MIRA INFORM REPORT

 

 

Report Date :

19.02.2013

 

IDENTIFICATION DETAILS

 

Name :

BAHRU STAINLESS SDN BHD

 

 

Registered Office :

Suite 3.6, Menara Pelangi, 2, Jalan Kuning, Taman Pelangi, Level 3, 80400 Johor Bahru, Johor

 

 

Country :

Malaysia

 

 

Financials (as on) :

31.12.2010

 

 

Date of Incorporation :

27.03.2008

 

 

Com. Reg. No.:

811430-h

 

 

Legal Form :

Private Limited Company

 

 

Line of Business :

Manufacturing of stainless steel

 

 

No. of Employees :

100 [2012]

 

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 – June 30th, 2012

 

Country Name

Previous Rating

(31.03.2012)

Current Rating

(30.06.2012)

Malaysia

A1

A1

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 

malaysia - ECONOMIC OVERVIEW

 

Malaysia, a middle-income country, has transformed itself since the 1970s from a producer of raw materials into an emerging multi-sector economy. Under current Prime Minister NAJIB, Malaysia is attempting to achieve high-income status by 2020 and to move farther up the value-added production chain by attracting investments in Islamic finance, high technology industries, biotechnology, and services. The NAJIB administration also is continuing efforts to boost domestic demand and reduce the economy's dependence on exports. Nevertheless, exports - particularly of electronics, oil and gas, palm oil and rubber - remain a significant driver of the economy. As an oil and gas exporter, Malaysia has profited from higher world energy prices, although the rising cost of domestic gasoline and diesel fuel, combined with strained government finances, has forced Kuala Lumpur to begin to reduce government subsidies. The government is also trying to lessen its dependence on state oil producer Petronas. The oil and gas sector supplies more than 40% of government revenue. The central bank maintains healthy foreign exchange reserves, and a well-developed regulatory regime has limited Malaysia''s exposure to riskier financial instruments and the global financial crisis. Nevertheless, Malaysia could be vulnerable to a fall in commodity prices or a general slowdown in global economic activity because exports are a major component of GDP. In order to attract increased investment, NAJIB has raised possible revisions to the special economic and social preferences accorded to ethnic Malays under the New Economic Policy of 1970, but he has encountered significant opposition, especially from Malay nationalists and other vested interests.

Source : CIA

 

* Adopted abbreviations :

SC - Subject Company (the company enquired by you)

 

 

N/A - Not Applicable

 

 

EXECUTIVE SUMMARY

 

 

REGISTRATION NO.

:

811430-H

COMPANY NAME

:

BAHRU STAINLESS SDN BHD

FORMER NAME

:

N/A

INCORPORATION DATE

:

27/03/2008

 

 

 

 

 

 

COMPANY STATUS

:

EXIST

LEGAL FORM

:

PRIVATE LIMITED

LISTED STATUS

:

NO

 

 

 

 

 

 

REGISTERED ADDRESS

:

SUITE 3.6, MENARA PELANGI, 2, JALAN KUNING, TAMAN PELANGI, LEVEL 3, 80400 JOHOR BAHRU, JOHOR, MALAYSIA.

BUSINESS ADDRESS

:

PTD 4069 (PLO 108) JALAN RUMBIA 4 TANJUNG LANGSAT INDUSTRIAL COMPLEX, 81700 PASIR GUDANG, JOHOR, MALAYSIA.

TEL.NO.

:

07-2546440

FAX.NO.

:

07-2546441

CONTACT PERSON

:

LUCIEN ( MANAGING DIRECTOR )

 

 

 

INDUSTRY CODE

:

27100

PRINCIPAL ACTIVITY

:

MANUFACTURING OF STAINLESS STEEL

AUTHORISED CAPITAL

:

MYR 1,151,600,000.00 DIVIDED INTO 
ORDINARY SHARE 1,151,600.00 OF MYR 1,000.00 EACH.

ISSUED AND PAID UP CAPITAL

:

MYR 1,151,600,000.00 DIVIDED INTO 
ORDINARY SHARES 1,135,600 CASH AND 16,000 OTHERWISE OF MYR 1,000.00 EACH.

