MIRA
INFORM REPORT
|
Report Date : |
12.03.2013 |
IDENTIFICATION DETAILS
|
Name : |
ZHENGZHOU CITY UNITES STEEL INDUSTRIAL CO.,
LTD. |
|
|
|
|
Registered Office : |
Building No. 3-2816 Futian
Fortune Plaza, Cross Of The Eight Avenue And Hanghai East Road, Economic And
Technical Development Zone, Zhengzhou, Henan Province 450016 Pr |
|
|
|
|
Country : |
China |
|
|
|
|
Financials (as on) : |
31.12.2012 |
|
|
|
|
Date of Incorporation : |
04.12.2006 |
|
|
|
|
Com. Reg. No.: |
410100100017310 |
|
|
|
|
Legal Form : |
Limited Liabilities Company |
|
|
|
|
Line of Business : |
selling steel products. |
|
|
|
|
No. of Employees : |
23 |
RATING & COMMENTS
|
MIRA’s Rating : |
B |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
26-40 |
B |
Capability to overcome financial difficulties seems comparatively
below average. |
Small |
|
Status : |
Moderate |
|
|
|
|
Payment Behaviour : |
Slow but Correct |
|
|
|
|
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) |
|
China |
A2 |
A2 |
|
Risk Category |
ECGC
Classification |
|
Insignificant |
A1 |
|
Low |
A2 |
|
Moderate |
B1 |
|
High |
B2 |
|
Very High |
C1 |
|
Restricted |
C2 |
|
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.
|
Source : CIA |
Company name & address
ZHENGZHOU CITY UNITES STEEL
INDUSTRIAL CO., LTD.
building
no. 3-2816 futian fortune plaza
cross of
The Eight Avenue and hanghai east road
economic
and technical development zone
zhengzhou,
henan province 450016 PR CHINA
TEL: 86
(0) 371-86618261/60240001
FAX: 86
(0) 371-86027181
EXECUTIVE SUMMARY
Date of
Registration : december 4, 2006
REGISTRATION
NO. : 410100100017310
LEGAL FORM : Limited liabilities company
CHIEF EXECUTIVE : cui zhaowen (LEGAL
REPRESENTATIVE)
REGISTERED CAPITAL :
cny 12,000,000
staff : 23
BUSINESS CATEGORY :
trading
Revenue : CNY 231,760,000 (AS OF DEC. 31, 2012)
EQUITIES : CNY 15,300,000 (AS OF DEC. 31, 2012)
WEBSITE : www.sinopecwinstar.com
E-MAIL :
sales01@sinopecwinstar.com
PAYMENT : AVERAGE
MARKET CONDITION : average
FINANCIAL CONDITION : FAIRly stable
OPERATIONAL TREND : ORDINARY
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
LEGAL
STATUS & HISTORY
SC was
established as a limited liabilities company of PRC with State Administration
of Industry & Commerce (SAIC) under registration No.: 410100100017310 on December
4, 2006.
SC’s Organization Code Certificate
No.: 79675610-1
SC’s registered capital: cny 12,000,000
SC’s paid-in capital: cny 12,000,000
Registration Change Record:-
|
Date |
Change of
Contents |
Before the
change |
After the change |
|
2009-09-07 |
Registered Capital |
CNY 3,010,000 |
cny 12,000,000 |
|
Shareholder (s) (% of Shareholding) |
Cui Zhaowen 50.17% Zhan Jinfa 49.83% |
Cui Zhaowen 33.34% Zhan Jinfa 33.33% Other individual 33.33% |
Current Co search indicates SC’s shareholders & chief
executives are as follows:-
|
Name of Shareholder (s) |
% of Shareholding |
|
Cui Zhaowen |
33.34 |
|
Zhan Jinfa |
33.33 |
|
Other individual |
33.33 |
SC’s Chief Executives:-
|
Position |
Name |
|
Legal Representative, Chairman
and General Manager |
Cui Zhaowen |
|
Supervisor |
Zhan Jinfa |
RECENT
DEVELOPMENT
No recent development was found during our checks at present.
