :

Taiwan

 

 

Financials (as on) : 

31.12.2012 (Consolidated)

 

 

Date of Incorporation :

16.06.1989

 

 

Com. Reg. No.:

23226070

 

 

Legal Form :

Joint Stock Company

 

 

Line of Business :

Manufacturing and sales of chemicals and etc.

 

 

No. of Employees :

Not available 

 

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)

Taiwan

A2

A2

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 

 


 

Taiwan ECONOMIC OVERVIEW

 

Taiwan has a dynamic capitalist economy with gradually decreasing government guidance of investment and foreign trade. Exports, led by electronics, machinery, and petrochemicals have provided the primary impetus for economic development. This heavy dependence on exports exposes the economy to fluctuations in world demand. In 2009, Taiwan's GDP contracted 1.8%, due primarily to a 13.1% year-on-year decline in exports. In 2010 GDP grew 10.7%, as exports returned to the level of previous years, and in 2011, grew 4.1%. In 2012, however, growth fell to 1.3%, because of softening global demand. Taiwan's diplomatic isolation, low birth rate, and rapidly aging population are major long-term challenges. Free trade agreements have proliferated in East Asia over the past several years, but except for the landmark Economic Cooperation Framework Agreement (ECFA) signed with China in June 2010, so far Taiwan has been excluded from this greater economic integration in part because of its diplomatic status. Negotiations continue on such follow-on components of ECFA regarding trade in goods and services. The MA administration has said that the ECFA will serve as a stepping stone toward trade pacts with other key trade partners, which Taiwan subsequently launched with Singapore and New Zealand. Taiwan's Total Fertility rate of just over one child per woman is among the lowest in the world, raising the prospect of future labor shortages, falling domestic demand, and declining tax revenues. Taiwan's population is aging quickly, with the number of people over 65 accounting for 11.2% of the island's total population as of 2012. The island runs a large trade surplus largely because of its surplus with China, and its foreign reserves are the world's fifth largest, behind China, Japan, Saudi Arabia, and Russia. In 2006 China overtook the US to become Taiwan's second-largest source of imports after Japan. China is also the island's number one destination for foreign direct investment. Three financial memorandums of understanding, covering banking, securities, and insurance, took effect in mid-January 2010, opening the island to greater investments from the mainland's financial firms and institutional investors, and providing new opportunities for Taiwan financial firms to operate in China. In August 2012, Taiwan Central Bank signed a memorandum of understanding on cross-Strait currency settlement with its Chinese counterpart. The MOU allows for the direct settlement of Chinese RMB and the New Taiwan dollar across the Strait, which could help develop Taiwan into a local RMB hub. Closer economic links with the mainland bring greater opportunities for the Taiwan economy, but also poses new challenges as the island becomes more economically dependent on China while political differences remain unresolved.

 

Source : CIA

 

 

 

 


Contact Points

 

Company Name:

EMS-CHEMIE (TAIWAN) LTD.

Former Name:

EMS-CHEMIE (ASIA) LTD.

Supplied Name:

EMS CHEMIE (TAIWAN) LTD

Trading Address:

No.36, Guangfu S. Rd., Hukou Township, Hsinchu County 303, Taiwan, R.O.C.

Supplied Address:

36, GUANG FU SOUTH ROAD, HSIN CHU INDUSTRIAL PARK, HU KOU TOWNSHIP TW-30351 HSIN Taiwan

Telephone Number:

+886-3-598-5335

Fax Number:

+886-3-598-5345

E-mail:

welcome@tw.emsgrivory.com 

Notes: The exact name and address are as above.

 

Company Identification Details

 

Registered Name:

EMS-CHEMIE (TAIWAN) LTD.

Registered Address:

No.36, Guangfu S. Rd., Hukou Township, Hsinchu County 303, Taiwan, R.O.C.

Date of Foundation:

1989-6-16

Registration Number:

23226070

Registry:

MOEA Central Office

Registered Capital:

NTD 281,000,000 (USD 9,413,500)

(As of 2013.4, 1 NTD = 0.0335 USD)

Paid-up Capital:

NTD 281,000,000 (USD 9,413,500)

Legal Representatives:

Rene BERRI

Legal Form:

Joint Stock Company

Principal Activities:

Manufacturing and sales of chemicals and etc.

Staff:

N/A

Listed at Stock Exchange:

No

Date of Last Annual Return:

2012-4-5

Notes: Subject declined to disclose its staff number; from other source we cannot obtain the relevant information, either.

 

 

History

 

Subject was incorporated on 1989-6-16 with registered number 23226070 as Joint Stock Company in Taiwan.

Former English Name

EMS-CHEMIE (ASIA) LTD.