 

 

 

SALES

:

N/A

NET WORTH

:

MYR 658,948,000 [2010]

 

 

 

STAFF STRENGTH

:

100 [2012]

BANKER (S)

:

MALAYAN BANKING BHD

LITIGATION

:

CLEAR

DEFAULTER CHECK

:

CLEAR

FINANCIAL CONDITION

:

N/A

PAYMENT

:

N/A

MANAGEMENT CAPABILITY

:

AVERAGE

 

 

 

COMMERCIAL RISK

:

LOW

CURRENCY EXPOSURE

:

MODERATE

GENERAL REPUTATION

:

SATISFACTORY

INDUSTRY OUTLOOK

:

AVERAGE GROWTH

 

 

HISTORY / BACKGROUND

 

The SC is a private limited company and is allowed to have a minimum of one and a maximum of forty-nine shareholders. As a private limited company, the SC must have at least two directors. A private limited company is a separate legal entity from its shareholders. As a separate legal entity, the SC is capable of owning assets, entering into contracts, sue or be sued by other companies. The liabilities of the shareholders are to the extent of the equity they have taken up and the creditors cannot claim on shareholders' personal assets even if the SC is insolvent. The SC is governed by the Companies Act, 1965 and the company must file its annual returns, together with its financial statements with the Registrar of Companies.

 

The SC is principally engaged in the (as a / as an) manufacturing of stainless steel.

 

The SC is not listed on Bursa Malaysia (Malaysia Stock Exchange).

 

The immediate and ultimate holding company of the SC is ACERINOX S A, a company incorporated in SPAIN.

 

The major shareholder(s) of the SC are shown as follows :

Name

Address

IC/PP/Loc No

Shareholding

(%)

ACERINOX S A

SANTIAGO DE COMPOSTELA, 100, 28035, MADRID, SPAIN.

28250777

771,572.00

67.00

NISSHIN STEEL CO LTD

4-1, MARUNOUCHI 3-CHOME, CHIYODA-KU, 100-8366, JAPAN.

 

345,480.00

30.00

METAL ONE CORPORATION

CELESTINE SHIBA MITSUI BUILDING, 3-23-1 SHIBA, MINATO-KU, 105-0014, TOKYO, JAPAN.

 

34,548.00

3.00

 

 

 

---------------

------

 

 

 

1,151,600.00

100.00

 

 

 

============

=====

 

+ Also Director

DIRECTORS

 

DIRECTOR 1

 

Name Of Subject

:

LUIS GIMENO VALLEDOR

Address

:

C/ ALIMOCHE, LAS ROZAS, 28230, MADRID, SPAIN.

IC / PP No

:

BE733210

 

 

 

Date of Birth

:

07/07/1960

 

 

 

Nationality

:

SPANISH

Date of Appointment

:

02/12/2010

 

 

 

 

 

 

 

 

 

 

 

 

 

DIRECTOR 2

 

Name Of Subject

:

BENARDO VELAZQUEZ HERREROS

Address

:

C/ RAFAEL VILLA, 34, (EL PLANTIO), 28023, MADRID, SPAIN.

IC / PP No

:

BE732618

 

 

 

Date of Birth

:

13/04/1964

 

 

 

Nationality

:

SPANIARD

Date of Appointment

:

07/04/2009

 

 

 

 

 

 

 

 

 

 

 

 

 

DIRECTOR 3

 

Name Of Subject

:

MR. RAMOS FLORES BENJAMIN

Address

:

19-B, JALAN STULANG DARAT, 80300 JOHOR BAHRU, JOHOR, MALAYSIA.

IC / PP No

:

XD567791

 

 

 

Date of Birth

:

07/07/1964

 

 

 

Nationality

:

SPANISH

Date of Appointment

:

27/03/2008

Remark

:

OLD PP: PESPXD426467

 

 

 

 

 

 

 

 

 

 

DIRECTOR 4

 

Name Of Subject

:

HIROYUKI MIZUMOTO

Address

:

262-5-209, KARIYADO, NAKAHARA-KU, KAWASAKI-SI, KANAGAWA-KEN, JAPAN.

