MIRA INFORM REPORT

 

 

Report Date :

11.01.2013

 

IDENTIFICATION DETAILS

 

Name :

CAINZ CO LTD

 

 

Registered Office :

98-2, Higashitomida Honjo City Saitama-Pref 367-0033

 

 

Country :

Japan

 

 

Financials (as on) :

29.02.2012

 

 

Date of Incorporation :

November, 1989

 

 

Com. Reg. No.:

0700-01-006474 (Saitama – Honjo)

 

 

Legal Form :

Limited Company (Kabushiki Kaisha)

 

 

Line of Business :

Home Center (Do-It-Yourself shop) operator

 

 

No. of Employees :

3,056

 

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 :

Regular

 

 

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)

Japan

A1

A1

 

Risk Category

ECGC Classification

 

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 


 

JAPAN - ECONOMIC OVERVIEW

 

In the years following World War II, government-industry cooperation, a strong work ethic, mastery of high technology, and a comparatively small defense allocation (1% of GDP) helped Japan develop a technologically advanced economy. Two notable characteristics of the post-war economy were the close interlocking structures of manufacturers, suppliers, and distributors, known as keiretsu, and the guarantee of lifetime employment for a substantial portion of the urban labor force. Both features are now eroding under the dual pressures of global competition and domestic demographic change. Japan's industrial sector is heavily dependent on imported raw materials and fuels. A tiny agricultural sector is highly subsidized and protected, with crop yields among the highest in the world. Usually self-sufficient in rice, Japan imports about 60% of its food on a caloric basis. Japan maintains one of the world's largest fishing fleets and accounts for nearly 15% of the global catch. For three decades, overall real economic growth had been spectacular - a 10% average in the 1960s, a 5% average in the 1970s, and a 4% average in the 1980s. Growth slowed markedly in the 1990s, averaging just 1.7%, largely because of the after effects of inefficient investment and an asset price bubble in the late 1980s that required a protracted period of time for firms to reduce excess debt, capital, and labor. Measured on a purchasing power parity (PPP) basis that adjusts for price differences, Japan in 2011 stood as the third-largest economy in the world after second-place China, which surpassed Japan in 2001, and in a virtual tie with India. A sharp downturn in business investment and global demand for Japan's exports in late 2008 pushed Japan further into recession. Government stimulus spending helped the economy recover in late 2009 and 2010, but the economy contracted again in 2011 as the massive 9.0 magnitude earthquake in March disrupted manufacturing. Electricity supplies remain tight because Japan has temporarily shut down almost all of its nuclear power plants after the Fukushima Daiichi nuclear reactors were crippled by the earthquake and resulting tsunami. Estimates of the direct costs of the damage - rebuilding homes, factories, and infrastructure - range from $235 billion to $310 billion, and GDP declined almost 0.5% in 2011. Prime Minister Yoshihiko NODA has proposed opening the agricultural and services sectors to greater foreign competition and boosting exports through membership in the US-led Trans-Pacific Partnership trade talks and by pursuing free-trade agreements with the EU and others, but debate continues on restructuring the economy and reining in Japan's huge government debt, which exceeds 200% of GDP. Persistent deflation, reliance on exports to drive growth, and an aging and shrinking population are other major long-term challenges for the economy

Source : CIA


Company name and address

 

CAINZ CO LTD

 

 

REGD NAME

 

KK Cainz

 

 

MAIN OFFICE

 

98-2 Higashitomida Honjo City Saitama-Pref 367-0033 JAPAN

Tel: 0495-25-1000     Fax: 0495-25-1001

 

                        *.. Moved to the caption address in Oct 2012 from the one as given

                                               

URL:                 http://www.cainz.co.jp

E-Mail address: (thru the URL)

 

 

ACTIVITIES  

 

Home Center (Do-It-Yourself shop) operator

 

 

BRANCHES   

 

Tokyo, Nagoya

 

 

OVERSEAS   

 

China (3)

 

 

SHOPS    

 

174 stores nationwide from Hokkaido to Okinawa (22 prefectures)

 

 

OFFICERS

 

HIROMASA TSUCHIYA, PRES   Yoshio Tsuchiya, ch

Takao Takagi, mgn dir                Hirotoshi Hoshino, mgn dir         

Satoru Sakurai, mgn dir              Nobuyuki Minegishi, dir             

 

Yen Amount:     In million Yen, unless otherwise stated

 

 

SUMMARY

 

FINANCES                    FAIR                 A/SALES          Yen 342,500 M

PAYMENTS                  REGULAR         CAPITAL           Yen 3,260 M

TREND             UP                    WORTH            Yen 110,957 M

STARTED                     1989                 EMPLOYES      3,056

 

 

COMMENT

 

HOME CENTER OPERATOR.

