MIRA INFORM REPORT

 

 

Report Date :

05.09.2013

 

IDENTIFICATION DETAILS

 

Name :

TUAN MINH LIMITED COMPANY 

 

 

Registered Office :

Chi Ma border gate Yen Khoai Commune, Loc Binh District, Lang Son Province

 

 

Country :

Vietnam

 

 

Financials (as on) :

31.12.2009

 

 

Date of Incorporation :

18.10.2005

 

 

Com. Reg. No.:

4900236502

 

 

Legal Form :

Limited Liability Company

 

 

Line of Business :

trader of agricultural products.

 

 

No. of Employees :

36

 

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 :

Unknown

 

 

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)

Vietnam

B1

B1

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 


 

vietnam ECONOMIC OVERVIEW

 

Vietnam is a densely-populated developing country that has been transitioning from the rigidities of a centrally-planned economy since 1986. Vietnamese authorities have reaffirmed their commitment to economic modernization in recent years. Vietnam joined the World Trade Organization in January 2007, which has promoted more competitive, export-driven industries. Vietnam became an official negotiating partner in the Trans-Pacific Partnership trade agreement in 2010. Agriculture's share of economic output has continued to shrink from about 25% in 2000 to less than 22% in 2012, while industry's share increased from 36% to nearly 41% in the same period. State-owned enterprises account for roughly 40% of GDP. Poverty has declined significantly, and Vietnam is working to create jobs to meet the challenge of a labor force that is growing by more than one million people every year. The global recession hurt Vietnam's export-oriented economy, with GDP in 2012 growing at 5%, the slowest rate of growth since 1999. In 2012, however, exports increased by more than 18%, year-on-year; several administrative actions brought the trade deficit back into balance. Between 2008 and 2011, Vietnam's managed currency, the dong, was devalued in excess of 20%, but its value remained stable in 2012. Foreign direct investment inflows fell 4.5% to $10.5 billion in 2012. Foreign donors have pledged $6.5 billion in new development assistance for 2013. Hanoi has oscillated between promoting growth and emphasizing macroeconomic stability in recent years. In February 2011, the government shifted from policies aimed at achieving a high rate of economic growth, which had stoked inflation, to those aimed at stabilizing the economy, through tighter monetary and fiscal control. Although Vietnam unveiled a broad, "three pillar" economic reform program in early 2012, proposing the restructuring of public investment, state-owned enterprises, and the banking sector, little perceptible progress had been made by early 2013. Vietnam's economy continues to face challenges from an undercapitalized banking sector. Non-performing loans weigh heavily on banks and businesses. In September 2012, the official bad debt ratio climbed to 8.8%, though some independent analysts believe it could be higher than 15%.

 

Source : CIA

 


 

 

SUBJECT IDENTIFICATION & LEGAL FORM

 

Current legal status

English Name

 

TUAN MINH LIMITED COMPANY

Vietnamese Name

 

CONG TY TNHH TUAN MINH 

Short name

 

TUAN MINH CO., LTD

Type of Business

 

Limited liability company

Year Established

 

2005

Business Registration No.

 

4900236502

Date of Registration

 

18 Oct 2005

Place of Registration

 

Department of Planning and Investment of Lang Son Province

Chartered capital

 

VND 12,000,000,000 

Status

 

Unlisted

Tax code

 

4900236502

Total Employees

 

36

Note: The exact name is as above

 

Historical Identification & Legal form

List

Changed Items

Date of changes

1

Subject has got former Address: No 177, Phieng Quan Street, Loc Binh Ward, Lang Son City

Changed to: Chi Ma border gate, Yen khoai Commune, Loc Binh District, Lang Son Province, Vietnam

N/A

 

 

 

company ADDRESSES

 

Head Office

Address

 

Chi Ma border gate Yen Khoai Commune, Loc Binh District, Lang Son Province, Vietnam

Telephone

 

(84-25) 3845688

Fax

 

(84-25) 3845425

 

 

DIRECTORS

 

1. NAME

 

Mr. TRAN MINH TUAN

Position

 

Director

Date of Birth

 

01 Jan 1982

ID Number/Passport

 

080999068

ID Issue Date

 

25 Apr 2005

ID Issue Place

 

Police Station of Lang Son Province

Resident

 

No. 117 Phieng Quan, Loc Binh Town, Loc Binh District, Lang Son Province, Vietnam

Nationality

 

Vietnamese

 

2. NAME

 

Ms. HOANG THI PHUONG

Position

 

Chief Accountant

Nationality

 

Vietnamese

 

 

 

BUSINESS NATURE AND ACTIVITIES

 

The subject specializes in trading agricultural products

 

 

 

IMPORT & EXPORT ACTIVITIES

 

IMPORT:

·         Market

 

Southeast Asia, Africa, Iran, India

·         Ratio

 

70%

·         Mode of payment

 

L/C

 

EXPORT:

·         Market

 

China

·         Ratio

 

100%

 

 

BANKERS

 

1. VIETNAM TECHNOLOGICAL AND COMMERCIAL JOINT STOCK BANK LANG SON BRANCH

Address

 

No.54 Tran Dang Ninh, Hoang Van Thu ward, Lang Son City, Lang Son Province, Vietnam

Telephone

 

(84-25) 3713968

Fax

 

(84-25) 3713966

 

2. BANK FOR DEVELOPMENT AND INVESTMENT OF VIETNAM LANG SON BRANCH

Address

 

No.1 Hoang Van Thu Street, Chi Lang Ward, Lang Son City, Lang Son Province, Vietnam

