MIRA INFORM REPORT

 

 

Report Date :

06.02.2013

 

IDENTIFICATION DETAILS

 

Name :

KURABO  INDUSTRIES  LTD.

 

 

Formerly Known As :

KURASHIKI BOSEKI KABUSHIKI KAISHA

 

 

Registered Office :

Unit 1305-1307, 13/F., Laws Commercial Plaza, 788 Cheung Sha Wan Road, Kowloon

 

 

Country :

Hong Kong

 

 

Date of Incorporation :

05.09.1988.

 

 

Legal Form :

Non-Hong Kong Company

 

 

Line of Business :

Marketing Office like all kinds of textile fabrics, garments, chemicals, etc

 

 

No. of Employees :

15.  (Hong Kong Branch)

 

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 :

Good

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 – June 30th, 2012

 

Country Name

Previous Rating

(31.03.2011)

Current Rating

(30.06.2012)

Hong Kong

A2

A2

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 

HONG KONG - ECONOMIC OVERVIEW

 

Hong Kong has a free market economy, highly dependent on international trade and finance - the value of goods and services trade, including the sizable share of re-exports, is about four times GDP. Hong Kong's open economy left it exposed to the global economic slowdown that began in 2008. Although increasing integration with China, through trade, tourism, and financial links, helped it to make an initial recovery more quickly than many observers anticipated, it again faces a possible slowdown as exports to the Euro zone and US slump. The Hong Kong government is promoting the Special Administrative Region (SAR) as the site for Chinese renminbi (RMB) internationalization. Hong Kong residents are allowed to establish RMB-denominated savings accounts; RMB-denominated corporate and Chinese government bonds have been issued in Hong Kong; and RMB trade settlement is allowed. The territory far exceeded the RMB conversion quota set by Beijing for trade settlements in 2010 due to the growth of earnings from exports to the mainland. RMB deposits grew to roughly 7.8% of total system deposits in Hong Kong by the end of 2011, an increase of over 59% since the beginning of the year. The government is pursuing efforts to introduce additional use of RMB in Hong Kong financial markets and is seeking to expand the RMB quota. The mainland has long been Hong Kong's largest trading partner, accounting for about half of Hong Kong's exports by value. Hong Kong's natural resources are limited, and food and raw materials must be imported. As a result of China's easing of travel restrictions, the number of mainland tourists to the territory has surged from 4.5 million in 2001 to 28 million in 2011, outnumbering visitors from all other countries combined. Hong Kong has also established itself as the premier stock market for Chinese firms seeking to list abroad. In 2011 mainland Chinese companies constituted about 43% of the firms listed on the Hong Kong Stock Exchange and accounted for about 56% of the Exchange's market capitalization. During the past decade, as Hong Kong's manufacturing industry moved to the mainland, its service industry has grown rapidly. Growth slowed to 5% in 2011. Credit expansion and tight housing supply conditions caused Hong Kong property prices to rise rapidly in 2010 and inflation to rise 5.3% in 2011. Lower and middle income segments of the population are increasingly unable to afford adequate housing. Hong Kong continues to link its currency closely to the US dollar, maintaining an arrangement established in 1983.

Source : CIA


Company name and address

 

KURABO  INDUSTRIES  LTD.

(Also known as KURASHIKI BOSEKI KABUSHIKI KAISHA)

(Incorporated in Japan)

 

 

Address:           Unit 1305-1307, 13/F., Laws Commercial Plaza,

                        788 Cheung Sha Wan Road,

                        Kowloon, Hong Kong.

 

PHONE:                        2730 2672

 

FAX:                 2730 9314

 

E-MAIL:                        keihi_moriyama@kurabo.com.hk

 

 

MANAGEMENT

 

President:  Mr. Akihiro Inoue

 

 

SUMMARY

 

Incorporated in Japan on:            9th March, 1888.

 

Registered in Hong Kong on:        5th September, 1988.

 

Organization:                             Public Listed Company.

(Registered locally as a Non-Hong Kong Company)

 

Capital Stock:                            ¥22,040 million

 

Business Category:                    Marketing Office.

 

Group Net Sales:                       ¥159,081 million  (Year ended 31-03-2012)

 

Employees:                               15.  (Hong Kong Branch)

 

Main Dealing Banker:                 Mizuho Corporate Bank Ltd., Hong Kong Branch.

 

Banking Relation:                       Good.


ADDRESS

 

Registered Head Office:-

4-31, 2-Chome, Kyutaro-Machi, Chuo-Ku, Osaka 541-8581, Japan.

