MIRA INFORM REPORT

 

 

Report Date :

21.08.2013

 

IDENTIFICATION DETAILS

 

Name :

P.T. TIRTA WANA SEMESTA KENCANA

 

 

Registered Office :

Komplex Pergudangan Westgate Diamond B 35-37 Jl. Raya Ketajen, Gedangan,  Sidaorjo 61253 East Java

 

 

Country :

Indonesia

 

 

Date of Incorporation :

16.01.1998

 

 

Com. Reg. No.:

No. AHU-11846.AH.01.02.Tahun 2013

 

 

Legal Form :

Limited Liability Company

 

 

Line of Business :

Trading and Distribution of Industrial Chemical Products

 

 

No. of Employees :

90 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 – March 31st, 2013

 

Country Name

Previous Rating

(31.12.2012)

Current Rating

(31.03.2013)

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 more than 6% annually in 2010-12. 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. TIRTA WANA SEMESTA KENCANA

 

 

Address

 

Head Office

Komplex Pergudangan Westgate Diamond B 35-37

Jl. Raya Ketajen, Gedangan,

Sidaorjo 61253

East Java - Indonesia

Phone               - (62-31) 8014500 (hunting)

Fax                   - (62-31) 8014545

Email                - sales-sby@tirtawana.com

Website            - http://www.tirtawana.com

Land Area         - 2,200 sq. meters

Office Space    - 1,800 sq. meters

Region              - Industrial Zone

Status               - Rent

 

Branches

a. Jl.Solo Tawangmangu Km. 7,2

    Solo, Central Java

    Indonesia

    Phones         - (62-271) 827797, 827798

    Fax.              - (62-271) 827796

b. Taman Kopo Indah Blok III/A-20

    Bandung, West Java

    Indonesia

    Phones         - (62-22) 5419900 (hunting)

    Fax.              - (62-22) 5419877

c. Pergudangan Arcadia G7 No. 3-5

    Jl. Daan Mogot Km. 21

    Jakarta Barat

    Indonesia

    Phones         - (62-21) 5536999 (hunting)

    Fax.              - (62-21) 5538999

 

 

Registration data

 

Date of Incorporation :

16 January 1998

 

Legal Form :

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

 

Company Reg. No. :

The Law of Law and Human Rights

a. No. C2-10.832.HT.01.01.TH.1998

    Dated 11 August 1998

b. No. AHU-21093.AH.01.02.Tahun 2008

    Dated 25 April 2008

c. No. AHU-11846.AH.01.02.Tahun 2013

    Dated 08 March 2013

 

Company Status :

National Private Company

 

Permit by the Government Department :

The Department of Finance

NPWP No. 01.829.254.0-641.000

 

Related Company :

Not Available

 

 

CAPITAL AND OWNERSHIP

 

Capital Structure :

Authorized Capital         - Rp. 16,000,000,000.-

Issued Capital   - Rp. 16,000,000,000.-

Paid up Capital - Rp. 16,000,000,000.-

 

Shareholders/Owners :

a. Mr. Ir. Kwee Hendro Kuncoro                                   - Rp. 4,000,000,000.- (25%)

    Address : Jl. Wonorejo Permai 5 No.17

                    Surabaya, East Java

                    ndonesia

b. Mr. Drs. Budi Hartanto                                  - Rp. 4,000,000,000.- (25%)

    Address : Jl. Pakis Bukit Akasia Blok N-2

                    Surabaya, East Java

                    Indonesia

c. Mr. Heru Santoso, SH.                                  - Rp. 4,000,000,000.- (25%)

    Address : Jl. Rambutan II Blok D-226

                    Sidoarjo, East Java

                    Indonesia

d. Mr. Ir. Albertus Harijanto Tedjakusuma        - Rp. 4,000,000,000.- (25%)

    Address : Jl. Jemur Andayani XIX No.33

                    Surabaya, East Java

                    Indonesia

 

 


BUSINESS ACTIVITIES

 

Lines of Business :

Trading and Distribution of Industrial Chemical Products

 

