MIRA INFORM REPORT

 

 

Report Date :

12.10.2013

 

IDENTIFICATION DETAILS

 

Name :

KIWI STEEL NZ LIMITED

 

 

Registered Office :

12 Hautu Drive Wiri Auckland 2104

 

 

Country :

New Zealand

 

 

Financials (as on) :

31.12.2012

 

 

Date of Incorporation :

27.10.1989

 

 

Com. Reg. No.:

436852

 

 

Legal Form :

Limited Private Company

 

 

Line of Business :

Import and distribution of steel products

 

 

No. of Employees :

70

 

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 – March 31st, 2013

 

Country Name

Previous Rating

(31.12.2012)

Current Rating

(31.03.2013)

New Zealand

A1

A1

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 

 

NEW ZEALAND - ECONOMIC OVERVIEW

 

Over the past 20 years the government has transformed New Zealand from an agrarian economy dependent on concessionary British market access to a more industrialized, free market economy that can compete globally. This dynamic growth has boosted real incomes - but left behind some at the bottom of the ladder - and broadened and deepened the technological capabilities of the industrial sector. Per capita income rose for ten consecutive years until 2007 in purchasing power parity terms, but fell in 2008-09. Debt-driven consumer spending drove robust growth in the first half of the decade, helping fuel a large balance of payments deficit that posed a challenge for economic managers. Inflationary pressures caused the central bank to raise its key rate steadily from January 2004 until it was among the highest in the OECD in 2007-08; international capital inflows attracted to the high rates further strengthened the currency and housing market, however, aggravating the current account deficit. The economy fell into recession before the start of the global financial crisis and contracted for five consecutive quarters in 2008-09. In line with global peers, the central bank cut interest rates aggressively and the government developed fiscal stimulus measures. The economy posted a 2% decline in 2009, but pulled out of recession late in the year, and achieved roughly 2% per year growth in 2010-12. Nevertheless, key trade sectors remain vulnerable to weak external demand. The government plans to raise productivity growth and develop infrastructure, while reining in government spending

Source : CIA


 

IDENTIFICATION DETAILS

 

Verified Address

Subject name :                          KIWI STEEL NZ LIMITED

Other style / Business name :     KIWICOLOUR

 

Business address :                    12 Hautu Drive

Town :                                      Wiri

Province :                                 Auckland

Zip/postal code :                       2104

Country :                                   New Zealand

Tel :                                          +64 9 2772700

Fax :                                         +64 9 2772701

Email :                                      sales@kiwisteel.co.nz

Website :                                  www.kiwisteel.co.nz

 

Registered address :                 12 Hautu Drive

Town :                                      Wiri

Province :                                 Auckland

Zip/postal code :                       2104

Country :                                   New Zealand

Postal address :                        P.O. Box 98-851

Town :                                      Manukau City

Province :                                 Auckland

Zip/postal code :                       2241

Country :                                   New Zealand

 

 

SUMMARY DETAILS

 

Executive Summary

Date founded or registered :      27/10/1989

Legal form :                              Limited Private Company

Chief executive :                       Keun Hong Lee

Issued & paid up capital :          NZD 6,550,000

Sales turnover :                         NZD 31,654,548.74 (Non-Consolidated 12 months, 31/12/2012)

Line of business :                      Import and distribution of steel products.

Staff employed :                       70 employees (Subject)

 


 

Company Analysis

 

Country risk :                             Country risk is minimal

Operation trend :                       Operational trend is steady

Management experience :          Management is reasonably experienced

Financial performance :             Financial performance is fair

Organization structure :              Organizational structure is stable

Detrimental :                             No detrimental found

Payment history :                      No payment delays noted

 

 

STATUTORY DETAILS

 

Registry Data

Registration date :                     27/10/1989

Legal form :                              Limited Private Company

Registration no                          436852

Registered authority :                New Zealand Companies Office

Registry status :                        Live/Active

Previous name :                        WONDERVOL INVESTMENTS NO.50 LIMITED (until 22-05-1990)

Change of legal form :               None reported.

