MIRA INFORM REPORT

 

 

Report Date :

06.03.2014

 

IDENTIFICATION DETAILS

 

Name :

FASHION GARMENTS 2 CO LTD

 

 

Registered Office :

Bien Hoa II Industrial Zone 13A St, Bien Hoa, Dong Nai

 

 

Country :

Vietnam

 

 

Financials (as on) :

December 2012

 

 

Date of Incorporation :

26.08.2008

 

 

Legal Form :

Private Company with Limited Liability

 

 

Line of Business :

Manufacturer of Garments & Accessories

 

 

No. of Employees

4,400

 

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 – december 01, 2013

 

Country Name

Previous Rating

(30.09.2013)

Current Rating

(01.12.2013)

Vietnam

B1

B1

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 

 

vietnam ECONOMIC OVERVIEW

 

Vietnam is a densely-populated developing country that has been transitioning from the rigidities of a centrally-planned economy since 1986. Vietnamese authorities have reaffirmed their commitment to economic modernization in recent years. Vietnam joined the World Trade Organization in January 2007, which has promoted more competitive, export-driven industries. Vietnam became an official negotiating partner in the Trans-Pacific Partnership trade agreement in 2010. Agriculture's share of economic output has continued to shrink from about 25% in 2000 to less than 22% in 2012, while industry's share increased from 36% to nearly 41% in the same period. State-owned enterprises account for roughly 40% of GDP. Poverty has declined significantly, and Vietnam is working to create jobs to meet the challenge of a labor force that is growing by more than one million people every year. The global recession hurt Vietnam's export-oriented economy, with GDP in 2012 growing at 5%, the slowest rate of growth since 1999. In 2012, however, exports increased by more than 18%, year-on-year; several administrative actions brought the trade deficit back into balance. Between 2008 and 2011, Vietnam's managed currency, the dong, was devalued in excess of 20%, but its value remained stable in 2012. Foreign direct investment inflows fell 4.5% to $10.5 billion in 2012. Foreign donors have pledged $6.5 billion in new development assistance for 2013. Hanoi has oscillated between promoting growth and emphasizing macroeconomic stability in recent years. In February 2011, the Government shifted policy away from policies aimed at achieving a high rate of economic growth, which had stoked inflation, to those aimed at stabilizing the economy, through tighter monetary and fiscal control. Although Vietnam unveiled a broad, "three pillar" economic reform program in early 2012, proposing the restructuring of public investment, state-owned enterprises, and the banking sector, little perceptible progress had been made by early 2013. Vietnam's economy continues to face challenges from an undercapitalized banking sector. Non-performing loans weigh heavily on banks and businesses. In September 2012, the official bad debt ratio climbed to 8.8%, though some independent analysts believe it could be higher than 15%.

 

Source : CIA

 

 

 

REGISTERED NAME & COMPANY SUMMARY

 

Company Details

Organization Name

:

FASHION GARMENTS 2 CO LTD

Address

:

Bien Hoa II Industrial Zone 13A St, Bien Hoa, Dong Nai

Country

:

Vietnam

Phone (S)

:

[+84] 61-8877400

Facsimile

:

[+84] 61-3836125

Email

:

info@www.fashiongarments.com

Website

:

http://www.fashiongarments.com

Primary Business Activity

:

Manufacturer

Key Industry

:

Garments & Accessories

 

Key Facts

 

Registered Legal Address

:

Bien Hoa II Industrial Zone 13A St, Bien Hoa, Dong Nai

Operational Address

:

Bien Hoa II Industrial Zone 13A St, Bien Hoa, Dong Nai

Issuing Authority

:

Dept. of Planning & Investment - Bien Hoa

License Number

:

47204300642

License Status

:

License exists - Normal.

