MIRA INFORM REPORT

Report No. :	487522
Report Date :	29.01.2018

IDENTIFICATION DETAILS

Name :	WI SE MATES INTERNATIONAL CO., LTD.
Registered Office :	1f, No. 10, Lane 46, Nan Kuang Rd., Nan Tun Dist., Taichung City 40845, Taiwan, R. O. C.
Country :	Taiwan
Date of Incorporation :	25.08.2006
Com. Reg. No.:	28389066
Legal Form :	Private limited company owned by private individual(s)
Line of Business :	Manufacture and sale of automation conveyor, modularized aluminum extrusion machine and assembly parts.
No. of Employees :	15

RATING & COMMENTS

(Mira Inform has adopted New Rating mechanism w.e.f. 23^rd January 2017)

MIRA’s Rating :

B

Credit Rating	Explanation	Rating Comments
B	Medium Risk	Business dealings permissible on a regular monitoring basis

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

Country Name	Previous Rating (30.06.2017)	Current Rating (30.09.2017)
Taiwan	A1	A1

Risk Category	ECGC Classification
Insignificant	A1
Low Risk	A2
Moderately Low Risk	B1
Moderate Risk	B2
Moderately High Risk	C1
High Risk	C2
Very High Risk	D

TAIWAN - ECONOMIC OVERVIEW

Taiwan has a dynamic capitalist economy that is driven largely by industrial manufacturing, and especially exports of electronics, machinery, and petrochemicals. This heavy dependence on exports exposes the economy to fluctuations in global demand. Taiwan's diplomatic isolation, low birth rate, rapidly aging population, and increasing competition from China and other Asia Pacific markets are other major long-term challenges.

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 of that year, inked a trade pact with Singapore. However, follow-on components of the ECFA, including a signed agreement on trade in services and negotiations on trade in goods and dispute resolution, have stalled. In early 2014, the government bowed to public demand and proposed a new law governing the oversight of cross-Strait agreements, before any additional deals with China are implemented; the legislature has yet to vote on such legislation, leaving the future of ECFA uncertain. President TSAI since taking office in May 2016 has promoted greater economic integration with South and Southeast Asia through the New Southbound Policy initiative and has also expressed interest in Taiwan joining the Trans-Pacific Partnership as well as bilateral trade deals with partners such as the US.

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 expected to account for nearly 20% of the island's total population by 2025.

The island runs a trade surplus with many economies, including China and the US, and its foreign reserves are the world's fifth largest, behind those of China, Japan, Saudi Arabia, 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 and has also secured greater market access for its investors on the mainland. In August 2012, the Taiwan Central Bank signed a memorandum of understanding (MOU) on cross-Strait currency settlement with its Chinese counterpart. The MOU allows for the direct settlement of Chinese renminbi (RMB) and the New Taiwan dollar across the Strait, which has helped Taiwan develop into a local RMB hub.

Closer economic links with the mainland bring opportunities for Taiwan’s economy but also pose challenges as political differences remain unresolved and China’s economic growth is slowing. Domestic economic issues loomed large in public debate ahead of the January 2016 presidential and legislative elections, including concerns about stagnant wages, high housing prices, youth unemployment, job security, and financial security in retirement

Source : CIA

Company INFORMATION

Registration No.：		28389066
English Company Name：		WI SE MATES INTERNATIONAL CO., LTD.
Registered Address in English：		1F, No. 10, Lane 46, Nan Kuang Rd., Nan Tun Dist., Taichung City 40845, Taiwan, R. O. C.
Address of Operating Office：		41466 No.70-29, Qingguang Rd., Wuri Dist., Taichung City 41466, Taiwan, R. O. C.
URL：	http://www.wsm-wsm.com.tw/
E-mail：	wsm-mail@umail.hinet.net
TEL：	+886-4-2335-8899
FAX：	+886-4-2335-7737
Established on：	August 25, 2006
No. of Employees：	15
Business Type：	Manufacturing Service Banking/Financing
NACE Code：	2562
Business Size：	Super Large Large Medium Medium-Small Small
Legal Form：	Private limited company owned by private individual(s) Family Enterprise Limited Company

FACTORY AND BRANCH

Item		Address	Registration No.	Tel.	Fax.
	Factory	No.70-29, Qingguang Rd., Wuri Dist., Taichung City 41466	T6600594	+886-4-2335-8899	+886-4-2335-7737

● AFFILIATE

Registration No.		Company Name		Registered Person-in-Charge	Relationship to Subject Company
			English
	53999827	Hong Yang Automation Co., Ltd.		Shih, Chiu-Hsiung	Affiliate	Subsidiary
	53786275	YA DE MACHINERY CO., LTD.		Shih, Chiu-Fu	Affiliate	Subsidiary
Information provided by Ms. Hsu at accounting dept.

