MIRA INFORM REPORT

Report Date :

10.10.2014

IDENTIFICATION DETAILS

Name :	HONG KONG KINGKEE ALUMINIUM GROUP LTD.
Registered Office :	C/o Hong Kong Enterprise Register Center (International) Ltd. Room C, 15/F., Hua Chiao Commercial Centre, 678 Nathan Road, Mongkok, Kowloon
Country :	Hong Kong
Date of Incorporation :	10.06.2006
Com. Reg. No.:	36915899
Legal Form :	Private Limited Liability Company
Line of Business :	The subject is trading in the same commodities as Guangzhou Kingkee. Currently Guangzhou Kingkee is trading in the following commodities: aluminium board and plate and sheet, aluminium band/strip, aluminium foil, aluminium roll or coil, litho sheet or coil, tread or chequered plate.
No of Employees :	No employees in Hong Kong NOTE: It is to be noted that the company does not have its own operating office in Hong Kong. The company uses the address of its secretariat as its correspondence address only. Subject operates from some other country and does not have a base in Hong Kong. Such companies are registered in Hong Kong just to tax benefit purpose and due to the strict privacy laws prevailing in the country. In such cases, the companies are not required to have any employees in Hong Kong nor do have an office there.

RATING & COMMENTS

MIRA’s Rating :

Ca

RATING		STATUS	PROPOSED CREDIT LINE
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

Status :	No Operating Office in Hong Kong
Payment Behaviour :	Unknown
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 – June 1, 2014

Country Name	Previous Rating (31.03.2014)	Current Rating (01.06.2014)
Hong Kong	A1	A1

Risk Category	ECGC Classification
Insignificant	A1
Low	A2
Moderate	B1
High	B2
Very High	C1
Restricted	C2
Off-credit	D

HONG KONG - ECONOMIC OVERVIEW

Hong Kong has a free market economy, highly dependent on international trade and finance - the value of goods and services trade, including the sizable share of re-exports, is about four times GDP. Hong Kong has no tariffs on imported goods, and it levies excise duties on only four commodities, whether imported or produced locally: hard alcohol, tobacco, hydrocarbon oil, and methyl alcohol. There are no quotas or dumping laws. Hong Kong's open economy left it exposed to the global economic slowdown that began in 2008. Although increasing integration with China, through trade, tourism, and financial links, helped it to make an initial recovery more quickly than many observers anticipated, its continued reliance on foreign trade and investment leaves it vulnerable to renewed global financial market volatility or a slowdown in the global economy. The Hong Kong government is promoting the Special Administrative Region (SAR) as the site for Chinese renminbi (RMB) internationalization. Hong Kong residents are allowed to establish RMB-denominated savings accounts; RMB-denominated corporate and Chinese government bonds have been issued in Hong Kong; and RMB trade settlement is allowed. The territory far exceeded the RMB conversion quota set by Beijing for trade settlements in 2010 due to the growth of earnings from exports to the mainland. RMB deposits grew to roughly 12% of total system deposits in Hong Kong by the end of 2013. The government is pursuing efforts to introduce additional use of RMB in Hong Kong financial markets and is seeking to expand the RMB quota. The mainland has long been Hong Kong's largest trading partner, accounting for about half of Hong Kong's total trade by value. Hong Kong's natural resources are limited, and food and raw materials must be imported. As a result of China's easing of travel restrictions, the number of mainland tourists to the territory has surged from 4.5 million in 2001 to 34.9 million in 2012, outnumbering visitors from all other countries combined. Hong Kong has also established itself as the premier stock market for Chinese firms seeking to list abroad. In 2012 mainland Chinese companies constituted about 46.6% of the firms listed on the Hong Kong Stock Exchange and accounted for about 57.4% of the Exchange's market capitalization. During the past decade, as Hong Kong's manufacturing industry moved to the mainland, its service industry has grown rapidly. Credit expansion and tight housing supply conditions have caused Hong Kong property prices to rise rapidly; consumer prices increased by more than 4% in 2013. Lower and middle income segments of the population are increasingly unable to afford adequate housing. Hong Kong continues to link its currency closely to the US dollar, maintaining an arrangement established in 1983. In 2013, Hong Kong and China signed new agreements under the Closer Economic Partnership Agreement, adopted in 2003 to forge closer ties between Hong Kong and the mainland. The new measures, effective from January 2014, cover services and trade facilitation, and will improve access to the mainland's service sector for Hong Kong-based companies.

Source : CIA

NOTE:-

(Formerly located at:

c/o Xin Sheng Da Knitted (H.K.) Int’l Devpt. Ltd.

Room B, 13/F., Kiu Fu Commercial Building,

300-306 Lockhart Road, Wanchai, Hong Kong.)

COMPANY NAME

HONG KONG KINGKEE ALUMINIUM GROUP LTD.

ADDRESS

Registered Office:-

c/o Hong Kong Enterprise Register Center (International) Ltd.

Room C, 15/F., Hua Chiao Commercial Centre, 678 Nathan Road, Mongkok, Kowloon, Hong Kong.

