MIRA INFORM REPORT

Report Date :

26.09.2014

IDENTIFICATION DETAILS

Name :	CORDON CO LTD

Registered Office :	819 Kamiya Fuji City Shizuoka-Pref 417-0821

Country :	Japan

Financials (as on) :	30.09.2013

Date of Incorporation :	February 1954

Com. Reg. No.:	0801-01-008019

Legal Form :	Limited Company

Line of Business :	Manufacture of braided cord, yarn

No. of Employees :	11

RATING & COMMENTS

MIRA’s Rating :

RATING		STATUS	PROPOSED CREDIT LINE
26-40	B	Capability to overcome financial difficulties seems comparatively below average.	Small

Status :	Moderate
Payment Behaviour :	Slow but correct
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)

Japan

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

CORDON CO LTD

REGD NAME: Cordon KK

MAIN OFFICE: 819 Kamiya Fuji City Shizuoka-Pref 417-0821 JAPAN

Tel: 0545-38-2311 Fax: 0545-38-0100

URL: http://www.cordon.jp

E-Mail address: info@cordon.jp

ACTIVITIES

Mfg of braided cord, yarn

BRANCHES

Tokyo

FACTORIES

At the caption address

OFFICERS

YURIKO KONDO, PRES

Yen Amount: In million Yen, unless otherwise stated

SUMMARY

FINANCES FAIR A/SALES Yen 250 M

PAYMENTSSlow but correct CAPITAL Yen 28 M

TREND STEADY WORTH Yen 206 M

STARTED 1954 EMPLOYES 11

COMMENT

MFR OF BRAIDED CORDS.

FINANCIAL SITUATION CONSIDERED FAIR AND GOOD FOR ORDINARY BUSINESS ENGAGEMENTS.

HIGHLIGHTS

This is a specialized mfr of braided cords, yarns, other. Factory is located at the address given. Clients include textile makers, other.

FINANCIAL INFORMATION

Financials are disclosed only partially. Profits are not precisely disclosed and only estimated.

The sales volume for Sept/2013 fiscal term amounted to Yen 250 million, a similar amount in the previous term. The net profit is estimated posted at Yen 3 million, similarly in the previous period.

For the current term ending Sept 2014 the net profit is projected at Yen 5 million, on a 3% rise in turnover, to Yen 257 million.

The financial situation is considered FAIR and good for ORDINARY business engagements.

REGISTRATION

Date Registered: Feb 1954

Regd No.: 0801-01-008019 (Shizuoka-Fuji)

Legal Status: Limited Company (Kabushiki Kaisha)

Authorized: 224,000 shares

Issued: 56,000 shares

Sum: Yen 28 million

Major shareholders (%): Yuriko Goto & families (--100)

No. of shareholders: 7

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

OPERATION

Activities: Manufactures braided cords, yarns, other (--100%)

(Mfg Items):

Braided Cords: acrylic cord, nylon cord, polyethylene cord, polyester cord, natural material cord, elastic cord, lame cord, waxed cord, silicone-coated cord, form keeping materials, cutting & tipping, super fiber cord, industrial product, by request other materials:

Yarn: linen colored twisted yarn, natural material yarn, sinew yarn, other

Clients: [Mfrs, wholesalers] Morito Co, Kiyohara & Co, Osaka Bijo Kogyo Co, Shindo Corp, Trimco Inc, other

No. of accounts: 100

Domestic areas of activities: Centered in Shizuoka-Pref

Suppliers: [Mfrs, wholesalers] Koike Sen’I (Textile), Marubeni Intex Co, other

Payment record: slow but correct

Location: Business area in Fuji City, Shizuoka-Pref. Office premises at the caption address are owned and maintained satisfactory.

Bank References:

Fuji Shinkin Bank (Fuji)

Relations: Satisfactory

FINANCES

(In Million Yen)

Terms Ending:	30/09/2014	30/09/2013	30/09/2012	30/09/2011
Annual Sales	257	250	250	250
Recur. Profit	..	..	..	..
Net Profit	5	3	3	4
Total Assets		N/A	N/A	N/A
Net Worth		206	203	200
Capital, Paid-Up		28	28	28
Div.P.Share(¥)		0.00	0.00	0.00
*<Analytical Data>*	(%)	(%)	(%)	(%)
S.Growth Rate	2.80	0.00	0.00	-3.85
Current Ratio		..	..	..
N.Worth Ratio		..	..	..
N.Profit/Sales	1.95	1.20	1.20	1.60

Notes: Financials are only partially disclosed. Profits are not precisely disclosed and only estimated,

Forecast (or estimated) figures for the 30/09/2014 fiscal term.

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.61.02
UK Pound	1	Rs.99.42
Euro	1	Rs.77.84

INFORMATION DETAILS

Analysis Done by :	DIV

Report Prepared by :	PDT

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.