MIRA INFORM REPORT

 

 

Report Date :

02.04.2014

 

IDENTIFICATION DETAILS

 

Name :

SHIH-KUEN PLASTICS COMPANY LIMITED

 

 

Registered Office :

32-26, Ma-Tou Kou, Ma-Kou Li, Ma-Tou Dist., Tainan City

 

 

Country :

Taiwan

 

 

Financials (as on) :

31.12.2012

 

 

Date of Incorporation :

07.10.1986

 

 

Com. Reg. No.:

22281617

 

 

Legal Form :

Joint Stock Company

 

 

Line of Business :

·         Engaged in manufacturing and sale of PVC sheets including glow sheet, reflective sheet, semi-rigid sheet, PE Sheet, PEVA sheet, EVA sheet, Embossed PVC sheet, Transparent PVC sheet & plastic film

·         Engaged in manufacturing and sale trading of various plastic products

·         Engaged in trading and manufacturing of various shoes and non-woven fabric.

 

 

No. of Employees

Not Available 

 

RATING & COMMENTS

 

MIRA’s Rating :

Ba

 

RATING

STATUS

PROPOSED CREDIT LINE

41-55

Ba

Overall operation is considered normal. Capable to meet normal commitments.

Satisfactory

 

Status :

Satisfactory 

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 – december 01, 2013

 

Country Name

Previous Rating

(30.09.2013)

Current Rating

(01.12.2013)

Taiwan 

A2

A2

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 


Taiwan ECONOMIC OVERVIEW

 

Taiwan has a dynamic capitalist economy with gradually decreasing government guidance of investment and foreign trade. Exports, led by electronics, machinery, and petrochemicals have provided the primary impetus for economic development. This heavy dependence on exports exposes the economy to fluctuations in world demand. Taiwan's diplomatic isolation, low birth rate, and rapidly aging population are other major long-term challenges. Free trade agreements have proliferated in East Asia over the past several years, and following the landmark Economic Cooperation Framework Agreement (ECFA) signed with China in June 2010, Taiwan in July 2013 signed a free trade deal with New Zealand—Taipei’s first-ever with a country with which it does not maintain diplomatic relations—and in November inked a trade pact with Singapore. Negotiations continue on follow-on components of ECFA regarding trade in goods and a dispute resolution mechanism; a trade in services agreement is under review in the legislature. Taiwan's Total Fertility rate of just over one child per woman is among the lowest in the world, raising the prospect of future labor shortages, falling domestic demand, and declining tax revenues. Taiwan's population is aging quickly, with the number of people over 65 accounting for 11.2% of the island's total population as of 2012. The island runs a large overall trade surplus largely because of its surplus with China, and its foreign reserves are the world's sixth largest, behind China, Japan, Saudi Arabia, Russia, and Switzerland. In 2006 China overtook the US to become Taiwan's second-largest source of imports after Japan. China is also the island's number one destination for foreign direct investment. Taiwan since 2009 has gradually loosened rules governing Chinese investment on the island, and has also secured greater market access for its investors in the mainland. In August 2012, Taiwan Central Bank signed a memorandum of understanding on cross-Strait currency settlement with its Chinese counterpart. The MOU allows for the direct settlement of Chinese RMB and the New Taiwan dollar across the Strait, which could help develop Taiwan into a local RMB hub. Closer economic links with the mainland bring greater opportunities for the Taiwan economy, but also poses new challenges as the island becomes more economically dependent on China while political differences remain unresolved.

 

Source : CIA

 

 

 


Contact Points

 

Company Name:

Shih-Kuen Plastics Company Limited

Supplied Name:

SHIH KUEN PLASTICS COMPANY LIMITED

Trading Address:

32-26, Ma-Tou Kou, Ma-Kou Li, Ma-Tou Dist., Tainan City, Taiwan

Supplied Address:

32-26, MA-TOU KOU, MA-KOU LI, MA-TOU TOWN, TAINAN HSIEN Taiwan

Telephone Number:

+886-6-570-1212

Fax Number:

+886-6-570-1213

Notes: Subject’s exact name and address are as above.

 

 

Credit Summary

 

Credit Opinion:

Business connections are permissible.

