MIRA INFORM REPORT

 

 

Report Date :

19.12.2014

 

IDENTIFICATION DETAILS

 

Name :

SHIKISHIMA ALUMINIUM CO., LTD.

 

 

Registered Office :

1-3-5, Deguchi, Hirakata-shi, Osaka pref. 573-0065

 

 

Country :

Japan

 

 

Date of Incorporation :

01.09.1956

 

 

Com. Reg. No.:

1200-01-149729

 

 

Legal Form :

Private limited company

 

 

Line of Business :

Manufacturer of Aluminum base metal and alloy, Aluminum pipe and plate

 

 

No of Employees :

51

 

 

RATING & COMMENTS

 

MIRA’s Rating :

C

 

RATING

STATUS

PROPOSED CREDIT LINE

<10

C

Absolute credit risk exists. Caution needed to be exercised

Credit not recommended

 

Status :

Company Liquidated

 

 

Payment Behaviour :

--

 

 

Litigation :

--

 

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 – September 30, 2014

 

Country Name

Previous Rating

(30.06.2014)

Current Rating

(30.09.2014)

Japan

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

 


 

JAPAN ECONOMIC OVERVIEW

 

In the years following World War II, government-industry cooperation, a strong work ethic, mastery of high technology, and a comparatively small defense allocation (1% of GDP) helped Japan develop a technologically advanced economy. Two notable characteristics of the post-war economy were the close interlocking structures of manufacturers, suppliers, and distributors, known as keiretsu, and the guarantee of lifetime employment for a substantial portion of the urban labor force. Both features are now eroding under the dual pressures of global competition and domestic demographic change. Japan's industrial sector is heavily dependent on imported raw materials and fuels. A small agricultural sector is highly subsidized and protected, with crop yields among the highest in the world. While self-sufficient in rice production, Japan imports about 60% of its food on a caloric basis. For three decades, overall real economic growth had been spectacular - a 10% average in the 1960s, a 5% average in the 1970s, and a 4% average in the 1980s. Growth slowed markedly in the 1990s, averaging just 1.7%, largely because of the after effects of inefficient investment and an asset price bubble in the late 1980s that required a protracted period of time for firms to reduce excess debt, capital, and labor. Modest economic growth continued after 2000, but the economy has fallen into recession three times since 2008. A sharp downturn in business investment and global demand for Japan's exports in late 2008 pushed Japan into recession. Government stimulus spending helped the economy recover in late 2009 and 2010, but the economy contracted again in 2011 as the massive 9.0 magnitude earthquake and the ensuing tsunami in March disrupted manufacturing. The economy has largely recovered in the two years since the disaster, but reconstruction in the Tohoku region has been uneven. Prime Minister Shinzo ABE has declared the economy his government's top priority; he has overturned his predecessor's plan to permanently close nuclear power plants and is pursuing an economic revitalization agenda of fiscal stimulus, monetary easing, and structural reform. Japan joined the Trans Pacific Partnership negotiations in 2013, a pact that would open Japan's economy to increased foreign competition and create new export opportunities for Japanese businesses. Measured on a purchasing power parity (PPP) basis that adjusts for price differences, Japan in 2013 stood as the fourth-largest economy in the world after second-place China, which surpassed Japan in 2001, and third-place India, which edged out Japan in 2012. The new government will continue a longstanding debate on restructuring the economy and reining in Japan's huge government debt, which is exceeding 230% of GDP. To help raise government revenue and reduce public debt, Japan decided in 2013 to gradually increase the consumption tax to a total of 10% by the year 2015. Japan is making progress on ending deflation due to a weaker yen and higher energy costs, but reliance on exports to drive growth and an aging, shrinking population pose other major long-term challenges for the economy.

 

Source : CIA


COMPANY NAME

 

SHIKISHIMA ALUMINIUM CO., LTD.

 

 

OUTLINE

 

Country:                                    Japan

Company name:                        SHIKISHIMA ALUMINIUM CO., LTD.

Name in local language:             SHIKISHIMA ALUMINIUM K.K.  (敷島アルミニウム株式会社)

Office address:                         1-3-5, Deguchi, Hirakata-shi, Osaka pref. 573-0065

Office tel:                                             072-832-1121

Business type:                          Manufacturer  

Industry:                                               Aluminum materials and products

Established:                              September 1, 1956

Capital:                                                 Jp. 50,000,000 yen

Employees:                              51

Corporate formation:                 Private

Corporation No.:                       1200-01-149729 (Osaka Legal Affairs Bureau)

 

 

MAJOR SHAREHOLDERS

 

Paid in capital :                         Jp. 50,000,000 yen

Number of authorized shares :   400,000 shares

Shares issued :                         100 000 shares

Number of shareholder :                        10

 

Name of shareholders                                      Number of shares (%)

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

Mr. Shigeru Takagi, president                             23,625 shares (23.6)

