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Report Date : |
28.06.2013 |
IDENTIFICATION DETAILS
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Name : |
CHIYODA JGC JOINT VENTURE (CIJG) |
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Registered Office : |
2-12-1 Tsurumi-Chuo Tsurumiku Yokohama
230-8601 |
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Country : |
Japan |
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Financials (as on) : |
31.03.2012 |
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Year of Establishments: |
2009 |
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Legal Form : |
Limited Company |
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Line of Business : |
Engineering works of LNG
plants & facilities |
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No. of Employees : |
4,000 (Including Laborers) |
RATING & COMMENTS
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MIRA’s Rating : |
B |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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26-40 |
B |
Capability to overcome financial difficulties seems comparatively
below average. |
Small |
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Status : |
Moderate |
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Payment Behaviour : |
Unknown |
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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 – March 31st 2013
|
Country Name |
Previous Rating (31.12.2012) |
Current Rating (31.03.2013) |
|
Japan |
A1 |
A1 |
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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 |
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 |
CHIYODA JGC JOINT VENTURE (CIJG)
Chiyoda JGC Joint
Venture (Not registered)
2-12-1
Tsurumi-Chuo Tsurumiku Yokohama 230-8601 JAPAN
Tel: 045-506-7136 (same
phone number with Chiyoda Corp)
URL: http://www.chiyoda-corp.com (Of
the parent, Chiyoda Corp)
Engineering
works of LNG plants & facilities
Nil
Takashi
Kubota, pres of the parent, Chiyoda Corp
Yen
Amount: In million Yen, unless
otherwise stated
FINANCES FAIR A/SALES Unavailable
PAYMENTSUnknown
CAPITAL - - -
STARTED 2009 EMPLOYES 4,000 (including laborers)
ENGINEERING
OF LNG PLANT, JV BETWEEN CHIYODA CORP & JGC CORP.
FINANCIAL SITUATION CONSIDERED FAIR AND GOOD FOR ORDINARY
BUSINESS ENGAGEMENTS.
MAX CREDIT LIMIT: UNABLE TO BE ASSESSED DUE TO THE LACK OF PROVEN BUISNESS. Max credit limit of the parent, Chiyoda Corp, is estimated at Yen 8,294.9 million, on 30 days normal terms
The subject company was established jointly by Chiyoda Corp and JGC Corp
(See REGISTRATION) for construction
of LNG plants & facilities. In 2009,
the firm won from Esso Highlands Limited, operator of the PNG LNG project. The scope of the work is for 6.6 tons per
annum LNG plant, with two 3.3 million trans, including facilities for inlet
processing, treating, liquefaction, storage, and loading. The office is located with Chiyoda Corp’s
address, as above given. Chiyoda Corp
has the majority share of the firm.
Financial are consolidated by the parents and not individually
disclosed.
The financial situation is considered FAIR and good for ORDINARY business
engagements with the financial strength of the two parents. Max credit limit is unable to be assessed due
to the lack of individual business. The
max credit limit of the parent, Chiyoda Corp, is estimated at Yen 7,917.5
million, on 30 days normal terms.
Date
Registered: Not registered
(Founded 2009)
Legal
Status: Limited
Company (Kabushiki Kaisha)
Major
shareholders (%): Chiyoda Corp* (70), JGC Corp** (30) (Estimated figures only)
No.
of shareholders: 2
*.. Chiyoda Corp, leading comprehensive plant engineering company, at
the caption address, founded 1948, listed Tokyo S/E, capital Yen 43,396
million, sales Yen 254,675 million, operating profit Yen 24,197 million,
recurring profit Yen 23,793 million, net profit Yen 14,364 million, total
assets Yen 365,795 million, net worth Yen 168,737 million, employees 4,104,
pres Takashi Kubota
Consolidated Financials are attached (See SUPPLEMNTS)
**.. JGC Corp, plant engineering firm, Yokohama, founded 1928, listed Tokyo
S/E,
Capital Yen 23,511 million, sales Yen 556,966 million, operating profit
Yen 67,053 million, recurring profit Yen 72,550 million, net profit Yen 39,111
million, total assets Yen 526,169 million, net worth Yen 291,042 million,
employees 6,569, pres Koichi Kuwana
Nothing detrimental is known as to the commercial morality of
executives.
