MIRA
INFORM REPORT
|
Report Date : |
25.04.2013 |
IDENTIFICATION DETAILS
|
Name : |
XINJIANG TIANYE FOREIGN TRADE CO., LTD. |
|
|
|
|
Registered Office : |
6/F, Tianye Building, No. 36 Beisan East Road, Economic & Technological Development Zone Of Shihezi, Xinjiang, 830000 Pr |
|
|
|
|
Country : |
China |
|
|
|
|
Financials (as on) : |
31.12.2012 |
|
|
|
|
Date of Incorporation : |
30.11.2000 |
|
|
|
|
Com. Reg. No.: |
659001031000671 |
|
|
|
|
Legal Form : |
Limited Liabilities Company |
|
|
|
|
Line of Business : |
Subject
engaged in acting as an import and export trade agent mainly include caustic soda, resin, PVC,
steel and product oil, etc. |
|
|
|
|
No. of Employees : |
19 |
RATING & COMMENTS
|
MIRA’s Rating : |
B |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
26-40 |
B |
Capability to overcome financial difficulties seems comparatively
below average. |
Small |
|
Status : |
Moderate |
|
Payment Behaviour : |
Unknown |
|
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) |
|
China |
A2 |
A2 |
|
Risk Category |
ECGC
Classification |
|
Insignificant |
A1 |
|
Low |
A2 |
|
Moderate |
B1 |
|
High |
B2 |
|
Very High |
C1 |
|
Restricted |
C2 |
|
Off-credit |
D |
CHINA - ECONOMIC OVERVIEW
Since the late 1970s China has moved from a closed,
centrally planned system to a more market-oriented one that plays a major global
role - in 2010 China became the world's largest exporter. Reforms began with
the phasing out of collectivized agriculture, and expanded to include the
gradual liberalization of prices, fiscal decentralization, increased autonomy
for state enterprises, creation of a diversified banking system, development of
stock markets, rapid growth of the private sector, and opening to foreign trade
and investment. China has implemented reforms in a gradualist fashion. In
recent years, China has renewed its support for state-owned enterprises in
sectors it considers important to "economic security," explicitly
looking to foster globally competitive national champions. After keeping its
currency tightly linked to the US dollar for years, in July 2005 China revalued
its currency by 2.1% against the US dollar and moved to an exchange rate system
that references a basket of currencies. From mid 2005 to late 2008 cumulative
appreciation of the renminbi against the US dollar was more than 20%, but the
exchange rate remained virtually pegged to the dollar from the onset of the
global financial crisis until June 2010, when Beijing allowed resumption of a
gradual appreciation. The restructuring of the economy and resulting efficiency
gains have contributed to a more than tenfold increase in GDP since 1978.
Measured on a purchasing power parity (PPP) basis that adjusts for price
differences, China in 2012 stood as the second-largest economy in the world
after the US, having surpassed Japan in 2001. The dollar values of China's agricultural
and industrial output each exceed those of the US; China is second to the US in
the value of services it produces. Still, per capita income is below the world
average. The Chinese government faces numerous economic challenges, including:
(a) reducing its high domestic savings rate and correspondingly low domestic
demand; (b) sustaining adequate job growth for tens of millions of migrants and
new entrants to the work force; (c) reducing corruption and other economic
crimes; and (d) containing environmental damage and social strife related to
the economy's rapid transformation. Economic development has progressed further
in coastal provinces than in the interior, and by 2011 more than 250 million
migrant workers and their dependents had relocated to urban areas to find work.
One consequence of population control policy is that China is now one of the
most rapidly aging countries in the world. Deterioration in the environment -
notably air pollution, soil erosion, and the steady fall of the water table,
especially in the North - is another long-term problem. China continues to lose
arable land because of erosion and economic development. The Chinese government
is seeking to add energy production capacity from sources other than coal and
oil, focusing on nuclear and alternative energy development. In 2010-11, China
faced high inflation resulting largely from its credit-fueled stimulus program.
Some tightening measures appear to have controlled inflation, but GDP growth
consequently slowed to under 8% for 2012. An economic slowdown in Europe
contributed to China's, and is expected to further drag Chinese growth in 2013.
Debt overhang from the stimulus program, particularly among local governments,
and a property price bubble challenge policy makers currently. The government's
12th Five-Year Plan, adopted in March 2011, emphasizes continued economic
reforms and the need to increase domestic consumption in order to make the
economy less dependent on exports in the future. However, China has made only
marginal progress toward these rebalancing goals.
Source
: CIA
Company name and address
XINJIANG TIANYE FOREIGN TRADE CO., LTD.