 

 

Company Identification Details

 

Registered Name:

Shih-Kuen Plastics Company Limited

Registered Address:

32-26, Ma-Tou Kou, Ma-Kou Li, Ma-Tou Dist., Tainan City, Taiwan

Date of Foundation:

1986-10-7

Registration Number:

22281617

Registry:

Department of Commerce, Ministry of Economic Affairs, R.O.C.

Registered Capital:

NTD 550,140,000 (USD 18,099,606)

(As of 2014.03, 1 NTD = 0.0329 USD)

Paid-up Capital:

NTD 550,140,000 (USD 18,099,606)

Legal Representatives:

Zhangfu Lin

Legal Form:

Joint Stock Company

Principal Activities:

Manufacturing and sale of PVC sheets

Staff:

N/A

Listed at Stock Exchange:

Yes; (Stock Code: 4305)

Date of Last Annual Return:

2013-7-8

 

Notes: Subject declined to disclose the number of staff, and from other source we cannot obtain the information.

 

 

History

 

Subject was incorporated on 1986-10-7 with registered number 22281617 as Joint Stock Company in Taiwan.

 

Subject listed on Taiwan Stock Exchange on 2000-9-28

 

 

Shareholders

 

Name

Subscription Shares

Zhangfu Lin

5,470,180         

Zhicheng Hong

2,308,687

Zhaoyu Huang

1,105,007

Huizhen Ma

186,720

Juncheng Chen

4,417,253

Manling Huang

1,847,235

Zhimin Chen

13,711

Huanwen Chen

2,126,514

The information above is that of subject’s major shareholders.

 

Subsidiaries & Branches

 

Subject did not introduce any subsidiaries or branches, from other source we can not obtain the relevant information, either.

 

Personnel Information

 

Core Management

Directors

1

Name

Zhangfu Lin

Position

Board of Chairman

2

Name

Zhicheng Hong

Position

Director

3

Name

Zhaoyu Huang

Position

Director

4

Name

Huizhen Ma

Position

Director

5

Name

Juncheng Chen

Position

Director

6

Name

Manling Huang

Position

Director

7

Name

Zhimin Chen

Position

Director

8

Name

Liangzhen Zhou

Position

Supervisor

9

Name

Cicheng Zhou

Position

Supervisor

10

Name

Huanwen Chen

Position

Supervisor

11

Name

Juncheng Chen

Position

Manager

Date of appointment:

1996-11-20

 

 

Operation Information

 

Offices & Factories

 

Headquarters

Add

32-26, Ma-Tou Kou, Ma-Kou Li, Ma-Tou Dist., Tainan City, Taiwan

 

Production Information

l  Subject is engaged in manufacturing of PVC sheets

l  It is introduced that subject has a factory in Taiwan for production, but we cannot obtain the detail information.

l  Subject obtained the certification of ISO 9001.

 

Purchase Information

 

The registered activities of subject:

 

Details

--

Manufacturing and sale trading of various plastic products

--

Trading and manufacturing of various shoes and non-woven fabric.

ZZ99999

Besides licensed business, all other business items those are not banned or restricted.

 

l  The raw materials for production are both purchased at home abroad.

 

Sales Information

l  Subject is engaged in sale of PVC sheets

l  The major products sold by subject include glow sheet, reflective sheet, semi-rigid sheet, PE Sheet, PEVA sheet, EVA sheet, Embossed PVC sheet, Transparent PVC sheet & plastic film

l  Subject’s sales regions include domestic market, Japan, Korea, Southeast Asia, USA, North America, Europe, South Africa, etc.

l  Subject’s major customers are Dario Mejia Henao S.A, R.l Plastics Inc. and Command Plastic Corp., etc.

 

Import and export right:

Import right

Yes

Export right

Yes

 

Settlements

 

Purchase

Domestic Purchase

Product

Terms

Proportion

Raw materials, etc.

T/T, Cash, etc

100%

 

Foreign Purchase

Product

Terms

Proportion

Raw materials, etc.

L/C, T/T, etc

100%

 

Sales

Domestic Markets

Product

Terms

Proportion

PVC sheets, etc.

T/T, Cash, etc

100%

 


Export

Product

Terms

Proportion

PVC sheets, etc.

