MIRA INFORM REPORT
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Report Date : |
26.03.2013 |
IDENTIFICATION DETAILS
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Name : |
Zhongqing
Yilan (Group) Co., Ltd. |
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Registered Office : |
Xiaohekou, Xishan District, Kunming, Yunnan Province 650117 PR |
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Country : |
China |
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Financials (as on) : |
31.12.2011 |
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Date of Incorporation : |
26.03.1996 |
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Com. Reg. No.: |
530000000015475 |
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Legal Form : |
One-Person Limited Liabilities
Company |
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Line of Business : |
Manufacturing
and selling household cleaning products and chemical products. |
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No. of Employees : |
612 |
RATING & COMMENTS
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MIRA’s Rating : |
Ca |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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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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Status : |
Moderate |
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Payment Behaviour : |
Slow |
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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 – June 30th, 2012
|
Country Name |
Previous Rating (31.03.2012) |
Current Rating (30.06.2012) |
|
China |
A2 |
A2 |
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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 |
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.
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Source : CIA |
Company
name and
address
Zhongqing Yilan (Group) Co., Ltd.
xiaohekou,
xishan district
kunming,
yunnan province 650117 PR CHINA
TEL: 86
(0) 871-68660706
FAX: 86
(0) 871-68660772
EXECUTIVE SUMMARY
Date of Registration : MARCH 26, 1996
REGISTRATION NO. : 530000000015475
LEGAL FORM : ONE-PERSON
Limited liabilities company
REGISTERED CAPITAL : cny 279,640,000
staff : 612
BUSINESS CATEGORY : manufacturing & trading
Revenue : CNY 1,460,576,000 (AS OF DEC. 31, 2011)
EQUITIES : CNY -453,541,000 (AS OF DEC. 31, 2011)
WEBSITE : www.zqyilan.cn
E-MAIL : zhangjq13@tom.com
PAYMENT : AVERAGE
MARKET CONDITION : average
FINANCIAL CONDITION : poor
OPERATIONAL TREND : DOWNWARD
GENERAL REPUTATION : average
EXCHANGE RATE : CNY 6.22 = USD
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
Not yet be determined
LEGAL STATUS & HISTORY
SC was
established as one-person limited liabilities company of PRC with State
Administration of Industry & Commerce (SAIC) under registration No.:
530000000015475.
SC’s Organization Code Certificate
No.: 21656805-X
%20CO%20,%20LTD%20%20-%20215510%2026-Mar-2013_files/image010.jpg)
SC’s Tax No.: 53011221656805-X
SC’s registered capital: CNY 279,640,000
SC’s paid-in capital: CNY 279,640,000
Registration Change Record:-
|
Date |
Change of Contents |
Before the change |
After the change |
|
2006-5 |
Registered Capital |
CNY 782,170,000 |
CNY 179,640,000 |
|
2010-6 |
Registered Capital |
CNY 179,640,000 |
CNY 229,640,000 |
|
2011-9 |
Registered Capital |
CNY 229,640,000 |
CNY 279,640,000 |
Current Co search indicates SC’s shareholders & chief
executives are as follows:-
|
Name of Shareholder (s) |
% of Shareholding |
|
Yuntianhua Group Co., Ltd. |
100 |
SC’s Chief Executives:-
|
Position |
Name |
|
Legal Representative, Chairman
and General Manager |
Li Jianqiu |
RECENT DEVELOPMENT
No recent development was found during our checks at
present.
SHAREHOLDER CHART & BACKGROUND
Name %
of Shareholding
Yuntianhua Group Co., Ltd.
100
---------------------------------
Yuntianhua Group Co., Ltd.
(hereinafter referred to as the Group) is an comprehensive industrial group by
share controlling of serial subsidiaries with its parent company of Yunnan
Yuntianhua Co., Ltd.
Yuntianhua Group Co., Ltd., former
Yunnan Natural Gas Chemical plant was initially constructed as one of the first
completely imported 13 large scale fertilizer plants in 1974, put into service
in 1977, and restructured into a national independent limited company in 1997
with authorization from Yunnan provincial government.
