MIRA
INFORM REPORT
|
Report Date : |
18.07.2014 |
IDENTIFICATION DETAILS
|
Name : |
SHANDONG LAIWU STEEL INTERNATIONAL CORP. |
|
|
|
|
Registered Office : |
|
|
|
|
|
Country : |
|
|
|
|
|
Financials (as on) : |
31.12.2013 |
|
|
|
|
Date of Incorporation : |
23.08.2001 |
|
|
|
|
Com. Reg. No.: |
370200018074376 |
|
|
|
|
Legal Form : |
One-Person Limited Liability Company |
|
|
|
|
Line of Business : |
· Engaged in importing and exporting various goods and technology; processing with the imported materials, processing with imported materials, processing with imported samples, assemblying with imported parts, and compensation trade in agreement; counter trade & transiting trade; wholesaling and retailing agriculture and animal products, textiles, garments, general merchandise, culture and sports products, minerals, building materials, chemical products, machinery, hardware and electronics products. Trader of iron, steel & fuel for steel-smelting |
|
|
|
|
No. of Employees |
58 (Approximately) |
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 – March 31, 2014
|
Country Name |
Previous Rating (31.12.2013) |
Current Rating (31.03.2014) |
|
China |
A2 |
A2 |
|
Risk Category |
ECGC
Classification |
|
Insignificant |
A1 |
|
Low |
A2 |
|
Moderate |
B1 |
|
High |
B2 |
|
Very High |
C1 |
|
Restricted |
C2 |
|
Off-credit |
D |
China ECONOMIC OVERVIEW
Since the late 1970s China has moved from a closed, centrally planned system to a more market-oriented one that plays a major global role - in 2010 China became the world's largest exporter. Reforms began with the phasing out of collectivized agriculture, and expanded to include the gradual liberalization of prices, fiscal decentralization, increased autonomy for state enterprises, growth of the private sector, development of stock markets and a modern banking system, and opening to foreign trade and investment. China has implemented reforms in a gradualist fashion. In recent years, China has renewed its support for state-owned enterprises in sectors considered important to "economic security," explicitly looking to foster globally competitive industries. After keeping its currency tightly linked to the US dollar for years, in July 2005 China moved to an exchange rate system that references a basket of currencies. From mid 2005 to late 2008 cumulative appreciation of the renminbi against the US dollar was more than 20%, but the exchange rate remained virtually pegged to the dollar from the onset of the global financial crisis until June 2010, when Beijing allowed resumption of a gradual appreciation and expanded the daily trading band within which the RMB is permitted to fluctuate. The restructuring of the economy and resulting efficiency gains have contributed to a more than tenfold increase in GDP since 1978. Measured on a purchasing power parity (PPP) basis that adjusts for price differences, China in 2013 stood as the second-largest economy in the world after the US, having surpassed Japan in 2001. The dollar values of China's agricultural and industrial output each exceed those of the US; China is second to the US in the value of services it produces. Still, per capita income is below the world average. The Chinese government faces numerous economic challenges, including: (a) reducing its high domestic savings rate and correspondingly low domestic consumption; (b) facilitating higher-wage job opportunities for the aspiring middle class, including rural migrants and increasing numbers of college graduates; (c) reducing corruption and other economic crimes; and (d) containing environmental damage and social strife related to the economy's rapid transformation. Economic development has progressed further in coastal provinces than in the interior, and by 2011 more than 250 million migrant workers and their dependents had relocated to urban areas to find work. One consequence of population control policy is that China is now one of the most rapidly aging countries in the world. Deterioration in the environment - notably air pollution, soil erosion, and the steady fall of the water table, especially in the North - is another long-term problem. China continues to lose arable land because of erosion and economic development. The Chinese government is seeking to add energy production capacity from sources other than coal and oil, focusing on nuclear and alternative energy development. Several factors are converging to slow China's growth, including debt overhang from its credit-fueled stimulus program, industrial overcapacity, inefficient allocation of capital by state-owned banks, and the slow recovery of China's trading partners. The government's 12th Five-Year Plan, adopted in March 2011 and reiterated at the Communist Party's "Third Plenum" meeting in November 2013, emphasizes continued economic reforms and the need to increase domestic consumption in order to make the economy less dependent in the future on fixed investments, exports, and heavy industry. However, China has made only marginal progress toward these rebalancing goals. The new government of President XI Jinping has signaled a greater willingness to undertake reforms that focus on China's long-term economic health, including giving the market a more decisive role in allocating resources.
|
Source : CIA |
Company name & address
SHANDONG LAIWU STEEL INTERNATIONAL CORP.