Legal Form – Category

:

Private Company with Limited Liability

Legal Form

:

Company Limited

Legal Form - Abbreviation

:

CO LTD

Operational Status of Business

:

Normal

Date of Registration

:

26 Aug, 2008

Employees

:

4,400

Capital

:

US$ 3,993,383

 

Report Details

 

 

Country

:

Vietnam

Business Entity Name

:

FASHION GARMENTS 2 CO LTD

Primary Business Activity

:

Manufacturer

Primary Industry

:

Garments & Accessories

Office Contact Details

Operating Address

:

Bien Hoa II Industrial Zone 13A St, Bien Hoa, Dong Nai

Tel

:

[+84] 61-8877400

 

:

[+84] 61-8877406

 

:

[+84] 61-8877392

Fax

:

[+84] 61-3836125

Email

:

info@www.fashiongarments.com

Website Details

Website

:

http://www.fashiongarments.com

Tax / VAT Details

Tax Issuing Authority

:

Ministry of Finance

Local Name Used

:

Gia Trj Gia Tang (Value Added Tax)

Acronym

:

GTGT / VAT

GTGT / VAT Number

:

3600488793

 

DIRECTORS/MANAGEMENT

 

Key Person

Legal Title

:

Managing Director

Name

:

Mr. Madhawa Atapattu

Nationality

:

Sri Lankan

 

 

COMPANY MANAGEMENT

 

 

 

Management Listings

 

 

Name

Nationality

Job Description

Dept. / Division

1

Ms. Luu Thi Loan

Vietnamese

Deputy Managing Director

-

2

Ms. Phan Thu Thuy

Vietnamese

Chief Accountant

-

 

 

Management Details - 1

Personal Unique Identifier

:

MI03637592

Name

:

Ms. Luu Thi Loan

 

Date of Birth

:

1957

 

 

Management Details - 2

Personal Unique Identifier

:

MI03637596

Name

:

Ms. Phan Thu Thuy

 

Date of Birth

:

1980

 

COMPANY DIRECTORS

 

1

 

 

Personal Unique Identifier

:

MI03637590

Name

:

Mr. Madhawa Atapattu

Date of Birth

:

1975

Nationality

:

Sri Lankan

 

NEGATIVE INFORMATION

 

 

REPUTATION

 

Reference checking for the purpose of establishing the FASHION GARMENTS 2 CO LTD's reputation within the respective industry failed to reveal any adverse information.

 

 

NEGA-SCAN - ADVERSE DATA MONITORING

 

 

DISHONORED CHECKS

 

No Record Found

 

http://www.asiancredit.com/Manage/Image/space.gif

 

DEBT

 

No Record Found

 

http://www.asiancredit.com/Manage/Image/space.gif

 

LITIGATION

 

No Record Found

 

http://www.asiancredit.com/Manage/Image/space.gif

 

PERFORMANCE DEFAULTS

 

No Record Found

 

http://www.asiancredit.com/Manage/Image/space.gif

 

ADVERSE LOCAL MEDIA COVERAGE / ADVERSE FILING HISTORY

 

No Record Found

 

http://www.asiancredit.com/Manage/Image/space.gif

 

SHARE & SHARE CAPITAL INFORMATION

 

 

CAPITAL (Currency: USD - US Dollar)

 

Authorized Capital

:

3,993,383

 

SHAREHOLDERS

 

Total number of shareholders

:

1

Total number of shares

:

n/a

 

Currency

:

VND - Vietnam Dong

 

No.

Shareholders

Country

Shares

Number

Amount (VND)

%

1

COMTEXTILE (HK) LTD

Hong Kong

n/a

n/a

100.00

Total

n/a

n/a

100.00

 

 

Based on corporate statutory laws / regulations in Vietnam, there is no requirement for public disclosure of Shareholders. In this case, the Shareholders information was supplied by the Subject Business Entity.


However in the absence of data normally obtained from local Statutory Authorities, it is not possible to verify the accuracy of data supplied and hence is provided as reference ONLY.

 

PAYMENT INFORMATION

 

 

PAYMENT TERMS

 

Selling

 

Type

Terms

Export

Letter of Credit (At-sight)

Telegraphic Transfer (T/T) - Received at time of transaction

 

Purchasing

 

Type

Terms

Local

Cash on delivery (COD)

Credit - Unsecured 30~60 days

Import

Letter of Credit (At-sight)

Telegraphic Transfer (T/T) - Executed at time of transaction

 

GROUP STRUCTURE & AFFILIATED COMPANIES

 

 

DIRECT / INDIRECT CORPORATE PARENT DETAILS

 

Direct Parent

:

COMTEXTILE (HK) LTD

Global Identifier

:

P0152858

Legal Form Category

:

Private Company with Limited Liability

Country

:

Hong Kong

Operational Address

:

4Fl Wing Fat Industrial Bldg 12 Wang Tai Rd Kowloon Bay Kowloon

Primary Business Activity

:

Manufacturer

 

FINANCIAL INFORMATION

 

Financials - Summary  (Currency: USD - US Dollar)

Year

Sales

Assets

Net Income

2012 Annual (*)

62,695,045

27,724,438

173,064

 

Note: (*)

Financials listed are the most recent available for this company.

