MIRA INFORM REPORT

 

 

Report Date :

31.08.2013

 

IDENTIFICATION DETAILS

 

Name :

P.T. ALAM JAYA LOKA

 

 

Formerly Known As :

P.T. ALAM JAYA

 

 

Registered Office :

Perum Wisma Permai, Jl. Wisma Permai XII No. 8, Surabaya 60115, East Java

 

 

Country :

Indonesia

 

 

Date of Incorporation :

03.10.1979

 

 

Com. Reg. No.:

No. AHU-AH.01.10-22045

 

 

Legal Form :

Limited Liability Company

 

 

Line of Business :

Trader and Distributor of Gum Rosin and Turpentine Oils

 

 

No. of Employees :

12

 

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. ALAM JAYA LOKA

 

 

COMPANY Address

 

Head Office

Perum Wisma Permai

Jl. Wisma Permai XII No. 8

Surabaya 60115

East Java, Indonesia

Phone               - (62-31) 5932908 (hunting), 5966733

Fax                   - (62-31) 5994796, 5994736

Email                - admin@alamjayaloka.com

Website            - http://www.alamjayaloka.com

Land Area         - 220 sq. meters

Office Space    - 120 sq. meters

Region              - Residence

Status               - Owned

 

 

Date of Incorporation

 

a. 3 October 1979 as P.T. ALAM JAYA

b. 4 February 1982 as P.T. ALAM JAYA LOKA

 

 

Legal Form

 

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

 

 

Company Reg.No.

 

The Ministry of Law and Human Rights

a. No. C-11731.HT.01.04.TH.2006

    Dated 25 April 2006

b. No. AHU-77578.AH.01.02.Tahun 2008

    Dated 23 October 2008

c. No. AHU-AH.01.10-22045

    Dated 04 December 2009

 

Company Status

 

National Private Company

 

 

Permit by the Government Department

 

The Department of Finance

NPWP No. 01.150.323.2-619.000

 

 

Affiliated/Associated Company

 

Not Available

 

 

CAPITAL AND OWNERSHIP

 

Capital Structure :

Authorized Capital         - Rp.  550,000,000.-

Issued Capital               - Rp.  550,000,000.-

Paid up Capital             - Rp.  550,000,000.-

 

Shareholders/Owners :

a. Ms. Jenny Erwina AKA Liauw Yenny Ervina       - Rp.  500,000,000.- (90.9%)

   Address : Jl. Tambak Segaran Wetan 74

                   Surabaya, East Java

                   Indonesia

b. Mr. Eduard Patrick Pranata                                - Rp.    50,000,000.- (  9.1%)

   Address : Jl. Beringin I/5

                   Semarang, Central Java

                   Indonesia

 

 

BUSINESS ACTIVITIES

 

Lines of Business :

Trading and Distribution of Gum Rosin and Turpentine Oils

As a trading agency of PT. Perum PERHUTANI (Indonesian Forestry Company)

 

Production Capacity :

None

 

Total Investment :

Owned Capital    - Rp. 800 million

 

Started Operation :

1982

 

Brand Name :

None

 

Technical Assistance :

None

 

Number of Employee :

12 persons

 

Marketing Area :

Export    - 100%

 

Main Customers :

Main Buyers in India, Genoa, Philippine and Casablanca (Morocco)

 

Market Situation :

Very Competitive

 

Main Competitors :

a. P.T. NAVAL OVERSEAS

b. P.T. MILATRONIKA KARYA NIAGA

c. P.T. NUGRAHA ARTA KENCANA

d. Etc.

 

Business Trend :

Fluctuating

 

 

BANKER, AUDITOR & LITIGATION

 

Banker :

P.T. Bank MANDIRI Tbk

Jembatan Merah Branch

Jl. Jembatan Merah No. 25-27

Surabaya, East Java

Indonesia

 

Auditor :

Internal Auditor

 

Litigation :

No litigation case in the local commercial courts

 


FINANCIAL FIGURE

 

Annual Sales (estimated) :

2008 – Rp.   9.6 billion

2009 – Rp. 12.8 billion

2010 – Rp. 14.2 billion

2011 – Rp. 15.4 billion

2012 – Rp. 16.2 billion

 

Net Profit (estimated) :

2008 – Rp. 490 million

2009 – Rp. 620 million

2010 – Rp. 680 million

2011 – Rp. 720 million

2012 – Rp. 760 million

 

Payment Manner :

Average

 

Financial Comments :

Satisfactory

 

 

KEY EXECUTIVES

 

Board of Management :

Director                                                - Ms. Jenny Ervina AKA Liauw Yenny Ervina

 

Board of Commissioners :

President Commissioner            - Mr. Eduard Patrick Pranata

Commissioner                           - Ms. Peggy Leonardo

 

Signatories :

Director (Ms. Jenny Ervina AKA Liauw Yenny Ervina) which must be approved by Board of Commissioner (Mr. Eduard Patrick Pranata and Ms. Peggy Leonardo)

 

 

CAPABILITIES

 

Management Capability :

Good

 

Business Morality :

Good

 

 

OVERALL PERFORMANCE

 