[Tel: 06-6266-5111;  Fax: 06-6266-5555]

 

Hong Kong Principal Place of Business:-

Unit 1305-1307, 13/F., Laws Commercial Plaza, 788 Cheung Sha Wan Road, Kowloon, Hong Kong.

 

Tokyo Branch:-

NOF Nihonbashi-honcho Building, 2F, 7-1, 2-chome, Nihonbashi‑honcho, Chuo-ku, Tokyo 103-0023, Japan.

[Tel: 03-3639-7001;  Fax: 03-3639-7004]

 

Associated/Affiliated Companies:-

Kurabo Group of Companies

Aramis Co. Ltd., Japan.

Aramis International Co. Ltd., Japan.

Chugoku Kasei Kogyo Co. Ltd., Japan.

Guangzhou Kurabo Chemicals Co. Ltd., China.

Japan Jiffy Foods Inc., Japan.

K.M.E. Garments Co. Ltd., Thailand.

Koei Shoji Co. Ltd., Japan.

Kurabo Denim (HK) Ltd., Hong Kong.

Kurabo Denim (Zhuhai) Co. Ltd., China.

Kurabo Driving School Co. Ltd., Japan.

Kurabo Engineering Work ECHO Giken Co. Ltd., Japan.

Kurabo International Co. Ltd., Japan.

Kurabo Kansai Kasei Co. Ltd., Japan.

Kurabo Shanghai Co. Ltd., China.

Kurabo Techno System Ltd., Japan.

Kuraki America Corporation, US.

Kuraki Co. Ltd., Japan.

Kuraki Shanghai Co. Ltd., China.

Kuraki Taiwan Co. Ltd., Taiwan.

Kurashiki Chemical Products Do Brasil Ltda., Brazil.

Kurashiki Do Brasil Textil Ltda, Brazil.

Kurashiki Ivy Square Ltd., Japan.

Kurashiki Textile Manufacturing Co. Ltd., Japan.

MK Apparels Ltd., Bangladeesh.

P.T. Akurabenitama, Indonesia.

P.T. Kurabo Manunggal Textile Industries, Indonesia.

Sheedom Co. Ltd., Japan.

Siam Kurabo Co. Ltd., Thailand.

Taisho Spinning Co. Ltd., Japan.

Thai Kurabo Co. Ltd., Thailand.

Thai Textile Development & Finishing Co. Ltd., Thailand.

Tomei Kasei Co. Ltd., Japan.

Tongxiang Kurabo Fashion Co. Ltd., China.

etc.

 

SECURITIES CODE

 

3106

 

 

COMPANY FILE NUMBER 

 

F0004145

 

 

CAPITAL STOCK 

 

¥22,040 million

 

 

MANAGEMENT

 

President:  Mr. Akihiro Inoue

 

 

AUTHORISED REPRESENTATIVES IN HONG KONG

(As per registry dated 05-09-2012)

 

Name

Address

Kenshi KAWANO

Unit 1305-1307, 13/F., Laws Commercial Plaza, 788 Cheung Wan Road, Kowloon, Hong Kong.

 

 

DIRECTORS  

(As per registry dated 05-09-2012)

 

Name

(Nationality)

 

Address

Norio ITO

4-31, 2-Chome, Kyutaro-Machi, Chuo-Ku, Osaka, 541‑8581, Japan.

 

Toshiaki SAITO

4-31, 2-Chome, Kyutaro-Machi, Chuo-Ku, Osaka, 541‑8581, Japan.

 

Haruo KITAGAWA

4-31, 2-Chome, Kyutaro-Machi, Chuo-Ku, Osaka, 541‑8581, Japan.

 

Haruya FUJITA

4-31, 2-Chome, Kyutaro-Machi, Chuo-Ku, Osaka, 541‑8581, Japan.

 

Shinichiro TOMOBUCHI

4-31, 2-Chome, Kyutaro-Machi, Chuo-Ku, Osaka, 541‑8581, Japan.

 

Akihiro INOUE

4-31, 2-Chome, Kyutaro-Machi, Chuo-Ku, Osaka, 541‑8581, Japan.

 

 

SECRETARY

(As per registry dated 05-09-2012)

 

Name

Address

Co. No.

Hojin SEC Ltd.

Room 301, 3/F., Sun Hung Kai Centre, 30 Harbour Road, Wanchai, Hong Kong.

0612527

 

 

HISTORY

 

The subject was incorporated in Japan on 9th March, 1888 as a public listed company and has established a principal place of business in Hong Kong on 5th September, 1988 as a non-Hong Kong company.

Its shares are listed on the 1st Section of Stock Exchanges in Tokyo and Osaka respectively in May 1949.

