MIRA INFORM REPORT

 

 

Report No. :

310101

Report Date :

07.03.2015

 

IDENTIFICATION DETAILS

 

Name :

P.T. FEDERAL INTERNATIONAL FINANCE

 

 

Registered Office :

Menara FIF, 3rd – 9th Floor, Jalan T.B. Simatupang No. 15, Cilandak, Lebak Bulus, Jakarta Selatan 12440

 

 

Country :

Indonesia

 

 

Financials (as on) :

31.12.2014

 

 

Date of Incorporation :

21.10.1991

 

 

Com. Reg. No.:

AHU-AH.01.10-45780

 

 

Legal Form :

Limited Liability Company

 

 

Line of Business :

Consumer Financing, Factoring and Leasing Services

 

 

No. of Employees :

15,429

 

 

RATING & COMMENTS

 

MIRA’s Rating :

A

 

RATING

STATUS

PROPOSED CREDIT LINE

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

 

 

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 – December 31, 2014

 

Country Name

Previous Rating

(30.09.2014)

Current Rating

(31.12.2014)

Indonesia

A2

A2

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 

 

INDONESIA - ECONOMIC OVERVIEW

 

Indonesia, a vast polyglot nation, has grown strongly since 2010. During the global financial crisis, Indonesia outperformed its regional neighbors and joined China and India as the only G20 members posting growth. The government has promoted fiscally conservative policies, resulting in a debt-to-GDP ratio of less than 25% and historically low rates of inflation. Fitch and Moody's upgraded Indonesia's credit rating to investment grade in December 2011. Indonesia still struggles with poverty and unemployment, inadequate infrastructure, corruption, a complex regulatory environment, and unequal resource distribution among regions. The government also faces the challenges of quelling labor unrest and reducing fuel subsidies in the face of high oil prices.

 

Source : CIA

 

 

BASIC SEARCH

 

Name of Company :

P.T. FEDERAL INTERNATIONAL FINANCE

 

A d d r e s s :

Head Office

Menara FIF, 3rd – 9th Floor

Jalan T.B. Simatupang No. 15

Cilandak, Lebak Bulus

Jakarta Selatan 12440

Indonesia

Phones             - (62-21) 769 8899 (Hunting)

Fax                   - (62-21) 7590 5599

Building Area    - 10 storey

Office Area       - 1,460 sq. meters

Region              - Commercial

Status               - Owned

 

Date of Incorporation :

a. 01 May 1989 as P.T. MITRAPUSAKA ARTHA

b. 26 June 1989 as P.T. MITRAPUSAKA ARTHA FINANCE

c. 21 October 1991 as P.T. FEDERAL INTERNATIONAL FINANCE

 

Legal Form :

P.T. (Perseroan Terbatas) or Limited Liability Company

 

Company Reg. No. :

The Ministry of Law and Human Rights

  a.  No. C2-6728.HT.01.01.Th.89

      Dated 27 July 1989

  b.  No. C2-6464.HT.01.04.Th.91

      Dated 7 November 1991

  c.  No. AHU-06300.AH.01.02.Tahun 2010

      Dated 05 February 2010

  d.  No. AHU-AH.01.10-45780

      Dated 27 December 2012

 

Company Status :

National Private Company

 

Permits by the Government Department :

The Department of Finance

a. NPWP No. 01.331.465.3-091.000 (Tax Number License)

b. No. 1151/KMK.013/1989 and No. 1004/KMK.013/1990 (Business Permit)

 

 

Related/Affiliated Company :

A Member Company of the ASTRA Group (see attachment)

 

 

CAPITAL AND OWNERSHIP

 

Capital Structure :

Authorized Capital               - Rp. 300,000,000,000.-

Issued Capital                     - Rp. 280,000,000,000.-

Paid up Capital                   - Rp. 280,000,000,000.-

 

Shareholders/Owners :

a. P.T. ASTRA INTERNATIONAL TBK.     - Rp. 279,999,900,000.- (99.99996%)

b. P.T. ARYA KHARISMA                            - Rp.               100,000.- (  0.00004%)

