MIRA
INFORM REPORT
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Report Date : |
11.07.2008 |
IDENTIFICATION
DETAILS
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Name : |
FRANCO APPAREL GROUP, INC. |
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Registered Office : |
100 W 33rd Street Suite 911, New York NY 10001 |
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Country : |
United States |
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Date of Incorporation : |
01.09.1990 |
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Legal Form : |
Corporation for Profit |
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Line of Business : |
Manufactures Girls and
Youth Outerwear |
RATING &
COMMENTS
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MIRA’s Rating : |
B |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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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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Maximum Credit Limit : |
USD 80,000 |
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Status : |
Small Company |
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Payment Behaviour : |
Regular |
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Litigation : |
Clear |
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REQUIRED CREDIT |
ADVISED CREDIT |
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MAXIMUM |
80,000 USD |
GEOPOLITICS
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POLITICAL DATA |
ECONOMIC DATA |
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FORM OF GOVERNMENT ECONOMIC RISK |
Federal
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CURRENCY BRANCH SITUATION |
USD Competitive |
IDENTIFICATION
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Company Name: |
FRANCO APPAREL
GROUP, INC. |
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Address: |
100 W 33rd
Street Suite 911 New York NY 10001 USA |
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Phone: Facsimile: ID State: Managers: |
+ 1 (212) 967-7272 + 1 (212) 967-7395 1412867
New
York Ike Franco, President |
Date founded: |
01/09/1990 Corporation for Profit N.A. N.A. 100 employees |
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Legal form: |
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Stock: Value: |
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Staff: |
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Business: |
Manufactures girls and youth outerwear |
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BANKS
JP Morgan Chase Bank
BUSINESS
Operations:
Franco Apparel Group, Inc. is a private company headquartered in New
York, NY. Franco Apparel Group, Inc's line of business is manufacturer of girls and youth outerwear.
Industry Overview:
About 15,000 companies manufacture clothing in the US, with combined
annual revenue of about $30 billion. Large companies include VF Corporation,
Levi Strauss, and Warnaco. The industry is highly fragmented: the 50 largest
companies hold less than 40 percent of the market. Some plants in the industry
have 500 workers and annual sales of $50 million, but most manufacturers
operate a single plant with fewer than 50 employees and annual revenue under $5
million. The industry includes knitting mills, but most apparel is cut and
sewn.
Demand is largely determined by consumer tastes and the comparative
costs of manufacture in the US and overseas. The profitability of individual companies
depends on operation efficiency and the ability to secure contracts with
clothing marketers. Small companies can compete effectively with large ones by
specializing in a particular type of apparel manufacture. There are few
economies of scale in manufacture, because of the high labor content of most
apparel. The industry is labor-intensive: average annual revenue per production
worker is about $125,000.
SHAREHOLDERS – SUBSIDIARIES
– MANAGERS
The directors of the
company are:
Ike Franco, President,
Joanne Guglielmo, Chief
Financial Officer.
They are also two of the
main shareholders.
FINANCIALS – COMMERCIAL TRENDS AND FORECAST
Franco Apparel Group, Inc. does not publish any financial statement.
However
our financial sources could provide us with the following information:
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Fiscal Year In USD |
12/31/2007 |
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Turnover |
4,000,000 |
LEGALS
1 Suit in 2004 by Konica
Minolta. Reason: NA Amount: $9,309
All previous suits have
been cleared
0 Judgments
0 Liens
1 Collection Claim Reported
0 NSF Cheques Reported
1 UCC Filing in 2007 by JP
Morgan Chase Bank securing All Assets. Amount: NA
1UCC Filing in 2006 by
Citicorp Vendor Finance securing Equipment. Amount: NA
All previous UCC Filings
have been cleared
RATING
Local credit bureau gave a correct credit rate.
The Company is in “good standing”.
This means that all local and federal taxes were paid on due date.
Payments are made on a
regular basis (monitored during the past 12 months).
The cash is correct.
Our final opinion:
This is a medium company
working
in the US.
A credit line may be
considered.
SUMMARY
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FINANCIAL SUMMARY |
DEBT COLLECTIONS AND PAYMENTS |
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PROFITABILITY INDEBTNESS CASH |
Correct Controlled Correct |
PUBLIC PAYMENTS |
See above Regular |
ADVISED
CREDIT
80,000 USD
FOREIGN EXCHANGE
RATES
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Currency |
Unit
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Indian Rupees |
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US Dollar |
1 |
Rs.42.72 |
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UK Pound |
1 |
Rs.84.42 |
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Euro |
1 |
Rs.67.38 |
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%)