Preface

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2009’s biggest story was the global economic crisis and recovery. As the recession entered its second year (starting in 2008), belt-tightening became a necessity and companies had to take a hard look at their priorities, many re-examining their business model in light of unprecedented challenges.

The recession that continued in 2009 was global in scope. After unprecedented intervention by governments and central banks, the global economy began to strengthen again in the second half of 2009.

The Hong Kong economy was quite exposed to the global recession due to its heavy dependence on external trade and financial services. With a fall in trade volumes and a decline in output of the financial services sector during the second half of 2008 and first quarter of 2009, Hong Kong’s GDP contracted sharply. Now, however output in trade and financial services is expanding and GDP growth has turned positive, although not yet back to pre-crisis levels.

The global economy is now on track to recovery. Asia is continuing to take the lead, with China and various other Asian economies growing robustly. However, the outlook for the external environment has become more uncertain as the sovereign debt problem in Europe, leading many European economies to implement austerity measures, posed downside risks to the global recovery. Recent news also indicates that the growth momentum in the US is weakening. As a result of this, Hong Kong’s current economic recovery may experience a slowdown.

Total exports of goods increased by 20.1% in real-terms in the second quarter of 2010, slightly lower than the 21.6% growth in the first quarter. On a quarter-to-quarter seasonally, total exports of goods grew by 4.2% in real terms in the second quarter.

Private consumption expenditure increased by 4.6% in the second quarter over a year earlier, compared with the 7.1% growth recorded during the first quarter.

The performance of the labor market is somewhat mixed with the seasonally adjusted unemployment rate at falling from 4.6% in the second quarter to 4.2% in the third quarter.

From January to September 2010, the total number of bankruptcy petitions decreased from 12,880 to 7,133 and bankruptcy orders decreased from 13,012 to 7,231 respectively, which indicated decreases of 45% and 44% as compared to the same period in 2009.

From January to September 2010, the total number of winding-up petitions decreased from 589 to 398; and winding-up orders decreased from 426 to 336 respectively, which indicated decreases of 33% and 21% as compared to the same period in 2009.

In the second quarter of 2010, the Gross Domestic Product (GDP) increased by 6.5% in real terms over a year earlier, compared with the 8.0% increase in the first quarter of 2010. In the first half of 2010, real GDP grew by 7.2% over a year earlier. On a quarter-to-quarter comparison, the GDP grew by 1.4% in real terms in the second quarter.

The Association saw continual and stable growth in our membership from our start in December 1999 with 4 to now over 200 members coming from various industries comprising experienced and high caliber professionals. It is my honour to represent the Executive Council and Executive Committee to deliver this statement and report to our members on the Association’s achievements and future goals.

Review and Acheivements

Executive Council and Executive Committee

The 8-person Executive Committee, with the support of our 3 diligent staff members, has been leading the Association and running the overall business and management, and day-to-day operation. The Association’s plan and development are mainly conducted through 8 sub-committees, which include Annual Award; Certification; Education; IT, Membership; Public Relations; Survey and Who’s Who supported with our Secretary and Treasurer in managing a healthy financial and accounting system. All issues and decisions were the result of discussions, day-to-day communications and monthly focused meetings. The differences in perspective and opinions from committee and staff members are fully reflected in every single meeting, which has resulted in a productive consensus and continuous growth of the Association.

Members and Recruitment

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The Association now has over 200 members coming from diverse commercial industries such as accounting and auditing, electronics, telecommunications, banking and finance, legal practices, shipping and transportation, manufacturing, trading, debt collection agencies, credit reporting agencies, credit consulting and the world’s leading export credit agencies. This diversity continues to bring broad-based input and balanced suggestions or opinions on different issues. The membership growth is no doubt attributed to the hard work of our Membership Committee and the increasing exposure of our Association.

Website

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The hit rate of our website continues to grow with more than 9,000 hits a month from our members and the general public in both Hong Kong and overseas. I would like once again to encourage our members and non-members to visit our website, where the latest updates of our activities and industry information is available.

Certification Program - Credit & Collection Professional

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This year the Credit & Collection Professional (“CCP”)* examination was held on 25 September 2010 at the Hong Kong Examinations and Assessment Authority. On 16 September 2010, our Vice Chairman Mr. Bobby Rozario held a tutorial class for the candidates prior to the examination to assist the candidates to achieve higher examination results.