 

 

BUSINESS ACTIVITIES

 

Lines of Business :

Consumer Financing, Factoring and Leasing Services

 

Production Capacity :

None

 

Total Assets :

As of 31 December 2014 – Rp. 25,377,251 million

 

Started Operation :

October 1989

 

Brand Name :

a. FIF (financing for Honda motorcycle)

b. SPEKTRA (financing for electronic household appliances)

 

Technical Assistance :

None

 

Number of Employee :

15,429 persons

 

Marketing Area :

Local   - 100%

 

Main Customers:

Honda Motorcycle Dealers and Distributors in the country

 

Market Situation :

Very Competitive

 

Main Competitors :

a. P.T. SUMMIT OTO FINANCE

b. P.T. ADIRA DINAMIKA MULTI FINANCE Tbk

c. P.T. WAHANA OTTOMITRA MULTIARTHA (Wom Finance)

d. P.T. BUSSAN AUTO FINANCE (BAF)

e. P.T. MANDIRI TUNAS FINANCE

f. P.T. PARA MULTI FINANCE

 

Business Trend :

Growing

 

 

BANKER, AUDITOR & LITIGATION

 

B a n k e r s :

a.   P.T. Bank MANDIRI Tbk

      Jalan M.H. Thamrin No. 5

      Jakarta Pusat

      Indonesia

b.   P.T. Bank NEGARA INDONESIA Tbk

      Wisma 46-Kota BNI

      Jalan Jend. Sudirman Kav. 1

      Jakarta Pusat

      Indonesia

 

Auditor :

KAP Tanudiredja, Wibisana & Rekan (PWC)

 

Litigation :

No detrimental filling was recorded at the local court.

 

 

FINANCIAL FIGURE

 

Total Income/Revenues:

2011 – Rp. 4,983.3 billion

2012 – Rp. 5,492.8 billion

2013 – Rp. 5,558.6 billion

2014 – Rp. 6,339.3 billion

 

Net Profit :

2011 – Rp.1,078.8 billion

2012 – Rp. 1,125.1 billion

2013 – Rp. 1,205.2 billion

2014 – Rp. 1,307.1 billion

 

Payment Manner :

Average

 

Financial Comments :

Satisfactory

 

 

KEY EXECUTIVES

 

Board of Management :

President Director                           - Mr. Suhartono

Directors                                         - a. Mr. R. Nunu Soetjahja Noegroho

                                                         b. Mr. David Iskandar

                                                        c. Mr. Rusdimin Adikarta

                                                        d. Mr. Djap Tet Fa

                                                        e. Mr. Hendry Christian Wong

 

Board of Commissioners :

President Commissioner                  - Mr. Gunawan Geniusahardja

Vice President Commissioner          - Mr. Prijono Sugiarto

Commissioners                               - a. Mr. Simon Collier Dixon

                                                        b. Mr. Johannes Loman

                                                        c. Mr. Witarsa Halim

 

 

Signatories :

President Director (Mr. Suhartono) or one of the Directors (Mr. R. Nunu Soetjahja Noegroho, Mr. David Iskandar, Mr. Rusdimin Adikarta, Mr. Djap Tet Fa or Mr. Hendry Christion Wong) which must be approved by Board of Commissioners.

 

 

CAPABILITIES

 

Management Capability :

Good

 

Business Morality :

Good

 

 

BACKGROUND/HISTORY

 

Originally named P.T. MITRAPUSAKA ARTHA, the company was established in Jakarta based on Notarial Deed No. 1 dated 1 May 1989 was made by Notary Rukmasanti Harjasatya, SH., with an authorized capital of Rp. 10,000,000,000.- of which Rp. 2,000,000,000.- issued and paid up. The founding shareholders of the company are P.T. MITRA PINASTHIKA MUSTIKA (50%), P.T. TRIASMITRA SENASATRIA (30%), P.T. BANK PERKEMBANGAN ASIA (15%) and P.T. GRHA PARAMASUKA (5%).  On June 26, 1989 the company renamed to P.T. MITRAPUSAKA ARTHA FINANCE and the issued capital was raised to Rp. 3,000,000,000.-  Since then, the shareholders of the company are P.T. FEDERAL MOTOR (50%), P.T. TRIASMITRA SENASATRIA (30.00%), P.T. BANK PERKEMBANGAN ASIA (15%) and P.T. GRHA PARAMASUKA (5%).  The Deed of establishment and amendment was approved by the Minister of Justice of the Republic of Indonesia through its Decree No. C2-6728.HT.01.01.Th.89 dated 27 July 1989.

