MIRA INFORM REPORT

 

 

Report Date :

27.08.2014

 

IDENTIFICATION DETAILS

 

Name :

LEVI STRAUSS GLOBAL TRADING CO. LTD.

 

 

Registered Office :

Level 23, Standard Chartered Tower, Millennium City I, 388 Kwun Tong Road, Kwun Tong, Kowloon

 

 

Country :

Hongkong

 

 

Date of Incorporation :

22.12.2006

 

 

Com. Reg. No.:

37483556

 

 

Legal Form :

Private Limited Company

 

 

Line of Business :

Importer, Exporter and Retailers of Garment Treder.

 

 

No. of Employees :

80

 

 

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 :

Good

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 – June 01, 2014

 

Country Name

Previous Rating

(31.03.2014)

Current Rating

(01.06.2014)

Hong Kong

A1

A1

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low Risk

 

A2

Moderate Low Risk

 

B1

Moderate Risk

 

B2

Moderate High Risk

 

C1

High Risk

C2

Very High Risk

 

D

 


 

HONGKONG - ECONOMIC OVERVIEW

 

Hong Kong has a free market economy, highly dependent on international trade and finance - the value of goods and services trade, including the sizable share of re-exports, is about four times GDP. Hong Kong has no tariffs on imported goods, and it levies excise duties on only four commodities, whether imported or produced locally: hard alcohol, tobacco, hydrocarbon oil, and methyl alcohol. There are no quotas or dumping laws. Hong Kong's open economy left it exposed to the global economic slowdown that began in 2008. Although increasing integration with China, through trade, tourism, and financial links, helped it to make an initial recovery more quickly than many observers anticipated, its continued reliance on foreign trade and investment leaves it vulnerable to renewed global financial market volatility or a slowdown in the global economy. The Hong Kong government is promoting the Special Administrative Region (SAR) as the site for Chinese renminbi (RMB) internationalization. Hong Kong residents are allowed to establish RMB-denominated savings accounts; RMB-denominated corporate and Chinese government bonds have been issued in Hong Kong; and RMB trade settlement is allowed. The territory far exceeded the RMB conversion quota set by Beijing for trade settlements in 2010 due to the growth of earnings from exports to the mainland. RMB deposits grew to roughly 12% of total system deposits in Hong Kong by the end of 2013. The government is pursuing efforts to introduce additional use of RMB in Hong Kong financial markets and is seeking to expand the RMB quota. The mainland has long been Hong Kong's largest trading partner, accounting for about half of Hong Kong's total trade by value. Hong Kong's natural resources are limited, and food and raw materials must be imported. As a result of China's easing of travel restrictions, the number of mainland tourists to the territory has surged from 4.5 million in 2001 to 34.9 million in 2012, outnumbering visitors from all other countries combined. Hong Kong has also established itself as the premier stock market for Chinese firms seeking to list abroad. In 2012 mainland Chinese companies constituted about 46.6% of the firms listed on the Hong Kong Stock Exchange and accounted for about 57.4% of the Exchange's market capitalization. During the past decade, as Hong Kong's manufacturing industry moved to the mainland, its service industry has grown rapidly. Credit expansion and tight housing supply conditions have caused Hong Kong property prices to rise rapidly; consumer prices increased by more than 4% in 2013. Lower and middle income segments of the population are increasingly unable to afford adequate housing. Hong Kong continues to link its currency closely to the US dollar, maintaining an arrangement established in 1983. In 2013, Hong Kong and China signed new agreements under the Closer Economic Partnership Agreement, adopted in 2003 to forge closer ties between Hong Kong and the mainland. The new measures, effective from January 2014, cover services and trade facilitation, and will improve access to the mainland's service sector for Hong Kong-based companies.

 

Source : CIA

 


Company Name and Address

 

LEVI STRAUSS GLOBAL TRADING CO. LTD.

 

ADDRESS:             Level 23, Standard Chartered Tower, Millennium City I, 388 Kwun Tong Road, Kwun  Tong, Kowloon, Hong Kong.

 

PHONE:                  852-2411 9900

 

FAX:                       852-2416 2918

 

 

MANAGEMENT

 

Managing Director:  Mr. Vance Shore

 

 

SUMMARY

 

Incorporated on:             22nd December, 2006.

 

Organization:                 Private Limited Company.

 

Capital:                         Nominal: HK$10,000.00

                                    Issued:  HK$10,000.00

 

Business Category:        Garment Treder.