IC / PP No

:

MR8035895

 

 

 

Date of Birth

:

18/02/1959

 

 

 

Nationality

:

JAPANESE

Date of Appointment

:

16/04/2009

 

 

 

 

 

 

 

 

 

 

 

 

 

DIRECTOR 5

 

Name Of Subject

:

KOJI MIZUMOTO

Address

:

SHIN KOKUSAI BUILDING 4-1, MARUNOUCHI 3 CHOME CHIYODA-KU 100-8366, TOKYO, JAPAN.

IC / PP No

:

TG1955948

 

 

 

Date of Birth

:

03/11/1954

 

 

 

Nationality

:

JAPANESE

Date of Appointment

:

16/06/2011

 

 

 

 

 

 

 

 

 

 

 

 

 

DIRECTOR 6

 

Name Of Subject

:

LUCIEN MAURICE MATTHEWS

Address

:

170, JALAN MOLEK 2/17, TAMAN MOLEK, 81100 JOHOR BAHRU, JOHOR, MALAYSIA.

IC / PP No

:

478176551

 

 

 

Date of Birth

:

08/07/1959

 

 

 

 

 

 

Date of Appointment

:

18/11/2011

 

 

 

 

 

 

 

 

 

 

 

 



MANAGEMENT

 

 

 

1)

Name of Subject

:

LUCIEN

 

Position

:

MANAGING DIRECTOR

 

 

 

AUDITOR

 

Auditor

:

KPMG

Auditor' Address

:

KPMG TOWER, 8 FIRST AVENUE, BANDAR UTAMA, 47800 PETALING JAYA, SELANGOR, MALAYSIA.

 

 

 

 

 

 

COMPANY SECRETARIES

 

1)

Company Secretary

:

MS. JERRY YIN WA

 

IC / PP No

:

A0397689

 

New IC No

:

660629-01-5634

 

Address

:

20, JALAN MOLEK 3/16, TAMAN MOLEK, 81100 JOHOR BAHRU, JOHOR, MALAYSIA.

 

 

 

 

 

 

 

 

 

 

 

BANKING


Banking relations are maintained principally with :

1)

Name

:

MALAYAN BANKING BHD

 

 

 

 

 

The SC enjoys normal banking routine with above mentioned banker(s). No adverse record was found during our investigation.

 

 

ENCUMBRANCE (S)


No encumbrance was found in our databank at the time of investigation. 

 

LEGAL CHECK AGAINST SC


* A check has been conducted in our databank againt the SC whether the subject has been involved in any litigation. Our databank consists of 99% of the wound up companies in Malaysia.

No legal action was found in our databank. 

No winding up petition was found in our databank. 


DEFAULTER CHECK AGAINST SC


* We have checked through the SC in our defaulters' database which comprised of debtors that have been blacklisted by our customers and debtors that have been placed or assigned to us for collection since 1990. Information was provided by third party where the debt amount can be disputed. Please check with creditors for confirmation as alleged debts may have been paid since recorded or are being disputed. 

No blacklisted record & debt collection case was found in our defaulters' databank. 


PAYMENT RECORD

 

 

SOURCES OF RAW MATERIALS:

Local

:

N/A

Overseas

:

N/A

 

 

 


The SC refused to disclose its suppliers. 


CLIENTELE

 

Local

:

YES

Domestic Markets

:

MALAYSIA

Overseas

:

YES

 

 

 

Export Market

:

ASIA

Credit Term

:

AS AGREED

 

 

 

 

 

 

Payment Mode

:

CHEQUES,TELEGRAPHIC TRANSFER (TT)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

OPERATIONS

 

Products manufactured

:

STAINLESS STEEL

 

 

 

Competitor(s)

:

KINSTEEL BHD
LION CORPORATION BHD
LION INDUSTRIES CORPORATION BHD
MEGASTEEL SDN BHD
PERWAJA STEEL SDN BHD

 

 

 

 

 

 

 

 

 

Total Number of Employees:

 

YEAR

2012

2011

2010

2009

 

 

 

 

 

 

GROUP

N/A

N/A

N/A

N/A

 

 

 

 

 

COMPANY

100

150

80

6

 

 

 

 

 

 

Branch

:

NO

 

 

Other Information:


The SC is principally engaged in the (as a / as an) manufacturing of stainless steel.