 

 

MANAGEMENT / DIRECTORS

 

Key Management

Name :              Keun Hong Lee

Designation :    Managing Director

Name :              Mario Lee

Designation :    Chief Financial Officer

 

 

BOARD OF DIRECTORS/ OTHER APPOINTMENTS

 

Appointments

Name :                          Keun Hong Lee

Designation :                Director

Appointment date :        25/03/92

Address :                     7 Wolseley Avenue

Herne Bay, Auckland 1011

New Zealand

Staff employed :           70 employees (Subject)

 

Key Advisors

Auditors :                      BENDALL AND CANT LIMITED

7th Floor, Southern Cross Building

Corner High Street and Victoria Street

Auckland Central, Auckland 1010

New Zealand

 

 

SHARE CAPITAL

 

Composition

Authorized Capital :       NZD 6,550,000

No of shares :               6,550,000 Ordinary Shares

Share par value :           NZD 1

Issued capital :              NZD 6,550,000

Paid up capital :            NZD 6,550,000

 

 

OWNERSHIP / SHAREHOLDERS

 

How listed :       Full List

 

Composition

Shareholder name :       SKN TRUSTEE LIMITED

Address :                      12 Hautu Drive

Wiri, Auckland 2104

New Zealand

No. of shares :              6,550,000 Ordinary Shares

% of shares :                100%

 

 

RELATED COMPANIES & CORPORATE AFFILIATIONS

 

Structure

Name :              ANDERSON CREAGH LAI LIMITED

Affiliation type :            Ultimate Holding Company

Address :          Level 1, 110 Customs Street West

Auckland Central, Auckland 1010

New Zealand

Comments :      Jeffrey Keng Yew Lai & Philip Charles Creagh each owns 44.87% of Anderson

Creagh Lai Limited shares.

 

Name :              ACL NOMINEES LIMITED

Affiliation type : Intermediate Holding Company

Address :          Level 1, 110 Customs Street West

Auckland Central, Auckland 1010

New Zealand


 

Name :              SKN TRUSTEE LIMITED

Affiliation type : Parent Company

Address :          12 Hautu Drive

Wiri, Auckland 2104

New Zealand

 

Name :              APEX TILE MANUFACTURING 2012 LIMITED

Affiliation type : Wholly-owned Subsidiary

Address :          18 Wedgewood Street

Katikati 3129

New Zealand

 

Name :              INTERNATIONAL ROOFING NZ LIMITED

Affiliation type :            Wholly-owned Subsidiary

Address :          440 Tuapiro Road, RD 1

Katikati 3177

New Zealand

 

Name :             THE BUILDING STORE LIMITED

Affiliation type : Wholly-owned Subsidiary

Address :          12 Hautu Drive

Wiri, Auckland 2104

New Zealand

 

Name :              THE ROOFING STORE LIMITED

Affiliation type : Wholly-owned Subsidiary

Address :          12 Hautu Drive

Wiri, Auckland 2104

New Zealand

 

Name :              PEARCE TOOL & MANUFACTURING 2012 LIMITED

Affiliation type : Wholly-owned Subsidiary

Address :          20 Wedgewood Street

Katikati 3129

New Zealand

 

Name :              KOREAN SAUNA LIMITED

Affiliation type : Sister Company

Address :          12 Hautu Drive

Wiri, Auckland 2104

New Zealand

 

Name :              KHL PROPERTIES LIMITED

Affiliation type : Sister Company

Address :          12 Hautu Drive

Wiri, Auckland 2104

New Zealand


 

BANK & MORTGAGES

 

Bank Details

Name of bank :            Bank of New Zealand

Address :                      New Zealand

Account details :           Current Account

Comments :                  It is generally not the policy of local banks to provide credit status information to

non related parties, however interested parties would be advised to consult first

with the Subject if banker's references are required.

Mortgages :                  None reported.

 

 

Legal Fillings

 

Bankruptcy fillings :       None reported.

Court judgements :        None reported.

Tax liens :                     None reported.

Others :                        None reported.