Current English Name

EMS-CHEMIE (TAIWAN) LTD.

 

 

Shareholders

 

Name

Subscription Shares

EMS-CHEMIE HOLDING AG

28,100,000       

 

 

The information above is that of subject’s major shareholders.

 

 

Subsidiaries & Branches

 

Parent Company

Name

EMS-CHEMIE HOLDING AG

Address

Fuederholzstrasse 34, HERRLIBERG, 8704, Switzerland

Telephone Number

+41-44-915-7000

Fax Number

+41-44-915-7002

 

 

Personnel Information

 

Core Management

Directors

1

Name

Rene BERRI

Position

Board Chairman

2

Name

Peter Andreas GERMANN

Position

Director

3

Name

Pieder Anton GIERIET

Position

Director

4

Name

Stefan Beat EBNETER

Position

Supervisor

5

Name

Giovanni Menghini

Position

Manager

Date of Appointment

2004-8-9

 

 

Operation Information

 

Offices & Factories

 

Headquarters

Add

No.36, Guangfu S. Rd., Hukou Township, Hsinchu County 303, Taiwan, R.O.C.

 

Production Information

l         The subject is a manufacturer of chemicals and etc.

l         It is introduced that subject has a factory in Hsinchu county, Taiwan for production.

 

Purchase Information

l         The registered activities of subject:

Business Code

Details

1

Manufacturing and sales of synthetic industrial plastic.

2

The general trading business of imports and exports ( except for the limited).

3

Agents of domestic and overseas manufactures’ sales, agents, marking price and bidding.

ZZ99999

Besides licensed business, all other business items those are not banned or restricted.

l         It is introduced that subject purchases raw materials and etc both in domestic and overseas market.

l         It is introduced that subject imports some technologies and etc from Europe and etc.

 

Sales Information

l         The subject is mainly engaged in sales of chemicals and etc.

l         It is introduced that subject’s major products are high performance polymers and specialty chemicals, etc.

l         It is introduced that subject’s selling territory includes Asia and etc.

l         It is introduced that subject’s customers are manufacturers of chemical products and etc.

l         It is introduced that subject’s products are applied to die-cast application, electronic applications and etc.

 

Import and export right:

Import right

Yes

Export right

Yes

 

 

Settlements

 

Purchase

Domestic Purchase

Product

Payment Terms

Proportion

Raw materials and etc

COD, CBD and etc

100%

Foreign Purchase

Product

Payment Terms

Proportion

Raw materials and etc

CBD and etc

100%

Sales

Domestic Markets

Product

Sales Terms

Proportion

Chemicals and etc.

COD, CBD and etc

100%

Export

Product

Sales Terms

Proportion

Chemicals and etc.

CBD and etc

100%

 

 

Financial Information

 

Subject has no obligations to disclose its financial statements to the third party according to the relevant policy in Taiwan and the only source from which we can obtain the information is the subject itself.

We found the consolidated financial information of subject’s parent company (EMS-CHEMIE HOLDING AG) from public files for reference.

 

 

Consolidated Balance Sheet

 

Unit: CHF/000

Date

2012-12-31

2011-12-31

NON-CURRENT ASSETS

583,499

592,022

Intangible assets

31,789

23,375

Property, plant and equipment

496,051

506,989

Investments

22,778

22,286

Investments in associated companies

22,595

22,103

Other investments

183

183

Other non-current assets

19,244

19,249

Derivative financial instruments

3,192

12,110

CURRENT ASSETS

1,093,432

1,042,296

Inventories

315,196

297,588

Receivables

 

 

Trade receivables

247,970

231,649

Income tax assets

1,514

1,563

Other receivables

59,601

62,198

Securities

0

15,117

Derivative financial instruments

8,110

16,186

Cash and cash equivalents

461,041

417,995

TOTAL ASSETS

1,676,931

1,634,318

EQUITY

1,151,155

(USD 81,386,659)

1,056,502

(USD 1,131,196,691)

Equity, attributable to shareholders of

EMS-CHEMIE HOLDING AG

1,136,423

1,041,394

Share capital

234

234

Retained earnings and reserves

869,171

804,029

Net income

267,018

237,131

Equity, attributable to non-controlling interests

14,732

15,108

LIABILITIES

525,776

577,816

Non-current liabilities

221,612

214,770

Derivative financial instruments

1,178

502

Bank loans

100,053

100,061

Other non-current liabilities

24,726

19,635

Deferred income tax liabilities

90,387

88,682

Provisions

5,268

5,890

Current liabilities

304,164

363,046

Derivative financial instruments

2,110

19,661

Bank loans

19,042

62,705

Trade payables

109,514

112,458

Income tax liabilities

52,300

45,986

Provisions

1,442

759

Other current liabilities

119,756

121,477

TOTAL EQUITY AND LIABILITIES

1,676,931

1,634,318

(As of 2013.4, 1 CHF =1.0707 USD)