Associated Company:-

Guangzhou Kingkee Aluminium Co. Ltd.

1705, Qinjian Commercial Building, 468 Huangpu Dadao West, Tianhe District, Guangzhou, Guangdong Province, China.

BUSINESS REGISTRATION NUMBER

36915899

COMPANY FILE NUMBER

1051298

DATE OF INCORPORATION

10th June, 2006.

PAID UP CAPITAL

HK$500,000.00

SHAREHOLDERS

(As per registry dated 10-06-2014)

Name	Occupation	No. of shares
LIN Tian Xi	Merchant	250,000
XU Hai Hong	Merchant	250,000
		–––––––
	Total:	500,000 ======

DIRECTORS

(As per registry dated 10-06-2014)

Name (Nationality)	Address
XU Hai Hong	18, 5/F., First Door, 43 Machongzhi, Beilin District, Xi’an City, Shaanxi Province, China.
LIN Tian Xi	6/F., 24 Zhijing Road, Xiangzhou, Xiangzhou District, Zhuhai Special Economic Zone, China.

SECRETARY

(As per registry dated 10-06-2014)

Name	Address	Co. No.
Hong Kong Enterprise Register Center (International) Ltd.	Room C, 15/F., Hua Chiao Commercial Centre, 678 Nathan Road, Mongkok, Kowloon, Hong Kong.	1250231

HISTORY

The company was incorporated on 10th June, 2006 as a private limited liability company under the Hong Kong Companies Ordinance.

Formerly the subject’s registered address was located at Room B, 13/F., Kiu Fu Commercial Building, 300-306 Lockhart Road, Wanchai, Hong Kong where was the operating address of a Hong Kong-registered company known as Xin Sheng Da Knitted (H.K.) Int’l Devpt. Ltd. The subject moved to the present address in late 2008.

Apart from these, neither material change nor amendment has been ever traced and noted.

GENERAL

Hong Kong Kingkee Aluminium Group Ltd. was incorporated on 10th June, 2006 as a private limited liability company under the Hong Kong Companies Ordinance.

The subject does not have its own operating office. Its registered office is in a commercial service firm located at Room C, 15/F., Hua Chiao Commercial Centre, 678 Nathan Road, Mongkok, Kowloon, Hong Kong known as Hong Kong Enterprise Register Center (International) Ltd. which is handling its correspondences and documents. This company is also the corporate secretary of the subject.

The subject has no employees in Hong Kong.

According to the Companies Registry of Hong Kong, the subject has issued 500,000 ordinary shares of HK$1.00 each of which are equally-owned by Mr. Lin Tian Xi and Xu Hai Hong, both are China merchants. They are China ID holders and do not have the right to reside in Hong Kong permanently. They are directors of the subject.

The subject has had an associated company known as Guangzhou Kingkee Aluminium Co. Ltd. [Guangzhou Kingkee]. The general manager of Guangzhou Kingkee is also Lin Tian Xi.

The subject is trading in the same commodities as Guangzhou Kingkee. Currently Guangzhou Kingkee is trading in the following commodities: aluminium board and plate and sheet, aluminium band/strip, aluminium foil, aluminium roll or coil, litho sheet or coil, tread or chequered plate.

According to the subject, Guangzhou Kingkee is its wholly-owned subsidiary. Employing about 15 persons, Guangzhou Kingkee has become one of the leading aluminium product traders in China.

Guangzhou Kingkee has special advantage in EMS industry. Foxconn and Flextronics are its main customers, which are the top two corporations in EMS industry. It also has good relationship with a number of suppliers in China. Moreover, it has set up a warehouse of 2,000 MT products on stock in Guangzhou.

Guangzhou Kingkee has its associated factory. Its melting and casting line in includes ingots producing and ingots manufacturing. It can produce over 170 types of deformation aluminium alloy, over 100 type of square or round aluminium alloy ingot, the annual output reaches to 259,000 tons. This line also provides aluminium alloy ingots for rolling, forging, extruding processes. The products have acquired the license of manufacturing forging and forging stocks issued by Boeing Company. It has about 50 employees. Annual sales turnover ranges from RMB15 to 20 million Yuan. Products are marketed in China and exported to worldwide countries.

The subject’s business in Hong Kong is not active. History in Hong Kong is over eight years and four months.

Since the subject does not have its own operating office and has no employees in Hong Kong, consider it good for business engagements on L/C basis.

NOTE:

It is to be noted that the company does not have its own operating office in Hong Kong. The company uses the address of its secretariat as its correspondence address only. Subject operates from some other country and does not have a base in Hong Kong. Such companies are registered in Hong Kong just to tax benefit purpose and due to the strict privacy laws prevailing in the country. In such cases, the companies are not required to have any employees in Hong Kong nor do have an office there.

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.61.04
UK Pound	1	Rs.98.64
Euro	1	Rs.77.74

INFORMATION DETAILS

Analysis Done by :	KAR
Report Prepared by :	SMN

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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