We were informed that the SC started its production in December 2010.

The SC mainly focuses on cold rolled stainless steel sheets and other metal product and hardware.

The SC utilizes advanced automated and semi automated machineries to ensure production of high quality products.



PROJECTS


No projects found in our databank 


RECENT DEVELOPMENT


4 Sep 2012

KUB (M) Bhd's unit KUB Power Sdn Bhd has accepted a contract award from Bahru Stainless Sdn Bhd for a project worth RM33.9 million.

In a filing to Bursa Malaysia today, KUB said the project to "Supply, Install, Lay, Erect, Test and Commission A 275V Outdoor Conventional Single Busbar Electrical System" is at the stainless steel integrated plant in Tanjung Langsat, Pasir Gudang, Johor.

"The contract tenure is for a period of 365 days," it said, adding it will contribute positively to the group‘s earnings and earnings per share of KUB Group for the financial year ending Dec 31, 2012.


CURRENT INVESTIGATION

Latest fresh investigations carried out on the SC indicated that :

Telephone Number Provided By Client

:

072546440

Current Telephone Number

:

07-2546440

Match

:

YES

 

 

 

Address Provided by Client

:

PTD 4069 (PLO 108) JALAN RUMBIA 4 TANJUNG LANGSAT INDUSTRIAL COMPLEX,81700,PASIR GUDANG,JOHOR.

Current Address

:

PTD 4069 (PLO 108) JALAN RUMBIA 4 TANJUNG LANGSAT INDUSTRIAL COMPLEX, 81700 PASIR GUDANG, JOHOR, MALAYSIA.

Match

:

YES

 

 

 

Latest Financial Accounts

:

YES

 

Other Investigations

we contacted one of the staff from the Senior staff from the SC and she provided some information on the SC.

FINANCIAL ANALYSIS

 

 

The SC's turnover was nil during the year indicate that it was inactive. As a result, we are unable to comment on its financial performance.

 

The subject company turnover figures for 2010 is nil which indicated it is inactive during 2010. However, the subject company has started its operation in 2011.

 

 

 

 

 

 

 

 

Overall financial condition of the SC : N/A

 

 

 

MALAYSIA ECONOMIC / INDUSTRY OUTLOOK

 

Major Economic Indicators:

2008

2009

2010

2011*

2012**

 

 

 

 

 

 

Population ( Million)

27.73

28.13

28.35

28.70

29.10

Gross Domestic Products ( % )

4.6

<0.5>

7.2

5.5

5.3

Domestic Demand ( % )

6.9

2.9

6.3

4.8

7.6

Private Expenditure ( % )

7.1

<2.7>

8.1

7.0

8.7

Consumption ( % )

8.4

0.7

6.7

6.3

7.1

Investment ( % )

1.5

<17.2>

17.7

16.2

15.9

Public Expenditure ( % )

6.5

5.2

3.8

7.6

4.7

Consumption ( % )

11.6

3.1

0.2

8.9

3.0

Investment ( % )

0.7

8.0

2.8

0.6

7.0

 

 

 

 

 

 

Balance of Trade ( MYR Million )

129,563

89,650

118,356

116,058

-

Government Finance ( MYR Million )

<34,462>

<28,450>

<40,482>

<45,511>

<43,021>

Government Finance to GDP / Fiscal Deficit ( % )

<4.8>

<4.8>

<5.6>

<5.4>

<4.7>

Inflation ( % Change in Composite CPI)

<3.3>

<5.2>

5.1

3.1

-

Unemployment Rate

3.7

4.5

3.9

3.3

-

 

 

 

 

 

 

Net International Reserves ( MYR Billion )

388

331

329

415

-

Average Risk-Weighted Capital Adequacy Ratio ( % )

1.91

2.87

2.20

3.50

-

Average 3 Months of Non-performing Loans ( % )

13.24

11.08

15.30

14.80

-

Average Base Lending Rate ( % )

6.72

5.53

6.30

6.60

-

Business Loans Disbursed( % )

11.6

10.5

14.7

15.3

-

Foreign Investment ( MYR Million )