The 5 passed candidates this year are as follow:

1. LEE Leung-Yin Leebo
2. LAI Nok Man Elaine
3. LEE Lai Ping, Ruby
4. LI Yik Lin, Bono
5. WU Ka Yee, Wynes

On behalf of HKCCMA and the Certification Committee, I congratulate the new CCPs. An official certificate presentation ceremony will be held in the upcoming AGM to recognize their achievements.

The CCP certification program has certified 17 credit and collection professionals from various industries since its launch in 2006. The forthcoming CCP examination will be held in March 2011.

Details of the CCP and related certifications, are listed on the Association’s website www.hkccma.com. Alternatively, members can send an email to: ccp@hkccma.com to obtain more details about the program, application requirements and fees.

For non-members, please visit our site to download the membership application form, so as to take advantage of the opportunity to get certified. This is the only certification program available for credit and collection practitioners in Hong Kong and Mainland China to get certified, and be recognized.

*HKCCMA is the exclusive body of the CCP certification program in Hong Kong
#ACA International, USA (the world’s largest credit and collection industry association and has been established for over 71 years.

Seminar & Exhibition

As a result of this extensive experience, the Association began to focus on seminars and other educational events. This culminated in the extremely successful launch of the seminar on “Part 1, How to become a Practical Credit Manager” in September 2008, “Part 2, Financial Statement” in March 2009 and finally “Part III, Accounts Receivables Administration” in July 2009.

Following the above, the Association held “Effective Credit Management & Debt Collection After the Financial Crisis – Part IV” on 27 May 2010. The speakers of the seminar are Mr. Stephen Lo (Director of Credit Management - Asia Pacific of Bayer Material Sciences Ltd and our Executive Councilor) and Mr. Bobby Rozario, our Vice Chairman.

Due to the overwhelming feedback received, the Association will continue to organize and exchange seminars and training programs within other industry associations, in both Hong Kong and China, with the aim of developing and improving professionalism in the credit and collection industry.

Seminar and career talks are educational events the Association has been focusing on during the past few years. The Education Committee will continue organizing these types of event for our members in the future.

Mix At Six

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The Association held three “Mix-At-Six” functions respectively in April, July and October 2010, which provided “mix-and-mingle” social evenings for members and non-members.

“Mix-At-Six” has been a relaxing business and intelligence exchange, and friendship build-up function since its inception. It is also a function to welcome the new-members and has been a networking platform where the credit and collection practitioners to have relaxing moments to meet, chat and exchange intelligence and opinion. Our new-members are entitled to have the entrance fee waived in their first time “Mix-At-Six”.

If you have not attended this event before, we warmly welcome you to join.

Golf Tournament

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The Association’s first Golf Tournament was officially held in February 2010 at Dongguan, PRC – this marked the first golf event, which was organized under the name of the Association as well as the first recreational activity that was organized by the Association since its inauguration in 2000.

Who's Who of Credit and Collection Practitioners in Hong Kong ("Who's Who")

This is the Association's 5th edition of "Who's Who of Credit & Collection Practitioners in Hong Kong" and is the result of joint efforts from our Who's Who Committee and staff.

Complimentary copies are available for members, listing participants, advertisers, patrons, the general public (including but not limited to professional/consultancy firms, personnel/recruitment agencies, libraries, financial institutions, universities etc.), and overseas industry associations.

Recognition

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Grant Thornton - HKCCMA "Credit Practitioner/Team of the Year" 2009-2010

This was the second year in which the Association had accepted team nominations as well as individual nominations for the Annual Award Program.

Nominations for the Award can be based on individual / team contribution in any area of credit and collection related works in the aspect of management, operations, customer service, education, training and industry involvement. The contribution or accomplishment of the candidate must be recent. The Judge Panel of the Award Committee will select winner based on the accomplishment of the nomination.

The Judge Panel consists of the following high-caliber professionals and executives:

• Ms. Kelly Chan (Financial Controller - Moet Hennessy Diageo Hong Kong Ltd.)

• Mr. Konrad Chan (Regional Director - Credit, Risk & Compliance –Global Payments Asia-Pacific (HK) Limited)

• Mr. William Lee (Lecturer - School of Accounting and Finance The Hong Kong Polytechnic University)

• Ms. Rosina Leung (Managing Director - Head Treasury and Trade Solutions Global Transaction Services Citicorp International Ltd)

• Mr. Patrick Rozario (CEO – Grant Thornton)

• Mr. Benedict Wong (Chairman - HKCCMA)

• Ms. Tiffany Wong (Group Financial Controller - On Time Express Ltd)

Our thanks go to the excellent Judge Panel, as they performed a very difficult task in the vetting and selecting process. On behalf of the Association, I congratulate the Award Winner. I would also like to thank again the sponsor Grant Thornton, for their generous sponsorship in this event, which is a valuable support to the Annual Award program.

