MIRA INFORM REPORT

 

 

Report Date :

02.05.2014              

 

IDENTIFICATION DETAILS

 

Name :

MITSUI FOODS CO LLTD

 

 

Registered Office :

Yaesu Mitsui Bldg, 2-7-2 Yaesu Chuoku Tokyo 104-0028  

 

 

Country :

Japan

 

 

Financials (as on) :

31.03.2013

 

 

Date of Incorporation :

September 1960

 

 

Com. Reg. No.:

0100-01-043281

 

 

Legal Form :

Limited Company (Kabushiki Kaisha)

 

 

Line of Business :

Import, export, wholesale of foods, wines, beer, beverages

 

 

No. of Employees

1,447

 

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

 

Maximum Credit Limit :

Yen 4,252.0 Million

Status :

Good

Payment Behaviour :

Regular

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)

Japan

A1

A1

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low Risk

 

A2

Moderate Low Risk

 

B1

Moderate Risk

 

B2

Moderate High Risk

 

C1

High Risk

 

C2

Very High Risk

 

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

 


Company name and address

 

MITSUI FOODS CO LLTD

 

REGD NAME:   Mitsui Shokuhin KK

MAIN OFFICE:  Yaesu Mitsui Bldg, 2-7-2 Yaesu Chuoku Tokyo 104-0028  JAPAN

                        Tel: 03-3551-1211     

                        Fax: 03-3551-2100

 

URL:                 http://www.mitsuifoods.co.jp

E-Mail address: (thru the URL)

 

 

ACTIVITIES

 

Import, export, wholesale of foods, wines, beer, beverages, other

 

 

BRANCHES

 

Nationwide (51 locations)

 

 

OVERSEAS   

 

Mitsui & Co (the parent) overseas offices

 

 

OFFICERS

 

MITSUO NAGAHARA, PRES      Hiroyuki Matsumoto, dir

Yoji Endo, dir                            Takumi Kobayashi, dir

Hisashi Oda, dir                                    Minoru Nakajima, dir

                       

Yen Amount:     In million Yen, unless otherwise stated

 

 

SUMMARY    

 

FINANCES        FAIR                 A/SALES          Yen 134,700 M

PAYMENTS      REGULAR         CAPITAL           Yen 12,031 M

TREND             STEADY           WORTH            Yen 26,500 M   

STARTED         1960                 EMPLOYES      1,447

 

COMMENT    

 

TRADING FIRM SPECIALIZINFG IN FOODS, LIQUOR, BEVERAGES, OWNED

BY MITSUI & CO LTD.

FINANCIAL SITUATION CONSIDERED FAIR AND GOOD FOR ORDINARY BUSINESS ENGAGEMENTS.

                       

MAX CREDIT LIMIT: ESTIMATED AT YEN 4,252.0 MILLION, ON 30 DAYS NORMAL TERMS

 

 

HIGHLIGHTS

           

The subject company was established on the basis of a foodstuffs trading division separated from Mitsui & Co Ltd (See REGISTRATION).  This is a trading firm specializing in foods, wines & liquor beverages, other (See OPERATION).  Goods are imported from around the world thru overseas offices of the parent, Mitsui & Co Ltd, and exports Japanese foods.  Clients include convenience stores, super markets, and department stores, other, nationwide.

 

 

FINANCIAL INFORMATION

           

The sales volume for Mar/2013 fiscal term amounted to Yen 634,700 million, a 6% up from Yen 596,821 million in the previous term.  The recurring profit was posted at Yen 3,300 million and the net profit at Yen 2,000 million, respectively, compared with Yen 3,557 million recurring profit and Yen 3,810 million net profit, respectively, a year ago.

 

For the term that ended Mar 2014 the recurring profit was projected at Yen 3,500 million and the net profit at Yen 2,300 million, respectively, on a 5% rise in turnover, to Yen 665,000 million.  Final results are yet to be released.

 

The financial situation is considered FAIR and good for ORDINARY business engagements.  Max credit limit is estimated at Yen 4,252.0 million, on the normal 30 days terms.

 

 

REGISTRATION

 

Date Registered:  Sept 1960

Regd No.:         0100-01-043281 (Tokyo-Chuoku)

Legal Status:       Limited Company (Kabushiki Kaisha)

Authorized:         5 million shares

Issued:                1,263,700 shares

Sum:                   Yen 12,031 million

Major shareholders (%): Mitsui & Co Ltd* (100)

 

*.. General trading house vying with Mitsubishi Corp for top position, Tokyo, founded 1947, listed Tokyo S/E, capital Yen 341,482 million, turnover Yen 10,049,637 million, operating profit Yen 254,603 million, recurring profit Yen 314,98 million, net profit Yen 307,926 million, total assets Yen 14,216,588 million, net worth Yen 3,559,431 million, employees 45,148, pres Masami Iijima

 

Nothing detrimental is known as to the commercial morality of executives.

 

 

OPERATION

           

Activities: A trading firm for import, export and wholesale (distribute) of: wines, beers, beverages, coffee, tea, juices & ingredients (concentrates), frozen fruits & vegetables, frozen seafood, canned seafood, canned fruits & vegetables, specialty foods, packaged foods, Japanese foods, other (--100%)

 

Clients: [Mfrs, wholesalers] Seven-Eleven Japan, Ito-Yokado, Create SD Co, Koa Kitchen Service, Trial Co, other 

No. of accounts: 500

Domestic areas of activities: Nationwide

 

Suppliers: [Mfrs, wholesalers] Mitsui & Co, Kirin Brewery Co, Sapporo Breweries Ltd, Kirin Beverages, Asahi Breweries Ltd, Toyo Suisan Kaisha, other

 

Payment record: Regular

 

Location: Business area in Tokyo.  Office premises at the caption address are owned by the parent, Mitsui & Co, and maintained satisfactorily.

 

Bank References:

SMBC (Asakusabashii)

Mizuho Bank (Kabutocho)

Relations: Satisfactory

 

 

FINANCES

 

(In Million Yen)

       Terms Ending:

31/03/2014

31/03/2013

31/03/2012

31/03/2011

Annual Sales

 

665,000

634,700

596,821

525,070

Recur. Profit

 

3,500

3,300

3,557

3,540

Net Profit

 

2,300

2,000

3,810

513

Total Assets

 

 

155,200

146,888

112,733

Current Assets

 

 

177,000

119,311

89,370

Current Liabs

 

 

125,700

118,982

89,022

Net Worth

 

 

26,500

24,576

20,312

Capital, Paid-Up

 

 

12,031

12,031

12,031

Div.P.Share(¥)

 

 

0.00

0.00

0.00

<Analytical Data>

(%)

(%)

(%)

(%)

    S.Growth Rate

4.77

6.35

13.67

2.70

    Current Ratio

..

140.81

100.28

100.39

    N.Worth Ratio

..

17.07

16.73

18.02

    R.Profit/Sales

0.53

0.52

0.60

0.67

    N.Profit/Sales

0.35

0.32

0.64

0.10

    Return On Equity

..

7.55

15.50

2.53

 

Notes: Forecast (or estimated) figures for the 31/03/2014 fiscal term.

 

 


 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.60.34

UK Pound

1

Rs.101.45

Euro

1

Rs.83.31

 

INFORMATION DETAILS

 

Analysis Done by :

DIV

 

 

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.