Registration No.:
530000000020448
Legal Form: Sole State-owned
Enterprise
Registered Capital: CNY
2,680,000,000
Legal Representative: Ta
Shenghua
Address: No. 1417 Dianchi RD,
Kunming, China
Postcode: 650228
Tel: +86-871-66242629 66242630
Fax: +86-871-64318088
Web: www.yth.cn
MANAGEMENT
Li
Jianqiu, 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
BUSINESS OPERATION
SC’s registered business scope
includes manufacturing, selling, wholesaling, and retailing sodium
tripolyphosphate, yellow phosphorus, phosphoric acid, calcium hydrogen
phosphate, ferrophosphorus, phosphorus, mud, insulation materials, powder,
sulfonic acid, surface active agent (AES), carbon dioxide, phosphate series
products, strong surface finish, cement, plastic boxes, bags, detergent, liquid
soap, rinse, and the above series of products; international trade for its
related products & technology and equipment; operating restaurant,
accommodation, grocery, and medical drugs (limited to operate by its branches);
installing and repairing general machinery, electrical machinery and equipment;
manufacturing and processing components; processing hardware; industrial
furnace building insulation engineering services; wholesaling, retailing, and
selling building materials, chemical products & materials, and minerals;
international trade for its related products & technology, and equipment;
importing and exporting raw materials & accessories, machinery, meters
& instruments, components, and related technology; processing with imported
materials, processing with imported samples, assemblying with imported parts,
and compensation trade in agreement; logistics and transportation; and storage
service.
SC is
mainly engaged in manufacturing and selling household cleaning products and
chemical products.
SC’s
products mainly include:
Yellow
phosphorus
Phosphate
Sodium
tripolyphosphate
Washing
powder
Liquid
detergent
Benzene
sulfonic acid sodium salt
%20CO%20,%20LTD%20%20-%20215510%2026-Mar-2013_files/image011.jpg)
Brands:,
etc.
SC sources its materials 100%
from domestic market. SC sells 70% of its products in domestic market, and 30%
to overseas market, mainly Europe, Japan, India, etc.
The
buying terms of SC include Check, T/T and Credit of 30-60 days. The payment
terms of SC include Check, T/T, L/C and Credit of 30-60 days.
Staff & Office:
--------------------------
SC is
known to have approx. 612 staff
at present.
SC
owns an area as its operating office and factory, but the detailed information
is unknown.
RELATED COMPANY
SC is known to
have the following subsidiaries at present,
Jiangsu Malong Guohua Industrial Trade Co., Ltd.
Yunnan Zhongnan Changxing Phosphorus Industry Co., Ltd.
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
did not provide any name of trade/service suppliers and we have no other
sources to conduct the enquiry at present.
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
The
bank information of SC is not filed in local SAIC.
FINANCIALS
Financial
Summary (Consolidated)
|
Unit:
CNY’000 |
As of Dec. 31, 2010 |
As of Dec. 31, 2011 |
|
Total
assets |
988,460 |
1,154,246 |
|
|
------------- |
------------- |
|
Total
liabilities |
1,339,630 |
1,607,787 |
|
Equities |
-351,170 |
-453,541 |
|
|
------------- |
------------- |
|
Revenue |
1,232,398 |
1,460,576 |
|
Profit
before tax |
-165,494 |
-152,309 |
|
Less:
profit tax |
8,240 |
8,036 |
|
Profits |
-173,734 |
-160,345 |
Note: The detailed financials for Y2010 and Y2011 are not
available in SAIC.
Important
Ratios
=============
|
|
As of Dec. 31, 2010 |
As of Dec. 31, 2011 |
|
*Liabilities
to assets |
1.36 |
1.39 |
|
*Net
profit margin (%) |
-14.10 |
-10.98 |
|
*Return
on total assets (%) |
-17.58 |
-13.89 |
|
*
Revenue/Total assets |
1.25 |
1.27 |
FINANCIAL COMMENTS
PROFITABILITY:
POOR
l The
revenue of SC appears fairly good in its line.
l SC’s
net profit margin is poor.
l SC’s
return on total assets is poor.
LIQUIDITY:
AVERAGE
l
SC’s revenue is in an average level,
comparing with the size of its total assets.
LEVERAGE:
POOR
l
The debt ratio of SC is high.
l
The risk for SC to go bankrupt is above
average.
Overall
financial condition of the SC: Poor.
CONCLUSIONS
SC is considered medium-sized in its line with poor
financial conditions. Great caution is required in providing credit to SC &
C.O.D. is recommended.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.54.09 |
|
|
1 |
Rs.82.46 |
|
Euro |
1 |
Rs.70.49 |
INFORMATION DETAILS
|
Report Prepared
by : |
PDT |
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.