MIRA INFORM REPORT

 

 

Report Date :

16.09.2013

 

IDENTIFICATION DETAILS

 

Name :

SYSTEMATIC AVIATION SERVICES SDN. BHD.

 

 

Registered Office :

No.10-1,Jalan 4/76cdesa Pandan, Kuala Lumpur, 55100 Kuala Lumpur, Wilayah Persekutuan

 

 

Country :

Malaysia.

 

 

Financials (as on) :

31.08.2008

 

 

Date of Incorporation :

11.03.1992

 

 

Com. Reg. No.:

235827-W

 

 

Legal Form :

Exempt Private (Limited By Share)

 

 

Line of Business :

Aircraft Chartering, Rental And Maintenance Services

 

 

No. of Employees :

70 [2013]

 

 

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)

 Malaysia

                       A2

A2

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 

 

MALAYSIA - ECONOMIC OVERVIEW

 

Malaysia, a middle-income country, has transformed itself since the 1970s from a producer of raw materials into an emerging multi-sector economy. Under current Prime Minister NAJIB, Malaysia is attempting to achieve high-income status by 2020 and to move farther up the value-added production chain by attracting investments in Islamic finance, high technology industries, biotechnology, and services. NAJIB's Economic Transformation Program (ETP) is a series of projects and policy measures intended to accelerate the country's economic growth. The government has also taken steps to liberalize some services sub-sectors. The NAJIB administration also is continuing efforts to boost domestic demand and reduce the economy''s dependence on exports. Nevertheless, exports - particularly of electronics, oil and gas, palm oil and rubber - remain a significant driver of the economy. As an oil and gas exporter, Malaysia has profited from higher world energy prices, although the rising cost of domestic gasoline and diesel fuel, combined with strained government finances, has forced Kuala Lumpur to begin to reduce government subsidies. The government is also trying to lessen its dependence on state oil producer Petronas. The oil and gas sector supplies about 35% of government revenue in 2011. Bank Negera Malaysia (central bank) maintains healthy foreign exchange reserves, and a well-developed regulatory regime has limited Malaysia''s exposure to riskier financial instruments and the global financial crisis. Nevertheless, Malaysia could be vulnerable to a fall in commodity prices or a general slowdown in global economic activity because exports are a major component of GDP. In order to attract increased investment, NAJIB has raised possible revisions to the special economic and social preferences accorded to ethnic Malays under the New Economic Policy of 1970, but he has encountered significant opposition, especially from Malay nationalists and other vested interests.

Source : CIA

 

 

* Adopted abbreviations :

SC - Subject Company (the company enquired by you)

 

 

N/A - Not Applicable

 

 

EXECUTIVE SUMMARY

 

 

REGISTRATION NO.

:

235827-W

COMPANY NAME

:

SYSTEMATIC AVIATION SERVICES SDN. BHD.

FORMER NAME

:

N/A

INCORPORATION DATE

:

11/03/1992

 

 

 

 

 

 

COMPANY STATUS

:

EXIST

LEGAL FORM

:

EXEMPT PRIVATE (LIMITED BY SHARE)

LISTED STATUS

:

NO

 

 

 

 

 

 

REGISTERED ADDRESS

:

NO.10-1,JALAN 4/76CDESA PANDAN, KUALA LUMPUR, 55100 KUALA LUMPUR, WILAYAH PERSEKUTUAN, MALAYSIA.

BUSINESS ADDRESS

:

HANGAR B & C DCA, SULTAN ABDUL AZIZ SHAH INTERNATIONAL AIRPORT, 47200 SUBANG JAYA, SELANGOR, MALAYSIA.

TEL.NO.

:

03-78469015

FAX.NO.

:

03-78469016

WEB SITE

:

WWW.SASSB.COM.MY

CONTACT PERSON

:

ISMAIL BIN ASHAARI ( CEO )

 

 

 

INDUSTRY CODE

:

51103

PRINCIPAL ACTIVITY

:

AIRCRAFT CHARTERING, RENTAL AND MAINTENANCE SERVICES

AUTHORISED CAPITAL

:

MYR 5,000,000.00 DIVIDED INTO
ORDINARY SHARE 5,000,000.00 OF MYR 1.00 EACH.

