MIRA INFORM REPORT
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Report Date : |
10.01.2013 |
IDENTIFICATION DETAILS
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Name : |
CMEC
GENERAL MACHINERY IMPORT & EXPORT CO., LTD |
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Registered Office : |
No. 178 Guangmenwai Street,
Xuanwu District Beijing 100055 PR |
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Country : |
China |
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Financials (as on) : |
31.12.2011 |
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Date of Incorporation : |
09.01.1995 |
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Com. Reg. No.: |
110000005036936 |
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Legal Form : |
One-Person Limited Liability Company |
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Line of Business : |
Subject engaged in importing
and exporting mechanical
equipment |
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No. of Employees : |
20 Employees |
RATING & COMMENTS
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MIRA’s Rating : |
Ba |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
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Status : |
Satisfactory |
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Payment Behaviour : |
No Complaints |
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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 (31.03.2012) |
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.
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Source : CIA |
COMPANY NAME & ADDRESS
CMEC
GENERAL MACHINERY IMPORT & EXPORT CO., LTD.
NO. 178
GUANGMENWAI STREET, XUANWU DISTRICT BEIJING 100055 PR CHINA
TEL: 86
(0) 10-63479212/63361515
FAX: 86
(0) 10-63439011
EXECUTIVE SUMMARY
Date of Registration : JANUARY 9, 1995
REGISTRATION NO. : 110000005036936
LEGAL FORM : One-person Limited Liability Company
REGISTERED CAPITAL : CNY 6,000,000
staff : 20
BUSINESS CATEGORY :
TRADING
Revenue : CNY 273,170,000 (AS OF
DEC. 31, 2011)
EQUITIES : CNY 25,900,000 (AS OF
DEC. 31, 2011)
WEBSITE : N/A
E-MAIL :
N/A
PAYMENT : AVERAGE
MARKET CONDITION : average
FINANCIAL CONDITION : stable
OPERATIONAL TREND :
STEADY
GENERAL REPUTATION :
AVERAGE
EXCHANGE RATE : CNY 6.23 = USD 1
Adopted abbreviations (as
follows)
SC - Subject Company
(the company inquired by you)
N/A – Not available
CNY – China Yuan Ren
Min Bi
OPERATIONAL TREND & GENERAL
REPUTATION
This section aims at indicating the relative positions of SC in respect
of its operational trend & general reputation
Operational Trend:- General
Reputation:-
Upward Excellent
Steady Good
Fairly Steady Fairly
Good
Ordinary Average
Fair Fair
Stagnant Detrimental
Downward Not
known
Not known Not
yet be determined
Not yet be determined
LEGAL STATUS & HISTORY
SC was established
as a limited liabilities company of PRC on January 9, 1995. However, SC changed
to present legal form, and was registered as one-person limited liabilities
company of PRC with State Administration of Industry & Commerce (SAIC)
under registration No.: 110000005036936.
SC’s Organization Code Certificate
No.: 10145065-X
SC’s registered capital: CNY 6,000,000
SC’s paid-in capital: CNY 6,000,000
Registration Change Record:-
|
Date |
Change of Contents |
Before the change |
After the change |
|
-- |
Registration No. |
1100001503693 |
110000005036936 |
|
Legal Form |
Limited Liabilities Company |
One-Person Limited Liability Company |
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|
Legal Representative |
Duo Jinhai |
Ai Wei |
Current Co search indicates SC’s shareholders & chief
executives are as follows:-
|
Name of Shareholder (s) |
% of Shareholding |
|
China Machinery Engineering Corporation
|
100 |
SC’s Chief Executives:-
|
Position |
Name |
|
Legal Representative,
Chairman, and General Manager |
Ai
Wei |
RECENT DEVELOPMENT
No recent development was found during our checks at present.
SHAREHOLDER CHART &
BACKGROUND
Name % of
Shareholding
China Machinery Engineering Corporation 100
===================================
Date of Registration: March 17, 1982
Registration No.: 100000000000715
Legal Form: Shares Limited
Company
Registered Capital: CNY 3,300,000,000
Address: CMEC Mansion, No.178, Guanganmenwai
Street, Xicheng District, Beijing
Tel: 86-10-63451188
Fax: 86-10-63261865
Web: www.cmec.com
E-mail: cmec@mail.cmec.com
MANAGEMENT
Ai
Wei, Legal Representative, Chairman and General
Manager
------------------------------------------------------------------------------------------
Ø
Gender: F
Ø
Qualification:
University
Ø
Working
experience (s):
At present, working in SC as legal representative, chairman
and general manager
BUSINESS OPERATION
SC’s registered business scope includes importing and
exporting goods and technology; selling hardware, daily necessities, arts and
crafts, knitwear and textiles, machinery and equipment, electronic products,
building materials, chemical products, metal materials, metal ores.