Agents of:

a. AIR PRODUCTS, Epoxy Curing Agent & Diluents of the USA

b. CHANG CHUN PETROCHEMICALS, Polyvinyl Alcohol for Adhesive, etc. of Taiwan

c. EMSLAND STARKE GmbH, Potato Starch Native and Modified for Adhesive, etc. of Germany

d. FROMATECH Flavor and Seasoning for various food industry of Netherlands

e. GUANGFU, Micro Calcined Clay of China

f.  MITSUBISHI CHEMICAL SINGAPORE Pte. Ltd, Acrylamide Monomer for Adhesive of Singapore

g. SARDA GUMS & CHEMICAL Guar gum, CMC, Psyllium Husk of India

h. UNITED PERFORMANCE MATERIALS, Petroleum resin for coating & printing of Taiwan

i.  VORAWAN SYNDICATE Co. Ltd., Phosphate and Derivatives of Hong Kong

j.  FORMOSAN UNION CHEMICAL Corp., Hydrogenated C9 Hydrocarbon Resin of Taiwan

k. LUZHUO BIO-CHEM TECHNOLOGY Ltd., Maltodextrine, Maltitol, Dextrose Powder of China

l.  QINHUANGDAO LIHUA STARCH Co. Ltd., Com Starch of Textile of China

m. ZHUCHENG XINGMAO CORN DEVELOPING Co. Ltd., Com Starch for Textile of China

n. BASF PETRONAS CHEMICALS Sdn Bhd., Acylic Acid Glacial for Gummed Tape Adhesive of

    Malaysia.                   

o. LG, Acrylic Acid Glacial for Gummed Tape Adhesive of Korea

p. NIPPON SHOKUBAI, Acrylic Acid Glacial for Chemical Processing of Indonesia

q. DIA-NITRIX Co. Ltd., Acrylamide Powder for Chemical Processing of Japan

r.  FASINDO, Acrylic Size for Sizing Agent of Indonesia

 

Production Capacity :

None

 

Total Investment :

None

 

Started Operation :

1998

 

Brand Name :

Based on Principal’s brand name

 

Technical Assistance :

None

 

Number of Employee :

90 persons

 

Marketing Area :

Domestic    - 100%

 

Main Customers :

a. P.T. Nachindo Tape Industry

b. P.T. Sinar Epoxindo Sejati

c. P.T. Fajr Abadi Masindo

d. P.T. Garuda Twinjaya

e. P.T. Karunia Segar Utama

f.  P.T. Supra Sumber Cipta

 

Market Situation :

Very Competitive

 

Main Competitors :

a. P.T. Cognis Indonesia

b. P.T. Haldin Pacific Semesta

c. P.T. Mutiara Chemical Industry

d. P.T. Sinar Permata Halim Swadaya

e. P.T. Unio Ajidharma

 

Business Trend :

Growing

 

 

BANKER, AUDITOR & LITIGATION

 

B a n k e r s :

a. P.T. Bank RAKYAT INDONESIA Tbk

    Surabaya Branch

    East Java – Indonesia

b. P.T. Bank CENTRAL ASIA Tbk

    Surabaya Branch

    East Java – Indonesia

c. CITIBANK N.A.

    Surabaya Branch

    East Java - Indonesia


Auditor :

Internal Auditor

 

Litigation :

No litigation record in our database

 

 

FINANCIAL FIGURE

 

Annual Sales (estimated) :

2009 – Rp.   87.0 billion

2010 – Rp.   99.0 billion

2011 – Rp. 112.0 billion

2012 – Rp. 128.0 billion

 

Net Profit (Loss) :

2009 – Rp. 3.0 billion

2010 – Rp. 3.4 billion

2011 – Rp. 3.9 billion

2012 – Rp. 4.5 billion

 

Payment Manner :

Almost Promptly

 

Financial Comments :

Satisfactory

 

 

KEY EXECUTIVES

 

Board of Management :

President Director                    - Mr. Kwe Hendro Kuncoro

Director                                                - Mr. Drs. Budi Hartono

 

Board of Commissioners :

President Commissioner            - Mr. Heru Santoso, SH.

Commissioner                           - Mr. Ir. Albertus Harijanto Tedjakusuma

 

Signatories :

President Director (Mr. Kwe Hendro Kuncoro) or the Director (Mr. Drs. Budi Hartono) which must be approved by Board of Commissioners (Mr. Heru Santoso, SH. and Mr. Ir. Albertus Harijanto Tedjakusuma)

 

 

CAPABILITIES

 

Management Capability :

Good

 

Business Morality :

Good

 

Credit Risk :

Average

 

Credit Recommendation :

Credit should be proceeded with monitor

 

Proposed Credit Limit :

Small amount – periodical review

 

 


OVERALL PERFORMANCE

 

      P.T. TIRTA WANA SEMESTA KENCANA (P.T. TWSK) was established in January 1998 with the authorized capital of Rp. 100,000,000 of which Rp. 25,000,000 was issued and fully paid up. The founding shareholders of the company are Mr. Ir. Kwe Hendro Kuncoro (25%), Mr. Drs. Budi Hartono (25%), Mr. Heru Santoso, SH., (25%) and Mr. Ir. Kwe Albertus Kuncoro (25%), all are Indonesian businessmen of Chinese extraction.  The Deed of establishment has been approved by the Minister of Justice of the Republic of Indonesia through its Decision Letter No.C2-10.832.HT.01.01.TH.1998 dated August 11, 1998.

