To import advanced equipment and machinery to produce 100 million pieces of
aluminum-plastics compound soft tubes used in medical field 　

I

SITUATION OF THE ENTERPRISE

1

BRIEF INTRODUCTION

Lianyungang ZhongJin Medical packaging Co., Ltd. was established in 1989. It manufactures high-quality packaging primarily for pharmaceutical industry. It has land coverage of 91000 sq. Meters. And the total fixed assets is up to RMBY 170 million, also it is a high-technology enterprise in Jiangsu province.

2

ADDRESS, TELEPHONE AND FAX NO.

Address: Lianyungang ETDZ, Lianyungang, Jiangsu, China

Tel: (86)518-2341396 Fax: (86)518-2341829

3

LIAISON PERSON

Mr. Deng Yu dong, Manager of Technology department

4

NATURE OF ENTERPRISE

State-owned Co., Ltd.

5

COMPOSITION OF ENTERPRISE ASSETS

Fixed assets to total assets: 56% Current assets to total assets: 44%

6

BUSINESS SCOPE

Blister aluminum foil packaging and series, solution material for pharmaceutical, food and cosmetic industries

7

EXPORT COUNTRIES & REGIONS

South-east Asia

8

APPROXIMATE ANNUAL OUTPUT AND SALES

(OCCUPTATION RATE ON DOMESTIC MARKET)

RMBY 140 Million ( Rate of occupation is 40%)

II

BUSINESS COOPERATION SOUGHT(COOPERATION PROJECT)

1

DESCRIPTION

To import advanced equipment and machinery to produce 100 million pieces of aluminum-plastics compound soft tubes used in medical field.

2

MARKET FORECASTING

　

3

TOTAL INVESTMENT ESTIMATED

RMBY 41.03 Million

4

THE PRODUCTION AND THE PREDICTED ANNUAL OUTPUT

Aluminum-plastics compound soft tubes used in pharm. Field.

Output : 100 million per year

　

5

SOURCE OF RAW MATERIALS

90% of materials are from China

10% of materials are from aboard

6

THE PLACE OF PRODUCTION

Lianyungang, Jiangsu, China

7

EQUIPMENT AND MACHINERY REQUIRED （IMPORT/MADE IN CHINA）

8

COSTS OF PRODUCTION

RMBY 0.674 per piece

9

PROPOSED FORM OF COOPERATION

(JOINT VENTURE /COOPERATION / LOAN)

Joint venture

10

　

REQUIREMENT FROM FOREIGN PARTNER

Technology & fund

11

SOURCE OF CHINESE PARTNER‘S CAPITAL & FORM OF INVESTMENT

12

RATIO OF INVESRMENT

CHINESE PARTNER：60 ％

FOREIGN PARTNER：40 ％

13

CAPIFAL BUDGETING

Imported machinery & equipment: RMBY 35.23 Million

Tariff, Insurance, Transportation: 3.32 Million

Training exp. 1.24 Million

Technology service exp. 1.24 Million

14

PACKBACK PERIOD OF INVESTMENT

2.9 years

15

TIME SCHEDULE FOR THE PROJECT

June, 2000

16

WAY OF FOREIGN EXCHANGE EQUILIBRIUM

　

　

17

OTHERS

　

III

THE FORECAST OF FINANCIAL INDEXES FOR PRE－PROJECT AND AFTER－PROJECT (RMBY, Million)

FISCAL

YEAR

ITEM

　

1997

　

1998

　

1999

　

2000

　

2001

OUTPUT

VALUE

136.99

124.30

150

160

180

SALES OF PRODCUTS

120

134.43

155

160

180

PROFIT

10

10

10

12

15

TAX

11

9

8

10

12

EXPORT

SALES

 　 　 　 　 　

MARKET

SHARE

(ABROAD)

 　 　 　

0

10%

MARKET

SHARE

(DOMESTIC)

　 　 　

100%

90%

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