HISTORY

Change in Company Name/Form
	Subject company has kept its present name and form since its establishment.

CAPITAL INCREASE/DECREASE

	Registered capital read NT$ 3,000,000 (fully paid-up) at the time of establishment.
Subsequent Capital Increase/Decrease
	NIL

● PLAN FOR CAPITAL INCREASE/DECREASE & STOCK LISTING – NIL

ACTUAL BUSINESS ITEMS/ ACTIVITIEs

1	Manufacture and sale of automation conveyor, modularized aluminum extrusion machine and assembly parts.

MAIN SHAREHOLDERS

Name		Position	Stake (NT$)	Ratio (%)	Note
	Shih, Chiu-Hsiung	Director	1,800,000	60.00
	Other relatives	Shareholder	1,200,000	40.00
Total No. of Shareholders：Declined

CORPORATE SHAREHOLDER OVERVIEW – NIL

RELATIONSHIP BETWEEN MAIN SHAREHOLDERS

Spouse	Parent/Children	Siblings	Relatives/In-Laws	Schoolmates
Associates	Friends	Members in Same Business Group		Institutional Investors
Others (specified as follows)：

MANAGEMENT（CHAIRMAN AND GENERAL MANAGER）

Director cum General Manager（President）

Name (Chinese)：

English：

Shih, Chiu-Hsiung

Sex：

Male

ID No.：

Declined

Date of Birth：

1968

Place of Birth：

Taiwan

Education：

College graduate

Experience：

Declined

Years in Subject Company’s Line of Business：

More than 20 years

Other Business Investments

Position

English Company Name

Hong Yang Automation Co., Ltd.

Managing director

YA DE MACHINERY CO., LTD.

Shareholder

Information provided by Ms. Hsu at accounting dept.

PREMISES

	Registered Office：
	The rented premise reports a total floor space of 52.14 square meters and is registered under the name of person with Chang as surname
	Operating Office cum Factory：
	The rented premise reports a total floor space of 318.02 square meters and is registered under the name of person with Shih as surname
Note：Information related to ownership status of subject premises is obtained from computerized official issued by local land administration authority.

MAJOR PRODUCTION FACILITY

Equipment		Quantity
	Related production facilities	Adequate

MORTGAGE RECORD OF MOVEABLE PROPERTIES

NIL

DOMESTIC SUPPLIERS

Raw Material / Product		Supplier		Payment Term
	Aluminum alloy		Companies in related fields		30-90 Day Post-Dated Check (70%) Cash (30%)

OVERSEAS SUPPLIERS – NIL

BRAND NAMES OF PRODUCTS LICENSED FOR SALE BY SUBJECT COMPANY

Subject company declines the brand name carried.

● DOMESTIC CUSTOMERS

Raw Material / Product		Customer		Payment Term
	Automatic conveyor, Modularized aluminum extrusion machine, Assembly parts		YA DE MACHINERY CO., LTD. CHIA MING MACHINERY CO., LTD. Traders in related fields		30-90 Day Post-Dated Check (70%) Cash (30%)

MAIN DOMESTIC SALES CHANNELS – NIL

OVERSEAS CUSTOMERS

Raw Material/ Products		Country/Region
	Automatic conveyor, Modularized aluminum extrusion machine, Assembly parts	China, India(under negotiation)
	Payment Terms
	T/T (100%)

OVERSEAS PRODUCTION BASES / SALES OUTLETS

Subject company claims to have no oversea production stations.

COMPLIANCE WITH LOCAL / INTERNATIONAL STANDARDS

ISO-9001 certified

BANKERS

	Taichung Commercial Bank, Wujih Branch	Account No.：Declined
	Active since：Declined	Current Status：Normal Dishonored
Information provided by Ms. Hsu at accounting dept.

PAYMENT RECORD

As of Jan. 19, 2018, relevant records obtained from Clearing House indicate：
	No dishonored banking record filed against subject company during the past three years.
	No dishonored banking record filed against subject company’s registered person-in-charge during the past three year.