NO. 39 DONGHAI
WEST ROAD, QINGDAO
SHANDONG PROVINCE
266071 PR CHINA
TEL: 86 (0)
532-85796663/85796700
FAX: 86 (0)
532-85796655
EXECUTIVE
SUMMARY
Date of Registration : AUGust 23, 2001
REGISTRATION NO. : 370200018074376
LEGAL FORM : One-person Limited Liability Company
CHIEF EXECUTIVE : wang shaoqiang (LEGAL
REPRESENTATIVE)
REGISTERED CAPITAL : cny 60,000,000
staff : 58
BUSINESS CATEGORY : trading
Revenue : CNY 10,673,437,000 (AS OF DEC. 31, 2013)
EQUITIES : CNY 279,905,000 (AS OF DEC. 31, 2013)
WEBSITE : www.sdlsi.com
E-MAIL :
info@sdlsi.com
PAYMENT : AVERAGE
MARKET CONDITION : AVERAGE
FINANCIAL CONDITION : FAIRly stable
OPERATIONAL TREND : fairly steady
GENERAL REPUTATION : AVERAGE
EXCHANGE RATE : CNY 6.20 = USD 1
Adopted abbreviations
(as follows)
SC - Subject Company
(the company inquired by you)
N/A – Not available
CNY – China Yuan Ren
Min Bi
OPERATIONAL TREND & GENERAL
REPUTATION
This section aims at indicating the relative positions of SC in respect
of its operational trend & general reputation
Operational Trend:- General
Reputation:-
Upward Excellent
Steady Good
Fairly Steady Fairly
Good
Ordinary Average
Fair Fair
Stagnant Detrimental
Downward Not
known
Not known Not
yet be determined
LEGAL
STATUS & HISTORY
SC was established
as a limited liabilities company of PRC on August 23, 2001. However, SC changed to present legal form, and was
registered as one-person limited liabilities company of PRC with State
Administration of Industry & Commerce (SAIC) under registration No.:
370200018074376 in 2011.
SC’s Organization Code Certificate
No.: 73060669-6
SC’s Tax No.: 370202730606696
SC’s registered capital: cny 60,000,000
SC’s paid-in capital: cny 60,000,000
Registration Change Record:-
|
Date |
Change of
Contents |
Before the
change |
After the change |
|
-- |
Legal
Representative |
Fan Chenghai |
Wang Shaoqiang |
|
Registered No. |
3702001807437 |
370200018074376 |
|
|
2011 |
Legal Form |
Limited
Liabilities Company |
One-Person Limited Liability Company |
|
Shareholder
(s) (% of Shareholding) |
Laiwu Iron & Steel Group Co., Ltd. 83.33% Laiwu Steel Corp. 16.67% |
Shandong
Iron And Steel Company Ltd. 100% |
|
|
2014-03-11 |
Shareholder (s) |
Shandong Iron And Steel
Company Ltd. 100% |
Shandong Iron & Steel
Group International Trade Co., Ltd. 100% |
Current Co search indicates SC’s shareholders & chief executives
are as follows:-
|
Name of Shareholder (s) |
% of Shareholding |
|
Shandong Iron & Steel
Group International Trade Co., Ltd. |
100 |
SC’s Chief Executives:-
|
Position |
Name |
|
Legal Representative and
Chairman |
Wang Shaoqiang |
|
General Manager |
Tai Junli |
|
Deputy General Manager |
Xing Lei |
|
Supervisor |
Zhang Gang |
RECENT
DEVELOPMENT
No recent development was found during our checks at present.
SHAREHOLDER
CHART & BACKGROUND
Name
%
of Shareholding
Shandong Iron & Steel Group
International Trade Co., Ltd. 100
------------------------------------------
Date of Registration: 370000000005336
Registration No.: November 25, 2013
Legal Form: Limited Liabilities Company
Registered Capital: CNY 1,000,000,000
MANAGEMENT
Wang Shaoqiang,
Legal Representative and Chairman
---------------------------------------------------------------------------------
Ø
Gender: M
Ø
Age: 50’s
Ø
Qualification:
University
Ø
Working
experience (s):
At present, working in SC as legal
representative and chairman
Also
working in Qingdao Joyful Logistics Co., Ltd. as legal representative
Tai Junli, General Manager
------------------------------------------------
Ø
Gender: M
Ø
Qualification:
University
Ø
Working
experience (s):
At present, working in SC as general manager
Xing Lei, Deputy General Manager
------------------------------------------------------
Ø
Gender: M
Ø
Qualification:
University
Ø
Working
experience (s):
At present, working in SC as deputy general manager
Zhang Gang, Supervisor
-----------------------------------------
Ø
Gender: M
Ø
Qualification:
University
BUSINESS
OPERATION
SC’s registered business scope includes importing and exporting various
goods and technology; processing with the imported materials, processing with
imported materials, processing with imported samples, assemblying with imported
parts, and compensation trade in agreement; counter trade & transiting
trade; wholesaling and retailing agriculture and animal products, textiles, garments,
general
merchandise, culture and sports products, minerals, building materials, chemical
products, machinery, hardware and electronics products.
