MIRA INFORM REPORT

 

 

Report Date :

14.02.2014

 

IDENTIFICATION DETAILS

 

Name :

P.T. DNP INDONESIA

 

 

Registered Office :

Jl. Pulogadung Kav. 11 Block H No. 2-3 Jakarta Industrial Estate Pulogadung  Jakarta Timur 13920

 

 

Country :

Indonesia

 

 

Date of Incorporation :

22.10.203

 

 

Legal Form :

Limited Liability Company

 

 

Line of Business :

Subject is dealing with Flexible Packaging and Offset Printing

 

 

No. of Employees :

1,520

 

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 – September 30, 2013

 

Country Name

Previous Rating

(30.06.2013)

Current Rating

(30.09.2013)

Indonesia

B1

B1

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 

 

INDONESIA - ECONOMIC OVERVIEW

 

Indonesia, a vast polyglot nation, grew more than 6% annually in 2010-12. The government made economic advances under the first administration of President YUDHOYONO (2004-09), introducing significant reforms in the financial sector, including tax and customs reforms, the use of Treasury bills, and capital market development and supervision. During the global financial crisis, Indonesia outperformed its regional neighbors and joined China and India as the only G20 members posting growth in 2009. The government has promoted fiscally conservative policies, resulting in a debt-to-GDP ratio of less than 25%, a fiscal deficit below 3%, and historically low rates of inflation. Fitch and Moody's upgraded Indonesia's credit rating to investment grade in December 2011. Indonesia still struggles with poverty and unemployment, inadequate infrastructure, corruption, a complex regulatory environment, and unequal resource distribution among regions. The government in 2013 faces the ongoing challenge of improving Indonesia''s insufficient infrastructure to remove impediments to economic growth, labor unrest over wages, and reducing its fuel subsidy program in the face of high oil prices

 

Source : CIA

 

 

 

 


Name of Company

 

P.T. DNP INDONESIA

 

 

Address

 

Head Office & Factory I

Jl. Pulogadung Kav. 11 Block H No. 2-3

Jakarta Industrial Estate Pulogadung

Jakarta Timur 13920

Indonesia

Phones             - (62-21) 4605790, 4610313, 4616061

Fax                   - (62-21) 4605795, 4619745, 4619934

Email                - sales@dnpi.co.id

Land Area         - 38,000 sq. meters

Building Area     - 22,000 sq. meters

Region              - Industrial Estate

Status               - Rent

 

Factory II

Jl. Maligi Raya Lot F1/F2

Kawasan Industri KIIC, Karawang

Bekasi, West Java

Phones             - (62-21) 89107223-25, 89108156

Fax.                  - (62-21) 89108157

Land Area         - 53,809 sq. meters

Building Area     - 28,500 sq. meters

Region              - Industrial Estate

Status               - Rent

 

Date of Incorporation :

a. 28 April 1971 as P.T. DAI NIPPON GITAKARYA PRINTING

b. 19 December 1986 as P.T. DAI NIPPON PRINTING INDONESIA

c. 22 October 2003 as P.T. DNP INDONESIA

 

Legal Form :

P.T. (Perseroan Terbatas) or Limited Liability Company

 

Company Reg. No. :

The Ministry of Law and Human Rights

a. No. C-29542.HT.01.04.TH.2003

    Dated 18 December 2003

b. No. AHU-AH.01.10-2476

    Dated 31 January 2008

 

 

 

c. No. AHU-AH.01.10.19064

    Dated 04 August 2008

d. No. AHU-16265.AH.01.02.Tahun 2009

    Dated 28 April 2009

e. No. AHU-AH.01.10-21751

    Dated 11 July 2011

f. No. AHU-AH.01.10-38699

    Dated 30 October 2012

 

Company Status :

Foreign Investment (PMA) Company

 

Permit by the Government Departments :

  a.  The Department of Finance

      NPWP No. 01.000.594.0-092.000

 

  b. The President of the Republic of Indonesia

      No. B-113/Pres/8/1970

      Dated 04 August 1970

 

  c.  The Capital Investment Coordinating Board

      - No. 210/III/PMA/1992

        Dated 16 March 1992

      - No. 101/II/PMA/1993

        Dated 07 October 1993

- No. 178/II/PMA/1996

  Dated 06 September 1996

- No. 164/II/PMA/2000

  Dated 20 July 2000

 

  d.  The Department of Industry

      No. 631/SK/II/1974

       Dated 23 November 1974

 

