MIRA INFORM REPORT

Report No. :	354739
Report Date :	10.12.2015

IDENTIFICATION DETAILS

Name :	ASIA POLYMER CORPORATION
Registered Office :	12F., No. 37, Jihu Rd., Neihu District, Taipei City 114, (R.O.C.)
Country :	Taiwan
Financials (as on) :	31.12.2013
Date of Incorporation :	25.01.1977
Com. Reg. No.:	20747385
Legal Form :	Joint Stock Company
Line of Business :	Manufacturing and Sale of Chemical Material.
No. of Employees :	About 200 Employees

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 31, 2014

Country Name	Previous Rating (30.09.2014)	Current Rating (31.12.2014)
Taiwan	A1	A1

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

TAIWAN - ECONOMIC OVERVIEW

Taiwan has a dynamic capitalist economy with gradually decreasing government guidance of investment and foreign trade. Exports, led by electronics, machinery, and petrochemicals have provided the primary impetus for economic development. This heavy dependence on exports exposes the economy to fluctuations in world demand. Taiwan's diplomatic isolation, low birth rate, and rapidly aging population are other major long-term challenges. Free trade agreements have proliferated in East Asia over the past several years, and following the landmark Economic Cooperation Framework Agreement (ECFA) signed with China in June 2010, Taiwan in July 2013 signed a free trade deal with New Zealand—Taipei’s first-ever with a country with which it does not maintain diplomatic relations—and in November inked a trade pact with Singapore. Negotiations continue on follow-on components of ECFA regarding trade in goods and a dispute resolution mechanism; a trade in services agreement is under review in the legislature. Taiwan's Total Fertility rate of just over one child per woman is among the lowest in the world, raising the prospect of future labor shortages, falling domestic demand, and declining tax revenues. Taiwan's population is aging quickly, with the number of people over 65 accounting for 11.2% of the island's total population as of 2012. The island runs a large overall trade surplus largely because of its surplus with China, and its foreign reserves are the world's sixth largest, behind China, Japan, Saudi Arabia, Russia, and Switzerland. In 2006 China overtook the US to become Taiwan's second-largest source of imports after Japan. China is also the island's number one destination for foreign direct investment. Taiwan since 2009 has gradually loosened rules governing Chinese investment on the island, and has also secured greater market access for its investors in the mainland. In August 2012, Taiwan Central Bank signed a memorandum of understanding on cross-Strait currency settlement with its Chinese counterpart. The MOU allows for the direct settlement of Chinese RMB and the New Taiwan dollar across the Strait, which could help develop Taiwan into a local RMB hub. Closer economic links with the mainland bring greater opportunities for the Taiwan economy, but also poses new challenges as the island becomes more economically dependent on China while political differences remain unresolved.

Source : CIA

Contact Points

Company Name:	Asia Polymer Corporation
Supplied Name:	ASIA POLYMER CORPORATION KOOHSIUNG BRANCH
Trading Address:	12F., No. 37, Jihu Rd., Neihu District, Taipei City 114, Taiwan (R.O.C.)
Supplied Address:	NO. 3 INDUSTRIAL IST RD, LINYUAN DIST KOOHSIUNG
Telephone Number:	+886-2-8751-6888/2-2658-2158
Fax Number:	+886-2-2659-95532-/2659-9502
Email:	samsontseng@apc.com.tw

Note: The exact name and address are as above. The supplied name and address belong to subject’s Kaohsiung Branch.

Company Identification Details

Registered Name:	Asia Polymer Corporation
Registered Address:	12F., No. 37, Jihu Rd., Neihu District, Taipei City 114, Taiwan (R.O.C.)
Date of Foundation:	1977-1-25
Registration Number:	20747385
Registry:	Department of Commerce, Ministry of Economic Affairs, R.O.C.
Registered Capital:	NTD 5,696,769,350 (USD 181,726,942) (As of 2015.3, 1 NTD = 0.0319 USD)
Paid-up Capital:	NTD 4,696,769,350 (USD 149,826,942)
Legal Representatives:	Yigui Wu
Legal Form:	Joint Stock Company
Principal Activities:	Manufacturing and sale of chemical material
Staff:	About 200 employees
Listed at Stock Exchange:	Yes, Stock Code 1308
Date of Last Annual Return:	2014-6-26

History

Subject was incorporated on 1977-1-25 with registered number 20747385 as Joint Stock Company in Taiwan.