 

 

FINANCIAL DATA

 

Description

Source of financial statement :   Provided by the Subject

Financial statement date :          31/12/12

Type of accounts :                    Key figures

Currency :                                 New Zealand, Dollar (NZD)

Exchange rate :                         1 USD = NZD 1.21 as of 10-10-2013

 

Summarized Financial Information

Consolidation type :      Non Consolidated Non Consolidated

Currency :                     New Zealand, Dollar

(NZD)

New Zealand, Dollar

(NZD)

Denomination :              (x1) One (x1) One

Date of financial year end : 31/12/12 31/12/11

Length of accounts :     12 months 12 months

Sale turnover / Income : 31,654,548.74 28,343,545.43

 

Comments :                  The key figure above was provided by Mr. Eddy Lee.

The Subject's latest financial statement filed with the New Zealand Companies

Office was for financial year end 31-12-2010.

 


 

OPERATION DETAILS

 

Main activities :                         The Subject is engaged in import and distribution of steel products.

The Subject mainly supplies its products to manufacturers of household

appliances, automotive products, building and civil engineering

constructors.

Product & services : - Steel sheets, plates, pipes, wires and coils

- Roofing products

- Aluminium-Zinc Alloy Coated Coils

- Aluminised Steel Sheet and Coils

- Pre-painted Steel

- Steel processing services such shearing, rolling, slitting, blanking,

recoiling, profile cutting and roll forming.

Brand :                                     KIWICOLOUR

 

Purchases

International :                China, South Korea, Japan, Singapore

 

Sales

Local :                          Yes

International :                No exports.

 

Key events :                 4 August, 2013

Kiwi Steel fined $52,000 after worker lost three fingers

A Lower Hutt steel manufacturer has been fined $52,000 and ordered to

pay $15,000 reparations after a worker had three fingers cut off in an

accident.

 

Kiwi Steel was charged with failing to ensure the worker's safety.

The injury happened as the employee was trying to unjam a blockage on a

guillotine.

 

There was no guard fitted to the rear of the machine although one had

been supplied.

 

Although all three fingers were surgically re-attached, one was

subsequently removed.

 

Source: www.nzherald.co.nz

29 May, 2011

Kiwi steel fined $237,500 for multiple health and safety breaches

One of New Zealand’s leading steel manufacturers has been fined nearly

a quarter of a million dollars for repeated breaches of workplace health and

safety legislation.

 

Kiwi Steel NZ Limited was fined $237,500 in the Manukau District Court for

six separate health and safety offences.

 

Kiwi Steel NZ failed to report four separate accidents to the Department of

Labour. The company was also fined on two charges of failing to

adequately guard machines in the workplace. All told, two workers

suffered de-gloving injuries to their fingers (which involves skin being

stripped from the fingers), one worker had part of a finger amputated and

one worker had his foot broken by a piece of falling steel.

The Judge said there was “no evidence of any effective preventative

measures being put in place, at least until after the Department had

become involved” following the most recent of the four accidents.

 

Kiwi Steel NZ was also ordered to pay a total of $16,500 in reparations to

two of the injured employees. The Judge was “driven to the conclusion that

the defendant adopted a laissez-faireattitude to health and safety issues.”

“Kiwi Steel NZ put its employees at risk, and failed to notify the

Department of Labour about these workplace accidents,” says Department

of Labour Acting Service Manager for Manukau, Jason Papuni.

“All employers are required by law to notify the Department about

accidents at work. We found out about one of these breaches when an

injured employee phoned our contact centre and also made enquiries with

ACC,” says Mr Papuni.

 

Every year hundreds of people are injured while using machinery that is not

adequately guarded.

 

“Employers have a duty to take all practicable steps to make sure that

employees are able to go to work with the peace of mind that they won’t

be injured while going about their daily duties,” says Mr Papuni.

 

The judge fined Kiwi Steel a total of $87,500 on the two charges of failing

to adequately guard machines in the workplace. This means that in the

last six months, the courts have levied fines of $455,012 on 13 companies

(including Kiwi Steel) for machine guarding failures.

 

ENDS

Note to Editor

Kiwi Steel NZ Limited was convicted on two charges under Section 6 and

four charges under Section 25(3)(a) of the Health and Safety in

Employment Act 1992.

 

The details of the accidents are as follows:

In August 2006 an employee suffered serious injuries to his right thumb,

while using a mini-slitter - a machine used to cut sheets of steel into

narrower strips.