ISSUED AND PAID UP CAPITAL

:

MYR 3,000,000.00 DIVIDED INTO
ORDINARY SHARES 3,000,000 CASH OF MYR 1.00 EACH.

 

 

 

SALES

:

N/A

NET WORTH

:

N/A

 

 

 

STAFF STRENGTH

:

70 [2013]

BANKER (S)

:

BANK PERUSAHAAN KECIL & SEDERHANA MALAYSIA BHD
CIMB BANK BHD

LITIGATION

:

CLEAR

DEFAULTER CHECK

:

CLEAR

FINANCIAL CONDITION

:

N/A

PAYMENT

:

N/A

MANAGEMENT CAPABILITY

:

AVERAGE

 

 

 

COMMERCIAL RISK

:

MODERATE

CURRENCY EXPOSURE

:

MODERATE

GENERAL REPUTATION

:

SATISFACTORY

INDUSTRY OUTLOOK

:

AVERAGE GROWTH

 

 

HISTORY / BACKGROUND

The SC is an exempt private company which is allowed to have a minimum of two and a maximum of twenty shareholders and all the shareholders must be individuals. An exempt company is a type of private limited company. As a private limited company, the SC must have at least two directors. A private limited company is a separate legal entity from its shareholders. As a separate legal entity, the SC is capable of owning assets, entering into contracts, suing or be sued by other companies. The SC is governed by the Companies Act, 1965 and must file in its annual return. The SC need not file in its financial statements but it has to file in a document duly signed by its director in charge of its finance, the secretary and its auditor stating that the SC is able to meet all its obligations as and when they fall due. Although the SC is not required to file in its financial statements, it also has to prepare its financial account which must be presented at the Annual General Meeting.

The SC is principally engaged in the (as a / as an) aircraft chartering, rental and maintenance services.

The SC is not listed on Bursa Malaysia (Malaysia Stock Exchange).

 

The major shareholder(s) of the SC are shown as follows :

 

Name

Address

IC/PP/Loc No

Shareholding

(%)

MR. ISMAIL BIN ASHA'ARI +

96, JALAN ATHINAHAPPAN 2, TAMAN TUN DR. ISMAIL, 60000 KUALA LUMPUR, WILAYAH PERSEKUTUAN, MALAYSIA.

500413-01-5931

2,999,999.00

100.00

MS. WAN NOOR AINI ABU +

96,JALAN ATHINAHAPAN 2, TAMAN TUN DR ISMAIL, 60000 KUALA LUMPUR, WILAYAH PERSEKUTUAN, MALAYSIA.

620820-10-6562

1.00

0.00

 

 

 

---------------

------

 

 

 

3,000,000.00

100.00

 

 

 

============

=====

+ Also Director

DIRECTORS

 

DIRECTOR 1

 

Name Of Subject

:

MS. WAN NOOR AINI ABU

Address

:

96,JALAN ATHINAHAPAN 2, TAMAN TUN DR ISMAIL, 60000 KUALA LUMPUR, WILAYAH PERSEKUTUAN, MALAYSIA.

 

 

 

New IC No

:

620820-10-6562

Date of Birth

:

20/08/1962

 

 

 

Nationality

:

MALAYSIAN

Date of Appointment

:

11/02/1995

 

 

 

 

 

 

 

 

 

 

 

 

 

DIRECTOR 2

 

Name Of Subject

:

MR. ISMAIL BIN ASHA'ARI

Address

:

96, JALAN ATHINAHAPPAN 2, TAMAN TUN DR. ISMAIL, 60000 KUALA LUMPUR, WILAYAH PERSEKUTUAN, MALAYSIA.

 

 

 

New IC No

:

500413-01-5931

Date of Birth

:

13/04/1950

 

 

 

Nationality

:

MALAYSIAN

Date of Appointment

:

11/02/1995

 

 

 

 

 

 

 

 

 

 

 

 



MANAGEMENT

 

 

 

1)

Name of Subject

:

ISMAIL BIN ASHAARI

 

Position

:

CEO

 

 

 

 

 

2)

Name of Subject

:

ZULKIFLI MOHD

 

Position

:

HUMAN RESOURCE MANAGER

 

 

 

 

 

 

AUDITOR

 

Auditor

:

SARINA MOHAMAD & ASSOCIATES

Auditor' Address

:

4-1, JALAN WANGSA SETIA 4, WANGSA MELAWATI, 53300 KUALA LUMPUR, WILAYAH PERSEKUTUAN, MALAYSIA.