Originally named P.T. ALAM JAYA, the company was established on October 3, 1979 with an authorized capital of Rp. 10,000,000.- of which Rp. 2,000,000,- was issued and fully paid up.  The founding shareholders of the company are Mr. Legowo Handojo (75%) and his younger brother Mr. Soedibjo (25%).  They are Indonesian businessmen of Chinese extraction.  On March 11, 1980, the authorized capital was raised to 50,000,000.- of which Rp. 25,000,000.- was issued and fully paid up.  Since at the time, the shareholders of the company are Mr. Legowo Handojo (20%), Mr. Soedibjo (20%), Mr. Hariyono (20%) and Mr. Soekarno (40%).  On February 4, 1982 the company’s name was changed to P.T. ALAM JAYA LOKA (P.T. AJL) and the authorized capital was raised again Rp 100,000,000, of which Rp 50,000,000 was issued and fully paid up.  The notarial deed was approved by the Minister of Justice of the Republic of Indonesia through its Decision Letter No. Y.A.5/156/10 dated May 6, 1982.

 

The company's shareholder line-up was since changed a couple of times. In 1992 Mr. Legowo Handoyo died, and all his shares were taken over by another younger brother of his namely Mr. Indro Handoyo.  In March 2006, the authorized capital was increased to Rp. 550,000,000.- entirely was issued and paid up.  Concurrently, the company's shareholders are Ms. Jenny Ervina AKA Liauw Yenny Ervina (90.9%) and Ms. Peggy Leonardo (9.1%).    The deed of amendment was made by Mr. Djunaidi Gunawan, SH., a public notary in Surabaya and has been approved by the Minister of Law and Human Rights of the Republic of Indonesia through Decree No.C-11731.HT.01.04.TH.2006, dated April 25, 2006 and No. AHU-77578.AH.01.02.Tahun 2008, dated 23 October 2008.

 

The latest in March 2009, Ms. Peggy Leonardo pulled out and her shares are sold to Mr. Eduard Patick Pranata, an Indonesian businessman of Chinese extraction.  Since the time, the shareholders of the company are Ms. Jenny Erwina AKA Liauw Yenny Ervina (90.9%) and Mr. Eduard Patrick Pranata (9.1%).  The deed of amendment was made by Ms. Rina Rustianing Warni, SH., a public notary in Surabaya and has been approved by the Minister of Law and Human Rights of the Republic of Indonesia through Decree No. AHU-AH.01.10-22045 dated December 4, 2009.  No changes have been effected in term of its shareholding composition and capital structures to date.

 

P.T. AJL has been in operation in trading and distribution of timber related products, namely Gum Rosin and Turpentine oil since 1982.  The company has been appointed as a distributor and trading agency by the state-owned forestry company PT. Perum PERHUTANI.  Ms. Jeannette, an administrative staff of P.T. AJL explained that the above products  are  entirely exported  to  India (Neva Seva), Maroko (Casablanca), Genoa  several  European countries, including Italy and Germany. Ms. Jeannette added that the company has lately been having difficulty expanding its marketing network because of limited allocations from PT. Perum PERHUTANI. Beside that the international market demands for gum resin very slowly. 

 

We consider P.T. AJL's operations to be on the whole still of a small scale with fluctuating volumes and its operations are much dependent on PT. Perum PERHUTANI's gum resin production.   We observed that P.T. AJL is classified as a small sized company of its kind in the country of which the operation has been fluctuating in the last five years.

 

We find that generally the international market demand for gum resin and turpentine oil has been rising by about 6% to 8% per year in the last five years, in line with the growth of paint production.  But, as from October 2008, the demand growth for can making and metal printing has kept on dwindling as an impact of global economic crisis as told above.  The demand was increasing in the early 2009 due to economic condition was gradually recovery in the country.  The demand is projected to go on increasing by at least 8% per year in the next five years. Meanwhile, the gum resin trade is highly competitive with many companies now operating in this business line in Indonesia.  P.T. AJL is finding itself in some difficulty in this business for having been given only limited allocations by PT. Perum PERHUTANI. The company has been unable to supply demand from a number of new buyers.  Business position of P.T. AJL is favorable for it has controlled a wide marketing network at home and abroad.

 

The company is neither public listed nor bond issued company. Therefore, the company has no obligation to publish financial statement publicly. The management of P.T. AJL is very closed to outsiders and rejected to disclose its financial conditions. The sales turnover in 2010 is estimated to have reached Rp. 14.2 billion with a net profit of Rp. 680 million increased to Rp 15.4 billion with a net profit of Rp. 720 million in 2011 and rose again to Rp 16.2 billion with a net profit of Rp 760 million in 2012.  The company has an estimated total asset at least 8.0 billion and it is forecasted that their sales turnover will increase again at least of 8% in 2013. So far, we have never heard that the company has been black listed by Bank Indonesia (Central Bank). Its payment to suppliers is running punctually.

 

P.T. AJL's management is headed by Ms. Jenny Ervina AKA Liauw Yenny Ervina (63), who already has about 17 years of experience in trading and distribution of gum rosin and turpentine oils. In day-to-day business, she is assisted by a staff of several professionals with wide experience in the above trade. They have wide relations in national and foreign private business circles and in the ranks of government authorities, particularly at PT. Perum PERHUTANI and the Department of Forestry.  So far, we have never yet heard of the company's management having been involved in business malpractices. 

 

P.T. ALAM JAYA LOKA is appraised to be 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.66.57

UK Pound

1

Rs.103.34

Euro

1

Rs.88.16

 

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.