Subject listed on Taiwan Stock Exchange on 1986-6-20

Corporate Structure

Factory

Name:	Linyuan Plant
Address:	No.3, Industrial 1st Rd., Linyuan Dist., Kaohsiung, Taiwan
Telephone Number:	+886-7-641-2601
Fax Number:	+886-7-641-0641
Date of Foundation:	1979-5-11
Date of Registration:	1990-12-31
Factory Registration Number:	99662178
Factory Manager:	Xuezhu Qian
Status:	In Production
Date of Last Annual Return:	2014-10-21
Major Products:	184 Synthetic resins, plastics and rubber

Branches

Name	Asia Polymer Corporation Kaohsiung Branch
Address:	No.3, Industrial 1st Rd., Linyuan Dist., Kaohsiung, Taiwan
Registration Number	54388514
Date of Registration	2014-8-22
Status	Live
Manager Name	Guohong Li
Date of Last Annual Return	--

Major Related Companies

USI Corporation (USI)

USI Management Consulting Corporation (UM)

China General Plastics Corporation (CGPC)

CGPC Polymer Co., Ltd. (CGPCP)

Swanson Plastics Corporation (SPC)

Taita Chemical Company (TTC)

Taiwan VCM Corporation (TVCM)

INOMA Corporation (INOMA)

Acme Electronics Corporation (ACME)

China General Terminal & Distribution Company (CGTD)

Shareholders

Major Shareholders

Name	Subscription Shares
Tai Lian International Investment Co., Ltd. (literal translation)	169,477,646
Lian Ju International Investment Co., Ltd. (literal translation)
7,264,786

Shareholder Information:

1
Registered Name:	Tai Lian International Investment Co., Ltd. (literal translation)
Registered Address:	10/F. No. 75, Sec. 3, Mingsheng East Rd., Zhongshan Dist., Taipei, Taiwan
Date of Foundation:	1996-10-21
Registration Number:	97168335
Registry:	Department of Commerce, Ministry of Economic Affairs, R.O.C.
Registered Capital:	NTD 735,000,000 (USD 23,446,500) (As of 2015.3, 1 NTD = 0.0319 USD)
Paid-up Capital:	NTD 735,000,000 (USD 23,446,500)
Legal Representatives:	Yishao Ke
Legal Form:	Joint Stock Company
Date of Last Annual Return:	2014-9-5
2
Registered Name:	Lian Ju International Investment Co., Ltd. (literal translation)
Registered Address:	12/F., No. 37, Jihu Rd., Neihu Dist., Taipei City, Taiwan
Date of Foundation:	1996-10-18
Registration Number:	97168102
Registry:	Department of Commerce, Ministry of Economic Affairs, R.O.C.
Registered Capital:	NTD 3,866,830,000 (USD 123,351,877) (As of 2015.3, 1 NTD = 0.0319 USD)
Paid-up Capital:	NTD 3,866,830,000 (USD 123,351,877)
Legal Representatives:	Yigui Wu
Legal Form:	Joint Stock Company
Date of Last Annual Return:	2014-7-15

Management Information

Core Management

Directors

1
Name		Yigui Wu
Position		Board Chairman
2
Name	Fengqiang Miao
Position		Director
3
Name	Xinhuai Zhou
Position		Director
4
Name	Guangzhe Huang
Position		Director
5
Name	Guohong Li
Position		Director & Manager
Date of Manager Appointment		2007-5-2
6
Name	Hantai Liu
Position		Director
7
Name	Zhentu Liu
Position		Director
8
Name	Shengquan Wu
Position		Supervisor
9
Name	Huizhong Jiang
Position		Supervisor

Personnel Structure

Total Employees

About 200 employees

Operation Information

	Headquarters
Add	12F., No. 37, Jihu Rd., Neihu District, Taipei City 114, Taiwan (R.O.C.)

Production Information

· Subject is engaged in manufacturing of chemical material, etc.

