MIRA INFORM REPORT
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Report Date : |
05.02.2013 |
IDENTIFICATION DETAILS
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Name : |
SHANDONG HONGYE FIBRE TECHNOLOGY CO., LTD. |
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Registered Office : |
Plant 4-5, Comprehensive Free Trade Zone, Ji’nan, Shandong Province, 250000 Pr |
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Country : |
China |
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Date of Incorporation : |
14.04.2009 |
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Com. Reg. No.: |
370000200006920 |
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Legal Form : |
Shares Limited Company |
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Line of Business : |
Processing cotton and chemical fiber spinning, and selling textile products. |
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No. of Employees : |
100 |
RATING & COMMENTS
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MIRA’s Rating : |
B |
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Without
Financials |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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26-40 |
B |
Capability to overcome financial difficulties seems comparatively below
average. |
Small |
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Status : |
Moderate |
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Payment Behaviour : |
Unknown |
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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
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Country Name |
Previous Rating (31.03.2011) |
Current Rating (30.06.2012) |
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China |
A2 |
A2 |
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Risk Category |
ECGC
Classification |
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Insignificant |
A1 |
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Low |
A2 |
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Moderate |
B1 |
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High |
B2 |
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Very High |
C1 |
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Restricted |
C2 |
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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 2010 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 near 9% for 2011. An economic slowdown in Europe is expected to further drag Chinese growth in 2012. 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 adddress
SHANDONG HONGYE
FIBRE TECHNOLOGY CO., LTD.
PLANT 4-5, COMPREHENSIVE FREE TRADE ZONE,
JI’NAN,
SHANDONG PROVINCE, 250000 PR CHINA
TEL: 86 (0) 15963111155 FAX: N/A
EXECUTIVE SUMMARY
INCORPORATION DATE : apr. 14, 2009
REGISTRATION NO. : 370000200006920
REGISTERED LEGAL FORM : Shares limited co.
STAFF STRENGTH :
100
REGISTERED CAPITAL : CNY 50,000,000
BUSINESS LINE :
processing and trading
TURNOVER :
N/A
EQUITIES :
N/A
PAYMENT :
AVERAGE
MARKET CONDITION : AVERAGE
FINANCIAL CONDITION : N/A
OPERATIONAL TREND : FAIRLY steady
GENERAL REPUTATION : AVERAGE
EXCHANGE RATE :
CNY 6.2235= 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 complete name should be the
heading one.
SC was registered as a shares limited co. at
Shandong Provincial Administration for Industry & Commerce (AIC - The
official body of issuing and renewing business license) on Apr. 14, 2009.
Company Status: Shares limited co. This form of business in PR
China is defined as a legal person. Its registered capital is divided into
shares of equal par value and the co. raises capital by issuing share
certificates by promotion or by public offer. Shareholders bear limited
liability to the extent of shareholding, and the co. is liable for its
debts only to the extent of its total assets. The co has independent
property of legal person and enjoys property rights of legal person. The characteristics of the shares limited co. are as
follows: The establishment of the co.
requires at least two promoters and no more than 200, half of whom shall be domiciled
in The minimum registered capital
of a co. is CNY The board of directors must
consist of five to nineteen directors. If the co.
raises capital by public offer, the promoters must not subscribe less than
35% of the total shares. the promoters’ shares are restricted to transfer-
within one year of the offer. A state-owned enterprise that
is restructured into a shares limited co. must comply with the conditions
& requirements specified under the law & administrative rule.
SC’s registered business scope includes fiber development consulting
services; selling textiles, linen products, knitwear, woven goods, clothing, fabrics,
textile raw materials; import and export business; finish machining cotton,
chemical fiber spinning (excluding state compression and restrictions on
textile project). (excluding products prohibited by legal, administrative rules
and regulations, and operating the limited products with permit if needed).
SC is mainly
engaged in processing cotton and chemical fiber spinning, and selling textile
products.
Mr. Li Xibo is legal representative and chairman of SC at
present.
SC is known
to have approx. 100 employees at present.