L/C, T/T, etc

100%

 

Balance Sheet

Unit: NTD/000

 

2012-12-31

2011-12-31

Assets

 

 

Current assets

 

 

Cash and cash equivalents

324,961.00

269,326.00

Notes receivable - net

62,664.00

73,179.00

Accounts receivable - net

152,300.00

136,618.00

Other receivables

2.00

13.00

Inventories

118,709.00

92,561.00

Advance payment

2,137.00

1,206.00

Other current assets

45.00

26.00

Current assets

660,818.00

572,929.00

Funds and Investments

 

 

Fixed assets

 

 

Cost

 

 

Land

179,885.00

179,885.00

Buildings and structures

137,641.00

127,768.00

Machinery and equipment

495,297.00

495,314.00

Warehousing equipment

24,641.00

26,097.00

Transportation equipment

6,036.00

6,036.00

Office equipment

3,981.00

4,838.00

Other facilities

6,785.00

6,595.00

Fixed assets and cost

854,266.00

846,533.00

Accumulated depreciation

-510,768.00

-487,836.00

Construction in process and prepayment for equipments

0.00

6,206.00

Fixed assets-net

343,498.00

364,903.00

Intangible Assets

 

 

Other assets

 

 

Guarantee deposits paid

338.00

328.00

Deferred income tax assets - non current

1,362.00

1,410.00

Other assets

1,700.00

1,738.00

Assets

1,006,016.00

(USD 33,097,926.40)

939,570.00

(USD 30,911,853)

Liabilities and Stockholders' Equity

 

 

Liabilities

 

 

Current Liabilities

 

 

Short-term accounts payable

0.00

30,919.00

Bills payable

14,379.00

12,397.00

Accounts payable

98,117.00

93,337.00

Income tax payable

22,080.00

7,072.00

Accrued expenses

32,103.00

21,230.00

Other payables

995.00

4,798.00

Current liabilities

167,674.00

169,753.00

Long term Liabilities

 

 

Reserves

 

 

Other liabilities

 

 

Pension reserve / accrued pension liability

13,238.00

13,430.00

Guarantee deposits received

1,211.00

4,737.00

Other liabilities

14,449.00

18,167.00

Liabilities

182,123.00

187,920.00

Guarantee deposits received

 

 

Other liabilities

 

 

Liabilities

550,140.00

550,140.00

Capital Surplus

 

 

Capital surplus - additional paid-in capital

75.00

75.00

Total capital surplus

75.00

75.00

Retained Earnings

 

 

Legal reserve

103,885.00

97,164.00

Special earning reserve

5,939.00

10,356.00

Unappropriated retained earnings

169,882.00

99,854.00

Retained earnings

279,706.00

207,374.00

Stockholders' Equity and Other adjustment

 

 

Net loss not recognized as pension cost

-6,028.00

-5,939.00

Equity adjustments

-6,028.00

-5,939.00

Stockholders‘ equity

823,893.00

(USD 27,106,079.70)

751,650.00

(USD 24,729,285.00)

Number of treasury stock acquired by the company and subsidiaries (unit: share)

0.00

0.00

Stcok receivable in advance (under shareholder's equity) and shares equivalents (unit: share)

0.00

0.00

(As of 2014.03, 1 NTD = 0.0329 USD)

 

Profit/Loss Account

Unit: NTD/000

 

2012

2011

Sales

1,438,699.00

(USD 47,333,197.10)

1,351,374.00

(USD 44,460,204.60)

Sales return

7,304.00

12,051.00

Sales discounts

21,606.00

21,454.00

Sales net income

1,409,789.00

1,317,869.00

Operating income

1,409,789.00

1,317,869.00

Cost of sales

1,175,329.00

1,180,105.00

Operating costs

1,175,329.00

1,180,105.00

Gross profit (loss) from operations

234,460.00

137,764.00

Selling expense

41,400.00

36,219.00

General and administrative expenses

27,497.00

22,261.00

Research and development expenses

5,536.00

4,930.00

Operating expenses

74,433.00

63,410.00

Operating income (loss)

160,027.00

74,354.00

Non-Operating Income

 

 