· Subject has a factory in Kaohsiung, Taiwan for production.

· Subject obtained the certifications of ISO14001 and OHSAS18001.

Purchase Information

· The registered activities of subject:

1	Manufacturing, processing and sale of low- density polyethylene
2	Manufacturing, processing and sale of medium density polyethylene
3	Sale of high-density polyethylene
4	Sale of linear low density polyethylene
5	Manufacturing and sale of Ethylene vinyl acetate copolymerization resin
6	Manufacturing and sale of decomposition of plastic raw materials
F113010	Wholesale of machinery
ZZ99999	Besides licensed business, all other business items those are not banned or restricted.

The raw material for production is purchased from both home and abroad, such as USA, etc.

Sales Information

· Subject is engaged in sale of chemical material, etc.

· Subject’s major products are ethylene vinyl acetate resin and low-density polyethylene plastic resin, etc.

· Subject’s products are mainly applied in extrusion casting, sports goods, shoes, injection molding, wire and cable and frozen food packaging, etc.

· Subject’s sales regions include Mainland China, USA and Europe, etc.

· Subject’s major customers are manufacturers of food, shoes and mold, etc.

Import and export right:

Import right	Yes
Export right	Yes

Settlements

PURCHASE

Domestic Purchase

Products	Raw material
Payment Terms	T/T, Cash, etc.

Import

Products	Raw material
Payment Terms	L/C, T/T, etc.

SALES

Domestic Markets

Product	Chemical material, etc.
Selling Terms	T/T, Cash, etc.

Export

Product	Chemical material, etc.
Selling Terms	L/C, T/T, etc.

Balance Sheet

Unit: NTD/000

Consolidated	2013-12-31	2012-12-31
Assets
Current assets
Cash and cash equivalents
Total cash and cash equivalents	1,167,110	1,309,595
Current financial assets at fair value through profit or loss
Total current financial assets at fair value through profit or loss	2,024,181	1,792,360
Current available-for-sale financial assets
Current available-for-sale financial assets, net	46,906	41,412
Current bond investment without active market
Current bond investment without active market, net	49,895	23,500
Notes receivable, net
Notes receivable, net	310	1,092
Accounts receivable, net
Accounts receivable, net	249,687	179,507
Accounts receivable due from related parties, net
Accounts receivable due from related parties, net	265,006	108,337
Other receivables
Other receivables, net	702	795
Other receivables due from related parties
Other receivables due from related parties, net	22,204	60,655
Inventories
Inventories, manufacturing business
Inventories, manufacturing business, net	601,685	1,028,897
Total inventories	601,685	1,028,897
Prepayments
Total prepayments	78,270	98,078
Other current assets
Total other current assets	110	110
Total current assets	4,506,066	4,644,338
Non-current assets
Non-current available-for-sale financial assets
Non-current available-for-sale financial assets, net	2,719,072	3,113,900
Non-current financial assets at cost
Non-current financial assets at cost, net	96,279	103,569
Investments accounted for using equity method
Investments accounted for using equity method, net	1,342,297	1,284,058
Property, plant and equipment
Total property, plant and equipment	870,911	685,521
Investment property, net
Investment property, net	535,346	557,542
Intangible assets
Total intangible assets	2,491	2,121
Deferred tax assets	63,372	68,373
Other non-current assets
Other non-current assets, others
Total other non-current assets, others	2,846	2,168
Total other non-current assets	2,846	2,168
Total non-current assets	5,632,614	5,817,252
Total assets	10,138,680	10,461,590
Liabilities
Current liabilities
Accounts payable
Total accounts payable	351,732	150,711
Accounts payable to related parties
Total accounts payable to related parties	3,037	1,660
Other payables
Total other payables	149,157	131,900
Other payables to related parties	55,786	321,678
Current tax liabilities	33,298	34,933
Current provisions
Total current provisions	5,899	5,899
Other current liabilities
Total other current liabilities	5,414	4,391
Total current liabilities	604,323	651,172
Non-current liabilities
Deferred tax liabilities
Total deferred tax liabilities	37,563	41,886
Other non-current liabilities
Accrued pension liabilities	311,817	309,616
Other non-current liabilities, others	5,413	5,602
Total other non-current liabilities	317,230	315,218
Total non-current liabilities	354,793	357,104
Total liabilities	959,116	1,008,276
Equity
Equity attributable to owners of parent
Share capital
Ordinary share	4,696,769	4,696,769
Stock dividend to be distributed	0	0
Total capital stock	4,696,769	4,696,769
Capital surplus
Total capital surplus	14,140	14,189
Retained earnings
Legal reserve	1,404,518	1,342,692
Special reserve	566,027	0
Unappropriated retained earnings (accumulated deficit)
Total unappropriated retained earnings (accumulated deficit)	1,752,550	2,320,107
Total retained earnings	3,723,095	3,662,799
Other equity interest
Total other equity interest	745,560	1,079,557
Treasury shares	0	0
Total equity attributable to owners of parent	9,179,564	9,453,314
Equity attributable to former owner of business combination under common control	0	0
Non-controlling interests	0	0
Total equity	9,179,564	9,453,314
Equivalent issue shares of advance receipts for ordinary share	0	0
Number of shares in entity held by entity and by its subsidiaries	0	0

