MIRA INFORM REPORT

 

 

Report Date :

29.01.2014

 

IDENTIFICATION DETAILS

 

Name :

C.V. ALTA MEGA MULIA

 

 

Registered Office :

Jalan Puri Sukolilo Barat III No. 109 PC 306 Puri Galaxy Surabaya, 60111 East Java

 

 

Country :

Indonesia

 

 

Date of Incorporation :

2001

 

 

Legal Form :

Partnership with Sleeping Partner

 

 

Line of Business :

Trading and Exporter of Agriculture Commodities Products

 

 

No. of Employees :

11

 

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 :

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

 

C.V. ALTA MEGA MULIA

 

 

Address

 

Head Office

Jalan Puri Sukolilo Barat III No. 109 PC 306

Puri Galaxy

Surabaya, 60111

East Java

Indonesia

Phone               - (62-31) 7012 5500

Fax                   - (62-31) 5825 3533

Building Area     - 2 storey

Office Space      - 120 sq. meters

Region              - Commercial

Status               - Rent

 

 

Date of Incorporation :

2001’s

 

Legal Form :

C.V. Commanditaire Vennootschap or Partnership with Sleeping Partner

 

Company Reg. No. :

Not Required

 

Company Status :

National Private Company

 

Permit by the Government Department :

The Department of Finance

Not Available

 

Related Company :

None

 


 

CAPITAL AND OWNERSHIP

 

Capital Structure :

Owned Capital                                 : Rp. 250 million

 

Owners :

a. Mr. Erwin Citrajaya (Active Partner)

b. Mrs. Citrajaya (Silent Partner)

 

 

BUSINESS ACTIVITIES

 

Lines of Business :

Trading and Exporter of Agriculture Commodities Products

 

Production Capacity :

None

 

Total Investment :

None

 

Started Operation :

2001’s

 

Brand Name :

Alta Mega Mulia

 

Technical Assistance :

None

 

Number of Employee :

11 persons

 

Marketing Area :

Local       - 30%

Export      - 70%

 

Main Customer :

Buyers in Europe Union and the USA

 

Market Situation :

Very Competitive

 

Main Competitors :

a. C.V. INDO NIAGA ABADI

b. C.V. MEGANTARA NIAGA ABADI

c. C.V. MULTI NIAGA ABADI

d. C.V. NIAGA JAYA ABADI

e. C.V. UNGGUL NIAGA ABADI

 

Business Trend :

Growing

 

 

BANKER, AUDITOR & LITIGATION

 

B a n k e r :

P.T. Bank CENTRAL ASIA Tbk

Jalan Kertajaya Indah Timur No. 37-39

Surabaya, East Java

Indonesia

 

Auditor :

Internal Auditor

 

Litigation :

No litigation record in our database

 

 

FINANCIAL FIGURE

 

Annual Sales (estimated) :

2011 – Rp. 4.0 billion

2012 – Rp. 4.4 billion

2013 – Rp. 5.0 billion

 

Net Profit (estimated) :

2011 – Rp. 0.2 billion

2012 – Rp. 0.3 billion

2013 – Rp. 0.5 billion

 

Payment Manner :

Average

 

Financial Comments :

Satisfactory

 

 

KEY EXECUTIVES

 

Board of Management :

Director                                           - Mr. Erwin Citrajaya

 

Board of Commissioners :

Commissioner                                 - Mrs. Citra Jaya

 

Signatories :

Director (Mr. Erwin Citrajaya) is only the authorized person to sign the loan on behalf of the company.

 

 

CAPABILITIES

 

Management Capability :

Satisfactory

 

Business Morality :

Satisfactory

 

Credit Risk :

Average

 

 

OVERALL PERFORMANCE

 

C.V. ALTA MEGA MULIA (C.V. AMM) was established in Surabaya, East Java in 2001’s with the legal status of C.V. (Commanditaire Vennootschap) or Partnership with Sleeping Partner. The founding and owners of the company is Mr. Erwin Citrajaya as active partners and his wife Mrs. Citra Jaya Erwin as silent partner both of are indigenous business family. As in common in cases of companies with C.V. status, there is no mention in the company’s notarial act of its capital structure. But going by the company’s conditions, we estimate its capital at some Rp. 250 million.

 

C.V. AMM has been operating since 2001 dealing with trading and exporter of agriculture commodities products. Mr. Erwin Citrajaya, Director and owner of the company explained the agriculture commodities products among others are Gum Rosin, Turpentine Oil, Hydrogen Peroxide, Refined Glycerine USP 99.5%, PFAD, RBD Palm Stearin, Tapioca Starch, Wheat Bran, Wheat Bran Pellet and others. The whole products obtained from Lampung, Medan (Sumatera), East Java and other cities in Indonesia. Mr. Erwin Citrajaya also added that the company’s market is worldwide especially China, India, South Korea, Pakistan, Hong Kong and southeast countries. We observe that C.V. AMM is classified a small size company of its kinds with operation has been growing slowly in the last three years.

 

We have noticed that the demand for agricultural products had increased some 10% to 11% per annum in the last five years in line with the growth of industrial manufacturing in the country and international market. In the coming years, the growth rate of demand is estimated at about 6% to 7% per annum. The present market situation for agricultural products is very competitive for a large number of similar companies operating in the country. Meanwhile, competition is quite heavy in the export import of agricultural products with many companies now doing business in this field in Indonesia. We consider C.V. AMM to be in a quite favorable position for having already got hold of a steady clientele in the country and abroad.

 

Until this time C.V. AMM has not been registered with Indonesian Stock Exchange, so that they had not obliged to announce their financial statement. The management of C.V. AMM is very reclusive towards outsiders and rejected to disclose its financial condition. We observed that total sales turnover of the company in 2011 amounted to Rp. 4.0 billion rose to Rp. 4.4 billion in 2012 increased to Rp. 5.0 billion in 2013 and projected to go on rising by at least 6% in 2014. The operation in 2013 yielded an estimated net profit of at least Rp. 0.5 billion. So far, we did not heard that the company having been black listed by the Central Bank (Bank Indonesia). The company usually pays its debts punctually to suppliers.  

 

The management of C.V. AMM is led by Mr. Erwin Citrajaya (46) a businessman and professional manager with experience in trading, export import of agriculture commodities products. The company's management is handled by professional staff in the above business. They have wide relations with private businessmen within and outside the country. So far, we did not hear that the management of the company being filed to the district court for detrimental cases or involved in any business malpractices. The company’s litigation record is clean and it has not fairly good for business transaction. However, in view of the global economic slowdown we recommend to treat prudently in extending a loan to the company.

 

 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.62.99

UK Pound

1

Rs.104.61

Euro

1

Rs.86.17

 

 

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%)

 

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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.