 

      The articles of association of the company have frequently been revised.  In April 2008, the authorized capital of the company was raised to Rp. 3,000,000,000.- entirely was issued and fully paid up.  The notary deed of amendment was approved by the Ministry of Law and Human Right in its Decision Letter No. AHU-21093.AH.01.02.Tahun 2008, dated April 25, 2008.

 

      Most recently by notarial deed of public notary Maria Tjandra, SH., No. 57 dated September 14, 2012 the authorized capital was raised again to Rp. 16,000,000,000.- entirely was issued and fully paid up.  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-11846.AH.01.02.Tahun 2013 dated March 8, 2013.

 

      P.T. TWSK has been in operation since end 1998 dealing with trading and distribution of industrial chemicals. Mrs. Ingrid, a staff of the company, said that the chemical products being traded consist of epoxy curing agent & diluents, polyvinyl alcohol for adhesive, epoxy resin adhesive and coating, melamine resin and acrylic resin for coating, flavor and seasoning for various food industry, micro calcined clay, acrylamide monomer for adhesive, petroleum resin for coating & printing, guar gum, cmc, psyllium husk, phosphate and derivatives, com starch for textile, food and paper industries, acylic acid glacial for gummed tape adhesive, etc.   She added that the chemical materials are imported from various countries including Air Products Corp., of the USA, Chang Chun Petrochemicals of Taiwan, Emsland Starke GmbH., of Germany, Promatech of Netherlands, Guangfu of China, Mitsubishi Chemical Pte., Ltd., of Singapore, Sarda Gums & Chemical of India, United Performance Materials of Taiwan, Verowan Syndicate Co. Ltd., of Hong Kong, Formosan Union Chemical Corp., of Taiwan, Basf Petronas Chemicals Sdn. Bhd., of Malaysia, Dia-Nitrix Co. Ltd., of Japan, etc.  She went on to say that the merchandise products are sold to various manufacturing industrial sectors in the country. To support its operation, the company opens branch and marketing offices in Jakarta, Solo and Bandung.  We observe that P.T. TWSK is classified as a medium sized company of its kind in the country of which the operation has been growing in the last three years.

 

      Generally, demand industrial chemical such as epoxy curing agent & diluents, polyvinyl alcohol and epoxy resin for adhesive, flavor & seasoning for food industry, melamine resin & acrylic resin for coating, phosphate and derivatives, com starch for textile and others has kept on rising in the last five years in the country in line with the activities of paint industry, textile industry, furniture industry and other industries in the country.  The demand is estimated to be fluctuating in the coming three years. The competition is very tight on account of lots of original and synthetic leather products being sold in international and domestic markets.   The long business prospect of the company is favorable once the unstable economic condition starts recovery. The demand is estimated to be increasing by 5% to 6% per annum in the next three years. The competition is very tight on account of many similar companies operating in the country. The business position of P.T. TWSK is sufficiently fairly good for it has established wide marketing networks in the country.

 

      Until this time P.T.  TWSK has not been registered with Indonesian Stock Exchange, so that they shall not obliged to announce their financial statement. Therefore, the company has no obligation to publish financial statement publicly. We have checked to Department of Trade and Industry and found that no financial statement has been reported. P.T. TWSK’s management is very reclusive to outsider and rejecting to disclose its financial condition but we estimated the total sales turnover in 2008 amounted to Rp. 138.5 billion increased to Rp. 155.0 billion in 2009 to Rp. 174.0 billion in 2010 and estimated it will be higher by at least 10% in 2011. The operation in 2010 yielded a net profit at least Rp. 8.5 billion and the company has a total net worth of Rp. 60.0 billion.  

 

      So far, we have never heard of the company having been black listed by the Central Bank (Bank Indonesia). Besides, the company usually pays its debts punctually to suppliers.

 

      P.T. TWSK’s management is headed by Mr. Ir. Kwe Hendro Kuncoro (48) as president director, a businessman with more than 15 years experienced in trading and distribution of chemical products.   Daily activity, he is assisted by Mr. Drs. Budi Hartono (49) as director.  The management of the company is handled by experienced professional managers having wide relation with overseas and national private businessmen as well as with the government sectors. So far, we did not hear that the company’s management involved in a dirty business practice or detrimental cases that settled in the country. The company’s litigation record is clean and it has not registered with the black list of Bank of Indonesia.

 

      P.T. TWSK is appraised quite feasible for business transaction.  But owing to economic condition in the country to remain unstable, we recommend to treat prudently in extending any new loans to the company.

 

 


 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.63.73

UK Pound

1

Rs.99.78

Euro

1

Rs.85.07

 

 

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.