MIRA INFORM REPORT

 

 

Report Date :

20.07.2013

 

IDENTIFICATION DETAILS

 

Name :

SHIMAMURA TOKYO CORPORATION

 

 

Registered Office :

Jingumae Fashion Bldg 6F, 2-6-7 Jingumae Shibuyaku Tokyo 150-0001

 

 

Country :

Japan

 

 

Financials (as on) :

28.02.2013

 

 

Date of Incorporation :

November, 1993

 

 

Com. Reg. No.:

0132-01-016818

 

 

Legal Form :

Limited Company

 

 

Line of Business :

Import, retail, wholesale of ladies’ fashion clothing & accessories

 

 

No. of Employees :

80

 

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 – March, 31st, 2013

 

Country Name

Previous Rating

(31.12.2012)

Current Rating

(31.03.2013)

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 small agricultural sector is highly subsidized and protected, with crop yields among the highest in the world. While self-sufficient in rice production, Japan imports about 60% of its food on a caloric basis. 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. Modest economic growth continued after 2000, but the economy has fallen into recession three times since 2008. A sharp downturn in business investment and global demand for Japan's exports in late 2008 pushed Japan 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 and the ensuing tsunami in March disrupted manufacturing. The economy has largely recovered in the two years since the disaster, but reconstruction in the Tohoku region has been uneven. Newly-elected Prime Minister Shinzo ABE has declared the economy his government's top priority; he has pledged to reconsider his predecessor's plan to permanently close nuclear power plants and is pursuing an economic revitalization agenda of fiscal stimulus and regulatory reform and has said he will press the Bank of Japan to loosen monetary policy. Measured on a purchasing power parity (PPP) basis that adjusts for price differences, Japan in 2012 stood as the fourth-largest economy in the world after second-place China, which surpassed Japan in 2001, and third-place India, which edged out Japan in 2012. The new government will continue a longstanding debate 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

 

SHIMAMURA TOKYO CORPORATION

 

 

REGD NAME

 

KK Shimamura Tokyo Corporation

 

 

MAIN OFFICE

 

Jingumae Fashion Bldg 6F, 2-6-7 Jingumae Shibuyaku Tokyo 150-0001 JAPAN

Tel: 03-6721-1447     Fax: 03-6721-1448

 

*.. Moved to the caption address from the one as given

                       

URL:                             http://www.n11.jp

E-mail address:            info@n44.com

 

 

ACTIVITIES  

 

Import, retail, wholesale of ladies’ fashion clothing & accessories

 

 

STORE(S)

 

Tokyo (4), Osaka, Fukuoka (Tot 15)

 

 

OVERSEAS

 

Shimamura Paris & Co (France)

 

 

OFFICERS

 

KIMIKO SHIMAMURA, PRES

Seiichiro Shimamura, dir

Masaaki Shimamura, dir

 

Yen Amount:     In million Yen, unless otherwise stated

 

 

SUMMARY

 

FINANCES        R/WEAK                       A/SALES          Yen 1,700 M

PAYMENTS      NO COMPLAINTS          CAPITAL           Yen 10 M

TREND             UP                                WORTH            Yen 185 M

STARTED         1993                             EMPLOYES      80

 

 

COMMENT

 

IMPORTER, RETAILER AND WHOLESALER SPECIALIZING IN LADIES’ CLOTHING AND ACCESSORIES.

FINANCIAL SITUATION CONSIDERED FAIR AND GOOD FOR ORDINARY

BUSINESS ENGAGEMENTS BUT DOUBTFUL FOR: US$10,000,000 / DA TERMS.

                       

           

HIGHLIGHTS

           

The subject company was established by Kimiko Shimamura in order to make most of her experience in the subject line of business.  Seiichiro is her husband.  This is a retailer, owned & operated essentially by the Shimamura family, specializing in ladies’ fashion garments & accessories, imported mostly from its subsidiary purchasing firm in Paris.  Also handles, scent, music CD’s, foodstuff, magazines, other.  Operates a total 15 stores in Tokyo (4), Osaka, Fukuoka, other.  Goods are also wholesaled. 

 

 

FINANCIAL INFORMATION

 

Financials are only partially disclosed as is the case with a family-based companies.

           

The sales volume for Feb/2013 fiscal term amounted to Yen 1,700 million, a 10% up from Yen 1,550 million in the previous term.  This is attributed to the opening of a new store.  The net profit was posted at Yen 25 million, up from Yen 20 million a year ago.

 

For the current term ending Feb 2014 the net profit is projected at Yen 30 million, on a 6% rise in turnover, to Yen 1,800 million. 

 

 The financial situation is considered maintained FAIR and good for ORDINARY business engagements.  The proposed amount, however, is considered TOO HIGH from the recent financial status. 

 

 

REGISTRATION

 

Date Registered:                       Nov 1993

Regd No.:                                0132-01-016818 (Tokyo-Shibuyaku)

Legal Status:                            Limited Company (Kabushiki Kaisha)

Authorized:                              800 shares

Issued:                                      200 shares

Sum:                                        Yen 10 million

Major shareholders (%):           Kimiko Shimamura & families (--100)

No. of shareholders:                 5

           

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

 

 

OPERATION

 

Activities: Imports, retails and wholesales ladies’ fashion garments, clothing accessories (--70%), scent, music CD’s, magazines, others (--30%), operating 15 stores.

 (Retail 80%; wholesale 20%).

 

Goods are imported from France, and other E/U countries.

 

Clients: [Consumers, specialty stores] Urban Research, Rouge, I’m Enterprise, Passage Corporation, Select Square, other. 

            No. of accounts: 100 (Wholesale div)

            Domestic areas of activities: Centered in greater-Tokyo & Osaka

Suppliers: [Mfrs, wholesalers] Imports from Shimamura Paris (subsidiary), other E/U countries. 

            Domestically supplied from Itochu Corp, other.

 

Payment record: No Complaints

 

Location: Business area in Tokyo.  Office premises at the caption address are leased and maintained satisfactorily.

 

Bank References:

SMBC (Shibuya)

Mizuho Bank (Aoyama)

Relations: Satisfactory

 

 

FINANCES

 

(In Million Yen)

Terms Ending:

 

28/02/2014

28/02/2013

29/02/2012

28/02/2011

Annual Sales

 

1,800

1,700

1,550

1,650

Recur. Profit

 

..

..

..

..

Net Profit

 

30

25

20

20

Total Assets

 

 

N/A

N/A

N/A

Net Worth

 

 

185

168

154

Capital, Paid-Up

 

 

10

10

10

Div.P.Share(¥)

 

 

0.00

0.00

0.00

<Analytical Data>

(%)

(%)

(%)

(%)

    S.Growth Rate

5.88

9.68

-6.06

1.23

    Current Ratio

 

 

..

..

..

    N.Worth Ratio

 

..

..

..

    N.Profit/Sales

1.67

1.47

1.29

1.21

 

Note: Financials are only partially disclosed.

Forecast (or estimated) for the 28/02/2014 fiscal term.


 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.59.79

UK Pound

1

Rs.91.03

Euro

1

Rs.78.52

 

INFORMATION DETAILS

 

Report Prepared by :

SDA

 

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.