Interest Income

838.00

225.00

Gains On Exchange

0.00

2,906.00

Miscellaneous Income

740.00

745.00

Non-Operating Income and Interest

1,578.00

3,876.00

Non-Operating Expense And Loss

 

 

Interest Espense

4.00

35.00

Fixed Assets Loss

21.00

5.00

Investment Loss

27.00

0.00

Loss on Exchage

798.00

0.00

Miscellaneous Expense

53.00

0.00

Non-operating Expense And Loss

903.00

40.00

Pre-Tax Profit To Continue Operating Units (Net Loss)

160,702.00

78,190.00

Income tax expense (benefit)

27,855.00

10,981.00

Net Income (Loss) to Continue Operating Units

132,847.00

67,209.00

Net income (loss)

132,847.00

67,209.00

Primary Earnings per Share

 

 

Net Income (Loss) to Continue Operating Units

2.41

1.22

Primary Earnings per Share

2.41

1.22

Diluted earnings per share

 

 

Net Income (Loss) to Continue Operating Units

2.41

1.22

Diluted earnings per share

2.41

1.22

 

 

Cash Flow

 

Unit: NTD/000

 

2012

2011

Cash Flows from Operating Activities - Indirect Method

 

 

Net Income (Loss)

132,847

67,209

Adjustments

 

 

Depreciation Expense

27,133

28,432

Bad debt expense column

(Transfer income)

163

-21

Disposition and discard fixed assets loss (interests)

21

5

Unrealized exchange loss (interests

474

-2,429

Net Change of Operating Assets and Liabilities

 

 

Decrease (Increase) in Notes Receivable

10,515

15,021

Decrease (Increase) in Accounts Receivable

-15,845

8,838

Decrease (Increase) in Other Receivables

11

515

Decrease (Increase) in Inventories

-26,148

451

Increase (Decrease) in Accounts Payable

-931

1,481

Deferred tax assets (increase) decrease

29

-87

Deferred debits (increase) decrease

0

237

Notes payable increases (decreases)

2,234

1,339

Increase (Decrease) in Accounts Payable)

4,780

-12,400

Increase (Decrease) in Income Tax Payable

15,008

5,944

Increase (Decrease) in Accrued Expenses)

10,873

-3,162

Increase (Decrease) in Other Payable

-780

1,453

Increase (Decrease) in Accrued Pension Liabilities

-281

195

Net Cash Provided by (Used in) Operating Activities

160,103

113,021

Cash Flows from Investing Activities

 

 

Acquisition of fixed assets

 

-9,024

-19,038

Sale of Fix Asset

0

0

Refundable deposit increase or decrease

-10

0

Net Cash Provided by (Used in) Investing Activities

-9,034

-19,038

Cash Flows from Financing Activities

 

 

Increase (Decrease) in Short-term Loans

-30,919

17,433

Guarantee deposit received increase (decrease)

-3,526

3,839

Cash dividends

-60,515

-44,011

Net Cash Provided by (Used in) Financing Activities

-94,960

-22,739

Exchange Influence

-474

2,429

Net Increase (Decrease) in Cash and Cash Equivalents

55,635

73,673

Cash and Cash Equivalents, Beginning of year

269,326

195,653

Cash and Cash Equivalents, End of year

324,961

269,326

Supplemental Cash Flow Information

 

 

Interest Paid- Excluding Capitalized Interest

4

35

Income Tax Paid

12,818

5,124

Investing Activities Affecting Both Cash and Non-cash Items

 

 

Cash for fixed assets

 

 

Increase of fixed assets

5,749

20,123

Increase (Decrease) in Payable for Equipment Purchased

3,023

-833

Long-term notes payable increase and decrease

252

-252

Cash for fixed assets

9,024

19,038

 

 

Bankers

 

Subject declined to disclose any information about bankers, and we can not obtain the information from other source.

 

 

Public Record

 

Mortgage

No chattel mortgage record of subject has been found within the recent 3 months.

 

Lawsuit

Up to date of reporting, no existing or latent litigation of the subject has been found.

 

 

Interview Details

 

Name

Ms. Lin

Department

Sales

 


FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.60.09

UK Pound

1

Rs.99.85

Euro

1

Rs.82.58

                

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.