Formerly the subject was located at Room 1609, 16/F., World Finance Centre, South Tower, Harbour City, Canton Road, Tsimshatsui, Kowloon, Hong Kong.  Moved to Room 1614-1615, 16/F. of the same building in March 1997.

The subject moved to the present address in January 2010.

Apart from these, neither material change nor amendment has been ever traced and noted.

 

 

OPERATIONS

 

Activities:                      Marketing Office.

 

Lines:                           All kinds of textile fabrics, garments, chemicals, etc.

 

Employees:                     15.  (Hong Kong Branch)

5,036.  (Group – as of 31-03-2012)

 

Commodities Handled:   Mainly arranged from Japan.

 

Markets:                       Hong Kong, Japan and other Southeast Asian countries.

 

Group Net Sales:           ¥165,538 million  (Year ended 31-03-2008)

¥158,118 million  (Year ended 31-03-2009)

¥134,262 million  (Year ended 31-03-2010)

¥145,177 million  (Year ended 31-03-2011)

¥159,081 million  (Year ended 31-03-2012)

 

Terms/Sales:                 Various terms (mostly through Japanese trading houses).

 

Terms/Buying:               As per contracted (mostly through Japanese trading houses).

 

 

FINANCIAL INFORMATION

 

Capital Stock:                             ¥22,040 million

 

Group Net Income/(Loss):           ¥3,594 million  (Year ended 31-03-2008)

(¥6,775 million) (Year ended 31-03-2009)

¥5,471 million  (Year ended 31-03-2010)

¥4,897 million  (Year ended 31-03-2011)

¥2,716 million  (Year ended 31-03-2012)

 

Group Net Assets:                     ¥94,311 million  (Year ended 31-03-2008)

¥74,695 million  (Year ended 31-03-2009)

¥82,416 million  (Year ended 31-03-2010)

¥80,965 million  (Year ended 31-03-2011)

¥82,414 million  (Year ended 31-03-2012)

 

Profit & Loss:                            Group business is profitable in the past three years.

 

Condition:                                  Keeping in an active manner.

 

Facilities:                                  Making use of general banking facilities.

 

Payment:                                  Met as contracted.

 

Commercial Morality:                 Good.

 

Banker: The Bank of Tokyo-Mitsubishi Ltd., Hong Kong Branch.

Mizuho Corporate Bank Ltd., Hong Kong Branch.

 

Standing:                                  Good.

 

 

GENERAL

 

Kurabo Industries Ltd., also known as Kurashiki Boseki Kabushiki Kaisha, is a Hong Kong branch office of Kurabo Industries Ltd. [Kurabo] which is a leading Japanese spinning company in Japan.

Based in Osaka, Japan, Kurabo was founded more than 117 years ago.  Its basic technologies in spinning, dying and processing have served as the cornerstone for its current expansions into various fields, and its Cotton and Synthetic Textile Division continues to play a pivotal role in the company.

Presently, the principal activities of the head office in Japan are the followings:-

·         Textiles:  Manufacture and sale of textile products of cotton, synthetic, wool and other materials (yarns, fabrics, knits, and made-up good), including non-wovens, and reinforcement netting.  Dyeing, treatment, and finishing of cotton and synthetic woven and kitted fabrics.

·         Chemical Products:  Manufacture, process, and sale pf polyurethane foam, synthetic woods, inorganic building materials, functional films, high performance engineering plastics, and precision filtration equipment and system and related products.

·         Real Estate Utilization:  Lease of real estate. Operation of parking lot, hotel, and driving school, etc.

·         Machine Tools:  Manufacture and sale of machine tools, industrial machines.

·         Electronics:  Manufacture, sale and maintenance of information system and equipment for colour control, production control, and of CAD systems.

·         Others:  Design, manufacture, and supply of plants, equipment, and machines for environmental production, and industrial and household waste recycling.  Manufacture and sale of biomedical and its related products, freeze-dry lyophilised foods.

The subject was engaged in promotion of sales as well as offering clients with after services.  Most of the sales is through local Japanese trading houses.  Business commenced in 1992 and now has had local and Japanese staff, the subject trades in different types of commodities.

For the year ended 31st March, 2012, the Group’s turnover was ¥159,081 million, grew by 9.6% as compared with ¥145,177 million in FY 2011.

The capital of Kurabo was ¥22,040 million.  As at 31st March, 2012, the Group has 5,036 employees.

The subject is fully supported by the Group’s Japan Head Office.

On the whole, consider the subject good for normal business engagements.

 


 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.53.29

UK Pound

1

Rs.83.96

Euro

1

Rs.71.88

 

 

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.