Activities: Engineering
works on LNG plants & facilities (--100%)
Clients: Oil refineries,
heavy machinery mfrs, other
No. of accounts: Unavailable
Domestic areas of activities:
Nationwide
Suppliers: Mfrs, wholesalers, other
Payment record: Unknown
Location:
Business area in Yokohama. Office
premises at the caption address are owned by the parent, Chiyoda Corp, and
maintained satisfactorily.
Bank References:
MUFG
(H/O)
Mizuho
Corporate Bank (H/O)
Relations:
Satisfactory
(In Million Yen)
NOT AVAILABLE
SUPPLEMENTS
CONSOLIDATED FINANCIAS OF THE PARENT,
CHIYODA CORPORATION
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FINANCES: (Consolidated
in million yen) |
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Terms Ending: |
31/03/2012 |
31/03/2011 |
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INCOME STATEMENT |
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Annual Sales |
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254,675 |
247,082 |
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Cost of Sales |
215,783 |
215,563 |
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GROSS PROFIT |
38,891 |
31,519 |
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Selling & Adm Costs |
14,693 |
13,974 |
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OPERATING PROFIT |
24,107 |
17,544 |
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Non-Operating P/L |
-314 |
-1,812 |
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RECURRING PROFIT |
23,793 |
15,732 |
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NET PROFIT |
14,364 |
7,979 |
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BALANCE SHEET |
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Cash |
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35,577 |
33,855 |
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Receivables |
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43,840 |
56,033 |
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Inventory |
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Securities, Marketable |
138,499 |
96,841 |
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Other Current Assets |
102,562 |
129,377 |
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TOTAL CURRENT ASSETS |
320,478 |
316,106 |
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Property & Equipment |
19,001 |
19,021 |
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Intangibles |
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4,600 |
4,733 |
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Investments, Other Fixed Assets |
21,716 |
13,532 |
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TOTAL ASSETS |
365,795 |
353,392 |
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Payables |
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86,211 |
97,417 |
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Short-Term Bank Loans |
10,000 |
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Other Current Liabs |
98,476 |
84,470 |
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TOTAL CURRENT LIABS |
194,687 |
181,887 |
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Debentures |
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Long-Term Bank Loans |
198 |
10,208 |
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Reserve for Retirement Allw |
2,486 |
2,809 |
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Other Debts |
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(314) |
2,729 |
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TOTAL LIABILITIES |
197,057 |
197,633 |
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MINORITY INTERESTS |
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Common
stock |
43,396 |
43,396 |
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Additional
paid-in capital |
37,112 |
37,112 |
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Retained
earnings |
89,346 |
77,832 |
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Evaluation
p/l on investments/securities |
1,509 |
(229) |
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Others |
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(1,298) |
(1,058) |
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Treasury
stock, at cost |
(1,328) |
(1,295) |
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TOTAL S/HOLDERS` EQUITY |
168,737 |
155,758 |
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TOTAL EQUITIES |
365,795 |
353,392 |
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CONSOLIDATED CASH FLOWS |
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Terms ending: |
31/03/2012 |
31/03/2011 |
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Cash Flows
from Operating Activities |
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55,615 |
-5,229 |
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Cash
Flows from Investment Activities |
-9,140 |
-2,577 |
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Cash
Flows from Financing Activities |
-2,899 |
-805 |
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Cash,
Bank Deposits at the Term End |
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173,769 |
130,618 |
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ANALYTICAL RATIOS Terms ending: |
31/03/2012 |
31/03/2011 |
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Net
Worth (S/Holders' Equity) |
168,737 |
155,758 |
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Current
Ratio (%) |
164.61 |
173.79 |
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Net
Worth Ratio (%) |
46.13 |
44.08 |
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Recurring
Profit Ratio (%) |
9.34 |
6.37 |
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Net
Profit Ratio (%) |
5.64 |
3.23 |
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Return
On Equity (%) |
8.51 |
5.12 |
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FOREIGN EXCHANGE RATES
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Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.60.59 |
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UK Pound |
1 |
Rs.92.92 |
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Euro |
1 |
Rs.78.94 |
INFORMATION DETAILS
|
Report Prepared
by : |
MNL |
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 |
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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 |
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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 |
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41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
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26-40 |
B |
Capability to overcome financial difficulties seems comparatively below
average. |
Small |
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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 |
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<10 |
C |
Absolute credit risk exists. Caution needed to be exercised |
Credit not
recommended |
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---- |
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.