Affiliated/Associated Companies :

a. DAI NIPPON PRINTING CO. LTD., of Japan (Investment Holding)

b. A member of the RODA MAS Group (see attachment)

 

 

CAPITAL AND OWNERSHIP

 

Capital Structure :

Authorized Capital                            - US$  30,000,000.-

Issued Capital                                  - US$  26,000,000.-

Paid up Capital                                - US$  26,000,000.-

 

Shareholders/Owners :

a. P.T. RODA MAS of Indonesia                          - US$. 12,740,000.- (49%)

   Address: Jl. Letjend. S. Parman Kav. 32-34

                  Jakarta 11480

                  Indonesia

 

 

b. DAI NIPPON PRINTING CO. LTD., of Japan       - US$. 13,260,000.- (51%)

   Address: 1-1-1, Ichigaya-Kogfacho,

                  Shinjuku-ku, Tokyo 162-8001

                  Japan

 

 

BUSINESS ACTIVITIES

 

Lines of Business :

Flexible packaging and Offset Printing Industry

 

Production Capacity :

Factory I (Pulogadung) :

a. Gravure Printing                           - 371,274,000 sq. meters p.a.

b. Offset Printing                              - 361,720,000 sq. meters p.a.

c. Coating                                       -   18,000,000 sq. meters p.a.

d. Laminating                                   -   24,000,000 sq. meters p.a.

e. Cutting & Crushing                       -   18,000,000 sq. meters p.a.

f.  Decorative Paper Printing              -   24,000,000 sq. meters p.a.

g. LDDPE Film                                -   4,821 sq. meters p.a.

 

Factory II (Karawang) :

a. Gravure Printing                           - 213,840,000 sq. meters p.a.

b. LLDPE Film                                 -  8,784 sq. meters p.a.

c. CPP Film                                    -  2,257 sq. meters p.a.

d. Metalizing                                    - 181,440,000 sq. meters p.a.

e. Bag in Box                                  -    3,456,000 units p.a.

 

Total Investment :                         

Factory I (Pulogadung)

a. Equity Capital                              - US$.   30.0 million

b. Reinvested Profit                          - US$.   29.4 million

c. Loan Capital                                - US$.   51.4 million

d. Total Investment                           - US$. 110.8 million

 

Factory II (Karawang)

a. Equity Capital                              - US$.        0 million

b. Loan Capital                                - US$.   41.0 million

c. Total Investment                           - US$.   41.0 million

 

Started Operation :

1973

 

Brand Name :                               

DNP INDONESIA

 

Technical Assistance :                  

DAI NIPPON PRINTING CO. LTD., of Japan

 

Number of Employee :

1,520 persons

 

Marketing Area :                           

Domestic (Local)   - 95%

Export                                             -   5%

 

Main Customers :

a. P.T. RASA MURNI UTAMA

b. P.T. GENERAL FOOD INDUSTRY

c. P.T. SUPERMIE INDONESIA

d. P.T. NUTRIFOOD INDONESIA

e. P.T. NISSIN BISCUIT FACTORY

f.  Etc.

 

Market Situation :                         

Very Competitive

 

Main Competitors :

a. P.T. SAMAFITRO

b. P.T. PUTRA MANDIRI ABADI

c. P.T. HOLOCAD INDONESIA

d. P.T. EXPRESS GRAFIKA PRINTING

e. Etc.

 

Business Trend :

Growing

 

 

BANKER, AUDITOR & LITIGATION

 

B a n k e r s :

a. P.T. Bank MANDIRI Tbk

    Bekasi Branch

    Jalan Raya Bekasi Km. 21

    Jakarta Timur

b. P.T. Bank BUANA INDONESIA Tbk

    Kota Branch

    Jalan Asemka No. 32-35

    Jakarta Barat

c. The Bank of Tokyo Mitsubishi Ltd.