 

Group Net Revenue:       US$4,681.7 million (Year ended 24-11-2013)

           

Employees:                   80.

 

Main Dealing Banker:     Bank of America, N.A., Hong Kong Branch.

 

Banking Relation:           Good.

 

 

ADDRESS

 

Registered Head Office:-

Level 23, Standard Chartered Tower, Millennium City I, 388 Kwun Tong Road, Kwun Tong, Kowloon, Hong Kong.

 

Holding Company:-

Levi Strauss International, US.

 

Ultimate Holding Company:-

Levi Strauss & Co.

Levi’s Plaza, 1155 Battery Street, San Francisco, California 94111, US.

 

Retail Shops:-

·         3/F., Sogo Department Store, Causeway Bay, Hong Kong. [Tel: 2813 8560]

26 Russel Street, Causeway Bay, Hong Kong.  [Tel: 2575 1125]

Shop 067, Cityplaza, Quarry Bay, Hong Kong [Tel: 2907 0080]

33A Hankow Road, Tsimshatsui, Kowloon, Hong Kong. [Tel: 2301 1306]

Shop 227, 2/F., Ocean Terminal, Tsimshatsui, Kowloon, Hong Kong. [Tel: 3188 9233]

B2, Sogo Department Store, Tsimshatsui, Kowloon, Hong Kong. [Tel: 3556 1103]

2 Sai Yeung Choi Street, Mongkok, Kowloon, Hong Kong. [Tel: 2782 3866]86

Sai Yeung Choi Street, Mongkok, Kowloon, Hong Kong. [Tel: 2396 0861]

Shop 373, Grand Century Place, 193 Prince Edward Road West, Kowloon, Hong Kong.[Tel:2628 3983]

Shop UG09, Festival Walk, 80 Tat Chee Avenue, Kowloon Tong, Kowloon, Hong Kong.[Tel:2265 7743]

Shops B1-06 & 07, Langham Place, 8 Argyle Street, Mongkok, Kowloon, Hong Kong.           [Tel: 3514 4229]

Shop G80, Telford Plaza I, Kowloon Bay, Kowloon, Hong Kong. [Tel: 2758 9230]

Shop UC22, Millennium City 5, 418 Kwun Tong Road, Kwun Tong, Kowloon, Hong Kong.    [Tel:31481149]

Shops 161-162, Plaza Hollywood, Lung Poon Street, Diamond Hill, Kowloon, Hong Kong.[Tel: 2907 0079]

Shops 1167-1168, Metro City Phase 2, Tseung Kwan O, Kowloon, Hong Kong. [Tel: 3194 3500]

Shop 197, G/F., Metroplaza, 223 Hing Fong Road, Kwai Fong, New Territories, Hong Kong. [Tel:2410 9636]

Shop 519, New Town Plaza, Phase 1, 18 Sha Tin Centre Street, New Territories, Hong Kong.            [Tel:2697 7016]

Shops 591-592, 2/F., Tai Po Mega Mall, Tai Po, New Territories, Hong Kong. [Tel: 2652 9375]

Shop 2257, Tuen Mun Town Plaza, Phase 1, Tuen Mun, New Territories, Hong Kong. [Tel: 2430 1793]

110 Castle Peak Road, Yuen Long, New Territories, Hong Kong. [Tel: 2476 6533]

Shops 2192-2195, Sunshine City Plaza, Ma On Shan, New Territories, Hong Kong. [Tel: 2480 6663]

etc.

 

Associates Companies:-

505 Finance C.V., Netherlands.

Adminstradora Levi Strauss Mexico S.A. de C.V., Mexico.

Distribuidora Levi Strauss Mexico S.A. de C.V., Mexico.

Levi Strauss & Co. (Canada) Inc., Canada.

Levi Strauss & Co. Europe SCA, Belgium.

Levi Strauss (Asia) Ltd., Hong Kong.  [Dissolved]

Levi Strauss (Australia) Pty. Ltd., Australia.

Levi Strauss (Far East) Ltd., Hong Kong.  [Dissolved]

Levi Strauss (Hong Kong) Ltd., Hong Kong.  (Same address)

Levi Strauss (India) Private Ltd., India.

Levi Strauss (Malaysia) Sdn. Bhd., Malaysia.

Levi Strauss (New Zealand) Ltd., New Zealand.

Levi Strauss (Philippines) Inc., Philippines.

Levi Strauss (Suisse) S.A., Switzerland.