Acknowledgement

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Upon the completion of the AGM on 9th December 2010, the Association will step into the twelfth year from its establishment. I take this opportunity to thank each of the executive councilors, executive committee members and various committee chairs and members for their leadership and contributions during the past year. With their invaluable support along with those from existing and new members, they have provided a strong backbone to the Association, leading to our continual growth.

As the only credit and collection industry association in Hong Kong and China, one of HKCCMA’s core principles is to preserve a healthy credit environment through regulation, maintaining and developing the highest ethical standards, practices and professionalism within our industry, and of our fellow practitioners.

I would like to thank our colleagues, Betty Huen, Andrew Kwok and Eddie Chan. In addition, I would like to give my thanks to our Executive Committee Members, Bobby Rozario; Philip Chan; Stephen Lo; Ricky Chan, Francis Yeung, Xavier Farcot and Paul Tsang.

On behalf of the Association, I would like to thank our Honorary Patrons ACA International; Ms. Rozanne ANDERSEN (CEO of ACA International) and Mr. Neil Wood (Past Chairman of the International Unit of ACA International and Chairman of GCS Group); our Honorary Legal Advisors Mr. Victor Chan (Partner of Tang, Wong, Cheung & Co); our Honorary China Legal Advisor Mr. Ricky J. F. Li (Partner of Alpha and Leader Law Firm), and our Honorary Auditor Mr. Sam Lau (Partner of S. L. Lee & Lau, Certified Public Accountant).

Way Forward

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The Executive Council

The election result of the 2010-2011 Executive Council has been announced to all members in November, prior to the AGM. The new Executive Councilors will officially assume duty after the Annual General Meeting & Dinner to be held on the 9th December 2010 at the Moon Koon Restaurant of Hong Kong Jockey Club in Happy Valley. The current Executive Councilors will retire at the close of the AGM and the newly elected Executive Councilors for the 2010-2010 are:

1) Ricky CHAN Cheong Yip
2) Germany HENG
3) Stephen LO Sai Kit
4) Bobby R. ROZARIO
5) Benedict WONG Chi Kwong
6) Paul TSANG Cheuk Hung
7) Francis YEUNG Wing Hung
8) Philip CHAN Kin Hing

The Executive Committee

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In line with the Articles of Association of HKCCMA and for the purpose of transacting the day-to-day business of the Association, the coming 2010-2011 Executive Committee will consist of the Association’s Chairman and the Vice Chairman, and other Executive Councilors, by appointment and acceptance basis. The 2010-2011 Executive Committee will assume its duty concurrent with the conclusion of the AGM on the 9th December 2010. Results of the 2010-2011 Executive Committee appointments will be announced to all members via email and website by the Chair of the Election Committee. The 2010-2011 Executive Committee, to administer and manage the day-to-day business of the Association, will be reporting to the Executive Council, and ultimately to the members of the Association.

2010 – 2011 Plans and Goals

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• Continue searching for development and co-operation opportunities with appropriate organizations and bodies for the expansion of CCP into China

• Continue establishing domestic and global recognition and affiliation with international industry associations and professional bodies

• Organize and exchange seminars and training programs with industry associations within Hong Kong and in mainland China, to develop the professionalism in the credit and collection industry

• Review the criteria and prepare open nomination for the Annual Award program "Credit Practitioner/Team of the Year" 2010-2011. The new award nomination procedures and criteria will be available at the Association’s website at a later stage.

• Review, develop and organize functions and events for members and non-members, such as through sponsorship of mix and mingle functions like “Mix-At-Six”, “Golf Tournament” and other recreational activities.

• Continue to provide free educational courses, seminars and workshops for members and non-members (including tutorial class for CCP examination to assist candidates in achieving their certification)

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The HKCCMA is the only industry association in Hong Kong with members comprising of experienced credit and collection practitioners, managers and executives from small to large enterprises. It will continue to encourage and maintain a healthy credit environment through the continuing development of the highest ethical standards, professionalism and practices within our industry.

In closing, I would like to express my appreciation and gratitude to the continual support, participation and contribution from all of our members and sponsor, and to all who have offered their assistance in various ways to this chairman statement.

On behalf of the Association, I wish you all the happiness, the best of health and prosperity, in the forthcoming year. In addition, I wish you to go on to enjoy long and successful careers and businesses.

Look forward to seeing you all on the 9th December 2010!

Benedict C. K. WONG
Chairman

Hong Kong, December 2010