 

 

FINANCIAL STATEMENT - DETAILED

 

 

 

Balance Sheet

 

Currency

:

VND

Denomination

:

1

Financial Year Ending

:

December

 

Financial Highlights

2012 Annual

Current Assets

393,712,000,000

Non Current Assets

183,640,000,000

Non Current Liabilities

15,246,000,000

Other long term assets 

Total Assets

577,352,000,000

Total Liabilities

391,525,000,000

Current Liabilities

376,279,000,000

Long term liabilities 

Shareholders Funds

185,827,000,000

 

Current assets & short term investments

393,712,000,000

Cash & cash equivalents

49,175,000,000

Cash

5,957,000,000

Cash equivalents

43,218,000,000

Accounts receivable

150,461,000,000

Accounts receivable trade

142,713,000,000

Trade prepayment

3,957,000,000

Others receivables

4,978,000,000

Provision for bad debts

(1,187,000,000)

I. Inventories

158,189,000,000

II. Inventories

166,728,000,000

Provision for decline in inventory

(8,539,000,000)

I. Other short term asset

35,887,000,000

Prepaid expenses

5,457,000,000

VAT deductible

20,682,000,000

Other tax receivables

4,499,000,000

II. Other short term asset

5,249,000,000

Long term assets

183,640,000,000

Fixed assets

157,501,000,000

Tangible fixed assets

156,981,000,000

I. Cost

271,264,000,000

I. Accumulated depreciation

114,283,000,000

Intangible fixed assets

520,000,000

II. Cost

1,437,000,000

II. Accumulated depreciation

917,000,000

Other long term assets

26,139,000,000

Long term prepayments

13,788,000,000

Asset of income tax delay

12,351,000,000

Total assets

577,352,000,000

Liabilities

391,525,000,000

Current liabilities

376,279,000,000

Short term borrowings

208,009,000,000

Accounts payables-trade

54,111,000,000

Taxes and payable to state budget

8,436,000,000

Payable to employees

14,559,000,000

Accrued expenses payable

86,228,000,000

Other payables

4,936,000,000

Long term liabilities

15,246,000,000

Long term other payables

8,019,000,000

Long term borrowings

7,227,000,000

Owner's equity

185,827,000,000

Business capital

83,666,000,000

Retained earnings

102,161,000,000

Total resources

577,352,000,000

 

 

Income Statement

 

Currency

:

VND

Denomination

:

1

Financial Year Ending

:

December

 

Financial Highlights

2012 Annual

Turnover

1,305,603,000,000

Profit (Loss) Before Tax

13,226,000,000

Profit After Tax attributable to Shareholders

3,604,000,000

 

Gross sales

1,305,603,000,000

Net income

1,305,603,000,000

Cost of goods sold

1,050,460,000,000

Gross margin

255,143,000,000

Income from financial activities

1,979,000,000

Expenses from financial activities

13,559,000,000

In which: Interest expenses

11,893,000,000

Selling expenses

148,462,000,000

General & administration expenses

79,917,000,000

Net income from operating activities

15,184,000,000

Extraordinary income

3,291,000,000

Extraordinary expenses

5,249,000,000

Extraordinary gains

(1,958,000,000)

Net profit before tax

13,226,000,000

Income tax

1,083,000,000

Income tax delay

(8,539,000,000)

Net profit after tax

3,604,000,000

 

 

Financial Ratios

 

Financial Highlights

2012 Annual

Profitability 

Profit Margin (%)

0.28

Return on Equity (%)

1.94

Return on Assets (%)

0.62

Leverage 

Total Debt Equity (Times)

2.11

Current Debt Equity (Times)

2.02

Long Term Debt to Equity

0.08

Total Asset To Total Equity

3.11

Asset Management 

Total Assets Turnover (Times)

2.26

Fixed Assets Turnover (Times)

7.11

Liquidity 

Current Ratio

1.05

 

 

Based on the corporate laws of Vietnam, legal entities which are Private Company with Limited Liability are not required to make public disclosure of their annual financials. Although financials were obtained for reference.