STATUS QUALIFIED GOVERNMENT SUPPLIER

Subject company’s status as a qualified government supplier has not been suspended during the past one year.

LITIGATION/COURT RECORD

Subject company has been involved in neither litigation nor legal proceeding during the past two years.

INTELLECTUAL PROPERTY（PATENT and TRADEMARK）

		No patent and trademark is found registered under the name of subject company.
		A total of 1 trademarks is found registered under the name of subject company；the most recent 5 items are listed as follows for reference：
No.			Registration No.	Trademark
	1		01245471	WSM
		A total of 7 patents is found registered under the name of subject company；the most recent 5 items are listed as follows for reference：
No.			Registration No.	Patent
	1		I569935	Suspending arm structure
	2		M532708	Extrusion type operation box structure
	3		M506900	Suspending arm structure
	4		M444408	Modular fence structure
	5		M388198	Control box body structure

OPERATING INCOME 2014~2016（NT$：1,000）

Subject company declines to reveal related information for security reasons.

TRADE RECORD（USD）

YEAR	TOTAL IMPORT	TOTAL EXPORT
2017	0	0

01/01~12/31, 2016：BREAKDOWN OF SALES BY PRODUCTS（NT$：1,000）

Subject company declines to reveal related information for security reasons.

● SALES PERFORMANCE 01~11, 2017（NT$：1,000）

－－

FINANCIAL PROFILE（NT$：1,000）

Subject company declines to reveal related information for security reasons.

CORPORATE RANKING 2014~2016

Subject company is not listed in the Top 1000 Largest Corporation in Taiwan and is not listed in the Directory of Leading Importers and Exporters in Taiwan.

SUMMARY

Wary but generally cooperative
	Subject is specialized in manufacture and sale of automation conveyor, modularized aluminum extrusion machine and assembly parts. Product items include aluminum extrusion operation box, support bracket arm joints, fence rails series, modular slide parts and services (design, planning and installation) on automation conveying equipments, around 100 more aluminum extrusion sample and 300 more assembly parts in total. As we learned, its business revenues are mainly relying on sale of modularized aluminum extrusion and assembly parts.
	Approximately 100.00% of the business products or needed raw materials are procured from domestic companies in related fields.
	Subject relies mainly on export/domestic sale that accounts for approximately 100.00% of its total business revenues. Major domestic customers include YA DE MACHINERY CO., LTD., CHIA MING MACHINERY CO., LTD. and traders in related fields. Only very few of them are exported to China and India(under negotiation).
	Financial information is considered as business confidentiality and subject refuses to release them. Secondary source indicates that its self-owned capital appears to be inadequate, load of liabilities and/or loans from shareholders seem to be at acceptable level; short-term solvency is slightly weak. Sales performance in recent years appears to be steady with approximate annual sale revenues around NT$ 40 to 60 millions.

RESULT OF MEDIA SEARCH

No adverse news or reports related to subject company and its registered person-in-charge have been identified during the past two years.

OUR COMMENTS

Credit or business dealings with subject company are deemed acceptable while monitoring on a regular basis remains desirable. But not enough information and data could be obtained to facilitate the rating.

APPENDICES - NIL

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	INR 63.50
UK Pound	1	INR 90.92
Euro	1	INR 79.07
TWD	1	INR 2.19

Note : Above are approximate rates obtained from sources believed to be correct

INFORMATION DETAILS

Analysis Done by :	VAR
Report Prepared by :	KET

RATING EXPLANATIONS

Credit Rating	Explanation	Rating Comments
A++	Minimum Risk	Business dealings permissible with minimum risk of default
A+	Low Risk	Business dealings permissible with low risk of default
A	Acceptable Risk	Business dealings permissible with moderate risk of default
B	Medium Risk	Business dealings permissible on a regular monitoring basis
C	Medium High Risk	Business dealings permissible preferably on secured basis
D	High Risk	Business dealing not recommended or on secured terms only
NB	New Business	No recommendation can be done due to business in infancy stage
NT	No Trace	No recommendation can be done as the business is not traceable

NB is stated where there is insufficient information to facilitate rating. However, it is not to be considered as unfavourable.

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 are as follows:

· Financial condition covering various ratios

· Company background and operations size

· Promoters / Management background

· Payment record

· Litigation against the subject

· Industry scenario / competitor analysis

· Supplier / Customer / Banker review (wherever available)

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.