6/F, TIANYE
BUILDING, NO. 36 BEISAN EAST ROAD, ECONOMIC & TECHNOLOGICAL DEVELOPMENT ZONE OF
SHIHEZI, XINJIANG, 830000 pr china
TEL: 86 (0) 993-2623143/2623137
FAX: 86 (0) 993-2623019
EXECUTIVE SUMMARY
INCORPORATION DATE :
NOV. 30, 2000
REGISTRATION NO. :
659001031000671
REGISTERED LEGAL FORM : LIMITED LIABILITIES COMPANY
STAFF STRENGTH :
19
REGISTERED CAPITAL : CNY 20,000,000
BUSINESS LINE :
TRADE AGENT
TURNOVER :
CNY 6,700,000 (unaudited, AS OF DEC. 31, 2012)
EQUITIES :
CNY 9,440,000 (unaudited, AS OF DEC. 31, 2012)
PAYMENT :
AVERAGE
MARKET CONDITION :
AVERAGE
FINANCIAL CONDITION : FAIRLY STABLE
OPERATIONAL TREND : FAIRLY STEADY
GENERAL REPUTATION :
AVERAGE
EXCHANGE RATE :
CNY 6.1822= USD 1
Adopted abbreviations:
ANS - amount not stated
NS - not stated
SC - subject company (the company inquired by you)
NA - not available
CNY - China Yuan Ren Min Bi
Note: SC’s correct name shall be the heading one instead of
the given one (Xinjiang Jiayne Foreign Trade Co Ltd).
SC was registered as a limited liabilities company at local
Administration for Industry & Commerce (AIC-The official body of issuing
and renewing business license) on Nov. 30, 2000.
Company Status: Limited Liabilities Company This
form of business in PR China is defined as a legal person. No more than
fifty shareholders contribute its registered capital jointly. Shareholders
bear limited liability to the extent of shareholding, and the co. is liable
for its debts only to extent of its total assets. The characteristics of
this form of co. are as follows: Upon the establishment of the co., an investment
certificate is issued to the each of shareholders. The
board of directors is comprised of three to thirteen members. The
minimum registered capital for a co. is CNY 30,000. Shareholders
may take their capital contributions in cash or by means of tangible assets
or intangible assets such as industrial property and non-patented
technology. Cash
contributed by all shareholders must account for at least 30% of the
registered capital. Existing
shareholders have pre-exemption right to purchase shares of the co. offered
for sale by the other shareholders and to subscribe for the newly increased
registered capital of the co.
SC’s registered
business scope includes import and export of cereals, oils & foodstuffs; import
and export of indigenous animal products, textile and silk, garments, light
industrial products, metal products, chemical products, machinery and
electronic products; processing with imported materials, processing with
imported samples, assembling with imported parts, and compensation trade in
agreement; counter trade & transit trade; contracting
overseas projects related to exported self-made equipments and international
tendering project; export of engineering equipment and labour; import of copper,
steel scrap, aluminium scrap, waste paper, waste plastics, steel; carry out
border trade business.
SC is mainly engaged in acting as an import and export trade agent.
Ms. Wu Bin is the legal representative and chairman of
SC at present.
SC is known to
have approx. 19 employees at
present.
SC
is currently operating at the above stated address, and this address houses its
operating office in the economic & technological development zone of
Shihezi. SC’s management declined to release the detailed information of the
premise.
SC is not known to host website of its own at present.
Changes of its
registered information:
|
Date of change |
Item |
Before the change |
After the change |
|
Unknown |
Registration No. |
6590011099615 |
Present one |
|
Legal representative |
Yu Tianchi |
Present one |
For the past two years there is no record of litigation.
MAIN SHAREHOLDERS:
Name %
of Shareholding
Xinjiang Tianye Co., Ltd. 99.75
Xinjiang Shihezi Zhongfa Chemical Co., Ltd. 0.25
Xinjiang Tianye Co., Ltd.
===================
It was listed in Shanghai Stock Exchange Market with the stock code
600075.
Registered no.: 650000040000013
Legal representative: Yu Tianchi
Registered capital: CNY 438,592,000
Address: No. 36 Beisan East Road, Economic & Technology Development
Zone of Shihezi,
Xinjiang Uygur Autonomous Region
Tel: 0993-2623118
Fax: 0993-2623163
E-mail: stock@tom.com
l
Legal Representative and Chairman:
Ms. Wu Bin, born in 1970 with Doctor’s degree. She is currently
responsible for the overall management of SC.
Working Experience(s):
At present Working
in SC as legal representative and chairman
Also working in Xinjiang Tianye (Group) Co., Ltd. as
legal representative
l
General manager:
Mr. Li Xi’an
is currently responsible for the daily management of SC.
Working Experience(s):
At present Working
in SC as general manager
l
Directors:
Chen Baojiang
Song Xiaoling
l
Supervisor:
Qiu Zhaoliang
SC is mainly engaged
in acting as an import and export trade agent.
SC’s products
mainly include: caustic soda, resin, PVC, steel and
product oil, etc.
SC sources its materials 90% from domestic
market, and 10% from overseas market. SC sells 20% of its products in domestic
market, and 80% to overseas market.