 

Profit and Loss Account

 

Unit: CHF/000

Date

2012

2011

Net sales revenue from goods and services

1,755,363

(USD 1,879,467,164)

1,657,676

(USD 1,774,873,693)

Inventory changes, semi-finished and finished goods

21,451

5,402

Capitalised costs and other operating income

30,350

60,059

Operating income

1,807,164

1,723,137

Material expenses

1,102,886

1,053,139

Personnel expenses

208,456

203,478

Depreciation and amortisation

54,302

52,004

Other operating expenses

122,916

120,528

Operating expenses

1,488,560

1,429,149

NET OPERATING INCOME (EBIT)

318,604

293,988

Income from associated companies

9,461

5,527

Financial income

2,172

4,785

Financial expenses

9,012

9,415

NET FINANCIAL INCOME

2,621

897

NET INCOME BEFORE TAXES

321,225

294,885

Income taxes

48,416

52,739

NET INCOME

272,809

(USD 292,096,596)

242,146

(USD 259,265,722)

Of which attributable to:

Shareholders of EMS-CHEMIE HOLDING AG

267,018

237,131

 

Non-controlling interests

5,791

5,015

Earnings per share in CHF:

 

 

Basic

11.42

10.14

Diluted

11.42

10.14

(As of 2013.4, 1 CHF =1.0707 USD)

 

Cash Flow

 

Date

2012

2011

Net income

272,809

242,146

Depreciation, amortisation and impairment of intangible assets and property, plant and equipment

54,302

52,004

(Profit)/loss from disposal of property, plant and equipment, net

2,638

643

 

Increase/(decrease) of provisions

687

(9,620)

Increase/(decrease) of other non-current liabilities

0

(2,471)

(Income)/expenses from the equity-valuation of associated companies

(9,461)

(5,527)

Impairment on available-for-sale securities

0

1,389

Unrealised currency translation (gains)/losses on foreign exchange positions

11,763

(11,510)

Change assets and liabilities of post-employment benefits, net

5,141

3,034

Net interest expense

1,516

2,500

Dividends on available-for-sale securities

(1,637)

(3,934)

(Income)/loss from sale of available-for-sale securities

2,145

1,927

Expenses for income taxes

48,416

52,739

Changes in net working capital

(53,840)

(50,472)

Taxes paid

(48,488)

(38,397)

Interest paid

(2,074)

(4,095)

Provisions used

(1,015)

(724)

CASH FLOW FROM OPERATING ACTIVITIES A

282,902

229,632

(Purchase) of intangible assets and property, plant and equipment

(44,225)

(75,858)

Disposal of intangible assets and property, plant and equipment

629

3,902

(Increase) in other non-current assets

(62)

(69)

Decrease in other non-current assets

283

259

(Purchase) of available-for-sale securities

(32,445)

(55,853)

Sale of available-for-sale securities

45,417

175,324

Interest received

533

850

Dividends received

4,899

6,201

Cash inflow from sale of fully consolidated companies

(6,966)

0

(Increase)/decrease of interest-bearing assets

41

338

CASH FLOW FROM INVESTING ACTIVITIES B

(31,896)

55,094

Dividends paid

(163,723)

(292,363)

Dividends paid to non-controlling interests

5,127

(4,204)

(Purchase) of treasury shares

0

(1,962)

Sale of treasury shares

0

2,420

Increase in interest-bearing liabilities

7,025

100,000

(Decrease) in interest-bearing liabilities

(50,024)

(100,053)

CASH FLOW FROM FINANCING ACTIVITIES C

(211,849)

(296,162)

Increase/(decrease) in cash and cash equivalents (A + B + C)

39,157

(11,436)

Cash and cash equivalents at 1.1.

417,995

                            436,248

Translation difference on cash and cash equivalents

3,889

(6,817)

Cash and cash equivalents at 31.12.

461,041

417,995

 

 

Bankers

 

Subject declined to disclose its bank details; from other source we cannot obtain the relevant information, either.

 

 

Public Record

 

Mortgage

No chattel mortgage record of subject has been found within the recent 3 months.

 

Lawsuit

Up to date of reporting, no existing or latent litigation of the subject has been found.

 

 

Interview Details

 

Name

Mr. Zhou

Department

Sales Department

E-mail

clive.chou@tw.emsgrivory.com  


 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.54.30

UK Pound

1

Rs.82.88

Euro

1

Rs.70.80

 

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.