 

 

 

 

 

 

 

 

COMPANY SECRETARIES

 

1)

Company Secretary

:

MR. AZAHAR BIN GHAZALI

 

 

 

 

 

New IC No

:

611204-10-5545

 

Address

:

10 LORONG LAMAN 2, KAMPUNG PANDAN, 55100 KUALA LUMPUR, WILAYAH PERSEKUTUAN, MALAYSIA.

 

 

 

 

 

 

 

 

 

 

 

 

 

2)

Company Secretary

:

MS. ROBIAH BINTI AHMAD

 

 

 

 

 

New IC No

:

600926-01-6524

 

Address

:

C-01-06,PRIMA DUTA CONDOMINIUM, JALAN DUTAMAS RAYA, 51200 KUALA LUMPUR, WILAYAH PERSEKUTUAN, MALAYSIA.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

BANKING


Banking relations are maintained principally with :

1)

Name

:

BANK PERUSAHAAN KECIL & SEDERHANA MALAYSIA BHD

 

 

 

 

 

 

 

 

 

2)

Name

:

CIMB BANK BHD

 

 

 

 

 

 

 

 

 

 

 

ENCUMBRANCE (S)

 

Charge No

Creation Date

Charge Description

Chargee Name

Total Charge

Status

1

29/05/1997

N/A

DCB BANK BERHAD

MYR 200,000.00

Unsatisfied

2

08/11/2004

N/A

BOH PLANTATIONS SDN BHD COMPANY NO632H

MYR 793,000.00

Unsatisfied

3

02/05/2006

N/A

BANK PERUSAHAAN KECIL & SEDERHANA MALAYSIA BHD

MYR 224,000.00

Unsatisfied

4

29/03/2007

N/A

BANK PERUSAHAAN KECIL & SEDERHANA MALAYSIA BHD

MYR 490,455.00

Unsatisfied

5

10/12/2009

N/A

CIMB BANK BERHAD

MYR 9,500,000.00

Unsatisfied

6

10/12/2009

N/A

CIMB BANK BERHAD

MYR 9,500,000.00

Unsatisfied

7

10/12/2009

N/A

CIMB BANK BERHAD

MYR 9,500,000.00

Unsatisfied

8

26/07/2010

N/A

CIMB BANK BERHAD

MYR 4,150,000.00

Unsatisfied

9

27/12/2011

N/A

BANK PERUSAHAAN KECIL & SEDERHANA MALAYSIA BHD

N/A

Unsatisfied

10

27/12/2011

N/A

BANK PERUSAHAAN KECIL & SEDERHANA MALAYSIA BHD

N/A

Unsatisfied

11

27/12/2011

N/A

BANK PERUSAHAAN KECIL & SEDERHANA MALAYSIA BHD

N/A

Unsatisfied

12

27/12/2011

N/A

BANK PERUSAHAAN KECIL & SEDERHANA MALAYSIA BHD

N/A

Unsatisfied

 

 

LEGAL CHECK AGAINST SC


* A check has been conducted in our databank againt the SC whether the subject has been involved in any litigation. Our databank consists of 99% of the wound up companies in Malaysia.

No legal action was found in our databank.

No winding up petition was found in our databank.

DEFAULTER CHECK AGAINST SC


* We have checked through the SC in our defaulters' database which comprised of debtors that have been blacklisted by our customers and debtors that have been placed or assigned to us for collection since 1990. Information was provided by third party where the debt amount can be disputed. Please check with creditors for confirmation as alleged debts may have been paid since recorded or are being disputed.

No blacklisted record & debt collection case was found in our defaulters' databank.

PAYMENT RECORD

 

 

 

SOURCES OF RAW MATERIALS:

Local

:

YES

Overseas

:

YES

 

 

 

 

CLIENTELE

 

Local

:

YES

Percentage

:

100%

Domestic Markets

:

MALAYSIA

Overseas

:

NO

 

 

 

 

 

 

 

 

 

Credit Term

:

AS AGREED

 

 

 

 

 

 

Payment Mode

:

CHEQUES

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 


The SC provides aircraft services mainly to the goverment sectors.

