MIRA INFORM REPORT

 

 

Report No. :

325806

Report Date :

09.06.2015

 

IDENTIFICATION DETAILS

 

Name :

CHINA YOUTH INDUSTRIAL DEVELOPMENT CORPORATION

 

 

Registered Office :

2-16 A, No. 2 Building, Huateng International, No. 2 Yard, Dajiaoting Middle Street, Chaoyang District, Beijing 100124 PR

 

 

Country :

Chinas

 

 

Date of Incorporation :

11.08.1988

 

 

Com. Reg. No.:

110000012817044

 

 

Legal Form :

State-Owned Enterprise

 

 

Line of Business :

Subject is engaged in medical apparatus and instruments; wholesaling prepackaged food; wholesaling and retailing mechanical and electrical equipment, automobiles, auto parts, wood, building materials, decoration materials, chemical raw materials and products, needles textiles, department stores, clothing shoes and hats, hardware; selling heavy oil; developing cultural and sports supplies, recreational facilities, tourism commodities; selling its products; electric equipment maintenance; leather processing; material storage; development of new emerging technology; importing and exporting commodities and technologies; processing and manufacturing metal products, wood products, needles textiles, clothing shoes and hats; technology consulting and technology service of the above items; science and technology information, mental health counseling; car decoration, clean; selling coal.

 

 

No. of Employees :

Not Available

 

 

RATING & COMMENTS

 

MIRA’s Rating :

B

 

RATING

STATUS

PROPOSED CREDIT LINE

26-40

B

Capability to overcome financial difficulties seems comparatively below average.

Small

 

Status :

Moderate

 

 

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 – December 31, 2014

 

Country Name

Previous Rating

(30.09.2014)

Current Rating

(31.12.2014)

China

A2

A2

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 

CHINA - ECONOMIC OVERVIEW

 

Since the late 1970s China has moved from a closed, centrally planned system to a more market-oriented one that plays a major global role - in 2010 China became the world's largest exporter. Reforms began with the phasing out of collectivized agriculture, and expanded to include the gradual liberalization of prices, fiscal decentralization, increased autonomy for state enterprises, growth of the private sector, development of stock markets and a modern banking system, and opening to foreign trade and investment. China has implemented reforms in a gradualist fashion. In recent years, China has renewed its support for state-owned enterprises in sectors considered important to "economic security," explicitly looking to foster globally competitive industries. After keeping its currency tightly linked to the US dollar for years, in July 2005 China moved to an exchange rate system that references a basket of currencies. From mid 2005 to late 2008 cumulative appreciation of the renminbi against the US dollar was more than 20%, but the exchange rate remained virtually pegged to the dollar from the onset of the global financial crisis until June 2010, when Beijing allowed resumption of a gradual appreciation. In 2014 the People’s Bank of China (PBOC) doubled the daily trading band within which the RMB is permitted to fluctuate. The restructuring of the economy and resulting efficiency gains have contributed to a more than tenfold increase in GDP since 1978. Measured on a purchasing power parity (PPP) basis that adjusts for price differences, China in 2014 stood as the largest economy in the world, surpassing the US that year... Still, per capita income is below the world average.

The Chinese government faces numerous economic challenges, including: (a) reducing its high domestic savings rate and correspondingly low domestic consumption; (b) facilitating higher-wage job opportunities for the aspiring middle class, including rural migrants and increasing numbers of college graduates; (c) reducing corruption and other economic crimes; and (d) containing environmental damage and social strife related to the economy's rapid transformation. Economic development has progressed further in coastal provinces than in the interior, and by 2011 more than 250 million migrant workers and their dependents had relocated to urban areas to find work. One consequence of population control policy is that China is now one of the most rapidly aging countries in the world. Deterioration in the environment - notably air pollution, soil erosion, and the steady fall of the water table, especially in the North - is another long-term problem. China continues to lose arable land because of erosion and economic development. The Chinese government is seeking to add energy production capacity from sources other than coal and oil, focusing on nuclear and alternative energy development. Several factors are converging to slow China's growth, including debt overhang from its credit-fueled stimulus program, industrial overcapacity, inefficient allocation of capital by state-owned banks, and the slow recovery of China's trading partners. The government's 12th Five-Year Plan, adopted in March 2011 and reiterated at the Communist Party's "Third Plenum" meeting in November 2013, emphasizes continued economic reforms and the need to increase domestic consumption in order to make the economy less dependent in the future on fixed investments, exports, and heavy industry. However, China has made only marginal progress toward these rebalancing goals. The new government of President XI Jinping has signaled a greater willingness to undertake reforms that focus on China's long-term economic health, including giving the market a more decisive role in allocating resources. In 2014 China agreed to begin limiting carbon dioxide emissions by 2030. China implemented several economic reforms in 2014, including legislation allowing local governments to issue bonds, further opening several state-owned enterprises to private investment, loosening the one-child policy, passing harsher pollution fines, and cutting administrative red tape.