    Main Branch

    Jalan Jend. Sudirman Kav. 10-11

    Jakarta Selatan

 

Auditor :

None

 

Litigation :                                    

No litigation record in our database

 

FINANCIAL FIGURE

 

Annual Sales (estimated) :

2008 – Rp. 1,590.0 billion

2009 – Rp. 1,710.0 billion

2010 – Rp. 1,860.0 billion

2011 – Rp. 2,020.0 billion

2012 – Rp. 2,290.0 billion

2013 – Rp. 2,470.0 billion

 

Net Profit (estimated) :

2008 – Rp.   69.0 billion

2009 – Rp.   76.0 billion

2010 – Rp.   83.5 billion

2011 – Rp.   92.0 billion

2012 – Rp. 104.0 billion

2013 – Rp. 112.0 billion

 

Payment Manner :

Almost promptly

 

Financial Comments :

Satisfactory

 

 

KEY EXECUTIVES

 

Board of Management :

President Director                            - Mr. Shuichi Kobayashi

Directors                                         - a. Mr. Masahiko Nakamura

                                                        b. Mr. Masayuki Emori

                                                        c. Mr. Bong Harli

                                                        d. Mr. Nuryadi Thaher

                                                        e. Mr. Joseph Harry Irwanto Imam

                                                        f.  Mr. Yoshiaki Ishizaka

                                                        g. Mr. Samuel Rumbayan

 

Board of Commissioner :              

President Commissioner                   - Mr. Tan Pei Ling

Commissioner                                 - Mr. Yujiro Kuroda

 

Signatories :

President Director (Mr. Shuichi Kobayashi) or one of the Director (Mr. Masahiko Nakamura, Mr. Masayuki Emori, Mr. Bong Harli, Mr. Nuryadi Thaher, Mr. Joseph Harry Irwanto Imam, Mr. Yoshiaki Ishizaka or Mr. Samuel Rumbayan)  which must be approved by Board of Commissioners (Mr. Tan Pei Ling and Mr. Yujiro Kuroda).

 

 

CAPABILITIES

 

Management Capability :

G o o d

 

Business Morality :

G o o d

 

Credit Risk :

Below average

 

Credit Recommendation :

Credit can be proceeded normally

 

Proposed Credit Limit :

Moderate amount

 

 

OVERALL PERFORMANCE

 

Originally named P.T. DAI NIPPON GITAKARYA PRINTING, the company was established in Jakarta on April 28, 1971 with an authorized capital of US$. 1,100,000 and the entirely was issued but it was just paid up of US$ 900,000.   The founding shareholders of the company are two foreign  companies of Japan namely DAI NIPPON PRINTING Co. Ltd., and  SUMITOMO SHOJI KAISHA Ltd., with a state-owned  enterprise  named  P.T. Pertjetakan, Penerbit dan Pabrik Tinta GITA KARYA.  The company notary deed has been changed frequently.  In 1986, SUMITOMO SHOJI KAISHA Ltd, and P.T. Percetakan,  Penerbit  dan  Pabrik Tinta GITA KARYA pulled out and they were replaced by P.T.  TUMBAK MAS, a private company.  Concurrently the authorized capital was raised to US$ 10,000,000.-, entirely was issued and fuly paid up.  Concurrently the company was renamed P.T. DAI NIPPON PRINTING INDONESIA. In March 1994 the authorized capital was raised to US$ 20,000,000.-, issued and paid up capital to US$ 10,000,000.-. By the same time P.T. TUMBAK MAS pulled out and joined in a new shareholder P.T. RODA MAS, a private company dealing with trading and investment holding.

 

The company's notary deed has frequently been revised, in December 2001 the authorized capital was raised again to US$ 30,000,000.-, issued and paid up capital to US$ 21,660,000.-. In October 2003, the company renamed to P.T. DNP INDONESIA (P.T. DNPI) and in 2008, the issued capital was raised to US$ 26,000,000.- and fully paid up.   The shareholders of the company are P.T. RODA MAS of Indonesia (49%) and DAI NIPPON PRINTING Co. Ltd., of Japan (51%).  The amendment to notary deed was approved by the Ministry of Law and Human Right in its Decision Letter No. AHU-AH.01.10-21751, dated July 11, 2011.

 

Later according to the latest revision of notary documents of Mr. Felix Fransiscus Xaverius Handojo, SH., No. 08 dated October 9, 2012 the company board of directors and the board of commissioners had been changed.  The deed of amendments was approved by the Ministry of Law and Human Rights in its decision letter No. AHU-AH.01.10-38699 dated October 30, 2012. No changes have been effected in term of its shareholding composition and capital structures to date.

 

The local partner of P.T. DNPI, P.T. RODA MAS is the parent company of the RODAMAS Group, a business group headed by and the majority business stakes is controlled by Mr. Tan Siong Kie and his family members. The main businesses of the RODAMAS Group are in G.I. sheet manufacturing, food seasoning, flat glass and sheet glass manufacturing, property management, trading, etc.