OPERATIONS

 

Services

:

AIRCRAFT CHARTERING, RENTAL AND MAINTENANCE SERVICES

 

 

 

 

Competitor(s)

:

SHAFERD LOGISTICS (M) SDN BHD
WESTSTAR AVIATION SERVICES SDN BHD

 

 

 

 

 

 

Total Number of Employees:

 

YEAR

2013

2010

2009

2008

 

 

GROUP

N/A

N/A

N/A

N/A

 

 

 

 

 

COMPANY

70

70

45

50

 

 

 

 

 

 

Branch

:

NO

 

 

Other Information:


The SC is principally engaged in the (as a / as an) aircraft chartering, rental and maintenance services.

The SC is principally engaged in the provision aircraft maintenance and aircraft charter services.

The SC's Licensed Aircraft Engineers are well qualified and experience in various types of aircraft, both fixed and rotary wings.

The SC however refused to disclose further information on its operation.

RECENT DEVELOPMENT


We have checked with the Malaysian National News Agency's (BERNAMA) database, but no latest

CURRENT INVESTIGATION

Latest fresh investigations carried out on the SC indicated that :

Telephone Number Provided By Client

:

N/A

Current Telephone Number

:

03-78469015

Match

:

N/A

 

 

 

Address Provided by Client

:

DCA HANGAR B SULTAN ABDUL AZIZ SHAH AIRPORT 47200 SUBANG - MALAISIE

Current Address

:

HANGAR B & C DCA, SULTAN ABDUL AZIZ SHAH INTERNATIONAL AIRPORT, 47200 SUBANG JAYA, SELANGOR, MALAYSIA.

Match

:

NO

 

 

 

Latest Financial Accounts

:

NO


We have contacted the SC's Accountant and its Company Secretary for the latest financial accounts. However they have rejected our request in view of the confidentiality of the documents.

 

 

Other Investigations


On 9th September 2013 we contacted one of the staff from the SC and she provided some information on the SC.

The address provided is incomplete.

FINANCIAL ANALYSIS

 

 

The SC is a private exempt company which does not need to file in its accounts with the Registrar of Companies for the information of the public. Therefore, we are not able to comment on the SC's financial performance.

 

 

 

 

 

 

 

Overall financial condition of the SC : N/A

 

 

 

MALAYSIA ECONOMIC / INDUSTRY OUTLOOK

 

Major Economic Indicators:

2009

2010

2011

2012*

2013**

 

 

 

 

 

 

Population ( Million)

28.13

28.35

28.70

29.30

29.80

Gross Domestic Products ( % )

<0.5>

7.2

5.1

5.6

5.3

Domestic Demand ( % )

2.9

6.3

8.2

9.4

5.6

Private Expenditure ( % )

<2.7>

8.1

8.2

8.0

7.4

Consumption ( % )

0.7

6.7

7.1

1.0

5.7

Investment ( % )

<17.2>

17.7

12.2

11.7

13.3

Public Expenditure ( % )

5.2

3.8

8.4

13.3

1.2

Consumption ( % )

3.1

0.2

16.1

11.3

<1.2>

Investment ( % )

8.0

2.8

<0.3>

15.9

4.2

 

 

 

 

 

 

Balance of Trade ( MYR Million )

89,650

118,356

116,058

106,300

110,700

Government Finance ( MYR Million )

<28,450>

<40,482>

<45,511>

<42,297>

<39,993>

Government Finance to GDP / Fiscal Deficit ( % )

<4.8>

<5.6>

<5.4>

<4.5>

<4.0>

Inflation ( % Change in Composite CPI)

<5.2>

5.1

3.1

1.6

2.5

Unemployment Rate

4.5

3.9

3.3

3.2

3.0

 

 

 

 

 

 

Net International Reserves ( MYR Billion )

331

329

415

427

-

Average Risk-Weighted Capital Adequacy Ratio ( % )

2.87

2.20

3.50

2.20

-

Average 3 Months of Non-performing Loans ( % )