 

In August 2007 an employee’s foot was crushed by a sheet of steel.

 

In April 2009 an employee’s finger on his right hand was amputated while

he was working on an industrial guillotine.

 

In August 2009 an employee’s right hand got caught and dragged into the

unguarded cutting knives of a mini-slitter.

Source: www.dol.govt.nz

Property & Assets

 

Premises :                    The Subject operates from the verified heading address consisting of an

administrative office, warehouse and store.

Branches :                    In addition, the Subject operates from branch office and retail stores

located at:

Christchurch Branch

411 Blenheim Road

Sockburn, Christchurch

New Zealand

Tel: +64 3 3436528

 

The Roofing Store Albany

2 Cowley Place

Albany, Auckland

New Zealand

Tel: +64 9 9720060

 

The Roofing Store Wellington

21-23 Wakefield Street

Alicetown, Lower Hutt

New Zealand

Tel: +64 4 9745762

 

 

SUMMARIZED COUNTRY RISK

 

Gross Domestic Products (GDP) & Economic Overview

Central bank :                                        Reserve Bank of New Zealand

Reserve of foreign exchange & gold :    US$ 20.562 billion

Gross domestic product - GDP :            US$ 180.548 billion

GPP (Purchasing power parity) :            126.628 billion of International dollars

GDP per capita - current prices :            US$ 40,454

GDP - composition by sector : agriculture: 4.7%

industry: 24%

services: 71.3%

Inflation : 2009: 2.1%

2010: 2.3%

2011: 4%

Unemployment rate :                             2009: 6.1%

2010: 6.5%

2011: 6.5%

Public debt

(General Government gross debt as

a % GDP) :                                           2009: 26.1%

2010: 32.3%

2011: 37%

Government bond ratings :                    Standard & Poor's: AA+/Stable/A-1+

Moody's rating: Aaa

Moody's outlook: STA

Market value of publicly traded

Shares :                                                US$67.061 billion

Largest companies in the country : Westpac Limited, Transpower, Fletcher Building Limited, National Bank of

New Zealand, Fonterra Co-Operative Group Ltd, Air New Zealand Limited,

The Warehouse Group Limited, Progressive Enterprises Ltd

Trade & Competitiveness Overview

 

Total exports :                           US$33.24 billion

Exports commodities :              Dairy products, meat, wood and wood products, fish, machinery

Total imports :                           US$31.11 billion

Imports commodities :               Machinery and equipment, vehicles and aircraft, petroleum, electronics,

textiles, plastics

Export - major partners :            Australia 22%, US 11.5%, Japan 9.2%, China 5.3%, UK 4.6%

Import - major partners :            Australia 20.7%, China 13.4%, US 9.7%, Japan 9.5%, Singapore 4.9%,

Germany 4.7%

FDI Inflows :                             2008: US$4,598 million

2009: US$-1,293 million

2010: US$561 million

FDI Outflows :                           2008: US$462 million

2009: US$-308 million

2010: US$589 million

 

Best countries for doing business :        3 out of 183 countries

Global competitiveness ranking :            25 (ranking by country on a basis of 142, the first is the best)

Country and Population Overview

Total population : 4.37 million

Total area : 270,467 km2

Capital :                                                Wellington

Currency :                                             New Zealand dollars (NZD)

Internet users as % of total

Population :                                          83%

 


 

PAYMENT HISTORY

 

Purchase Term

International :    Prepayment, Telegraphic transfer, Credit 30-90 days

 

Sales Term

Local :              Prepayment, Cash, Credit card, Bank transfer, Credit 30-90 days

 

Trade Reference/ Payment

Behaviour

Comments :                  As local and international trade references were not supplied, the Subject's

payment track record history cannot be appropriately determined but based

on our research, payments are believed to be met without delay.

Investigation Note

Sources :                      Interviews and material provided by the Subject

Other official and local business sources


 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.61.16

UK Pound

1

Rs.97.77

Euro

1

Rs.82.78

 

 

INFORMATION DETAILS

 

Report Prepared by :

NIS

 

 

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.