 

P.T. DNPI is a foreign capital investment company (PMA) dealing with Flexible Packaging and Offset Printing.    Initially its printing-house used to be located at Jalan Ceylon No.14-16, Central Jakarta, equipped with modern printing machines managed by P.T. Pertjetakan, Penerbitan dan Pabrik Tinta CITA KARYA.   But since 1983 the printing-house was relocated to Jakarta Industrial Estate (JIEP), East Jakarta with total land area 38,000 sq. meters, using the newest and modern machines. In 1992 the company was licensed by BKPM (Investment Coordinating Board) to change its machines/equipment under the restructuring scheme which is expected to improve quality and to increase production capacity. Besides, in 1993 and 1996 it was also licensed by BKPM to expand and to increase production capacity as depicted in page-4 of this report.

 

The development and expansion have absorbed an investment of US$ 110.8 million coming from company's capital of US$ 30.0 million, reinvested profit of US$ 29.4 million and the rest from loans. P.T. DNPI is now printing leaflets, posters, calendars, books, labels, stickers, packages and other printed matters all of high quality.  In July 2000 P.T. DNPI was also licensed by the BKPM to build a new plant located at Kawasan Industri KIIC, Karawang, West Java, on a land of some 54,000 sq. meters and it has been operating commercially since the end 2000.   P.T. DNPI  is using super modern and high-tech machines.  The new plant has a production capacity as depicted in page-4 (business activities) of this report, with an investment of US$ 41.0 million, entirely from loans.  

 

Major customers of P.T. DNPI are large and potential companies using printed matters, such as, P.T. RASA MURNI UTAMA, P.T. GENERAL FOOD INDUSTRY, P.T. SUPERMIE INDONESIA, P.T. NUTRIFOOD INDONESIA, P.T. NISSIN BISCUIT FACTORY INDUSTRIES, P.T. KHONG GUAN BISCUIT FACTORY, P.T. MANDOM INDONESIA Tbk., (the then P.T. TANCHO INDONESIA Tbk.), P.T. UNILEVER INDONESIA Tbk., P.T. RADIANCEE, P.T. TANABE ABADI, etc.   P.T. DNPI is classified as a large-sized company in flexible packaging and offset printing industry in the country and its business operation has kept on running smoothly and growing in the last five years.

 

Generally, the demand for gravure and offset printed products in the country had significantly rising by 8% to 10% per year in the last five years, in line with the growth of food and beverage industries, snack food industries including instant noodle, biscuit, confectioneries, pharmaceutical, cosmetic industries, etc.  But, as from October 2008, the demand growth for flexible packaging and printing has kept on dwindling as an impact of global economic crisis as told above.  The demand was increasing in the early 2009 due to economic condition was gradually recovery in the country. The growth rate is now estimated at 5% to 7% per year in one-two next years. Market competition is very tight due to a large number of similar companies operating in the country such as PT. Samafitro, PT. Putra Mandiri Abadi, PT. Holocad Indonesia, PT. Express Grafika Printing, PT. Ancol Terang Metal Printing, Indonesia Multi Color Printing, etc.   Business position of P.T. DNPI is favorable for it has controlled a wide marketing network at home and abroad and their product has been widely known among consumers in the country.

 

Until this time P.T.  DNPI has not been registered with Indonesian Stock Exchange, so that they shall not obliged to announce their financial statement. Therefore, the company has no obligation to publish financial statement publicly. We have checked to Department of Trade and Industry and found that no financial statement has been reported. P.T. DNPI’s management is very reclusive to outsider and rejecting to disclose its financial condition but we estimated the total sales turnover of the company in 2011 amounted to Rp. 2,020.0 billion increased to Rp. 2,290.0 billion in 2012 and rose again to Rp. 2,470.0 billion in 2013.  The operation in 2013 yielded a net profit at least Rp. 112.0 billion and the company has a total net worth of Rp. 1,230.0 billion.  It is projected that total sales turnover of the company will increase at least 8% in 2014.    So far we did not hear that P.T. DNPI has been black listed by Bank Indonesia (Central Bank) or having detrimental cases being settled in local district court.  The company usually pays its debts punctually to suppliers.  