Profit and Loss Account

Unit: NTD/000

Consolidated	2013	2012
Operating revenue
Net sales revenue
Net sales revenue	5,804,229	4,790,510
Total operating revenue	5,804,229	4,790,510
Operating costs
Cost of sales
Total cost of sales	5,312,870	4,289,381
Total operating costs	5,312,870	4,289,381
Gross profit (loss) from operations	491,359	501,129
Gross profit (loss) from operations	491,359	501,129
Operating expenses
Selling expenses
Total selling expenses	119,256	106,495
Administrative expenses
Total administrative expenses	85,122	76,862
Research and development expenses
Total research and development expenses	7,724	7,708
Total operating expenses	212,102	191,065
Net operating income (loss)	279,257	310,064
Non-operating income and expenses
Other income
Total other income	221,093	217,124
Other gains and losses
Other gains and losses, net	39,295	110,291
Finance costs
Interest expense	238	218
Finance costs, net	238	218
Share of profit (loss) of associates and joint ventures accounted for using equity method
Share of profit (loss) of associates and joint ventures accounted for using equity method, net	66,550	66,709
Total non-operating income and expenses	326,700	393,906
Profit (loss) from continuing operations before tax	605,957	703,970
Tax expense (income)
Total tax expense (income)	69,102	85,080
Profit (loss) from continuing operations	536,855	618,890
Profit (loss)	536,855	618,890
Other comprehensive income
Exchange differences on translation	15,519	-22,305
Unrealised gains (losses) on valuation of available-for-sale financial assets	-389,177	362,567
Actuarial gains (losses) on defined benefit plans	-4,568	-9,551
Share of other comprehensive income of associates and joint ventures accounted for using equity method
Total share of other comprehensive income of associates and joint ventures accounted for using equity method	37,671	-24,713
Income tax related to components of other comprehensive income	324	-7,967
Other comprehensive income, net	-340,879	313,965
Total comprehensive income	195,976	932,855
Profit (loss), attributable to:
Profit (loss), attributable to owners of parent	536,855	618,890
Comprehensive income attributable to:
Comprehensive income, attributable to owners of parent	195,976	932,855
Basic earnings per share
Basic earnings (loss) per share from continuing operations	1.14	1.32
Total basic earnings per share	1.14	1.32
Diluted earnings per share
Diluted earnings (loss) per share from continuing operations	1.14	1.32
Total diluted earnings per share	1.14	1.32