 

The Company’s article of association has been amended for several times. On October 21, 1991 the company’s name was changed again to P.T. FEDERAL INTERNATIONAL FINANCE (P.T. FIF).  The amendment to Deed was approved by the Minister of Justice of the Republic of Indonesia through its Decree No. C2-6464.HT.01.04.Th.91 dated 7 November 1991.  The most recently by notarial deed of Linda Herawati, SH., No. 57 dated 26 November 2012 the authorized capital was raised to Rp. 300,000,000,000.- of which Rp. 280,000,000,000.- was issued and fully paid up.   The latest shareholders of the company are P.T. ASTRA INTERNATIONAL Tbk. (99.99996%) and P.T. ARYA KHARISMA (0.00004%).  The amendment to notarial Deed has been approved by the Minister of Law and Human Rights of the Republic of Indonesia through Decree No. AHU-AH.01.10-45780 dated 27 December 2012.

 

P.T. ASTRA INTERNATIONAL Tbk., is the parent company of the ASTRA Group, the largest sized company group in the country focusing its business on trading and distribution of automotive and motorcycle.

 

P.T.FIF has been operation since October 1989 dealing with consumer financing, factoring and leasing services. It is primarily involved in financing Honda motorcycles. The company offers financing service for new and used motorcycles, as well as for multipurpose products, such as electronics, home appliances, furniture, gadget, lifestyle products, and other appliances. It operates through a network of 169 branch offices and 390 point of services, located in Banjarmasin, Balikpapan, Banda Aceh, Batam, bengkulu, Bukit Tinggi, Bandung, Bekasi, Bogor, Cirebon, Denpasar, Depok, Duri, Gorontalo, Gresik, Jambi, Jember, Karawang, Kediri, Kendari, Kudus, Lampung, magelang, Purwokerto, Samarinda, Semarang, Serang, and others.  The operation of the company is backup by holding company P.T. ASTRA HONDA MOTOR (member of ASTRA group), the largest-sized company in motorcycle assembling and trading in the country.

 

The operation of the company has been growing in the last five years. This condition can be seen from total consumer financing by the company in 2011 amounted to Rp. 4,537.2 billion increased to Rp. 5,068.6 billion in 2012 to Rp. 5,192.8 billion in 2013 and rose again to Rp 5,988.6 billion in 2014.  We observe that P.T. FIF is classified as a large-sized company of its kind in the country.

 

According to the financial report audited by public accountant (Tanudiredja, Wibisana & Rekan) the total income/revenues of PT. FIF in 2011 amounted to Rp 4,983.3 billion with a net profit of Rp 1,078.8 billion increased to Rp 5,492.8 billion with a net profit of Rp 1,125.1 billion in 2012 to Rp 5,558.6 billion   with a net profit of Rp 1,205.2 billion in 2013 and rose again to Rp 6,339.3 billion with a net profit of Rp 1,307.1 billion in 2014.   Financial Statement of P.T. FIF as of 31 December 2012, 2013 and 2014 are attached.   P.T. FIF is supported by financially strong behind it. So far, we did not hear that the company having been black listed by the Central Bank (Bank Indonesia). The company usually pays its debts punctually to suppliers.