Levi Strauss Argentina LLC, Argentina.

Levi Strauss Belgium SA, Belgium.

Levi Strauss Benelux Retail BVBA, Belgium.

Levi Strauss Commerce (Shanghai) Ltd., China.

Levi Strauss Continental S.A., Belgium.

Levi Strauss Continental S.A., France.

Levi Strauss de C.V., Mexico.

Levi Strauss de Espana S.A., Spain.

Levi Strauss de Mexico S.A. de C.V., Mexico.

Levi Strauss Denmark, Denmark.

Levi Strauss do Brasil Franqueadora Ltda., Brazil.

Levi Strauss do Brasil Industria e Comercio Ltda., Brazil.

Levi Strauss do Brasil, Brazil.

Levi Strauss Europe, Belgium.

Levi Strauss Eximco de Colombia Ltda., Columbia.

Levi Strauss Germany GmbH, Germany.

Levi Strauss Global Trading Co. II Ltd., Hong Kong.

Levi Strauss Hellas S.A., Greece.

Levi Strauss Hungary Trading Ltd. Liability Co., Hungary.

Levi Strauss International Group Finance Coordination Services, Belgium.

Levi Strauss Ireland, Ireland.

Levi Strauss Italia S.R.L., Italy.

Levi Strauss Japan K.K., Japan.

Levi Strauss Japan Kabushiki Kaisha, Japan.

Levi Strauss Korea Ltd., Korea.

Levi Strauss Lisbon - Portugal, Portugal.

Levi Strauss Malaysia Sdn. Bhd., Malaysia.

Levi Strauss Mauritius Ltd., Mauritius.

Levi Strauss Netherland B.V., Netherlands.

Levi Strauss Netherland Holding B.V., Netherlands.

Levi Strauss New Zealand Ltd., New Zealand.

Levi Strauss Norway A/S, Norway.

Levi Strauss Pakistan (Private) Ltd., Pakistan.

Levi Strauss Poland Sp. z o.o., Poland.

Levi Strauss Praha spol.s.r.o., Czech Republic.

Levi Strauss Pty. Ltd., Australia.

Levi Strauss South Africa P/L, South Africa.

Levi Strauss Sweden, Sweden.

Levi Strauss Trading Kft., Hungary.

Levi Strauss U.K. Ltd., England.

Levi’s Footwear & Accessories France S.A.S., France.

Levi’s Footwear & Accessories HK Ltd., Hong Kong.

Levi’s Footwear & Accessories Italy SpA, Italy.

LS Retail (Malaysia) Sdn. Bhd., Malaysia.

LVC B.V., Netherlands.

LVC JP Kabushiki Kaisha, Japan.

Majestic Insurance International Ltd., Bermuda.

Original Denim Investments Ltd., Cyprus.

Paris - O.L.S. S.A.R.L., France.

PT Levi Strauss Indonesia, Indonesia.

World Wide Logistics S.R.L., Italy. etc.

 

BUSINESS REGISTRATION NUMBER

 

37483556

 

 

COMPANY FILE NUMBER

 

1097440

 

 

MANAGEMENT

 

Managing Director:  Mr. Vance Shore

 

 

CAPITAL

 

Nominal Share Capital: HK$10,000.00 (Divided into 1,000 shares of HK$10.00 each)

Issued Share Capital: HK$10,000.00

 

 

SHAREHOLDER

(As per registry dated 22-12-2013)

 

Name

 

No. of shares

Levi Strauss International

1155 Battery Street, San Francisco, California, 94111, US.

 

1,000

====

 

 

DIRECTORS

(As per registry dated 02-04-2014)

 

Name

(Nationality)

 

Address

Vance SHORE

Flat D, 12/F., Tower 3, The Victoria Towers, Tsimshatsui, Kowloon, Hong Kong.

 

David Sievewright LOVE

21052 Allen Road, Sonoma, CA 95476, US.

 

Walter ETTLIN

1 Ardmore Park, #21-01, Ardmore II, 259957, Singapore.

 

SECRETARY

(As per registry dated 22-12-2013)

 

Name

Address

Co. No.

Smartcom Secretaries Ltd.

6/F., Hecny Tower, 9 Chatham Road South, Tsimshatsui, Kowloon, Hong Kong.

0387804

 

 

HISTORY

 

The subject was incorporated on 22nd December, 2006 as a private limited liability company under the Hong Kong Companies Ordinance.