23,261.4

22,156.8

22,517.9

23,546.1

-

Consumer Loans ( % )

-

-

-

-

-

 

 

 

 

 

 

Registration of New Companies ( No. )

41,599

41,578

44,148

-

-

Registration of New Companies ( % )

<4.0>

<0.1>

6.2

-

-

Liquidation of Companies ( No. )

27,992

39,075

25,585

-

-

Liquidation of Companies ( % )

23.7

39.6

<34.5>

-

-

 

 

 

 

 

 

Registration of New Business ( No. )

269,866

312,581

271,414

-

-

Registration of New Business ( % )

-

-

-

-

-

Business Dissolved ( No. )

18,885

19,345

19,738

-

-

Business Dissolved ( % )

<7.6>

2.4

2.0

-

-

 

 

 

 

 

 

Sales of New Passenger Cars (' 000 Unit )

497.5

486.3

543.6

363.0

-

Cellular Phone Subscribers ( Million )

25.1

30.1

32.8

35.3

-

Tourist Arrival ( Million Persons )

21.5

23.6

24.6

25.3

-

Hotel Occupancy Rate ( % )

68.0

58.0

63.0

51.3

-

 

 

 

 

 

 

Credit Cards Spending ( % )

17.1

12.8

14.1

15.6

-

Bad Cheque Offenders (No.)

34,834

36,667

33,568

27,208

-

Individual Bankruptcy ( No.)

13,907

16,228

18,119

16,155

-

Individual Bankruptcy ( % )

5.1

16.7

11.7

<10.8>

-



INDUSTRIES ( % of Growth ):

2008

2009

2010

2011*

2012**

 

 

 

 

 

 

Agriculture

3.6

0.4

2.1

4.7

4.1

Palm Oil

7.0

<1.1>

<3.4>

7.3

-

Rubber

<1.1>

<19.8>

9.9

6.4

-

Forestry & Logging

<1.5>

<5.9>

<3.3>

<4.7>

-

Fishing

4.0

5.5

5.6

2.8

-

Other Agriculture

5.9

9.0

7.9

8.5

-

Industry Non-Performing Loans ( MYR Million )

393.0

413.7

508.4

634.1

-

% of Industry Non-Performing Loans

<2.0>

1.3

2.1

3.2

-

 

 

 

 

 

 

Mining

<0.8>

<3.8>

0.2

<2.4>

2.5

Oil & Gas

12.7

2.1

0.5

<1.7>

-

Other Mining

-

-

-

-

-

Industry Non-performing Loans ( MYR Million )

36.0

44.2

49.7

46.5

-

% of Industry Non-performing Loans

0.1

0.1

0.1

0.1

-

 

 

 

 

 

 

Manufacturing #

1.3

<9.4>

11.4

5.6

4.5

Exported-oriented Industries

2.7

<19.0>

12.1

2.8

-

Electrical & Electronics

2.4

<30.3>

28.4

<4.9>

-

Rubber Products

4.2

<10.1>

25.3

15.4

-

Wood Products

<6.0>

<24.1>

20.1

<7.3>

-

Textiles & Apparel

1.9

<19.5>

<0.4>

14.8

-

Domestic-oriented Industries

9.9

<9.8>

16.3

6.3

-

Food, Beverages & Tobacco

9.5

0.2

3.0

4.2

-

Chemical & Chemical Products

1.4

<7.7>

16.2

5.6

-

Plastic Products

6.5

<9.1>

2.4

3.8

-

Iron & Steel

16.8

<32.7>

29.3

2.4

-

Fabricated Metal Products

14.7

<2.5>

14.9

25.2

-

Non-metallic Mineral

8.3

<15.5>

20.2

16.3

-

Transport Equipment

27.1

<13.5>

36.5

<9.4>

-

Paper & Paper Products

8.6

<5.0>

18.7

15.6

-

Crude Oil Refineries

7.8

0.2

<11.4>

9.3

-

Industry Non-Performing Loans ( MYR Million )

5,729.4

6,007.3

6,217.5

6,537.2

-

% of Industry Non-Performing Loans

16.8

18.3

23.8

25.7

-

 

 

 

 

 

 