11.08

15.30

14.80

14.70

-

Average Base Lending Rate ( % )

5.53

6.30

6.60

6.53

-

Business Loans Disbursed( % )

10.5

14.7

15.3

32.2

-

Foreign Investment ( MYR Million )

22,156.8

22,517.9

23,546.1

26,230.4

-

Consumer Loans ( % )

-

-

-

-

-

 

 

 

 

 

 

Registration of New Companies ( No. )

41,578

44,148

45,455

45,441

-

Registration of New Companies ( % )

<0.1>

6.2

3.0

<0.0>

-

Liquidation of Companies ( No. )

39,075

25,585

132,476

-

-

Liquidation of Companies ( % )

39.6

<34.5>

417.8

-

-

 

 

 

 

 

 

Registration of New Business ( No. )

312,581

271,414

284,598

324,761

-

Registration of New Business ( % )

-

-

-

-

-

Business Dissolved ( No. )

19,345

19,738

20,121

-

-

Business Dissolved ( % )

2.4

2.0

1.9

-

-

 

 

 

 

 

 

Sales of New Passenger Cars (' 000 Unit )

486.3

543.6

535.1

552.2

-

Cellular Phone Subscribers ( Million )

30.1

32.8

35.3

38.5

-

Tourist Arrival ( Million Persons )

23.6

24.6

24.7

25.0

-

Hotel Occupancy Rate ( % )

58.0

63.0

60.6

62.4

-

 

 

 

 

 

 

Credit Cards Spending ( % )

12.8

14.1

15.6

12.6

-

Bad Cheque Offenders (No.)

36,667

33,568

32,627

26,982

-

Individual Bankruptcy ( No.)

16,228

18,119

19,167

19,575

-

Individual Bankruptcy ( % )

16.7

11.7

5.8

2.1

-

 

 

 

 

 

 

 

INDUSTRIES ( % of Growth ):

2009

2010

2011

2012*

2013**

 

 

 

 

 

 

Agriculture

0.4

2.1

5.9

0.6

2.4

Palm Oil

<1.1>

<3.4>

10.8

<2.8>

-

Rubber

<19.8>

9.9

6.1

<0.6>

-

Forestry & Logging

<5.9>

<3.3>

<7.6>

<2.2>

-

Fishing

5.5

5.6

2.1

<0.7>

-

Other Agriculture

9.0

7.9

7.1

6.4

-

Industry Non-Performing Loans ( MYR Million )

413.7

508.4

634.1

-

-

% of Industry Non-Performing Loans

1.3

2.1

3.2

-

-

 

 

 

 

 

 

Mining

<3.8>

0.2

<5.7>

1.5

2.7

Oil & Gas

2.1

0.5

<1.7>

-

-

Other Mining

-

-

-

-

-

Industry Non-performing Loans ( MYR Million )

44.2

49.7

46.5

-

-

% of Industry Non-performing Loans

0.1

0.1

0.1

-

-

 

 

 

 

 

 

Manufacturing #

<9.4>

11.4

4.7

4.2

4.9

Exported-oriented Industries

<19.0>

12.1

2.8

4.1

-

Electrical & Electronics

<30.3>

28.4

<4.9>

1.6

-

Rubber Products

<10.1>

25.3

15.4

3.6

-

Wood Products

<24.1>

20.1

<4.9>

4.6

-

Textiles & Apparel

<19.5>

<0.4>

14.8

<7.1>

-

Domestic-oriented Industries

<9.8>

16.3

6.5

8.6

-

Food, Beverages & Tobacco

0.2

3.0

4.2

-

-

Chemical & Chemical Products

<7.7>

16.2

5.5

9.9

-

Plastic Products

<9.1>

2.4

3.8

-

-

Iron & Steel

<32.7>

29.3

2.4

-

-

Fabricated Metal Products

<2.5>

14.9

25.2

-

-

Non-metallic Mineral

<15.5>

20.2

27.1

6.6

-

Transport Equipment

<13.5>

36.5

<10.4>

13.7

-

Paper & Paper Products

<5.0>

18.7

14.8

<7.8>

-

Crude Oil Refineries

0.2

<11.4>

9.3

-

-

Industry Non-Performing Loans ( MYR Million )

