MIRA INFORM REPORT

 

 

Report Date :

26.08.2013

 

IDENTIFICATION DETAILS

 

Name :

SPRING COSMO INTERNATIONAL CORPORATION

 

 

Registered Office :

Koshin Bldg 7F, 2-2-22 Kanda-Nishikicho Chiyodaku Tokyo 101-0054

 

 

Country :

Japan

 

 

Financials (as on) :

31.03.2013

 

 

Date of Incorporation :

Jun 1993

 

 

Com. Reg. No.:

(Tokyo-Chiyodaku) 131476

 

 

Legal Form :

Limited Company (Kabushiki Kaisha)

 

 

Line of Business :

Import, export, wholesale of paper, paper products

 

 

No. of Employees :

11

 

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 :

Slow but correct

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)

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 small agricultural sector is highly subsidized and protected, with crop yields among the highest in the world. While self-sufficient in rice production, Japan imports about 60% of its food on a caloric basis. 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. Modest economic growth continued after 2000, but the economy has fallen into recession three times since 2008. A sharp downturn in business investment and global demand for Japan's exports in late 2008 pushed Japan 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 and the ensuing tsunami in March disrupted manufacturing. The economy has largely recovered in the two years since the disaster, but reconstruction in the Tohoku region has been uneven. Newly-elected Prime Minister Shinzo ABE has declared the economy his government's top priority; he has pledged to reconsider his predecessor's plan to permanently close nuclear power plants and is pursuing an economic revitalization agenda of fiscal stimulus and regulatory reform and has said he will press the Bank of Japan to loosen monetary policy. Measured on a purchasing power parity (PPP) basis that adjusts for price differences, Japan in 2012 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 2012. The new government will continue a longstanding debate 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 and address

 

SPRING COSMO INTERNATIONAL CORPORATION

REGD NAME:    KK Spring Cosmo International

MAIN OFFICE:  Koshin Bldg 7F, 2-2-22 Kanda-Nishikicho Chiyodaku Tokyo 101-0054 JAPAN

                                    Tel: 03-5577-6602    

Fax: 03-5577-6613

 

URL:                 http://www.springcosmo.com/

E-Mail address: info@springcosmo.com

 

 

ACTIVITIES

 

Import, export, wholesale of paper, paper products

 

BRANCHES

 

Nil

 

OVERSEAS

 

NAK Cosmo Pty Ltd (Australia) (subsidiary)

 

OFFICER(S)

 

FUMITAKA TAKAHASHI, PRES              Yuzuru Isshiki, dir

Eiji Takeshita, dir                                   Masanao Osada, dir

 

Yen Amount:     In million Yen, unless otherwise stated

 

 

SUMMARY

 

FINANCES                    FAIR                             A/SALES          Yen 3,900 M

PAYMENTS      SLOW BUT CORRECT   CAPITAL           Yen 20 M

TREND             SLOW                          WORTH            Yen 284 M

STARTED                     1993                             EMPLOYES      11

 

COMMENT    

 

TRADING FIRM SPECIALIZING IN PAPER & PAPER PRODUCTS. 

FINANCIAL SITUATION CONSIDERED FAIR AND GOOD FOR ORDINARY BUSINESSS ENGAEMENTS

 

 

HIGHLIGHTS

           

            The subject company was established by Fumitaka Takahashi in order to make most of his experience in the subject line of business.  This is a trading firm for import, export and wholesale of paper & paper products: paper, coated paper, quality paper, board paper, used/recycled paper, pulp, other.  Goods are imported from Korea, Europe, Asia, other, and exported to USA, Taiwan, Oceania, Asia, etc (80%).  Domestic sales account for 20% of total sales.  Domestic clients include printing firms.

 

 

FINANCIAL INFORMATION

 

            Financials are only partially disclosed.

 

The sales volume for Mar/2013 fiscal term amounted to Yen 3,900 million, a 7% down from Yen 4,200 million in the previous term.  Sales declined due to supply shortage from major paper mfrs as their factories damaged by the Great East Japan Earthquake that occurred in Mar 2011.  Also high Yen hurt import/export sales, reducing earnings & profits in Yen terms.  The net profit was posted at Yen 18 million, compared with Yen 30 million a year ago.

 

For the current term ending Mar 2014 the net profit is projected at Yen 25 million, on a 5% rise in turnover, to Yen 4,100 million.  Weaker Yen may increase earnings in Yen terms.

           

            The financial situation is considered FAIR and good for ORDINARY business engagements. 

 

 

REGISTRATION

 

Date Registered: Jun 1993

Regd No.:            (Tokyo-Chiyodaku) 131476

Legal Status:      Limited Company (Kabushiki Kaisha)

Authorized:         1,600 shares

Issued:                400 shares

Sum:                   Yen 20 million

Major shareholders (%): Fumitaka Takahashi (50), Nakagawa Mfg Co (25), Company’s Treasury Stock (25)

No. of shareholders: 3

 

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

 

OPERATION

 

Activities: Imports, exports (80%) and wholesales (20%) paper & paper products: coated paper, bond paper, machine glazed paper, printing paper, fiberboard, quality paper, used/recycled paper, pulp, other (--100%).

 

Clients: [Printers, wholesalers] Nakagawa Mfg Co, Toyo Printing, Toppan Printing, Shiroki KK, Kokusai Pulp & Paper, Seikosha Printing Ltd, other.

Exports to Oceania (50%), other to Taiwan, Vietnam, other Asia, USA, other

No. of accounts: 500

Domestic areas of activities: Centered in greater-Tokyo

Suppliers: [Mfrs, wholesalers] Shiroki Co, Japan Paper & Pulp, Oji Trading, Kokusai Pulp & Paper, Gojo Paper Mfg, Marubeni Corp, other.

Imports from Hansul Paper (Korea), other from Europe, Asia, other.

 

Payment record: Slow but correct

 

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

 

Bank References:

MUFG (Omotesando)

SMBC (Aoyama)

Relations: Satisfactory

 

 

FINANCES

 (In Million Yen)

 

Terms Ending:

 

31/03/2014

31/03/2013

31/03/2012

31/03/2011

Annual Sales

 

4,100

3,900

4,200

5,500

Recur. Profit

 

..

..

..

..

Net Profit

 

25

18

30

25

Total Assets

 

 

N/A

N/A

N/A

Net Worth

 

 

284

266

236

Capital, Paid-Up

 

 

20

20

20

Div.P.Share(¥)

 

 

0.00

0.00

0.00

<Analytical Data>

(%)

(%)

(%)

(%)

    S.Growth Rate

5.13

-7.14

-23.64

-28.57

    Current Ratio

 

 

..

..

..

    N.Worth Ratio

 

..

..

..

    N.Profit/Sales

0.61

0.46

0.71

0.45

 

Notes: Financials are only partially disclosed.

Forecast (or estimated) figures for the 31/03/2014 fiscal term.


 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.64.69

UK Pound

1

Rs.100.79

Euro

1

Rs.86.30

 

 

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.