SC is
mainly engaged in importing and exporting mechanical equipment.
SC’s products mainly include: machine tool, wirework, tape
measure, bolt clippers, cadmium-nickel storage battery and castings.
SC sources its merchandises 10% from the overseas market and
90% from domestic market. SC sells 10% of its merchandises in domestic market,
and 90% to overseas market.
The buying terms of SC include Check, L/C, T/T and Credit of
30-60 days. The payment terms of SC include Check, T/T, L/C, and Credit of
30-60 days.
*Major Supplier:
=============
Wenzhou Kangerda Industry Co., Ltd.
*Major Customer:
==============
Indonesia Anzuojiaya Ltd.
Staff & Office:
--------------------------
SC is
known to have approx. 20
staff at present.
SC rents an area as
its operating office of approx. 200 sq. meters at the heading address.
RELATED COMPANY
SC is known to have a
subsidiary at present:
n
CMEC International Exhibition Co., Ltd.
-------------------------------------------------------
Date of Registration: January 9, 1995
Registration No.: 110102005036975
Legal Form: One-Person Limited
Liability Company
Registered Capital: CNY 4,000,000
PAYMENT
Overall payment appraisal:
( ) Excellent ( ) Good (X) Average ( ) Fair
( ) Poor ( ) Not yet be 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.
BANKING
Basic Bank:
Bank
of China General Office
AC#: 00100285008091001
FINANCIALS
Balance Sheet
|
Unit: CNY’000 |
As
of Dec. 31, 2011 |
|
43,950 |
|
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Accounts
receivable |
4,170 |
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Advances to
suppliers |
0 |
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Other receivable |
12,800 |
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Inventory |
5,670 |
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Non-current
assets within one year |
0 |
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Other current
assets |
20,900 |
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|
------------------ |
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Current assets |
87,490 |
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Fixed assets |
740 |
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Construction in
progress |
0 |
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Long-term
prepaid expenses |
0 |
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Deferred income
tax assets |
0 |
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Other
non-current assets |
40 |
|
|
------------------ |
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Total assets |
88,270 |
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|
============= |
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Short-term loans |
0 |
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Notes payable |
0 |
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Accounts payable |
28,140 |
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Wages payable |
0 |
|
Other payable |
160 |
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Other current
liabilities |
34,070 |
|
|
------------------ |
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Current
liabilities |
62,370 |
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Non-current
liabilities |
0 |
|
|
------------------ |
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Total
liabilities |
62,370 |
|
Equities |
25,900 |
|
|
------------------ |
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Total
liabilities & equities |
88,270 |
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|
============= |
Income Statement
|
Unit: CNY’000 |
As of Dec. 31,
2011 |
|
Revenue |
273,170 |
|
Cost of sales |
253,820 |
|
Sales expense |
13,390 |
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Management expense |
1,580 |
|
Finance expense |
-860 |
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Profit before
tax |
5,010 |
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Less: profit tax |
2,300 |
|
2,710 |
Important Ratios
=============
|
|
As
of Dec. 31, 2011 |
|
*Current ratio |
1.40 |
|
*Quick ratio |
1.31 |
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*Liabilities
to assets |
0.71 |
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*Net profit
margin (%) |
0.99 |
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*Return on
total assets (%) |
3.07 |
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*Inventory /
Revenue ×365 |
8 days |
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*Accounts receivable/
Revenue ×365 |
6 days |
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*
Revenue/Total assets |
3.09 |
|
* Cost of
sales / Revenue |
0.93 |
FINANCIAL COMMENTS
PROFITABILITY:
AVERAGE
l
The revenue of SC appears
average in its line.
l
SC’s net profit margin is average.
l
SC’s return on total assets is average.
l
SC’s cost of sales is fairly high, comparing with
its revenue.
LIQUIDITY:
AVERAGE
l
The current ratio of SC is maintained in a normal
level.
l
SC’s quick ratio is maintained in a fairly good
level.
l
The inventory of SC is maintained in an average
level.
l
The accounts receivable of SC is maintained in an
average level.
l
SC has no short-term loan in 2011.
l
SC’s revenue is in an
average level, comparing with the size of its total assets.
LEVERAGE:
AVERAGE
l
The debt ratio of SC is average.
l
The risk for SC to go bankrupt is average.
Overall financial
condition of the SC: Stable.
CONCLUSIONS
SC is considered medium-sized in its line with
stable financial conditions.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian
Rupees |
|
US Dollar |
1 |
Rs.54.96 |
|
UK Pound |
1 |
Rs.88.22 |
|
Euro |
1 |
Rs.71.92 |
INFORMATION DETAILS
|
Report
Prepared by : |
NLM |
RATING EXPLANATIONS
|
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 |
|
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%)
This report is issued at your request without any
risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL)
or its officials.