FINANCIAL SITUATION CONSIDERED FAIRTO GOOD AND GOOD FOR ORDINARY BUSINESS ENGAGEMENTS.

                       

 

HIGHLIGHTS

           

The subject company was established originally in 1963 by Yoshio Tsuchiya, now ch, for selling do-it-yourself goods, on his account.  Incorporated in 1989 the firm has been succeeded by his descendants.  This is a home center operator, operating 174 stores nationwide from Hokkaido down to Okinawa.  Handling items are varied: daily foods, gardening, outdoors, cars, motorcycles, bicycles, drugs, work wears, home interior/exterior goods, wine, liquor, agricultural materials, building materials, other.  In 1994, started imports from China in 1994, and now operates 3 subsidiaries in China.  Goods are imported.

 

 

FINANCIAL INFORMATION

           

Financials are only partially disclosed as from Feb/2011 fiscal term.

 

The sales volume for Feb/2012 fiscal term amounted to Yen 342,500 million, a 5% up from Yen 327,000 million in the previous term.  Reconstruction and disaster-preventive/protective goods rose sharply after the Earthquake in Mar 2011. The net profit was posted at Yen 14,200 million, compared with Yen 17,300 million a year ago.

 

For the current term ending Feb 2013 the net profit is projected at Yen 14,500 million, on a 3% rise in turnover, to Yen 352,000 million. 

 

The financial situation is considered FAIR to GOOD and good for ORDINARY business engagements. 

 

 

REGISTRATION

 

Date Registered:                      Nov 1989

Regd No.:                                 0700-01-006474 (Saitama-Honjo)

Legal Status:                           Limited Company (Kabushiki Kaisha)

Authorized:                              26 million shares

Issued:                                     6.52 million shares

Sum:                                        Yen 3,260,365,000.00

Major shareholders (%):           Hiromasa Tsuchiya (23), Yoshio Tsuchiya (15), other       

No. of shareholders:                10

           

Nothing detrimental is known as to the commercial morality of executives.

 

 

OPERATION

           

Activities: Home Center (Do-It-Yourself shop, supermarkets) operator, operating 174 stores in Japan and 3 in China (--100%).

 

(Handling Items): cars, motorcycles, bicycles, their accessories, daily consumer goods, foods, confectionary, gardening supplies, wines, liquor, sake, drugs, work wears, home interior/exterior goods, agricultural goods, building materials (do-it-yourself goods), home electronics, other.

 

Clients: Consumers, wholesalers, other

              No. of accounts: Unavailable

              Domestic areas of activities: Nationwide

 

Suppliers: [Mfrs, wholesalers] Proctor & Gamble Japan, Kao Customer Marketing, Yodobashi Camera, Kikuya Co, Gemco Takasaki, JAPELL Co, Panasonic Consumer Marketing, Taisho Pharmaceuticals, other.

 

Payment record: Regular

 

Location: Business area in Honjo, Saitama-Pref.  Office premises at the caption address are owned and maintained satisfactorily.

 

Bank References:

Gunma Bank (Takasaki)

Mizuho Bank (Maebashi)

Relations: Satisfactory

 

 

 

 

 

 

FINANCES

 

(In Million Yen)

 

 

 

28/02/2013

29/02/2012

28/02/2011

28/02/2010

Annual Sales

 

352,000

342,500

327,000

321,069

Recur. Profit

 

 

 

 

20,299

Net Profit

 

14,500

14,200

17,300

10,016

Total Assets

 

 

N/A

N/A

166,652

Net Worth

 

 

110,957

101,017

88,907

Capital, Paid-Up

 

 

3,260

3,260

3,260

Div.P.Share(¥)

 

 

0.00

0.00

0.00

<Analytical Data>

(%)

(%)

(%)

(%)

    S.Growth Rate

2.77

4.74

1.85

-0.94

    Current Ratio

 

 

..

..

..

    N.Worth Ratio

 

..

..

53.35

    N.Profit/Sales

4.12

4.15

5.29

3.12

Notes: Financials are only partially disclosed as from the 28/02/2011 fiscal term.

Forecast (or estimated) figures for the 28/02/2013 fiscal term.


 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.54.63

UK Pound

1

Rs.87.50

Euro

1

Rs.71.32

 

 

INFORMATION DETAILS

 

Report Prepared by :

NIT

 

 

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.