6,007.3

6,217.5

6,537.2

-

-

% of Industry Non-Performing Loans

18.3

23.8

25.7

-

-

 

 

 

 

 

 

Construction

5.8

5.1

4.4

15.5

11.2

Industry Non-Performing Loans ( MYR Million )

3,241.8

4,038.5

3,856.9

-

-

% of Industry Non-Performing Loans

9.9

10.7

10.2

-

-

 

 

 

 

 

 

Services

2.6

6.5

6.4

5.5

5.6

Electric, Gas & Water

0.4

8.5

5.6

4.8

-

Transport, Storage & Communication

1.6

7.7

6.5

7.3

-

Wholesale, Retail, Hotel & Restaurant

2.8

4.7

5.2

6.9

-

Finance, Insurance & Real Estate

3.8

6.1

6.3

6.5

-

Government Services

2.0

6.7

7.6

5.6

-

Other Services

4.4

4.2

5.4

5.7

-

Industry Non-Performing Loans ( MYR Million )

6,631.3

7,384.6

6,825.2

-

-

% of Industry Non-Performing Loans

20.2

25.7

23.4

-

-

 

 

 

 

 

 

 

 

 

 

 

 

* Estimate / Preliminary

 

 

 

 

 

** Forecast

 

 

 

 

 

# Based On Manufacturing Production Index
(Source : Department of Statistics / Economic Report / Bank Negara Report)

 

 

 

 

 

 

 

INDUSTRY ANALYSIS

 

MSIC CODE

51103 : Renting of air-transport equipment with operator for the purpose of passenger transportation

 

 

INDUSTRY :

TRANSPORTATION

 

 

 

The Malaysian transportation industry is forecast to grow at a compound annual growth rate of 11.6% to reach RM203.71 billion in 2016.

 

In 2013, the transportation industry is expected to have a growth of 6.7% due to the implementation of Government Transformation Programme and the Economic Transformation Programme (ETP). According to Budget 2013, RM9.4 billion is allocated for the transportation sector, including RM4.2 billion for improving access and connectivity in urban public transport. Substantial provision is also made for the construction, maintenance and upgrading of roads and bridges, railways, airports, ports and jetties as well as rural infrastructure major ongoing transport projects include the East Coast Highway (LPT) Phase II from Jabor to Kuala Terengganu and the Central Spine Federal Road (Package 3). New projects slated for the year include upgrading of roadworks between Donggongan to Simpang Jalan Papar Spur (Package 1) (Sabah), Pekan-Nenasi-Endau (Pahang); and Batu Maung to Pulau Pinang Second Bridge (Bayan Lepas Expressway) as well as upgrading of rail infrastructure in Lembah Klang (Phase 1). Construction of the West Coast Highway from Taiping to Banting is also expected to commence in 2013.

 

During the first half of 2012, the transport and storage sector grew 5.9% due to sustained passenger travel and moderate trade activities. Growth was also supported by initiatives to modernise the transport infrastructure, particularly ports, airports and public transport. In 2012, the sector had increased to 5.2% as domestic economic activities remain resilient amid a moderate trade expansion. In addition, Malaysia ranked seventh in the Liner Shipping Connectivity Index (LSCI) by the United Nations Conference on Trade and Development (UNCTAD), underscoring the growing importance of Malaysia as a regional logistics hub. The changing dynamics of the global shipping environment have, however, affected the domestic maritime industry. The introduction of ultra-large ships with a higher carrying capacity has lowered the charter rates due to economies of scale. This has prompted domestic ports to purchase new cranes andbuild new wharfs to cater for the berth of ultra-large ships in efforts to remain competitive.

 

The performance of the land transport segment is expected to remain steady supported by initiatives to upgrade roads and public transport infrastructure to ensure a seamless movement of goods and services. During the first six months of 2012, the number of vehicles on tolled highways increased 4.5% to 761.4 million. In urban public transport, total ridership on RapidKL and RapidPenang bus services rose 3.8% to 67.5 million passengers during the first six months of 2012.