Construction

2.1

5.8

5.1

4.4

7.0

Industry Non-Performing Loans ( MYR Million )

4,149.8

3,241.8

4,038.5

3,856.9

-

% of Industry Non-Performing Loans

12.2

9.9

10.7

10.2

-

 

 

 

 

 

 

Services

7.3

2.6

6.5

6.4

6.5

Electric, Gas & Water

5.0

0.4

8.5

5.6

4.8

Transport, Storage & Communication

7.8

1.6

7.7

6.5

7.3

Wholesale, Retail, Hotel & Restaurant

10.0

2.8

4.7

5.2

6.9

Finance, Insurance & Real Estate

9.2

3.8

6.1

6.3

6.5

Government Services

8.6

2.0

6.7

7.6

5.6

Other Services

5.9

4.4

4.2

5.4

5.7

Industry Non-Performing Loans ( MYR Million )

8,281.4

6,631.3

7,384.6

6,825.2

-

% of Industry Non-Performing Loans

24.3

20.2

25.7

23.4

-

 

 

 

 

 

 

 

 

 

 

 

 

* Estimate / Preliminary

 

 

 

 

 

** Forecast

 

 

 

 

 

# Based On Manufacturing Production Index 
(Source : Department of Statistics / Economic Report / Bank Negara Report)



INDUSTRY ANALYSIS

 

MSIC CODE

27100 : Manufacture of basic iron and steel products

 

 

INDUSTRY :

MANUFACTURING

 

 

 


The manufacturing sector is expected to be driven by higher value-added activities in Malaysia.The GDP growth for first quarter 2012 indicating manufacturing maintain its growth of 4.5%, similar to year 2011.Malaysia recorded a 12% jump in approved investments in the manufacturing sector in the first quarter of 2012 compared with the corresponding period 2011. According to Federation of Malaysian Manufacturers (FMM), manufacturing sector expected to improve in the third quarter 2012 despite concerns over external developments and the rising cost of production.


The rubber products sub-sector is expected to remain resilient supported by continuous improvements in medical and healthcare standards in emerging markets as well as demand from niche markets such as the oil and gas sector for rubber hoses. Malaysia rubber exports are forecast to grow at 10%, at the end of 2012 driven by global demand for medical gloves as well as rubber tyres and tubes.Rubber glove exports make up 70 % of total rubber shipments in Malaysia due to hospitals and clinics place more intrest on rising health and hygiene awareness.


The Malaysia government has growth target of 6.5% for wood based furniture where estimated to reach up to RM53 billion by year 2020.The government providing pioneer status for tax exemption and investment tax allowance for this industry as a boost up step towards produce good quality product and to meet the world demand.


Chemical production are expected to show 6.2% in year 2012 and 7.5 % in year 2013 inline with Malaysia as one of the largest contributor in world Chemicals & Chemical industries.


According to Malaysian Iron and Steel Industry Federation, first half of 2012 would remain weak for the local steel industry due to eurozone crisis, slowdown in China's economy and less robust construction activities in the developed countries. At first quarter 2012, the average local steel price is trading atRM2,300 per tonne compared with the average international price of US$740 (RM2,331) per tonne.


According to the Department of Statistics, Malaysia during the first quarter 2012, the manufacturing output increased due to activities in major sub-sectors such as petroleum, chemical, rubber and plastic products (10.5 %), and non-metallic mineral products, basic metal and fabricated metal products (3.9 %). Meanwhile, it's also announced that the manufacturing sector's sales grew by 10 % in May 2012 to record RM52.5 billion compared with RM47.7 billion in May 2011. The Industrial Production Index (IPI ) increased 7.6 % in May (2012) due to increases in manufacturing (6.5 %). 


Tax and non-tax incentives provided by goverment encourage manufacturers to move up the value chain of manufacturing industry. The new growth initiatives by goverment in the manufacturing sector such as solar and medial services can be important drivers of growth apart from helping to diversify the manufacturing base and contributing to the resilience of the sector.

 

 

OVERALL INDUSTRY OUTLOOK : Average Growth



CREDIT RISK EVALUATION & RECOMMENDATION

 

 

The SC is a Private Limited company, focusing on manufacturing of stainless steel. Having strong support from its shareholder has enabled the SC to remain competitive despite the challenging business environment. The SC is a large entity with strong capital position. We are confident with the SC's business and its future growth prospect.


