MIRA INFORM REPORT

Report Date :

26.12.2014

IDENTIFICATION DETAILS

Name :	PROMOTOOL CORPORATION
Registered Office :	Beauness Honkomagome 5F., 6-5-3, Honkomagome, Bunkyo-ku, Tokyo 113 0021
Country :	Japan
Date of Incorporation :	13.04.1971
Com. Reg. No.:	0116-01-011536
Legal Form :	Private
Line of Business :	Trader, Fragrance, Skincare Agent and Other Cosmetics.
No. of Employee :	02

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

NOTE

In absence of financials, no credit limit could be recommended.

COMPANY NAME

PROMOTOOL CORPORATION

OUTLINE

========

Country: Japan

Company name: PROMOTOOL CORPORATION

Name in local language: PROMOTOOL K.K.

Office address: Beauness Honkomagome 5F., 6-5-3, Honkomagome, Bunkyo-ku, Tokyo 113-0021

Office tel: 03-5940-6637

Office fax: 03-5940-6685

Website: www.promotool.jp

Business type: Trader

Industry: Fragrance, skincare agent, and other cosmetics

Established: April 13, 1971

Capital: Jp. 10,000,000 yen

Employees: 2

Corporate formation: Private

Corporation No.: 0116-01-011536 (Tokyo Legal Affairs Bureau)

MAJOR SHAREHOLDERS

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

Paid in capital : Jp. 10,000,000 yen

Number of authorized shares : 800 shares

Shares issued : 200 shares

Number of shareholder : 4

Name of shareholders Number of shares (%)

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

Mr. Kenichi Inoue, president 60 shares (30.0)

Mr. Yosuke Inoue, director 50 shares (25.0)

Mr. Kohei Inoue 50 shares (25.0)

Ms. Hiroko Inoue, director 40 shares (20.0)

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

Total 200 shares (100.0)

DETAILED PRODUCT CLASSFICATION & ACTIVITY

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

Activity Product/Service Description

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

Trading Fragrance

Trading Skin checker agent

Manufacturing Cosmetic products

COMPANY MANAGEMENT

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

President Mr. Kenichi Inoue

Nationality: Japan

Director Ms. Hiroko Inoue

Nationality: Japan

Director Mr. Yosuke Inoue

Nationality: Japan

Auditor Ms. Kumiyo Tsukuda

Nationality: Japan

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

*Key Personnel*

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

Mr. Kenichi Inoue

President and representative director

Born on July 31, 1944

Education: Graduated from Commerce Department, Meiji University

Business career:

Apr. 1967: Employed by Yanmar Co., Ltd.

Unknown: Employed by Seibu Department Store Co., Ltd. (Brazil)

Unknown: Employed by POLA Cosmetics Co., Ltd.(Germany)

Unknown: President of POLA France S.A.

1999: Started the current business as the president.

Home address: 3-1-7-501, Heiwadai, Nerima-ku, Tokyo 179-0083

FINANCIALS

===========

Currency: (local currency - Jp. yen)

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

Year | Sales | Net Income

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

2007	90,677,000	loss 18,861,000
2008	74,765,000	loss 9,202,000
2009	73,730,000	1,774,000
2010	90,681,000	16,560,000
2011	154,269,000	16,817,000
2012	67,329,000	loss 16,026,000
2013	90,907,000	423,000

FINANCIAL DESCRIPTION

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

*Book Closing*

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

December 31st

*Financials*

==========

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

*Bank Details*

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

Bank Name : Sugamo Shinkin Bank

Branch : Head office

Bank Name : Resona Bank, Ltd.

Branch : Myogadani

*Credit Opinion*

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

The subject is a Tokyo-based small-sized firm specializing in wholesale of fragrance, skin checking agent and manufacturing of mini-cosmetic products on a contract basis.

Its website shows a lot of customers, but its sales looks too small for the list of customers.

Still some instability is seen on the issue of net income as well as the annual sales.

It would be advisable to enter into any business under well-secured conditions.

No recommendation for any open accounts at this moment.

PRODUCT, TECHNOLOGY, SERVICE DESCRIPTION

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

*Main Products & Services*

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

Wholesale of fragrance (25.2%)

Wholesale of skin checker agent (39.9%)

Manufacturing of mini-cosmetic products on a contract basis (33.5%)

Others (1.4%)

ORGANIZATION STRUCTURE

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

*Address*

=========

Registered address: 3-1-7-501, Heiwadai, Nerima-ku, Tokyo 179-0083

(This is also the residence of the president.)

Operational head office: Beauness Honkomagome 5F., 6-5-3, Honkomagome, Bunkyo-ku,

Tokyo 113-0021

*Company History*

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

Date Development

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

April 13, 1971 Incorporated.

Had been dormant until 1999

1999 Started business under “Color Prelude Asia Co., Ltd.”

2002 Took the current company name.

TRADE REFERENCES

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

*Suppliers*

==========

Arcade Corp.

Saint Air Inc.

Mix Pack Ltd.

Qudam Corp.

Saint Communication Inc.

*Customers*

==========

Ezaki Glico Co., Ltd.

Kose Corp.

Kuraray Medical Co., Ltd.

Styling Life Holdings Inc.

Japan Airlines Co., Ltd.

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.63.46
UK Pound	1	Rs.98.51
Euro	1	Rs.77.31

INFORMATION DETAILS

Analysis Done by :	DIV
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%)

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