MIRA
INFORM REPORT
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Report Date : |
29.08.2007 |
IDENTIFICATION DETAILS
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Name : |
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Registered Office : |
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Country : |
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Date of Incorporation : |
14th October 1949 |
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Com. Reg. No.: |
1949/035036/07 |
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Legal Form : |
Private Limited Liability Company |
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Line of Business : |
Manufactures industrial and civilian footwear. |
RATING & COMMENTS
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MIRA’s Rating : |
Ba |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
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Status : |
Satisfactory |
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Payment Behaviour : |
Regular |
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Litigation : |
Clear |
COMPANY NAME
Formerly
SEARLES INDUSTRIALS LTD, the name having been changed on 22 July 1987; formerly: SEARLES TIMBERS (PTY) LTD, the name having been changed on 6 September 1977; formerly: FOREST HILL SAWMILLS (PTY) LTD, the name having been changed on 29 September 1969.
TRADING DIVISIONS
WATSON CIVILIAN DIVISION (SHOES) (incorporating the Ladies Footwear division in 2001)
BAGSHAW FOOTWEAR, (industrial footwear manufacturers)
PHYSICAL ADDRESS
Head Office:
POSTAL ADDRESS
6525
TELEPHONE NUMBER: 044 620 2111
FAX NUMBER: 044 620 2378
Please note that OUDTSHOORN FOOTWEAR was incorporated into the Ladies Footwear division, which was in turn incorporated into the Watson Civilian division in 2001. It was stated that BAGSHAW FOOTWEAR changed its name years ago from BAGSHAW GIBAUD.
The subject converted from a public company to a private company on 26 February 2001.
SHAREHOLDERS
100% CARGO CARRIERS HOLDINGS (PTY) LTD
The Shareholding was previously 74,13% BOLTON INDUSTRIAL
HOLDINGS LTD; 8,5% W J D I SCOTT; 3,1%
SUBSIDIARY COMPANIES
BAGSHAW FOOTWEAR (PTY) LTD (dormant)
FIBAFAB (PTY) LTD (property owning company)
WATSON SHOES (PTY) LTD (dormant)
Plus other companies in the group.
DIRECTORS
G D
M J BOLTON (brother)
S G CHILVERS
M J LOUW (Managing Director)
BANKERS
FIRST NATIONAL BANK and ABSA CORPORATE BANK. It was stated that the subject is managed by a cash management scheme controlled by the treasury department of the subject.
DATE REGISTERED
14th October 1949
Registration Certificate Number 1949/035036/07
It was stated that the subject has been operating since 1860. The subject was previously an unquoted public company and converted to a private company in February 2001.
VAT NUMBER
4610104632
MAJOR OPERATION
The subject manufactures industrial and civilian footwear.
MAJOR SUPPLIERS
The subject imports shoes and leather from
NATIONAL BRAIDING Estcourt
MAJOR CUSTOMERS OR
BUSINESS SECTORS
Shoe stores, chain stores etc.
AREA OF DISTRIBUTION
AND SELLING
EXPORTS
Occasionally to
TOTAL EMPLOYEES
1 200 approx.
OTHER PREMISES
The subject has factory premises in
OWNED OR LEASED
All the premises are reported to be owned by the company with an insured value in the region of R68 million, book value approximately R15 million. All the premises are reported to be free of bond.
AUTHORISED SHARE
CAPITAL
R250 000 divided into 25 million ordinary shares of 1 cent each
Authorised share capital increased on 22 July 1987 from R200 000 divided into 20 million ordinary shares of R0,01 cent each to current.
ISSUED SHARE CAPITAL
R200 000
It was stated that the share premium of R11 698 390 was paid out to the shareholders.
The following
financial information as at February 2006 was submitted, which reads as
follows:
CURRENT ASSETS R103
100 000
CURRENT LIABILITIES R 41 100 000
GROUP EQUITY R 96 000 000
TURNOVER per annum R259
000 000
AUDITORS
ERNST & YOUNG, George
YEAR END
FEBRUARY
INSURANCE BROKERS
ALEXANDER FORBES
TRADE REFERENCES -
SEPTEMBER 2006
ACCOUNT HIGHEST AVERAGE TERMS PAYMENT EXPERIENCE
OPENED CREDIT CREDIT PATTERN
1. Old acc R90 000 R40 000 - 60 days 60 days Very Good
R70 000
2. Old acc R425 000 R200 000 30 days 30 days Excellent
R300 000
3. Old acc R150 000 R 80 000 - 30 days 30 days Excellent
R100 000
CURRENT TRADE
REFERENCES
ACCOUNT HIGHEST AVERAGE TERMS PAYMENT EXPERIENCE
OPENED CREDIT CREDIT PATTERN
1. ±15 yrs R 425 000 R 150 000 30 30 Very good
2.5%
2. 1986 R 100 000 R 60 000 60 60 Good
3. 1993 R2 000 000 R1 500 000 30 30 Very good
COMMENTS
This is a very well established and well connected company, which is meeting its commitments timeously. The subject is effecting a substantial turnover and is considered equal to its normal business engagements.
RATING EXPLANATIONS
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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>86 |
Aaa |
Possesses an extremely sound financial base with the strongest
capability for timely payment of interest and principal sums |
Unlimited |
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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 |
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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 |
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41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
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26-40 |
B |
Unfavourable & favourable factors carry similar weight in credit
consideration. Capability to overcome financial difficulties seems comparatively
below average. |
Small |
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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 |
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<10 |
C |
Absolute credit risk exists. Caution needed to be exercised |
Credit not
recommended |
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NR |
In view of the lack of information, we have no basis upon which to
recommend credit dealings |
No Rating |
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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%)