 

The management of P.T. FIF is headed by Mr. Suhartono (58) as president director, a professional manager with more than 20 years of experience in multi financing services.  He graduated from Diponegoro University in Semarang (Central Java) majoring in Law in 1982.  He joined with ASTRA Group since 1983 and appointed as President Director of P.T. FIF since 2007.  In its daily operation he is assisted by five directors namely Mr. R. Nunu Soetjahja Noegroho (53), Mr. David Iskandar (51), Mr. Rusdimin Adikarta (54), Mr. Djap Tet Fa (39) and Mr. Hendry Christian Wong (45).  The company’s management is also assisted by a number of experienced professional managers in this business, having maintained a wide business relation among private businessmen at home and abroad as well as among government authorities. So far, we did not hear that the management of the company being filed to the district court for detrimental cases or involved in business malpractices. The company’s litigation record is clean and it has not registered with the black list of Bank of Indonesia.

 

P.T. FEDERAL INTERNATIONAL FINANCE is sufficiently fairly good for business transaction. However, in view of the economic is still unstable and slowdown, so we recommend to treat prudently in extending a loan to the company.

 

 

Attachment:

 

P.T. FEDERAL INTERNATIONAL FINANCE

STATEMENTS OF FINANCIAL POSITION

As of 31 December 2014, 2013 and 2002

(Expressed in million Rupiah)

 

DESCRIPTION

31 December

 

2014

2013

2002

A.  Assets

 

 

 

       - Cash and cash equivalent

 

 

 

           * Third parties

280,170

297,530

786,648

           * Related parties

156,932

277,518

170,837

       - Consumer payment receivables

23,266,710

18,831,995

17,194,558

       - Other receivable

 

 

 

           * Third parties

67,863

56,650

72,979

           * Related parties

39,402

5,023

14,192

       - Prepaid expenses

 

 

 

           * Third parties

119,350

181,727

78,510

           * Related parties

2,098

2,003

19,750

       - Derivative assets

927,044

1,362,426

326,203

       - Deferred tax assets

233,707

259,521

219,370

       - Fixed assets – net of accumulated depreciation

283,975

247,205

245,979

     Total Assets = Total Liabilities & Equity

25,377,251

21,521,598

19,129,026

B.  Liabilities

 

 

 

      - Vehicle dealer debt

 

 

 

           * Third parties

438,003

375,744

240,031

           * Related parties

24,455

19,586

20,785

      - Other payables

 

 

 

           * Third parties

48,890

87,077

71,826

           * Related parties

199

1,495

--

      - Insurance premium debt – related parties

551,193

513,412

110,087

      - Accrual

 

 

 

         * Third parties

404,156

835,158

476,903

         * Related parties

2,656

2,427

2,251

      - Tax debt

108,382

154,048

109,671

      - Derivative liabilities

14,636

--

--

      - Loan

14,158,681

6,928,709

6,266,650

      - Securities issued

 

 

 

           * Bond

4,869,403

7,891,403

7,365,282

           * Private Shogun Bond

--

243,519

385,217

      - Post-employment benefit obligations

169,432

127,616

120,093

     Total Liabilities

20,790,086

17,180,065

15,168,794

C. Equity

 

 

 

     - Issued and paid up capital

280,000

280,000

280,000

     - Cash flow Hedging

(126,658)

5,750

(108,281)

     - Retained earnings

4,433,823

4,055,783

3,788,513

     Total Equity

4,587,165

4,341,533

3,960,232

 

 

 

 

C. INCOME STATEMENT

 

 

 

     a. Net Income/Revenues

6,339,346

5,558,640

5,492,834

     b. Total operating expenses

(4,585,534)

(3,946,754)

(3,979,392)

     g. Profit Before Income Tax

1,753,812

1,611,886

1,513,442

     h. Income Tax expense

(446,702)

(406,673)

(338,326)

     i.  Net income or Profit for the year

1,307,110

1,205,213

1,125,116

Remarks: Audited by Tanudiredja, Wibisana & Rekan ( a member firm of PwC Global Network)

 


 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.62.20

UK Pound

1

Rs.94.71

Euro

1

Rs.68.60

 

 

INFORMATION DETAILS

 

Analysis Done by :

RAS

 

 

Report Prepared by :

TPT

 

               


 

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.