 

Originally the subject was registered under the name of GSO Holdings Ltd., name changed to the present style on 16th October, 2009.

 

Apart from these, neither material change nor amendment has been ever traced and noted.

 

 

OPERATIONS

 

Activities:                      Garment Treder.Importer, Exporter and Retailer.

 

Lines:                           Men’s and ladies’ jeans, , sportswear, slacks, jackets, casuals and T‑shirts.

 

Trade Mark:                   “LEVI’S”.

 

Employees:                   80.

 

Commodities Imported:   China, other Asian countries, Europe, etc.

 

Markets:                       Europe, US, Asian countries, etc.

 

Group Net Revenue:       US$4,610.2 million  (Year ended 25-11-2012)

US$4,681.7 million  (Year ended 24-11-2013)

 

Terms/Sales:                 L/C or as per contracted.

 

Terms/Buying:               L/C, T/T, D/P, etc.

 

 

FINANCIAL INFORMATION

 

Nominal Share Capital:   HK$10,000.00 (Divided into 1,000 shares of HK$10.00 each)

 

Issued Share Capital:     HK$10,000.00

 

Group Net Income:-

US$141.0 million  (Year ended 25-11-2012)

US$228.1 million  (Year ended 24-11-2013)

 

Profit or Loss:                Making a small profit every year.

 

Condition:                      Keeping in a satisfactory manner.

 

Facilities:                      Making rather active use of general banking facilities.

 

Payment:                      Met trade commitments as required.

 

Commercial Morality:     Satisfactory.

 

Banker:                         Bank of America, N.A., Hong Kong Branch.

 

Standing:                      Good.

 

 

GENERAL

 

Levi Strauss Global Trading Co. Ltd. is a wholly-owned subsidiary of Levi Strauss International, a US-based company. The ultimate holding company is Levi Strauss & Co., also a US-based company.

 

The subject is trading in all kinds of jeans.

 

Levi Strauss & Co. was founded in San Francisco, California, in 1853 and incorporated in Delaware in 1971.  It conducts its operations outside the United States through foreign subsidiaries owned directly or indirectly by Levi Strauss & Co.  It  has headquarter offices in San Francisco, Brussels and Singapore. Its corporate offices are located at Levi’s Plaza, 1155 Battery Street, San Francisco, California 94111, and our main telephone number is (415) 501-6000.

 

Its common stock is primarily owned by descendants of the family of Levi Strauss and their relatives.

 

It offers a broad range of products, including jeans, casual and dress pants, tops, shorts, skirts, jackets, footwear and related accessories.  Across all of its brands, pants – including jeans, casual pants and dress pants – represented approximately 85%, 86% and 83% of our total units sold in each of fiscal years 2013, 2012 and 2011, respectively. Men's products generated approximately 78%, 75% and 72% of its total net sales in each of fiscal years 2013, 2012 and 2011, respectively.

 

In addition to its Levi's® and Dockers® brands, it offers two brands focused on consumers who seek high-quality, affordable and fashionable jeanswear from a company they trust. It offers denim jeans, casual pants, tops and jackets in a variety of fits, fabrics and finishes for men, women and kids under the Signature by Levi Strauss & Co.™ brand through the mass retail channel in the United States and Canada. The Denizen® brand was introduced in Target stores in the United States starting in 2011, and includes a variety of jeans, tops and accessories to complement active lifestyles and to empower consumers to express their aspirations, individuality and attitudes at an affordable price point.

 

It uses numerous independent contract manufacturers located throughout the world for the production and finishing of our garments. It conducts assessments of political, social, economic, trade, labor and intellectual property protection conditions in the countries in which we source our products before placing production in those countries and on an ongoing basis.

 

In 2013, it sourced products from contractors located in more than 30 countries around the world.  It sourced products in North and South Asia, South and Central America (including Mexico and the Caribbean), Europe and Africa. No single country accounted for more than 20% of its sourcing in 2013.

 

For the year ended 24th November, 2013, the net revenue of the Group amounted to US$4,681.7 million (same period of previous year: US$4,610.2 million); Group net income amounted to US$228.1 million (same period of previous year: US$141.0 million).  Overall business is good.

 

The subject is fully supported by the Group.

 

On the whole, in view of the background of the subject, consider it good for normal business engagements.

 


 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.60.50

UK Pound

1

Rs.100.33

Euro

1

Rs.79.91

 

INFORMATION DETAILS

 

Report Prepared by :

TPT

 

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.