Telephone

 

(84-25) 3812063

 

 

 

SHAREHOLDERS

 

1. NAME

 

Mr. TRAN MINH TUAN

Position

 

Director

Date of Birth

 

01 Jan 1982

ID Number/Passport

 

080999068

Issued on

 

25 Apr 2005

Issued Place

 

Police Station of Lang Son Province

Resident

 

No. 117 Phieng Quan, Loc Binh Town, Loc Binh District, Lang Son Province, Vietnam

Nationality

 

Vietnamese

Value of shares

 

VND 7,200,000,000

Percentage

 

60%

 

2. NAME

 

Ms. LUU THI THANH HIEN

ID Number/Passport

 

081054646

Resident

 

No. 117 Phieng Quan Loc Binh Town, Loc Binh District, Lang Son Province, Vietnam

Nationality

 

Vietnamese

Value of shares

 

VND 4,800,000,000

Percentage

 

40%

 

 

 

 

FINANCIAL HIGHLIGHT

 

Despite of the best effort, the latest financial data is not available

BALANCE SHEET

Unit: Million VND

Balance sheet date

31/12/2009

31/12/2008

Number of weeks

52

52

ASSETS

A. Current Asset

39,170

27,952

Receivables

13,489

2,202

Inventory

22,899

24,228

Cash and other current assets

2,782

1,522

B. Long term Asset

772

300

1. Long term account receivable

47

0

2. Fixed assets

725

300

Tangible fixed assets

196

300

+ Original cost

291

397

+ Accumulated depreciation value

-95

-97

Financial leasehold assets

0

0

Intangible fixed assets

0

0

Construction in progress and other long term asset

0

0

TOTAL ASSETS

39,942

28,252

 

LIABILITIES

Payable loans

27,845

23,184

Owner’s Equity

12,097

5,068

TOTAL LIABILITY AND EQUITY

39,942

28,252

 

PROFIT & LOSS STATEMENT

 

1. Total Sales

35,416

43,594

2. Deduction item

 

0

3. Net revenue

35,416

43,594

4. Costs of goods sold

32,347

-

5. Gross profit

3,069

-

6. Financial income

744

198

7. Financial expenses

1,327

234

8. Selling expenses and Administrative overheads

2,458

-

9. Net operating profit

28

115

10. Other income

1

35

11. Other expenses

1

105

12. Other profit /(loss)

0

-70

13. Total accounting profit before tax

28

45

14. Current corporate income tax

5

-

15. Deferred corporate income tax

0

-

16. Interest from subsidiaries/related companies

0

-

17. Profit after tax

23

-

 

 

PAYMENT HISTORY & PERFORMANCE EXPERIENCES

 

Trade Morality

 

Normal

Liquidity

 

N/A

Payment status

 

N/A

Financial Situation

 

N/A

Development trend

 

Stable

Litigation data

 

No Record

Bankruptcy

 

No Record

Payment Methods

 

L/C

Sale Methods

 

To contracts

Public opinion

 

Normal

 

 

INTERPRETATION ON THE SCORES

 

 

Tuan Minh Co., Ltd was founded in 2005 as a limited liability company. Currently, the subject is operating under the business registration No. 4900236502 (same as tax code), granted by Department of Planning and Investment of Lang Son Province with the chartered capital of VND 12 billion.

Currently, the subject specializes in trading agricultural products. According to Mr. Duong, Exim Department, its products are mainly imported from Southeast Asia, Africa, Iran and India with the ratio of 70% and the rest is supplied by domestic market. Mr. Duong also said that 100% its products are exported to China market. Premises and facilities are normal. All transactions of the subject are taken in Chi Ma border gate, Yen khoai Commune, Loc Binh District, Lang Son Province, Vietnam with total employees of 36 people. Management capacity is acceptable. The subject is being controlled by Mr. Tran Minh Tuan.

Despite of the best effort, the latest financial data is not available. According to the above financial statement, its business result is normal. The subject reached VND 39,416 million of total sales in 2009 and decreased by 18.8% compared with year 2008. Profit after tax was low with the value of VND 23 million.

In short, the subject is operating in small scale. Its business operation is normal. At current, the subject has capacity to meet small transactions.

 

APPENDIX

 

INDUSTRY DATA

 

Industry code

GDP growth speed by price compared with 1994 (%)

Total enterprises 2010

Total employees 2011

(Thous.pers.)

Annual average capital of enterprises 2010

(billion dongs)

2012

2011

Agriculture, Forestry and Fishing

2.72

4.00

8,887

24,362.9

95,227

Industry and Construction

4.52

5.53

95,217

10,718.9

3,641,376

Trade and Services

6.42

6.69

187,195

15,270.2

6,957,082

 

ECONOMIC INDICATORS

 

 

2012 

2011 

2010 

Population (Million person)

88.78

87.84

86.93

Gross Domestic Products (USD billion)

136

119

102.2

GDP Growth (%)

5.03

5.89

6.78

GDP Per Capita (USD/person/year)

1,540

1,300

1,160

Inflation (% Change in Composite CPI)

9.21

18.58

11.75

State Budget Deficit compared with GDP (%)

4.8

4.9

5.8

 

SERVICE TRADE PERFORMANCE

 

Billion USD 

2012 

2011 

2010 

Exports

114.6

96.3

72.2

Imports

114.3

105.8

84.8

Trade Balance

0.3

-9.5

-12.6

Source: General Statistics Office


 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.67.03

UK Pound

1

Rs.104.32

Euro

1

Rs.88.24

 

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%)

 

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.