MIRA INFORM REPORT

 

 

Report Date :

26.03.2013

 

IDENTIFICATION DETAILS

 

Name :

LUNG MENG MACHINERY CO., LTD.

 

 

Registered Office :

20 Huan Kung Rd., Yong Kang Ind. Area Tainan

 

 

Country :

Taiwan

 

 

Date of Incorporation :

28.10.1977

 

 

Com. Reg. No.:

73628444

 

 

Legal Form :

Joint Stock Company

 

 

Line of Business :

Manufacturing and sales of plastics converting machinery, etc

 

 

No. of Employees :

About 70 Employees

 

 

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 :

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 – June 30th, 2012

 

Country Name

Previous Rating

(31.03.2011)

Current Rating

(30.06.2012)

Taiwan

A2

A2

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 

TAIWAN - ECONOMIC OVERVIEW

 

Taiwan has a dynamic capitalist economy with gradually decreasing government guidance of investment and foreign trade. In keeping with this trend, some large, state-owned banks and industrial firms have been privatized. Exports, led by electronics, machinery, and petrochemicals have provided the primary impetus for economic development. This heavy dependence on exports exposes the economy to fluctuations in world demand. In 2009, Taiwan's GDP contracted 1.9%, due primarily to a 20% year-on-year decline in exports. In 2010 GDP grew 10.9%, as exports returned to the level of previous years, and in 2011, grew 5.2%. However, 2012 growth will likely be less, according to most forecasters, because of softening global demand. Taiwan's diplomatic isolation, low birth rate, and rapidly aging population are major long-term challenges. Free trade agreements have proliferated in East Asia over the past several years, but so far Taiwan has been excluded from this greater economic integration largely because of its diplomatic status with the exception of the landmark Economic Cooperation Framework Agreement (ECFA) signed with China in June 2010. The MA administration has said that the ECFA will serve as a stepping stone toward trade pacts with other regional partners, and negotiations on a deal with Singapore began this year. Follow-on components of ECFA, including deals on trade in goods, services, and investment, have yet to be completed. Taiwan's Total Fertility rate of just over one child per woman is among the lowest in the world, raising the prospect of future labor shortages, falling domestic demand, and declining tax revenues. Taiwan's population is aging quickly, with the number of people over 65 accounting for 10.9% of the island's total population as of 2011. The island runs a large trade surplus, and its foreign reserves are the world's fourth largest, behind China, Japan, and Russia. Since 2005 China has overtaken the US to become Taiwan's second-largest source of imports after Japan. China is also the island's number one destination for foreign direct investment. Three financial memorandums of understanding, covering banking, securities, and insurance, took effect in mid-January 2010, opening the island to greater investments from the mainland's financial firms and institutional investors, and providing new opportunities for Taiwan financial firms to operate in China. Closer economic links with the mainland bring greater opportunities for the Taiwan economy, but also poses new challenges as the island becomes more economically dependent on China while political differences remain unresolved.

Source : CIA


 

Contact Points

 

Company Name:

Lung Meng Machinery Co., Ltd.

Supplied Name:

LUNG MENG MACHINERY CO LTD

Trading Address:

20 Huan Kung Rd., Yong Kang Ind. Area Tainan, Taiwan, R.O.C.

Supplied Address:

FACTORY 20 HUAN KUNG RD YUNG KANG IND AREA 710 Taiwan

Telephone Number:

+886-6-232-1126

Fax Number:

+886-6-203-1178

E-mail:

sales@lm-hq.com

Notes: The exact name and address are as above.

 

Credit Summary

 

Credit Opinion:

Business connections are permissible.

 

Company Identification Details

 

Registered Name:

Lung Meng Machinery Co., Ltd.

Registered Address:

20 Huan Kung Rd., Yong Kang Ind. Area Tainan, Taiwan, R.O.C.

Date of Foundation:

1977-10-28

Registration Number:

73628444

Registry:

Tainan City Government

Registered Capital:

NTD 55,000,000 (USD 1,870,000)

(As of 2013.03, 1 NTD = 0.0340 USD)

Paid-up Capital:

NTD 55,000,000 (USD 1,870,000)

Legal Representatives:

Chunshan Chen

Legal Form:

Joint Stock Company

Principal Activities:

Manufacturing and sales of plastics converting machinery, etc

Staff:

About 70 Employees

Listed at Stock Exchange:

No

Date of Last Annual Return:

2011-11-7

 

History

Subject was incorporated on 1977-10-28 with registered number 73628444 as Joint Stock Company in Taiwan.

 

Shareholders

 

Name

Subscription Shares

Chunshan Chen

2,012,778         

Weixiang Chen

421,111

Shuzhen Hongchen

596,111

 

The information above is that of subject’s major shareholders.

 

Subsidiaries & Branches

Office

Name

Taipei Office

Address

6F-7, No. 28, Sec. 3, Ren-Ai Rd., Da-an Dist., Taipei City 106, Taiwan (R.O.C.)

