MIRA INFORM REPORT

 

 

Report Date :

20th January, 2007

 

IDENTIFICATION DETAILS

 

Name :

VAN ERKOMS TOBACCO (PTY) LTD

 

 

Registered Office :

No 3, 2nd Avenue, Old Industrial Area, MOKOPANE (Formerly POTGIETERSRUS), Limpopo

 

 

Country :

South Africa

 

 

Date of Incorporation :

24.12.1957

 

 

Com. Reg. No.:

1957/004236/07

 

 

Legal Form :

Private Limited Company

 

 

Line of Business :

Manufacture of pipes, cigarettes, tobacco and snuff.

 

RATING & COMMENTS

 

MIRA’s Rating :

Ba

 

RATING

STATUS

PROPOSED CREDIT LINE

41-55

Ba

Overall operation is considered normal. Capable to meet normal commitments.

Satisfactory

 

Maximum Credit Limit :

US$1 000 000

 

 

Status :

Satisfactory

 

 

Payment Behaviour :

Regular

 

 

Litigation :

Clear

 

 

COMPANY NAME

 

VAN ERKOMS TOBACCO (PTY) LTD

 

 

PHYSICAL ADDRESS    

 

No 3, 2nd Avenue

Old Industrial Area

MOKOPANE (formerly POTGIETERSRUS)

Limpopo

 

 

POSTAL ADDRESS   

 

P O Box 1889

MOKOPANE

0600

 

 

TELEPHONE NUMBER   

 

(015) 491-3204

 

 

FAX NUMBER     

 

(015) 491-3259

 

 

SHAREHOLDERS

 

100%    A H S TRUST, in which A H Schoeman is a trustee.

 

 

ASSOCIATE COMPANIES

 

Property companies that were not specified.

 

 

DIRECTORS

 

A H SCHOEMAN           ID NO:  4808135001008

 

 

BANKERS

 

ABSA BANK, Mokopane, account number 1002330462.  It was stated that the subject has overdraft facilities available, however, these have not been utilised for the past 3 years as credit balances are maintained.

 

 

DATE REGISTERED

 

24 December 1957

Registration Certificate Number 1957/004236/07

 

The present shareholders took over the subject in 1995.

 

 

VAT NUMBER 

 

4590146231

 

 

MAJOR OPERATION

 

Manufacture of pipes, cigarettes, tobacco and snuff.

 

 

MAJOR SUPPLIERS

 

The subject imports from India and deals locally with:

 

PROTEA CHEMICALS  Wadeville

NAMPAK CARTONS  Johannesburg

DANCHEM  Johannesburg

AQUARIUS

 

The subject also buys from farmers.

 

 

MAJOR CUSTOMERS OR BUSINESS SECTORS

 

Wholesalers

 

 

AREA OF DISTRIBUTION AND SELLING   

 

South Africa

 

 

EXPORTS

 

None

 

 

TOTAL EMPLOYEES

 

Approximately 35

 

 

OTHER PREMISES   

 

The subject is reported to have a farm in Oudtshoorn, farming ostriches.

 

 

OWNED OR LEASED

 

The heading premises are stated to be owned by the subject and valued at R6 000 000 – R8 000 000, free of bond.  The ostrich farm is reported to be owned by a company in the group.

 

 

ISSUED SHARE CAPITAL:   

 

R100

 

The following estimated financial situation was submitted:

 

STOCK R  6 000 000

DEBTORS                                                                                  R  2 500 000

CASH   R  8 000 000

Shares R  5 000 000

CREDITORS                                                                              R     200 000

SHAREHOLDERS LOANS                                                                         Nil

TURNOVER                                                               per annum R20 000 000

 

 

AUDITORS

 

BERGH & DE BRUYN ACCOUNTANTS & AUDITORS INC.,

Mokopane         Telephone number:  (015) 491-3231

 

 

FINANCIAL YEAR END   

 

MARCH

 

 

INSURANCE BROKERS

 

Unknown

 

 

TRADE REFERENCES

 

            ACCOUNT                HIGHEST   AVERAGE     TERMS   PAYMENT      EXPERIENCE

            OPENED                  CREDIT     CREDIT                       PATTERN

1.         2002                        R110 000   R6 000 -        30 days   30 days          Good

                                                R90 000

 

2.         6 yrs                        R100 000   R50 000 -       30 days   30 days          Very good

                                                R80 000

 

3.         27 yrs                      R33 000     R33 000         30 days   30 days          Excellent

 

4.         08/2005                    R132 000   R132 000       30 days   30 days          Very good

 

 

COMMENTS

 

This is an established business meeting commitments timeously and no adverse comments have been heard.  We have not traced dealings to an extent of US$1 000 000 DA and would prefer to see a far lesser figure on a spread and secured basis.

 

 

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

Unfavourable & favourable factors carry similar weight in credit consideration. Capability to overcome financial difficulties seems comparatively below average/normal.

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

NR

In view of the lack of information, we have no basis upon which to recommend credit dealings

No Rating

 

 

 

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