 

The air transport market plays an active role in Malaysia's economic development by supporting the country's trade and tourism. The Malaysia's car rental market developing into one of the most mature kind in the Asia-Pacific region. Malaysia's rail network only covers 1,849km and transports 4-4.5 million passengers per year. As such, the rail transportmarket accounts for a small share on the total passanger transportation industry. Malaysia also emerging as an important cruise destination in the Asia-Pacific regoin. During the first half of 2012, growth in the air transport segment was moderate despite sustained demand for passenger travel. Total passenger traffic in airports nationwide expanded 4.1% to 33.2 million partly attributed to increased connectivity following the entry of new airlines to Malaysia such as Mandala Airlines and Bangkok Airways.

 

A world-class public transport system is imperative as the nation moves towards a high-income and developed economy. The Sungai Buloh-Kajang Line MY Rapid Transit (SBK-MRT) service, which is expected to be operational by 2017, will transform the urban public transport infrastructure in the Klang Valley. Similarly, there is a need to improve the public transport system in major cities outside Klang Valley to facilitate a seamless and efficient movement of people, goods and services.

 

 

 

OVERALL INDUSTRY OUTLOOK : Average Growth

 

CREDIT RISK EVALUATION & RECOMMENDATION

 


Incorporated in 1992, the SC is a Exempt Private company, focusing on aircraft chartering, rental and maintenance services. With over 2 decades of experience in the business, the SC has fairly rich experiences in the business and has achieved a certain market share. The capital standing of the SC is fair. With an adequate share capital, the SC has the potential of expanding its business in future.

Over the years, the SC should have build up its clientele base and received supports from its regular customers. Investigation revealed that the SC's interest lies mostly in the local market. Thus, any adverse changes to the local economy might have a negative impact on the SC's business performance. Being a moderate size company, the SC has a total workforce of 70 employees in its business operations. Overall, we regard that the SC's management capability is average.

As the SC is registered as an Exempt Private company, it is not required to file financial statements for public review. As such, we are unable to ascertain its present financial health.

The SC's supplier are from both the local and overseas countries. This will eliminates the risk of dependency on deliveries from a number of key suppliers and insufficient quantities of its raw materials.

The industry shows an upward trend and this trend is very likely to sustain in the near terms. Hence, the SC is expected to benefit from the favourable outlook of the industry.

In view of the above, we only recommend credit be proceeded to the SC with guarantee.

 

 

PROFIT AND LOSS ACCOUNT

 

 

THE FINANCIAL STATEMENTS WERE PREPARED IN ACCORDANCE WITH MALAYSIAN FINANCIAL REPORTING STANDARDS(FRS)

SYSTEMATIC AVIATION SERVICES SDN. BHD.

 

Financial Year End

2008-08-31

2007-08-31

Months

12

12

Consolidated Account

Company

Company

Audited Account

YES

YES

Unqualified Auditor's Report (Clean Opinion)

YES

YES

Financial Type

FULL

FULL

Currency

MYR

MYR

 

 

 

TURNOVER

13,240,476

15,788,722

 

----------------

----------------

Total Turnover

13,240,476

15,788,722

 

----------------

----------------

 

 

 

PROFIT/(LOSS) FROM OPERATIONS

120,096

115,286

 

----------------

----------------

PROFIT/(LOSS) BEFORE TAXATION

120,096

115,286

Taxation

<167,348>

<106,355>

 

----------------

----------------

PROFIT/(LOSS) AFTER TAXATION

<47,252>

8,931

 

----------------

----------------

PROFIT/(LOSS) BEFORE EXTRAORDINARY ITEMS

<47,252>

8,931

 

----------------

----------------

PROFIT/(LOSS) ATTRIBUTABLE TO SHAREHOLDERS

<47,252>

8,931

RETAINED PROFIT/(LOSS) BROUGHT FORWARD

 

 

As previously reported

780,110

771,179

 

----------------

----------------

As restated

780,110

771,179

 

----------------

----------------

PROFIT AVAILABLE FOR APPROPRIATIONS

732,858

780,110

 

----------------

----------------

RETAINED PROFIT/(LOSS) CARRIED FORWARD

732,858

780,110

 

=============

=============

 

 

 

 

 

BALANCE SHEET

 

 

SYSTEMATIC AVIATION SERVICES SDN. BHD.