The domestic buying terms of SC include Check, T/T, L/C and credit of
30-60 day. The payment terms of SC include Check, T/T, L/C and Credit of 30-60
days.
Note:
SC’s management declined to release its major clients and suppliers.
Xinjiang Tianye (Group) Co., Ltd.
Web: www.xj-tianye.com
Xinjiang Tianye Foreign Trade Co., Ltd. Urumqi
Office
Address:
Room 2401, Huadu Building, No. 23 Youhao South Road, Urumqi, Xinjiang
Shihezi
Tianye Tomato Products Co., Ltd.
Shihezi
Taikang Real Estate Development Co., Ltd.
Etc.
Overall payment appraisal:
( ) Excellent (
) Good (X) Average (
) Fair ( ) Poor
( ) Not yet determined
The appraisal serves as a reference to reveal SC's payments habits and
ability to pay. It is based on the 3
weighed factors: Trade payment
experience (through current enquiry with SC's suppliers), our delinquent
payment and our debt collection record concerning SC.
Trade payment experience: SC did not provide any name of trade/service
suppliers and we have no other sources to conduct the enquiry at present.
Delinquent
payment record: None in our database.
Debt collection record: No overdue amount
owed by SC was placed to us for collection within the last 6 years.
SC’s banking
information is not available at present.
Balance Sheet
Unit: CNY’000
|
|
As
of Dec. 31, 2012 (Unaudited) |
|
Cash & bank |
297,640 |
|
Inventory |
0 |
|
Bills receivable |
0 |
|
Accounts
receivable |
0 |
|
Other Accounts
receivable |
-10 |
|
Advances to
suppliers |
0 |
|
Other current
assets |
0 |
|
|
------------------ |
|
Current assets |
297,630 |
|
Fixed assets net
value |
430 |
|
Long-term
investment |
1,060 |
|
Intangible
assets |
0 |
|
Long-term
deferred expenses |
390 |
|
|
------------------ |
|
Total assets |
299,510 |
|
|
============= |
|
Short loans |
250,000 |
|
Accounts payable |
0 |
|
Advance from
customers |
0 |
|
Accrued payroll |
170 |
|
Other Accounts
payable |
40,260 |
|
Taxes payable |
-360 |
|
Surcharge
payable |
0 |
|
Other current
liabilities |
0 |
|
|
------------------ |
|
290,070 |
|
|
Long term
liabilities |
0 |
|
Other
liabilities |
0 |
|
|
------------------ |
|
Total
liabilities |
290,070 |
|
Equities |
9,440 |
|
|
------------------ |
|
299,510 |
|
|
|
============= |
Income Statement
Unit: CNY’000
|
|
As of Dec. 31, 2012 (Unaudited) |
|
Turnover |
6,700 |
|
Cost of goods sold |
240 |
|
Taxes and additional of main operation |
360 |
|
Sales expense |
2,580 |
|
Management expense |
1,020 |
|
Finance expense |
-660 |
|
Non-operating
income |
2,300 |
|
Non-operating expense |
100 |
|
Profit before
tax |
5,360 |
|
Less: profit tax |
0 |
|
Profits |
5,360 |
Important Ratios
=============
|
|
As
of Dec. 31, 2012 |
|
*Current ratio |
1.03 |
|
*Quick ratio |
1.03 |
|
*Liabilities
to assets |
0.97 |
|
*Net profit
margin (%) |
80.00 |
|
*Return on
total assets (%) |
1.79 |
|
*Inventory
/Turnover ×365 |
/ |
|
*Accounts
receivable/Turnover ×365 |
/ |
|
*Turnover/Total
assets |
0.02 |
|
* Cost of
goods sold/Turnover |
0.04 |
PROFITABILITY:
AVERAGE
l
The turnover of SC appears average in its line.
l
SC’s net profit margin is good.
l
SC’s return on total assets is average.
l
SC’s cost of goods sold is low, comparing with its
turnover.
LIQUIDITY: AVERAGE
l
The current ratio of SC is maintained in a normal
level.
l
SC’s quick ratio is maintained in a normal level.
l
SC has no inventory in 2012.
l
SC has no accounts receivable in 2012
l
SC’s short loan is too large in 2012.
l
SC’s turnover is in a poor level, comparing with
the size of its total assets.
LEVERAGE: FAIR
l
The debt ratio of SC is high.
l
The risk for SC to go bankrupt is average.
Overall financial
condition of the SC: Fairly Stable.
SC is considered small-sized in its line with fairly stable financial conditions.
The large amount of short loan could be a threat to SC’s financial conditions.
Taking into consideration of SC’s general performance and operation size, we
would rate SC as an above average credit risk company.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.54.30 |
|
|
1 |
Rs.82.88 |
|
Euro |
1 |
Rs.70.80 |
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%)
This report is issued at your request without any
risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL)
or its officials.