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Report Date : |
14.10.2013 |
IDENTIFICATION DETAILS
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Name : |
FORTUNE BEST INTERNATIONAL LTD. |
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Registered Office : |
Room 9-16, 47/F World Trade Tower, No. 686 Jiefang Avenue, Hankou, Jianghan
District, Wuhan, Hubei Province 430022 Pr |
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Country : |
China |
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Financials (as on) : |
---- |
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Date of Incorporation : |
---- |
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Com. Reg. No.: |
---- |
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Legal Form : |
---- |
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Line of Business : |
Subject is
engaged in international trading of iron &
steel, raw materials, equipment’s. |
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No. of Employees : |
---- |
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 : |
Not Registered in China |
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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
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Country Name |
Previous Rating (31.12.2012) |
Current Rating (31.03.2013) |
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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 2012 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 under 8% for 2012. An economic slowdown in Europe
contributed to China's, and is expected to further drag Chinese growth in 2013.
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 |
FORTUNE BEST
INTERNATIONAL LTD.
ROOM 9-16, 47/F WORLD TRADE TOWER, NO. 686 JIEFANG AVENUE
HANKOU, JIANGHAN DISTRICT, WUHAN, HUBEI PROVINCE 430022 PR CHINA
TEL: 86 (0) 27-85448800
FAX: 86 (0) 27-85448789
NARRATIVE
REPORT
This refers to a type of report whose format is different from that of a
standard report. Such type of report is provided when:
l Information
obtained is insufficient for compiling a standard report.
l The enquired co
has been out of business or its business address has been untraceable.
It should be noted that the time and manpower spent on preparing such
type of report might be greater than those on a standard report. On many
occasions, the information in this type of report still indicates the current
status of the enquired co. and serves as a useful reference to assess its
credit standing.
------------------------------------------
Adopted abbreviations (as follows)
SC - Subject Company
(the company inquired by you)
N/A – Not available
CNY – China Yuan Ren
Min Bi
²
The
telephone number clients provided is as follows,
Tel: 86 (0)
27-85448800
When we dialed the above telephone number, a gentleman answered the phone.
He admitted the given name, and told us SC’s Chinese name in translation is “祥有国际有限公司”, which is
registered in B.V.I., but operates in Wuhan, Hubei province, mainland China.
²
The gentleman
introduced the below information,
A.
SC is mainly engaged in international
trade.
B.
The products mainly include: iron &
steel, raw materials, equipments.
C.
SC sources its materials 100% from domestic market.
SC sells 100% to overseas market.
D.
SC’s related companies are as follows,
---------------------------------------------------
Fortune Best
Corporation Limited (Hong Kong)
Fortune Best
Corporation Limited Wuhan Representative Office
Wuhan Fortune Best Century Trading Co., Ltd.
Hubei Fortune Best Xinyuan Industry & Trade Co., Ltd.
Room 9-16,
47/F World Trade Tower, No. 686 Jiefang Avenue, Hankou, Jianghan District,
Wuhan, Hubei Province 430022 PR China
According to the gentleman, SC and its related companies (the above
mentioned ones) locate in the heading address at present
The B.V.I. registration
information is not available at present, so we could confirm if SC is
registered legally.
During our check with Hong
Kong Registry, we found the following registration for SC’s related company,
---------------------------------------------------------------------------
Company Name: Fortune Best Corporation Limited
Company File No.: 0764737
Date of Registration: July 27, 2001
Legal Form: Private
Status: Live
A research
was conducted with Wuhan municipal and Hubei Provincial State Administration of
Industry & Commerce (SAIC-the official body of issuing and renewing
business license), and we found the registration information for SC’s related
companies,
---------------------
Company
Name: Fortune Best Corporation Limited Wuhan Representative Office
Registration No.: 5475409
Date of Registration: September 13, 2005
Principal: Yu Linqing
Company
Name: Wuhan
Fortune Best Century Trading Co., Ltd.
Registration No.: 420103000100802
Date of Registration: March 14, 2007
Legal Form: Limited Liabilities Company
Registered Capital: CNY 10,000,000
Legal Representative: Yu Linqing
Company
Name: Hubei Fortune Best Xinyuan Industry & Trade Co., Ltd.
Registration No.: 420000000050683
Date of Registration: March 12, 2012
Legal Form: Limited Liabilities Company
Registered Capital: CNY 30,000,000
Legal Representative: Yu Linqing
We could confirm if SC is registered legally.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.61.16 |
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UK Pound |
1 |
Rs.97.77 |
|
Euro |
1 |
Rs.82.78 |
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 |
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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.