Over the years, the SC has penetrated into both the local and overseas market. The SC has positioned itself in the global market and is competing in the industry. Its stable clientele base will enable the SC to further enhance its business in the near term. To date, the SC has a total workforce of 100 employees in its business operations. Overall, we regard that the SC's management capability is average. This indicates that the SC has greater potential to improve its business performance and raising income for the SC.


The SC's turnover figure was nil as it has yet to commence its business operation during the financial year. Hence, we are unable to further comment on the SC's financial health.


The industry shows an upward trend and this trend is very likely to sustain in the near terms. Hence, the SC is expected to benefit from the favourable outlook of the industry.


Based on the above condition, we recommend credit be granted to the SC promptly.



PROFIT AND LOSS ACCOUNT

 

 

THE FINANCIAL STATEMENTS WERE PREPARED IN ACCORDANCE WITH MALAYSIAN FINANCIAL REPORTING STANDARDS(FRS)

BAHRU STAINLESS SDN BHD

 

Financial Year End

31/12/2010

31/12/2009

31/12/2008

Months

12

12

9

Consolidated Account

Company

Company

Company

Audited Account

YES

YES

YES

Unqualified Auditor's Report (Clean Opinion)

YES

YES

YES

Financial Type

FULL

FULL

FULL

Currency

MYR

MYR

MYR

 

 

 

 

TURNOVER

0

0

0

Other Income

21,000

514,000

-

 

----------------

----------------

----------------

Total Turnover

21,000

514,000

-

 

----------------

----------------

----------------

 

 

 

 

PROFIT/(LOSS) FROM OPERATIONS

<16,899,000>

<7,075,000>

<147,644>

 

----------------

----------------

----------------

PROFIT/(LOSS) BEFORE TAXATION

<16,899,000>

<7,075,000>

<147,644>

Taxation

<38,000>

<214,000>

<12,418>

 

----------------

----------------

----------------

PROFIT/(LOSS) AFTER TAXATION

<16,937,000>

<7,289,000>

<160,062>

 

----------------

----------------

----------------

RETAINED PROFIT/(LOSS) BROUGHT FORWARD

 

 

 

As previously reported

<7,449,000>

<160,000>

-

 

----------------

----------------

----------------

As restated

<7,449,000>

<160,000>

-

 

----------------

----------------

----------------

PROFIT AVAILABLE FOR APPROPRIATIONS

<24,386,000>

<7,449,000>

<160,062>

 

----------------

----------------

----------------

RETAINED PROFIT/(LOSS) CARRIED FORWARD

<24,386,000>

<7,449,000>

<160,062>

 

=============

=============

=============

 

 

 

 

 

 

 

BALANCE SHEET

 

 

BAHRU STAINLESS SDN BHD

 

ASSETS EMPLOYED:

 

 

 

FIXED ASSETS

1,145,081,000

516,314,000

2,869,441

 

 

 

 

 

----------------

----------------

----------------

TOTAL LONG TERM ASSETS

1,145,081,000

516,314,000

2,869,441

 

 

 

 

CURRENT ASSETS

 

 

 

Stocks

820,000

-

-

Other debtors, deposits & prepayments

43,033,000

323,000

16,729,759

Short term deposits

236,910,000

50,019,000

-

Amount due from holding company

289,000

132,000

-

Amount due from related companies

221,000

38,000

-

Cash & bank balances

20,717,000

20,706,000

89,856,553

Others

166,000

-

-

 

----------------

----------------

----------------

TOTAL CURRENT ASSETS

302,156,000

71,218,000

106,586,312

 

----------------

----------------

----------------

TOTAL ASSET

1,447,237,000

587,532,000

109,455,753

 

=============

=============

=============

 

 

 

 

CURRENT LIABILITIES

 

 

 

Other creditors & accruals

92,915,000

41,392,000

3,603,397

Amounts owing to holding company

475,581,000

517,000

-

Amounts owing to related companies

5,670,000

1,422,000

-

Provision for taxation

-

50,000

12,418

 