SC is mainly
engaged in international trade.
SC’s
products mainly include: iron, steel & fuel for steel-smelting.
SC sources its
products 60% from domestic market and 40% from the overseas markets mainly
Southeast Asia, U.S.A. and Europe. SC sells 40% of its products in domestic
market and 60% to the overseas markets.
The buying terms of SC include Check, T/T, L/C and Credit of 30-60 days.
The payment terms of SC include T/T, L/C and Credit of 30-60 days.
*Major Customers*
-----------------------
Grupo Collado, S.A. De C.V.
Bridgeken, Inc.
*Major Supplier*
--------------------
Shandong Iron and
Steel Company Ltd.
Staff & Office:
--------------------------
SC is
known to have approx. 58
staff at present.
SC rents an area
as its operating office of approx. 800 sq. meters at the heading address.
RELATED
COMPANY
SC is known to have 2
subsidiaries as following:
n
Eldon Development Ltd. Hong Kong
--------------------------------------------------
Registration No.: 0249979
Legal Form: Private
n
Qingdao Joyful Logistics Co., Ltd.
-----------------------------------------------
Date of Registration: January 14, 2004
Registration No.: 370200018082585
Legal Form: Limited
Liabilities Company
Registered Capital: CNY 5,000,000
PAYMENT
Overall payment appraisal:
( ) Excellent ( ) Good (X) Average ( ) Fair ( ) Poor ( ) Not yet be determined
The appraisal serves as a reference to reveal SC's payments habits and
ability to pay. It is based on the 3
weighed factors: Trade payment experience (through current enquiry with SC's
suppliers), our delinquent payment and our debt collection record concerning
SC.
Trade payment experience: SC’s suppliers
declined to make any comments.
Delinquent payment record: None in our
database.
Debt collection record: No overdue amount
owed by SC was placed to us for collection within the last 6 years.
BANKING
Basic Bank:
Bank of China Shandong Branch
AC#: 63353808091001
FINANCIALS
Financial Summary
|
Unit: CNY’000 |
As
of Dec. 31, 2011 |
As
of Dec. 31, 2012 |
As
of Dec. 31, 2013 |
|
Total assets |
3,708,820 |
-- |
15,909,396 |
|
|
------------- |
------------- |
------------- |
|
Total
liabilities |
3,646,010 |
-- |
15,629,491 |
|
Equities |
62,810 |
166,664 |
279,905 |
|
|
------------- |
------------- |
------------- |
|
Revenue |
129,400 |
6,845,171 |
10,673,437 |
|
Cost of sales |
-- |
-- |
10,521,013 |
|
Profit before
tax |
-17,500 |
-- |
152,424 |
|
Less: profit tax |
1,410 |
-- |
23,144 |
|
Profits |
-18,910 |
34,125 |
129,280 |
Important Ratios
=============
|
|
As
of Dec. 31, 2011 |
As
of Dec. 31, 2012 |
As
of Dec. 31, 2013 |
|
*Liabilities
to assets |
0.98 |
-- |
0.98 |
|
*Net profit
margin (%) |
-14.61 |
0.50 |
1.21 |
|
*Return on
total assets (%) |
-0.51 |
-- |
0.81 |
|
*Revenue /
Total assets |
0.03 |
-- |
0.67 |
|
*Cost of sales
/ Revenue |
-- |
-- |
0.99 |
FINANCIAL
COMMENTS
PROFITABILITY:
AVERAGE
l
The revenue of SC appears average, and it increased
year by year.
l
SC’s net profit margin is fair in 2011, average in
2012 and 2013.
l
SC’s return on total assets is fair in 2011,
average in 2013.
l
SC’s cost of sales is high, comparing with its revenue.
LIQUIDITY:
FAIR
l
SC’s revenue is in a fair
level, comparing with the size of its total assets.
LEVERAGE:
AVERAGE
l
The debt ratio of SC is high in 2013.
l
The risk for SC to go bankrupt is average.
Overall financial
condition of the SC: Fairly Stable.
CONCLUSIONS
SC is considered medium-sized in its line with
fairly stable financial conditions.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.60.14 |
|
UK Pound |
1 |
Rs.103.00 |
|
Euro |
1 |
Rs.81.33 |
INFORMATION DETAILS
|
Analysis Done by
: |
SUB |
|
|
|
|
Report Prepared
by : |
MNL |
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%)
This report is issued at your request without any
risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL)
or its officials.