MIRA INFORM REPORT

 

 

Report Date :

03.12.2014

 

IDENTIFICATION DETAILS

 

Name :

FAIR FRIEND ENTERPRISE CO., LTD.

 

 

Registered Office :

No.186, Yongji Rd., Sinyi District, Taipei City 110

 

 

Country :

Taiwan

 

 

Date of Incorporation :

15.03.1979

 

 

Com. Reg. No.:

30878408

 

 

Legal Form :

Joint Stock Company

 

 

Line of Business :

Manufacturing and sales of machines

 

 

No. of Employees

300

 

 

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 – June 1, 2014

 

Country Name

Previous Rating

(31.03.2014)

Current Rating

(01.06.2014)

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


Company name and address

 

Company Name:

FAIR FRIEND ENTERPRISE CO., LTD.

Supplied Name:

FAIR FRIEND ENT. CO. LTD.

Trading Address:

No.186, Yongji Road, Xinyi District, Taipei City 110, Taiwan (R.O.C.)

Supplied Address:

133, GOND 1ST ROAD, TAICHUNGA INDUSTRIAL PARK, TAIWAN

Telephone Number:

+886-2-2763-9696

Fax Number:

+886-2-2768-0639

 

Notes: The exact name and address are as above. The supplied address belongs to subject’s factory.

 

 

Company Identification Details

 

Registered Name:

FAIR FRIEND ENTERPRISE CO., LTD.

Registered Address:

No.186, Yongji Rd., Sinyi District, Taipei City 110, Taiwan (R.O.C.)

Date of Foundation:

1979-3-15

Registration Number:

30878408

Registry:

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

Registered Capital:

NTD 1,619,972,970 (USD 55,079,080.98)

(As of 2014.07, 1 NTD = 0.0340 USD)

Paid-up Capital:

NTD 1,574,291,740 (USD 53,525,919.16)

Legal Representatives:

Yuwei Zhu

Legal Form:

Joint Stock Company

Principal Activities:

Manufacturing and sales of machines

Staff:

About 300 Employees

Listed at Stock Exchange:

No

Date of Last Annual Return:

2013-7-16

 

 

History

 

Subject was incorporated on 1979-3-15 with registered number 30878408 as Joint Stock Company in Taiwan.

 

 

Shareholders

 

Name

Subscription Shares

Yuwei Zhu

6,414,980         

Ziti Wang

4,361,925

Xunv Zhu

1,667,338

Fairskq (Taiwan) Co., Ltd.

259,025

Lisheng Li

1,064,302

 

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

 

Shareholder Information:

Registered Name:

Fairskq (Taiwan) Co., Ltd.

Registered Address:

No.186, Yongji Rd., Sinyi District, Taipei City 110, Taiwan (R.O.C.)

Date of Foundation:

1988-11-9

Registration Number:

23167311

Registry:

Taipei City Government

Registered Capital:

NTD 100,000,000 (USD 3,400,000)

(As of 2014.07, 1 NTD = 0.0340 USD)

Paid-up Capital:

NTD 100,000,000 (USD 3,400,000)

Legal Representatives:

Yuwei Zhu

Legal Form:

Joint Stock Company

Date of Last Annual Return:

2012-8-23

 

 

Subsidiaries & Branches

 

Factories

1

Name:

Taichung Factory

Address:

No.5, Nangong 7th Road, Rinan Li, Dajia District, Taichung City, Taiwan

Date of Foundation:

1994-5-26

Date of Registration:

1994-8-9

Factory Registration Number:

99635024

Factory Manager:

Yuwei Zhu

Status:

In Production

Date of Last Annual Return:

2006-3-27

Major Products:

293 general machinery

289 other electrical equipment

2

Name:

Taichung 1st Factory

Address:

No.133, Industrial 1st Road, Xiehe Li, Xitun District, Taichung City, Taiwan

Date of Foundation:

1987-1-10

Date of Registration:

1991-6-27

Factory Registration Number:

99669142

Factory Manager:

Yuwei Zhu

Status:

In Production

Date of Last Annual Return:

2006-3-16

Major Products:

259 other metal products

293 general machinery

252 metal structures and building components

291 metal processing machinery

292 other special-purpose mechanical device

271 computer and peripheral equipment

281 power equipment, transmission equipment and distribution equipment

 

Branch

Name:

Taichung Branch

Address:

No.133, Industrial 1st Road, Xiehe Li, Xitun District, Taichung City, Taiwan

Registration Number:

97177643

Date of Registration:

1997-3-15

Status:

Live

Manager Name:

Yuwei Zhu

Date of Last Annual Return:

2006-2-21

 

 

Personnel Information

 

Core Management

 

Directors

1

Name

Yuwei Zhu

Position

Board Chairman & Manager

Date of Appointment

2006-1-10

2

Name

Ziti Wang

Position

Director

3

Name

Xunv Zhu

Position

Director

4

Name

Fairskq (Taiwan) Co., Ltd.

Position

Director

5

Name

Lisheng Li

Position

Supervisor

 

Personnel Structure

 

Total Employees

About 300 Employees

 

 

Operation Information

 

Offices & Factories

 

 

Headquarters

Add

No.186, Yongji Road, Xinyi District, Taipei City 110, Taiwan (R.O.C.)