 

Source : CIA

 

 

Company name and address

 

CHINA YOUTH INDUSTRIAL DEVELOPMENT CORPORATION

 

2-16A, NO. 2 BUILDING, HUATENG INTERNATIONAL, NO. 2 YARD, DAJIAOTING MIDDLE STREET, CHAOYANG DISTRICT, BEIJING 100124 PR CHINA

TEL: 86 (0) 10-87952916 FAX: N/A

 

 

EXECUTIVE SUMMARY

 

INCORPORATION DATE                        : AUG. 11, 1988

REGISTRATION NO.                              : 110000012817044

REGISTERED LEGAL FORM                 : STATE-OWNED ENTERPRISE

CHIEF EXECUTIVE                                : MR. DING YUANWEI (LEGAL REPRESENTATIVE)

STAFF STRENGTH                                : N/A

REGISTERED CAPITAL                         : CNY 50,000,000

BUSINESS LINE                                    : TRADING

TURNOVER                                          : N/A

EQUITIES                                             : N/A

PAYMENT                                            : AVERAGE

MARKET CONDITION                            : AVERAGE

FINANCIAL CONDITION                         : N/A

OPERATIONAL TREND                         : STEADY

GENERAL REPUTATION                       : AVERAGE

EXCHANGE RATE                                : CNY 6.2048 =USD 1

 

 

HISTORY

 

SC was registered as a State-owned enterprise at local Administration for Industry & Commerce (AIC - The official body of issuing and renewing business license) on Aug. 11, 1988.

 

Company Status: State-owned enterprise

 

This form of business in PR China is defined as a commodity production or operational units of a socialist character which in accordance with the law, has autonomy in management, takes full responsibility for its profits and losses and practices independent business accounting. It is a legal person established directly by central / local government or enterprise owned by central or local government. In theory, the liabilities of this form of enterprise are ultimately borne by the government, since the adoption of company law in mid-1994, the Chinese government has planned to separate the ownership from management and liabilities bearing

 

SC’s registered business scope includes operating medical apparatus and instruments; wholesaling prepackaged food; wholesaling and retailing mechanical and electrical equipment, automobiles, auto parts, wood, building materials, decoration materials, chemical raw materials and products, needles textiles, department stores, clothing shoes and hats, hardware; selling heavy oil; developing cultural and sports supplies, recreational facilities, tourism commodities; selling its products; electric equipment maintenance; leather processing; material storage; development of new emerging technology; importing and exporting commodities and technologies; processing and manufacturing metal products, wood products, needles textiles, clothing shoes and hats; technology consulting and technology service of the above items; science and technology information, mental health counseling; car decoration, clean; selling coal.

 

SC is mainly engaged in trading of goods.

 

Mr. Ding Yuanwei is the legal representative and general manager of SC at present.

 

SC’s management refused to release the number of the employees.

 

SC is currently operating at the above stated address, and this address houses its operating office in Beijing. The detailed premise information is unknown.

 

 

WEB SITE

 

SC is not known to host web site of its own at present.

 

Email: cyidc_bj@163.com

 

 

KEY EVENTS/RECENT DEVELOPMENT

 

No significant events or changes were found during our checks with the local Administration for Industry and Commerce.

 

Organization code: 100008755

 

 

LITIGATION

 

For the past two years there is no record of litigation.

 

 

OWNERSHIP/MANAGEMENT

 

MAIN SHAREHOLDERS:

 
Name                                                                                                         % of Shareholding

 

The Central Committee of the Communist Young League                         100

 

Add: No. 10, Qianmen East Street, Beijing

Web: http://www.ccyl.org.cn/

Email: gqt@gqt.org.cn

 

 

MANAGEMENT

 

l  Legal Representative and General Manager:

 

Mr. Ding Yuanwei born in 1954, with Master’s degree. He is currently responsible for the overall management of SC.

 

Working Experience(s):

 

At present              Working in SC as legal representative and general manager.

Also working in Cachet Pharmaceutical Co., Ltd. as legal representative.

 

 

BUSINESS OPERATIONS

 

SC is mainly engaged in trading of goods.

 

SC’s products mainly include: wines.

 

SC sources its materials 60% from domestic market and 40% from overseas market. SC sells 70% of its products in domestic market and 30% to overseas market.

 

The buying terms of SC include Check, T/T, L/C, and Credit of 30-60 days. The payment terms of SC include T/T, L/C, Check and Credit of 30-60 days.

 

Note: SC declined to release its major suppliers and clients.

 

 

RELATED COMPANIES

 

SC is known to have the follow subsidiary:

 

Cachet Pharmaceutical Co., Ltd.

 

Incorporation Date: 1997-04-22

Registered no.: 110000005100956

Legal representative: Ding Yuanwei

The said company is listed in Shenzhen Stock Exchange with the code of 002462.

 

Tel: +86 (10) 88433464

Fax: +86 (10) 88447731

Web: http://www.cachet.com.cn

E-mail: cachet@cachet.cn

 

PAYMENT

 

Overall payment appraisal:

(  ) Excellent      (  ) Good      (X) Average      (  ) Fair      (  ) Poor      (  ) Not yet determined

The appraisal serves as a reference to reveal SC's payments habits and ability to pay.  It is based on the 3 weighed factors:  Trade payment experience (through current enquiry with SC's suppliers), our delinquent payment and our debt collection record concerning SC.

 

Trade payment experience: SC did not provide any name of trade/service suppliers and we have no other sources to conduct the enquiry at present.

 

Delinquent payment record:      None in our database.

 

Debt collection record: No overdue amount owed by SC was placed to us for collection within the last 6 years.

 

 

BANKING

 

The banking information of SC is unknown.

 

FINANCIAL HIGHLIGHTS

 

SC’s management declined to release any financial information.

 

 

REMARKS

 

SC has a long development history. Due to lack of financial status, we are unable to recommend accurate credit limit for SC. Taking into consideration of SC’s background, development history and operation size we would rate SC as an average credit risk company.

 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.64.11

UK Pound

1

Rs.97.84

Euro

1

Rs.71.12

 

INFORMATION DETAILS

 

Analysis Done by :

RAS

 

 

Report Prepared by :

VNT

 

               

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.