----------------

----------------

----------------

TOTAL CURRENT LIABILITIES

574,166,000

43,381,000

3,615,815

 

----------------

----------------

----------------

NET CURRENT ASSETS/(LIABILITIES)

<272,010,000>

27,837,000

102,970,497

 

----------------

----------------

----------------

TOTAL NET ASSETS

873,071,000

544,151,000

105,839,938

 

=============

=============

=============

 

 

 

 

SHARE CAPITAL

 

 

 

Ordinary share capital

701,600,000

551,600,000

106,000,000

 

----------------

----------------

----------------

TOTAL SHARE CAPITAL

701,600,000

551,600,000

106,000,000

 

 

 

 

RESERVES

 

 

 

Retained profit/(loss) carried forward

<24,386,000>

<7,449,000>

<160,062>

Others

<18,266,000>

-

-

 

----------------

----------------

----------------

TOTAL RESERVES

<42,652,000>

<7,449,000>

<160,062>

 

 

 

 

 

----------------

----------------

----------------

SHAREHOLDERS' FUNDS/EQUITY

658,948,000

544,151,000

105,839,938

 

 

 

 

LONG TERM LIABILITIES

 

 

 

Long term loans

194,386,000

-

-

Others

19,737,000

-

-

 

----------------

----------------

----------------

TOTAL LONG TERM LIABILITIES

214,123,000

-

-

 

----------------

----------------

----------------

 

873,071,000

544,151,000

105,839,938

 

=============

=============

=============

 

 

 

 

 

 

 

FINANCIAL RATIO

 

 

BAHRU STAINLESS SDN BHD

 

TYPES OF FUNDS

 

 

 

Cash

257,627,000

70,725,000

89,856,553

Net Liquid Funds

257,627,000

70,725,000

89,856,553

Net Liquid Assets

<272,830,000>

27,837,000

102,970,497

Net Current Assets/(Liabilities)

<272,010,000>

27,837,000

102,970,497

Net Tangible Assets

873,071,000

544,151,000

105,839,938

Net Monetary Assets

<486,953,000>

27,837,000

102,970,497

BALANCE SHEET ITEMS

 

 

 

Total Borrowings

194,386,000

0

0

Total Liabilities

788,289,000

43,381,000

3,615,815

Total Assets

1,447,237,000

587,532,000

109,455,753

Net Assets

873,071,000

544,151,000

105,839,938

Net Assets Backing

658,948,000

544,151,000

105,839,938

Shareholders' Funds

658,948,000

544,151,000

105,839,938

Total Share Capital

701,600,000

551,600,000

106,000,000

Total Reserves

<42,652,000>

<7,449,000>

<160,062>

LIQUIDITY (Times)

 

 

 

Cash Ratio

0.45

1.63

24.85

Liquid Ratio

0.52

1.64

29.48

Current Ratio

0.53

1.64

29.48

WORKING CAPITAL CONTROL (Days)

 

 

 

Stock Ratio

0

0

0

Debtors Ratio

0

0

0

Creditors Ratio

0

0

0

SOLVENCY RATIOS (Times)

 

 

 

Gearing Ratio

0.29

0.00

0.00

Liabilities Ratio

1.20

0.08

0.03

Times Interest Earned Ratio

0.00

0.00

0.00

Assets Backing Ratio

758.14

472.52

91.91

PERFORMANCE RATIO (%)

 

 

 

Operating Profit Margin

0.00

0.00

0.00

Net Profit Margin

0.00

0.00

0.00

Return On Net Assets

<1.94>

<1.30>

<0.14>

Return On Capital Employed

<1.94>

<1.30>

<0.14>

Return On Shareholders' Funds/Equity

<2.57>

<1.34>

<0.15>

Dividend Pay Out Ratio (Times)

0.00

0.00

0.00

NOTES TO ACCOUNTS

 

 

 

Contingent Liabilities

0

0

0

 

FOREIGN EXCHANGE RATES

 

Currency
Unit

Indian Rupees

US Dollar

1

Rs.54.28

UK Pound

1

Rs.84.09

Euro

1

Rs.72.44

 

INFORMATION DETAILS

 

Report Prepared by :

PDT

 

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.