 

ASSETS EMPLOYED:

 

 

FIXED ASSETS

2,889,661

1,940,456

 

 

 

 

----------------

----------------

TOTAL LONG TERM ASSETS

2,889,661

1,940,456

 

 

 

CURRENT ASSETS

 

 

Trade debtors

3,304,354

4,967,438

Other debtors, deposits & prepayments

2,379,858

1,810,109

Short term deposits

559,506

440,103

Cash & bank balances

291,454

316,687

 

----------------

----------------

TOTAL CURRENT ASSETS

6,535,172

7,534,337

 

----------------

----------------

TOTAL ASSET

9,424,833

9,474,793

 

=============

=============

 

 

 

CURRENT LIABILITIES

 

 

Trade creditors

1,918,814

1,751,498

Other creditors & accruals

107,831

23,437

Amounts owing to director

2,818,087

3,165,793

Provision for taxation

481,940

311,200

 

----------------

----------------

TOTAL CURRENT LIABILITIES

5,326,672

5,251,928

 

----------------

----------------

NET CURRENT ASSETS/(LIABILITIES)

1,208,500

2,282,409

 

----------------

----------------

TOTAL NET ASSETS

4,098,161

4,222,865

 

=============

=============

 

 

 

SHARE CAPITAL

 

 

Ordinary share capital

3,000,000

3,000,000

 

----------------

----------------

TOTAL SHARE CAPITAL

3,000,000

3,000,000

 

 

 

RESERVES

 

 

Retained profit/(loss) carried forward

732,858

780,110

 

----------------

----------------

TOTAL RESERVES

732,858

780,110

 

 

 

 

----------------

----------------

SHAREHOLDERS' FUNDS/EQUITY

3,732,858

3,780,110

 

 

 

LONG TERM LIABILITIES

 

 

Deferred taxation

365,303

442,755

 

----------------

----------------

TOTAL LONG TERM LIABILITIES

365,303

442,755

 

----------------

----------------

 

4,098,161

4,222,865

 

=============

=============

 

 

FINANCIAL RATIO

 

 

SYSTEMATIC AVIATION SERVICES SDN. BHD.

 

TYPES OF FUNDS

 

 

Cash

850,960

756,790

Net Liquid Funds

850,960

756,790

Net Liquid Assets

1,208,500

2,282,409

Net Current Assets/(Liabilities)

1,208,500

2,282,409

Net Tangible Assets

4,098,161

4,222,865

Net Monetary Assets

843,197

1,839,654

BALANCE SHEET ITEMS

 

 

Total Borrowings

0

0

Total Liabilities

5,691,975

5,694,683

Total Assets

9,424,833

9,474,793

Net Assets

4,098,161

4,222,865

Net Assets Backing

3,732,858

3,780,110

Shareholders' Funds

3,732,858

3,780,110

Total Share Capital

3,000,000

3,000,000

Total Reserves

732,858

780,110

LIQUIDITY (Times)

 

 

Cash Ratio

0.16

0.14

Liquid Ratio

1.23

1.43

Current Ratio

1.23

1.43

WORKING CAPITAL CONTROL (Days)

 

 

Stock Ratio

0

0

Debtors Ratio

91

115

Creditors Ratio

53

40

SOLVENCY RATIOS (Times)

 

 

Gearing Ratio

0.00

0.00

Liabilities Ratio

1.52

1.51

Times Interest Earned Ratio

0.00

0.00

Assets Backing Ratio

1.37

1.41

PERFORMANCE RATIO (%)

 

 

Operating Profit Margin

0.91

0.73

Net Profit Margin

<0.36>

0.06

Return On Net Assets

2.93

2.73

Return On Capital Employed

2.93

2.73

Return On Shareholders' Funds/Equity

<1.27>

0.24

Dividend Pay Out Ratio (Times)

0.00

0.00

NOTES TO ACCOUNTS

 

 

Contingent Liabilities

0

0




FOREIGN EXCHANGE RATES

 

Currency
Unit

Indian Rupees

US Dollar

1

Rs.63.78

UK Pound

1

Rs.100.70

Euro

1

Rs.84.66

 

INFORMATION DETAILS

 

Report Prepared by :

NLM

 

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.