 

Since mid 2007 the management of P.T. DNPI has been led by Mr. Shuichi Kobayashi (55), a professional manager of DAN NIPPON CO. LTD., of Japan with broad experience in offset and gravure printing. In his daily activities, he is assisted by seven directors namely Mr. Masahiko Nakamura (49), Mr. Masayuki Emori (54), both are from Japan,  Mr. Bong Harli (53), Mr. Nuryadi Thaher (57), Mr. Joseph Harry Irwanto Imam (65),  Mr. Yoshiaki Ishizaka (43) and Mr. Samuel Rumbayan (69).  The management is handled by professional managers of home and overseas having wide relation with local and foreign businessmen as well as with the government sectors.   So far, we did not hear that the management of the company having been involved in business malpractices. 

 

P.T. DNPI is appraised to be good for business transaction.  However, in view of the economic condition in the country is still unstable, we recommend to treat prudently in extending any new loan to the company.

 

 

Attachment

 

The RODAMAS Group is a national private business group established in 1960-s by Mr. Tan Siong Kie (94) and his wife Mrs. Liao Man Hua who was died on 24 June 2000. They are wholly Indonesian of Chinese extraction.  Mr. Tan Siong Kie married with the late Mrs. Liao Man Hua in Shanghai in 1947.  At present, Mr. Tan Siong Kie owned 3 children respectively Mrs. Tan Lien Chu (62), Mrs. Tan Yu Yen (59) and Mr. Mucky Tan AKA Tan Pei Ling (54). They are wholly married son and daughters.

 

Parent company of the RODAMAS Group is P.T. RODAMAS Co., Ltd., (PT. RODAMAS) established in 1959 by Mr. Tan Siong Kie and his family members. Originally P.T. RODAMAS  was dealing with trading and distribution of electrical parts and components, air conditioners, technical goods, industrial chemicals and building materials, agricultural products including copra, coconut oil, cooking oil and others.Apart from general trading business, P.T. RODAMAS  from 1990-s focused its operation in investment holding business and management trust of the RODAMAS Group members.  P.T. RODAMAS owns shares directly and indirectly in 23 companies of the RODAMAS Group members. The subsidiary companies of the RODAMAS can be seen on the following table:

 

No.

Subsidiary Company

P.T. Rodamas's Shares

Line of Business

1.

P.T. Tumbakmas Inti Mulia

100.0%

G.I. Sheet Manufacturing

2.

P.T. Dicky Metals

100.0%

Office Equipment Manufacturing

3.

P.T. Mitratama Kencana Sejati

100.0%

Food Product Manufacturing

4.

P.T. Mitratama Rasa Sejati

100.0%

Food Seasoning Manufacturing

5.

P.T. Esti Pura Kencana

100.0%

Investment Holding

6.

P.T. Tumbakmas Niaga Sakti

100.0%

Investment Holding

7.

Rodamas International Holdings

100.0%

Investment Holding

8.

Rodamas Marketing (s) Pte. Ltd.

100.0%

Overseas Marketing

9.

P.T. Sasa Inti

50.0%

Food Seasoning Manufacturing

10

P.T. Sasa Fermentasi

50.0%

Food Seasoning Manufacturing

11.

P.T. Ajinomoto Indonesia

50.0%

Food Seasoning Manufacturing

12.

P.T. Kao Indonesia

49.97%

Consumer Goods Manufacturing

13.

P.T. DNP Indonesia

49.0%

Flexible Packaging and Printing

14.

P.T. Asahimas Flat Glass Tbk.

39.69%

Sheet Glass Manufacturing

15.

P.T. Sanwamas Metal Industry

36.74%

Rolling Door Manufacturing

16.

P.T. Nabisco Foods

30.0%

Biscuit and Snack Manufacturing

17.

P.T. Salonpas Indonesia

25%

Pharmaceutical Manufacturing

18.

P.T. Saint Gobain Winter Damas

25.0%

Tools Manufacturing

19.

P.T. Eratex Djaja Tbk.

19.6%

Textile Manufacturing

20.

P.T. Asahimas Chemical

18.0%

Industrial Chemical Processing

21.

P.T. Riken Asahi Plastic Indonesia

10.0%

PVC Compound Manufacturing

22.

P.T. Kao Indonesia Chemical

5.0%

Chemical (S03) Processing

23.

P.T. Video Display Glass Indonesia

5.0%

TV Bulbs Manufacturing

 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.62.27

UK Pound

1

Rs.103.47

Euro

1

Rs.84.87

 

 

INFORMATION DETAILS

 

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%)

 

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.