Shikishima Un-yu Co., Ltd.                                 15,500 shares (15.5)

Nikkei Sangyo Co., Ltd.                                     15,000 shares (15.0)

Kawasaki Heavy Industries, Ltd                          10,500 shares (10.5)

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

Total                                                                64,625 shares (64.6)

 

 

DETAILED PRODUCT CLASSFICATION & ACTIVITY

 

Activity                         Product/Service Description

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

Manufacturing                           Aluminum base metal and alloy

Manufacturing                           Aluminum pipe and plate

 

COMPANY MANAGEMENT

 

President                                  Mr. Shigeru Takagi

Nationality:                                Japan

 

Senior Managing Director          Mr. Akio Okamoto

Nationality:                                Japan

 

Director                                    Mr. Shoichi Yamamoto

Nationality:                                Japan

 

Director                                                Mr. Eiji Fujishima

Nationality:                                Japan

 

Director                                                Mr. Hirofumi Kawamura

Nationality:                                Japan

 

 

Auditor                                                 Mr. Akira Abe

Nationality:                                Japan

 

Note: The names of director(s) and auditor(s) are phonetically spelt.

 

 

*Key Personnel*

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

Mr. Shigeru Takagi

President and representative director

Born on April 7, 1954

Home address: 17-1-317, Asahigaoka-cho, Hirakata-shi, Osaka pref. 573-0026

 

 

FINANCIALS

 

Currency: (local currency - Jp. yen)

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

 Year |         Sales                 |      Net Income    

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

2007

14,829,801,000

122,921,000

2008

14,767,760,000

30,865,000

2009

5,805,283,000

loss 1,304,504,000

2010

7,671,015,000

62,632,000

2011

8,086,013,000

loss  45,623,000

2012

7,515,646,000

loss 135,373,000

2013

8,015,754,000

53,954,000

 

 

FINANCIAL DESCRIPTION

 

*Book Closing*

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

September 30th

 

 

*Financials*

==========

As a private limited company, no official financial statement is required to be disclosed publicly.

 

 

*Bank Details*

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

Bank Name :     Mizuho Bank, Ltd.

Branch :            Osaka-chuo

 

Bank Name :     Shoko Chukin Bank

Branch :            Osaka

 

Bank Name :     Nagoya Bank, Ltd.

Branch :            Osaka

 

 

*Credit Opinion*

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

The subject is a local manufacturer, located in a satellite city of Osaka, specializing in processing of aluminum materials.

 

This long-standing firm had been doing this job, being backed by several reputed suppliers and customers.

 

Some of the major shareholders are public listed corporations.

 

Sales used to exceed JPY 10 billion in the mid-2000s, but a sizable loss was posted for Sep. 2009 term, following the Lehman Shock.

 

Sales had been picking up since then, but the net profit level shows some instability due to allegedly derivative losses.

 

On December 18, 2014, the subject announced that it has decided to liquidate the company.

 

From now on the subject is consulting with all of its stakeholders in order not to give any damage to them.

 

 

PRODUCT, TECHNOLOGY, SERVICE DESCRIPTION

 

*Main Products & Services*

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

Manufacture of the following aluminum materials and products:

-       Aluminum base metal

-       Aluminum alloy

-       Aluminum pipe

-       Aluminum plate

 

 

FACTORY FACILITIES & MANUFACTURING CAPABILITIES

 

At the location of the head office

 

 

ORGANIZATION STRUCTURE

 

*Address*

=========

Registered address is the same as the operational address.

 

 

*Company History*

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

Date                             Development

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

1950                                         Started business.

September 1, 1956                    Incorporated.

 

 

TRADE REFERENCES

 

*Suppliers*

==========

Hoda Trading Co., Ltd.

Itochu Metals Co., Ltd.

Mitsui Bussan Metals Co., Ltd.

Nikkei Sangyo Co., Ltd.

Alconix Corp.

Marubeni Corp.

 

 

*Customers*

==========

Mazda Corp.

Aisin Keikinzoku(Light Metals) Co., Ltd.

Honda Trading Co., Ltd.

Ryobi Corp.

Kawasaki Heavy Industries, Ltd.

Nikkei Sangyo Co., Ltd.

Mitsui Bussan Metals Co., Ltd.

 

 

SUBSIDIARIES, JOINT-VENTURES & AFFILIATES

 

Company name:            Takatsuki Die Cast Co., Ltd.

Country:                        Japan

Status:                                      Affiliate   

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

Company name:            Hakkoro Co., Ltd.

Country:                        Japan

Status:                                      Affiliate   

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

 

 


 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs. 63.31

UK Pound

1

Rs. 98.67

Euro

1

Rs. 78.10

 

 

INFORMATION DETAILS

 

Analysis Done by :

DIV

 

 

Report Prepared by :

DPT

 

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%)

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This report is issued at your request without any risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or its officials.