SC
is currently operating at the above stated address, and this address houses its
operating office and factory in the free trade zone of Ji’nan. SC’s management
declined to release detailed information of the premise.
http://www.hongyegroup.cn
The website belongs to SC’s parent company Qilu Hongye Textile Group Co., Ltd.
The design is professional and the content is well organized. At present it is
in Chinese and English versions.
Changes
of its registered information are as follows:
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Date of change |
Item |
Before the change |
After the change |
|
Unknown |
Shareholders and shareholding |
Wang Weixiu 20% Su Jiandong 20% Wang Xingzhong 20% Mu Dehong
20% Li Xibo
20% |
Present ones |
MAIN SHAREHOLDERS:
Name %
of Shareholding
Qilu Hongye Textile Group Co., Ltd. 60
Wang Weixiu 8
Su Jiandong 8
Wang Xingzhong 8
Mu Dehong 8
Li Xibo 8
Qilu Hongye Textile Group Co., Ltd.
==========================
Qilu Hongye Textile Group Co., Ltd. is
located in Shanghe County, North of Jinan, with an area of about 600,000 square
meters, and total assets of RMB 800 million. Its main business, textile, owns a
production capacity of 300,000 spindles, 3000 heads of automatic air flow spins
and 1,500 looms. For this reason, the company has also won various credits,
rated as Advanced Group in Nation’s Textile Industry in 2006, awarded as
Advanced Unit by CPC Jinan Municipal Committee and Jinan Municipal People’s
Government for successive years and listed as Jinan’s Top 50 Industrial
Enterprises as well as Jinan’s Top 10 Private Enterprises.
Registration no.: 370126000000176
Legal rep.: Li Handian
Web: http://www.hongyegroup.cn
E-mail: qlhyjt@hongyegroup.cn
Tel: 86-531-84885896/84817688
Fax: 86-531-84880469/84817166
Add: No. 26, Shangzhong Road, Shanghe
County, Ji’nan, Shandong Province
l
Legal Representative and Chairman:
Mr. Li Xibo is currently
responsible for the overall management of SC.
Working Experience(s):
At present Working in SC as legal representative and
chairman.
l General Manager:
Mr. Zhang
Wenkui is currently responsible
for the daily management of SC.
Working Experience(s):
At present Working
in SC as general manager.
l Directors:
Su Jiandong
Wang Weidong
Wang Xingzhong
l Supervisors:
Liu Sisheng
Shang Youcai
Lu Limin
SC is mainly
engaged in processing cotton and chemical fiber spinning, and selling textile
products.
SC’s products mainly
include: textile products.
SC sources its
materials 50% from domestic market, and 50% from the overseas market. SC sells
100% of its products to the overseas market.
The buying terms of SC include Check, T/T, L/C and Credit of 30-60 days.
The payment terms of SC include L/C and Credit of 30-60 days.
Note: SC refused to release its major
clients and suppliers.
Shandong Hongye Textile Co., Ltd.
=========================
Registration
no.: 370000018060946
Legal
representative: Li Handian
Legal
form: Shares Limited Co.
Ji’nan Hongye Textile Co., Ltd.
=======================
Registration
no.: 370126200006926
Legal
representative: Li Handian
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 management declined to release the bank information of SC.
SC’s management declined to release any financial information.
SC is considered medium-sized in its line with a development history of
4 years.
FOREIGN EXCHANGE RATES
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Currency |
Unit
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Indian Rupees |
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US Dollar |
1 |
Rs.52.97 |
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1 |
Rs.83.17 |
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Euro |
1 |
Rs.72.20 |
INFORMATION DETAILS
|
Report
Prepared by : |
PRL |
RATING EXPLANATIONS
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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>86 |
Aaa |
Possesses an extremely sound financial base with the strongest
capability for timely payment of interest and principal sums |
Unlimited |
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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 |
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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 |
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41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
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26-40 |
B |
Capability to overcome financial difficulties seems comparatively below
average. |
Small |
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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 |
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<10 |
C |
Absolute credit risk exists. Caution needed to be exercised |
Credit not
recommended |
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NB |
New Business |
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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.