Telephone Number

+886-2-2706-0758

Fax Number

+886-2-2706-0658

 

Agents

1

Name

S & S Packing Company

Address

E-11, Greater Kailash-1, New Delhi-110048, India

Telephone Number

+91-11-4163-3927

2

Name

Mohwinckel Spa

Address

Via S. Cristoforo 78, Trezzano Sul Naviglio (MI), Italy

Telephone Number

+39-02-4840-1749

3

Name

Bg Partners

Address

Centre D'affaires La Tourette, 5, Bd Zerktouni, Plateau N° 9, Casablanca, Maroc

Telephone Number

+212-522-200-484

4

Name

S. Klöfver AB

Address

Dannäs 330 12, Forsheda, Sweden

Telephone Number

+46-370-355-100

5

Name

Fit Plastik Amb. San. Tic. Ltd.

Address

GEPOSB, 33. Sok. No:7 41400 Gebze Kocaeli, Turkey

Telephone Number

+90-262-751-4128

 

Personnel Information

Core Management

 

Directors

1

Name

Chunshan Chen

Position

Board Chairman

Date of Appointment

1984-8-17

2

Name

Weixiang Chen

Position

Director

3

Name

Shuzhen Hongchen

Position

Director

4

Name

Wenliang Hong

Position

Supervisor

 

Personnel Structure

 

Total Employees

About 70 Employees

 

Operation Information

Offices & Factories

 

 

Headquarters

Add

20 Huan Kung Rd., Yong Kang Ind. Area Tainan, Taiwan, R.O.C.

 

Production Information

 

l  Subject is engaged in manufacturing of plastics converting machinery, etc.

l  Subject has a factory in Tannan city for production and the monthly production capacity is about 50 machines.

l  It is introduced that subject obtained the certification of ISO 9001 and CE.

 

Purchase Information

 

l  The registered activities of subject:

Business Code

Details

--

Manufacturing, processing and sales of all kinds of plastic machinery and parts

--

Manufacturing, processing and sales of hardware products

--

Import and export of above items

--

Agent, price quoting, bidding service, Import, export and marketing of all kinds of above mentioned items.

C801050

Manufacturing of plastic material

F107140

Wholesale of plastic material

F207140

Retail of plastic material

C805020

Manufacturing of plastic film and bag

F107190

Wholesale of film and bag

F207190

Retail of film and bag

CB01010

Manufacturing of machinery

F113010

Wholesale of machinery

F213080

Retail of machinery

 

l  The components for production are mostly purchased in domestic market.

l  It is introduced that subject import some technology from Europe, etc.

 

Sales Information

 

l  Subject is engaged in sales of plastics converting machinery, etc.

l  Subject’s sales regions include Asia, Europe and America, etc.

l  Subject’s major customers are food manufacturer and pharmaceutical manufacturer, etc.

l  It is introduced that subject has many agents in different parts of the world such as India, Italy, Morocco, Russia, Sweden, Tunisia, Turkey and Ukraine, etc

 

Major products

Type

Product

Extrusion

Blown Film Machine

Zipper Profile

Pre-Stretch

Mono-Layer Blown Film Line

Multi-Layer Blown Film Line

Pre-Stretch Machine

Pre-Stretch Machine & Rewinder two-in-one system

Automatic Rewinder

Manual Rewinder

Printing

Flexo Printing

C.I. Flexo Printing Press

Bag Making

T-Shirt Bag

Shopping Bag

Heavy Duty Bag

Zipper Bag

Bottom Seal Bag

Recycling

Post-Consumer

High Output

Complete System

Pre-Stretch System

Bag on Roll Making System

Packing System

 

Import and export right:

Import right

Yes

Export right

Yes

 

Settlements

 

Purchase

 

Domestic Purchase

Product

Payment Terms

Proportion

Components

COD, CBD, etc

100%

 

Foreign Purchase

 

Subject has little export.

 

Sales

 

Domestic Markets

Product

Sales Terms

Proportion

Machinery

COD, CBD, etc

100%

 

Export

Product

Sales Terms

Proportion

Machinery

CBD, etc

100%

 

 

Financial Information

 

Subject has no obligations to disclose its financial statements to the third party according to the relevant policy in Taiwan and the only source from which we can obtain the information is the subject itself.

Subject’s relevant staff Ms. Chen declined to disclose its financials citing the grounds of company’s confidentiality; from other source we can not obtain the relevant information, either.

 

Bankers

 

Subject declined to disclose its bank details; from other source we cannot obtain the relevant information, either.

 

Public Record

 

Mortgage

No chattel mortgage record of subject has been found within the recent 3 months.

 

Lawsuit

Up to date of reporting, no existing or latent litigation of the subject has been found.

 

Interview Details

 

Name

Ms. Chen

Department

Sales Department

 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.54.10

UK Pound

1

Rs.82.46

Euro

1

Rs.70.49

 

 

INFORMATION DETAILS

 

Report Prepared by :

PRL

 

 

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.