Cash Flows

Unit: NTD/000

Consolidated	2013	2012
Cash flows from (used in) operating activities, indirect method
Profit (loss) from continuing operations before tax	605,957	703,970
Profit (loss) before tax	605,957	703,970
Adjustments
Adjustments to reconcile profit (loss)
Depreciation expense	95,935	86,283
Provision (reversal of provision) for bad debt expense	0	-1,731
Net loss (gain) on financial assets or liabilities at fair value through profit or loss	-120,451	-54,973
Interest expense	238	218
Interest income	-17,595	-20,070
Dividend income	-136,490	-127,995
Share of loss (profit) of associates and joint ventures accounted for using equity method	-66,550	-66,709
Loss (gain) on disposal of property, plan and equipment	6	72
Loss (gain) on disposal of investments	57,322	-102,313
Impairment loss on financial assets	22,255	14,905
Reversal of impairment loss on non-financial assets	-26,030	25,159
Unrealized foreign exchange loss (gain)	-2,986	628
Total adjustments to reconcile profit (loss)	-194,346	-246,526
Changes in operating assets and liabilities
Changes in operating assets
Decrease (increase) in financial assets held for trading	-170,166	236,653
Decrease (increase) in notes receivable	796	299
Decrease (increase) in accounts receivable	-68,147	4,132
Decrease (increase) in accounts receivable due from related parties	-155,448	48,655
Decrease (increase) in other receivable	1,514	2,484
Decrease (increase) in other receivable due from related parties	38,451	-18,654
Decrease (increase) in inventories	453,242	-150,648
Decrease (increase) in prepayments	19,809	-28,717
Decrease (increase) in other current assets	0	30
Total changes in operating assets	120,051	94,234
Changes in operating liabilities
Increase (decrease) in accounts payable	201,025	-162,405
Increase (decrease) in accounts payable to related parties	1,377	-3,687
Increase (decrease) in other payable	2,895	-108,812
Increase (decrease) in other payable to related parties	-266,178	272,756
Increase (decrease) in provisions	0	828
Increase (decrease) in other current liabilities	1,023	-4,256
Increase (decrease) in accrued pension liabilities	-1,590	-3,512
Total changes in operating liabilities	-61,448	-9,088
Total changes in operating assets and liabilities	58,603	85,146
Total adjustments	-135,743	-161,380
Cash inflow (outflow) generated from operations	470,214	542,590
Interest received	17,569	18,849
Interest paid	-193	-174
Income taxes refund (paid)	-71,448	-246,569
Net cash flows from (used in) operating activities	416,142	314,696
Cash flows from (used in) investing activities
Acquisition of available-for-sale financial assets	-13,082	-4,724
Proceeds from disposal of available-for-sale financial assets	3,013	114,521
Acquisition of bond investments without active market	-26,395	0
Proceeds from disposal of bond investments without active market	0	267,100
Acquisition of financial assets at cost	0	-11,614
Proceeds from capital reduction of financial assets at cost	12,186	7,540
Proceeds from disposal of investments accounted for using equity method	19,753	4,663
Acquisition of property, plant and equipment	-244,548	-129,327
Increase in refundable deposits	-678	0
Acquisition of intangible assets	-370	-2,121
Dividends received	157,035	136,451
Net cash flows from (used in) investing activities	-93,086	382,489
Cash flows from (used in) financing activities
Increase in other non-current liabilities	0	281
Decrease in other non-current liabilities	-189	0
Cash dividends paid	-467,791	-388,884
Net cash flows from (used in) financing activities	-467,980	-388,603
Effect of exchange rate changes on cash and cash equivalents	2,439	-3,825
Net increase (decrease) in cash and cash equivalents	-142,485	304,757
Cash and cash equivalents at beginning of period	1,309,595	1,004,838
Cash and cash equivalents at end of period	1,167,110	1,309,595
Cash and cash equivalents reported in the statement of financial position	1,167,110	1,309,595

Note: Subject didn’t submit its individual financial information; we obtained its consolidated financials as above for reference.

The above financial figures are based on the IFRSs Accounting System.

Bankers

Subject declined to disclose its bank details; from other source we could not obtain the relevant information, either.

Public Record

Mortgage

No chattel mortgage record of subject has been found within the recent 3 months.

Lawsuit

Trial Number:	2008, Beibu, 136
Date of Trial:	2008-5-5
Reason:	Returning of housing, etc.
Claimant:	Asia Polymer Corporation
Defendant:	Ding Tai International Co. Ltd. (literal translation)

Special Note

Interview Details

Department

Sales Department

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.66.75
UK Pound	1	Rs.100.29
Euro	1	Rs.72.89

INFORMATION DETAILS

Analysis Done by :	SUB
Report Prepared by :	NIT

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