 

FOREIGN EXCHANGE RATES

 

Today's Exchange rate

:

1.00 VND
Vietnam Dong

=

0.000048 USD
United States Dollars

 

ADDITIONAL INFORMATION

 

Primary Products

Products / Materials / Services Description

Activity

Garments

Manufacturing, Exporting

 

International Trade - Statistics  (Currency: USD - US Dollar)

Year

Imports

Exports

Total

2012

n/a

62,695,045

62,695,045

 

 

SIC PRODUCT CLASSIFICATION & ACTIVITY

 

 

 

Product/Service Description

Code

Activity

Apparel and accessories, nspf

2389

Manufacturing, Exporting

Apparel/Other Textile Products

2300

Manufacturing, Exporting

 

 

 

 

HARMONIZED PRODUCT CLASSIFICATION & ACTIVITY

 

 

 

Product/Service Description

Code

Activity

Garments nesoi, knitted or crocheted

6114

Manufacturing, Exporting

Made-up clothing access nesoi, garment etc parts

6217

Manufacturing, Exporting

 

 

 

 

CORE BUSINESS DESCRIPTION

 

 

 

Core Business

 

The primary business focus of FASHION GARMENTS 2 CO LTD is Manufacturing - Finished products.

Key product include :

·         Garments


An integral part of the core business includes:

·         Distribution

 

 

 

Supplementary Business

 

In addition to the core business, FASHION GARMENTS 2 CO LTD also is engaged in the following areas of business:

1.     Exporting

·         Exporting - Finished products

2.     Importing

·         Importing - Raw materials

 

 

 

DOMESTIC SALES & PURCHASES

 

 

 

Annual Sales Analysis

Percentage

Domestic Sales

0%

International Sales (Export)

100%

 

 

 

 

Annual Purchases Analysis

Percentage

Local Purchases

30%

Imports

70%

 

 

 

 

BANK DETAILS

 

 

 

Bank Name

:

HSBC BANK (VIETNAM) LTD

Global Identifier

:

32403760

Branch

:

District 1,Ho Chi Minh

Branch Address

:

DONG NAI

SWIFT Code

:

HSBCVNVX

 

Bank Name

:

JOINT STOCK COMMERCIAL BANK FOR FOREIGN TRADE OF VIETNAM

Global Identifier

:

P1072025

Branch

:

Hanoi

Branch Address

:

JOINT STOCK COMMERCIAL BANK FOR FOREIGN TRADE OF VIETNAM, BIEN HOA

SWIFT Code

:

BFTVVNVX

 

 

 

INTERNATIONAL TRADE - Activity & Markets

 

 

 

 

Country / Region

Estimated level of importance

Trading Activity

Asia / Pacific

Medium

Importing

Europe

Medium

Exporting

North America

Medium

Exporting

Canada

Medium

Exporting

China

Medium

Importing

France

Medium

Exporting

Hong Kong

Medium

Importing

Taiwan

Medium

Importing

Thailand

Medium

Importing

USA

Medium

Exporting

 

 

 

 

OFFICE & FACILITIES

 

The following information relates to the Business Entity's office as listed above:

 

Name

:

FASHION GARMENTS 2 CO LTD - BIEN HOA, DONG NAI

Primary Use

:

Office & Administration facilities

Building Size

:

52,600 Square meters

Address

:

Bien Hoa II Industrial Zone 13A St, Bien Hoa, Dong Nai

Country

:

Vietnam

Ownership of Property

:

Rented / Leased

Status

:

Operational

 

 

 

MERGER

 

 

 

Merger ( 1 )

 

Date of Merger

:

29 Dec, 2009

Circumstances Involved

:

Amicable merger

 

Parties Involved

 

Business Entity Name

Country

FASHION GARMENTS LTD

Vietnam

 

 

 

 

 

 

PREVIOUS BUSINESS LICENSE/S

 

 

 

License Date

License No.

24 Sep, 1997

17/GP-KCN-DN

 

 

FOREIGN EXCHANGE RATES

 

Currency
Unit

Indian Rupees

US Dollar

1

        Rs.61.86

UK Pound

1

Rs.103.06

Euro

1

Rs.84.92

 

INFORMATION DETAILS

 

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%)

 

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.