SHAREHOLDER
CHART & BACKGROUND
Name
%
of Shareholding
Cui Zhaowen 33.34
Zhan Jinfa 33.33
Other individual 33.33
MANAGEMENT
Cui Zhaowen, Legal Representative, Chairman and General Manager
-----------------------------------------------------------------------------------------------------
Ø
Gender: M
Ø
Working
experience (s):
At present, working in SC as legal representative, chairman
and general manager
Zhan Jinfa, Supervisor
------------------------------------------
Ø
Gender: M
BUSINESS
OPERATION
SC’s registered business scope includes selling building materials,
decoration materials, machinery and parts, steel materials, metal materials,
drilling equipment and parts, electric equipment and parts, pressure vessels and parts, chemical
products, glass products and light industrial products; importing and exporting
various goods and technology; processing and selling steel boards and
materials.
SC is mainly
engaged in selling steel products.
SC’s products
mainly include:
1. The Steel Coil:
Prepainted Coated
Steel Coil PPGI
Hot Dip Galvanized
Steel Coil HDG
Hot Dip Galvanized
and Aluminous Steel Coil
Cold Rolling Steel
Coil CR
Hot Dip Tinned
Steel Coil HDT
2. Mechanical
Equipment:
Cold-bending Steel
Profile & the Processing Machinery
Metal Roll-forming
Machine
EPS Machine
Sandwich Panel Machine
H-Profiled Bars
Machine
Steel Panel
Sliting Line
Light Steel Keel
Roll-forming Machine
3. Construction
and Material
PPGI Sandwich
Panel (PU/EPS/ROCKWOOL)
C/Z and H Profile
Steel
Light Steel
Construction and Volitant Building
Metal Tile
Simultaneity, its
international trade department can also provide products as the international
market’s requested as follow:
1. All kinds of
metal material:
Stainless Steel,
Aluminum Plate, Wire Net, Seamless Steel Tube, Nails, etc.
2. All kinds of
Construction Fitment Material:
Light Steel Keel,
Glasswool, Rockwool, Gesso Panel, Wooden Compress Panel.
3. All kinds of
Construction Equipment:
Brick Machine,
Detritus Machine, Gesso Panel Machine, Paper-box Machine, Steel Cold-rolling
Machine.
SC sources its
materials 100% from domestic market. SC sells 40% of its products in domestic
market, and 60% to the overseas market, mainly American and European countries.
The buying terms of SC include Check, T/T and Credit of 30-60 days. The
payment terms of SC include T/T, L/C and Credit of 30-60 days.
*Major Supplier:
--------------------
Urumqi Zhanhao Building Materials Co., Ltd.
Staff & Office:
--------------------------
SC is
known to have approx. 23 staff
at present.
SC rents an area as
its operating office, but the detailed information is unknown.
RELATED
COMPANY
Winstar International Development Limited
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’s supplier
refused to make any comments.
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:
Guangdong Development Bank Zhengzhou Branch
AC#:
8910516010024431
FINANCIALS
Financial Summary
|
Unit: CNY’000 |
As
of Dec. 31, 2012 |
|
Long term investment |
0 |
|
Total assets |
77,600 |
|
|
------------- |
|
Total
liabilities |
62,300 |
|
Equities |
15,300 |
|
|
------------- |
|
Revenue |
231,760 |
|
Profits |
1,580 |
Note: The detailed financials for Y2012 are not available in SAIC.
Important Ratios
=============
|
|
As
of Dec. 31, 2012 |
|
*Liabilities
to assets |
0.80 |
|
*Net profit
margin (%) |
0.68 |
|
*Return on
total assets (%) |
2.04 |
|
*Revenue/Total
assets |
2.99 |
FINANCIAL
COMMENTS
PROFITABILITY:
AVERAGE
l
The revenue of SC appears
fairly good in its line.
l
SC’s net profit margin is average.
l
SC’s return on total assets is average.
LIQUIDITY:
AVERAGE
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 above average.
Overall financial
condition of the SC: Fairly Stable.
CONCLUSIONS
SC is considered small-sized in its line with fairly stable
financial conditions.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.54.29 |
|
UK Pound |
1 |
Rs.81.09 |
|
Euro |
1 |
Rs.70.61 |
INFORMATION DETAILS
|
Report Prepared
by : |
MNL |
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%)
This report is issued at your request without any
risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL)
or its officials.