 

Production Information

 

Subject is engaged in manufacturing of machinery.

Subject has factories in Taichung City, Taiwan for production.

Subject obtained the certification of ISO 9002 and ISO 14001.

 

Purchase Information

 

The registered activities of subject:

Business Code

Details

CB01010

Manufacturing of machinery

CB01990

Manufacturing of other machines

E603050

automatic control equipment engineering

E604010

Machinery installation

F113010

Wholesale of machinery

F213080

Retail of mechanical appliance

F113990

Wholesale of other mechanical appliance

F213990

Retail of other mechanical appliance

CA02010

Manufacturing of metal structures and building components

CA02050

Manufacturing of valves

CA02060

Manufacturing of metal containers

CA02990

Manufacturing of other metal products

F106010

Wholesale of hardware

F206010

Retail of hardware

CC01010

Manufacturing of power equipment, transmission equipment and distribution equipment

CD01060

Manufacturing of aircraft and components

CP01010

Manufacturing of hand tool

CC01030

Manufacturing of electric appliance and audio-visual product

CC01080

Manufacturing of electronic components

CC01090

Manufacturing of battery

CC01990

Manufacturing of other electrical machine and electro-mechanical devices

E601020

Electric appliance installation

JA02010

Repair of electric appliance and electronic products

F113020

Wholesale of electric appliance

F213010

Retail of electric appliance

F119010

Wholesale of electronic material

F219010

Retail of electronic material

F113110

Wholesale of battery

F213110

Retail of battery

CE01010

Manufacturing of general instrument

F113030

Wholesale of precise instrument

F213040

Retail of precise instrument

CC01110

Manufacturing of computer and peripheral equipment

E605010

Computer installation

I301010

Software service

F113050

Wholesale of computer and office equipment

F213030

Retail of computer and office equipment

CD01030

Manufacturing of automobile and components

CD01040

Manufacturing of motor and components

F114010

Wholesale of automobile

F214010

Retail of automobile

F114030

Wholesale of automobile and motor components

F214030

Retail of automobile and motor components

F114990

Wholesale of other transportation equipment and components

F214990

Retail of other transportation equipment and components

E603040

Fire-fighting equipment installation engineering

IF01010

Fire-fighting equipment maintenance

F117010

Wholesale of fire-fighting equipment

F217010

Retail of fire-fighting equipment

F107170

Wholesale of industrial auxiliaries

F207170

Retail of industrial auxiliaries

F107200

Wholesale of chemical raw materials

F207200

Retail of chemical raw materials

F107990

Wholesale of other chemical products

F207990

Retail of other chemical products

F112040

Wholesale of petroleum product

F212050

Retail of petroleum product

F401010

International trade business

H701010

Leasing and development of residence and building

H701020

Leasing and development of industrial premises

H701040

Development of specific area

H701050

Public construction investment

H701060

Development of new town and community

G202010

Parking lot operation

E603020

Elevator installation

ZZ99999

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

 

The components and raw materials for production are purchased from both home and abroad such as Taiwan, Mainland China, Japan and Europe, etc.

Subject imports technology from Japan and USA, etc.

 

Sales Information

 

Subject is engaged in sale of machinery.

The major products sold by subject include CNC lathe, machining center, drilling & tapping center, double column machining center, CNC horizontal boring & milling machine, CNC bed type universal milling machine, PCB routing machine, PCB drilling machine, laser drilling machine, fork lift truck and elevator.

Subject has its own brand “FEELER”.

Subject’s sales region covers all over the world.

Subject’s major customers are Methods Machine Tools Inc., Gulf Bearing, Akira Seiki USA Inc., etc

 

Import and export right:

Import right

Yes

Export right

Yes

 

 

Settlements

 

Purchase

 

Domestic Purchase

Product

Terms

Proportion

Components and raw materials

T/T, Cash, Credit Sale, etc

100%

 

Foreign Purchase

Product

Terms

Proportion

Components and raw materials

T/T, etc

100%

 

Sales

 

Domestic Markets

Product

Terms

Proportion

Machiner

T/T, etc

100%

 

Export

Product

Terms

Proportion

Machinery

L/C, T/T, etc

100%

 


Financial Information

 

Subject has no obligations to disclose its financial statements to the third party according to the relevant policy in Taiwan and the only source from which we can obtain the information is the subject itself.

Subject’s relevant staff Mr. Xie declined to disclose its financials citing the grounds of company’s confidentiality; from other source we can not obtain the relevant information, either.

 

 

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

 

Trial Number:

2009,Beijian,8659

Date of Trial:

2009-6-8

Reason:

Notes payable

Claimant:

Fair Friend Enterprise Co., Ltd.

Defendant:

Ding Sheng Construction Co., Ltd. (Literal Translation)

 

 

Interview Details

 

Name

Mr. Xie

Department

Sales Department

 


 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.61.93

UK Pound

1

Rs.97.39

Euro

1

Rs.77.21                               

 

INFORMATION DETAILS

 

Report Prepared by :

SMN

 

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.