MIRA INFORM REPORT

Report Date :

19.12.2014

IDENTIFICATION DETAILS

Name :	TAKAGI SEIKO CO., LTD.
Registered Office :	330-2, Iwafune, Nakano-shi, Nagano pref. 383-0041
Country :	Japan
Date of Incorporation :	08.08.1990
Com. Reg. No.:	1000-01-012089
Legal Form :	Private Company
Line of Business :	Manufacturer of Medical instruments
No. of Employees :	150

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 – 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	A2
Moderate	B1
High	B2
Very High	C1
Restricted	C2
Off-credit	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

TAKAGI SEIKO CO., LTD.

Company summary

Country: Japan

Company name: TAKAGI SEIKO CO., LTD.

Name in local language: TAKAGI SEIKO, K.K. (株式会社タカギセイコー)

Office address: 330-2, Iwafune, Nakano-shi, Nagano pref. 383-0041

Office tel: 0269-22-4511

Office fax: 0269-26-6321

Website: www.takagi-j.com

Business type: Manufacturer

Industry: Medical instruments

Established: August 8, 1990

Capital: Jp. 30,000,000 yen

Employees: 150

Corporate formation: Private

Corporation No.: 1000-01-012089 (Nagano Legal Affairs Bureau)

MAJOR SHAREHOLDERS

Paid in capital : Jp. 30,000,000 yen

Number of authorized shares : 2,400 shares

Shares issued : 600 shares

Number of shareholder : 4

Name of shareholders Number of shares (%)

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

Kazutoshi Takagi, president 540 shares (90.0)

Mr. Masao Kanai, director n. a.

Ms. Keiko Takagi, director n. a.

Ms. Michiko Kanai, auditor n. a.

DETAILED PRODUCT CLASSFICATION & ACTIVITY

Activity Product/Service Description

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

Manufacturing Optical instruments for eye doctors

COMPANY MANAGEMENT

President Mr. Kazutoshi Takagi

Nationality: Japan

Managing Director Mr. Mitsuhiro Nakazawa

Nationality: Japan

Managing Director Mr. Masao Kanai

Nationality: Japan

Director Mr. Yoshio Nagaike

Nationality: Japan

Director Mr. Hisashi Takeda

Nationality: Japan

Director Ms. Keiko Takagi

Nationality: Japan

Director Mr. Kazumi Uchibori

Nationality: Japan

Director Mr. Kazunari Takagi

Nationality: Japan

Auditor Mr. Ichiji Tagawa

Nationality: Japan

Auditor Ms. Michiko Kanai

Nationality: Japan

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

*Key Personnel*

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

Mr. Kazutoshi Takagi

President and representative director

Born on April 26, 1952

Business career:

1991: Representative director and president.

Home address: 1-6-9, Miyosho-cho, Nakan-shi, Nagano pref. 383-0025

FINANCIALS

Currency: (local currency - Jp. yen)

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

Year | Sales | Net Income

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

2007	2,940,000,000	160,000,000
2008	2,945,000,000	85,000,000
2009	2,410,000,000	3,500,000
2010	2,000,000,000	n. a.
2011	1,985,000,000	n. a.
2012	2,200,000,000	n. a.
2013	2,300,000,000	n. a.

FINANCIAL DESCRIPTION

*Book Closing*

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

July 31st

*Financials*

==========

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

*Bank Details*

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

Bank Name : Nagano Prefecture Credit Association

Branch : Nakano

Bank Name : Hachijuni Bank, Ltd.

Branch : Nakano

Bank Name : Nagano Bank, Ltd.

Branch : Nakano

*Credit Opinion*

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

The subject is a long-standing manufacturer of the medical instruments specified in ophthalmology since 1955.

Sales has been almost flat and recent net income has no longer been disclosed.

Judging from the length of business history and past net income, we could assume that a certain amount of earnings though the exact financial condition is not available due to non-disclosure of its financial statements.

LOCAL BRANCHES & MANAGEMENT

Branch name: Osaka sales office

Branch address: 3-24-5, Shonai-sakaemachi, Toyonaka-shi, Osaka pref.

Branch tel: 06-6334-4512

Branch fax: 06-6334-4521

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

PRODUCT, TECHNOLOGY, SERVICE DESCRIPTION

*Main Products & Services*

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

Manufacture of medical instruments for eye doctors(ophthalmologists)

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

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

June 1, 1955 Started business.

August 8, 1990 Incorporated under the name of “Takagi Seisakusho Co., Ltd.”

1991 Took the current company name.

1998 ISO 9001, EN46001 and MDD certified.

2000 Opened an office in Toyonaka City, Osaka pref.

2004 ISO13485:2003 certified.

TRADE REFERENCES

*Suppliers*

==========

Suwa Metal Co., Ltd.

Komori Electric Co., Ltd.

Kawanakajima Kogyo Co., Ltd.

Yamanouchi Jushi Kogyo Co., Ltd.

Sugifuji Ltd.

Trian Inc.

*Customers*

==========

Seed Corporation

Menicon Nect Inc.

Local distributors for eye clinics

Export to overseas distributors of medical instruments

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.63.32
UK Pound	1	Rs.98.68
Euro	1	Rs.78.11

INFORMATION DETAILS

Analysis Done by :	KAR
Report Prepared by :	NIS

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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