MIRA INFORM REPORT

 

 

Report Date :

04.08.2012

 

IDENTIFICATION DETAILS

 

Name :

EMPRESA DE TELECOMUNICACIONES DE CUBA SA (ETECSA)

 

 

Registered Office :

Egido no. 610 e/ Gloria y Apodaca, Habana Vieja, Ciudad de La Habana

 

 

Country :

Cuba

 

 

Date of Incorporation :

04.07.1994

 

 

Com. Reg. No.:

Not Available 

 

 

Legal Form :

Sociedad Anonima

 

 

Line of Business :

Operation, installation, marketing and maintenance of public telecommunications networks

 

 

No. of Employees :

189

 

RATING & COMMENTS

 

MIRA’s Rating :

B

 

RATING

STATUS

PROPOSED CREDIT LINE

26-40

B

Capability to overcome financial difficulties seems comparatively below average.

Small

 


 

Status :

Moderate

Payment Behaviour :

Unknown

Litigation :

Clear

 

NOTES:

Any query related to this report can be made on e-mail: infodept@mirainform.com while quoting report number, name and date.

 

ECGC Country Risk Classification List – March 31st, 2012

 

Country Name

Previous Rating

(31.12.2011)

Current Rating

(31.03.2012)

Cuba

B2

B2

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 


 

GEOPOLITICS

 

POLITICAL DATA

ECONOMIC DATA

Form of Government: Republic


Economic Risk: High

Currency: 100.00 CUP = 3.77358 USD

Branch Situation: Stable

 

 

IDENTIFICATION

 

Ordered as:

Empresa De Telecomunicaciones De Cuba SA TS ETECSA

Address in the order:

Egido No 610 E Gloria Y Apodaca Habana Vieja Ciudad de La Habanacentro De Negocios Miramar Edificio Beijing 5 To Piso Ave 3RA E76Y Ciudad De la Habana Cp 11300 Playa Ciudad De la habana

 

 

Legal Name:

EMPRESA DE TELECOMUNICACIONES DE CUBA SA (ETECSA)

Trade Name:

ETECSA

Legal Address

Egido no. 610 e/ Gloria y Apodaca, Habana Vieja, Ciudad de La Habana, Cuba.

Operative Address

Centro de Negocios Miramar, Edificio Beijing, 5to piso, Ave 3ra, e/ 76 y 78

Ciudad de La Habana. CP. 11300

Playa, Ciudad de La Habana, Cuba.

 

Telephone:

+ 537217533/2668500

Registration Number :

N.A

Fax:

+ 537217533/2668500

Legal Form:

Sociedad Anonima

Email:

gestur@softel.cu

Registered in:

Cuba

Website:

http://www.etecsa.cu

Date Created:

1994

Manager:

Minister Ramiro Valdes - President

Date Incorporated:

July 4, 1994

Staff:

189

Stock:

N.A.

 

 

Value:

N.A.

Activity:

Operation, installation, marketing and maintenance of public telecommunications networks.

 


BANKS

 

Name of the Bank

BANCO CENTRAL

 

 

BUSINESS

 

HISTORY

 

The company was created in 1994

PRINCIPAL ACTIVITY

 

Empresa de Telecomunicaciones de Cuba S.A. ETECSA, is an organization of Cuban mixed capital and aims to provide social services, public telecommunications, through the operation, installation, operation, marketing and maintenance of public telecommunications networks throughout the territory of the Republic of Cuba.

 

Although, ETECSA has new rates for their mobile communications, incoming and outgoing phone calls are still being paid in Cuban Convertible Pesos (CUC). Which makes receiving and making calls very expensive for Cubans, even for tourists. The price of receiving or making a call with your cell phone in Cuba is currently priced at 0.45CUC/minute which is equal to USD 0.49 per minute.

 

Products/Services description:

 

Telephone service, Cellphone, Internet

Suppliers:

 

We could not reach any representative who could provide us with the suppliers' names.

Operations area:

 

National

The company does not export

The subject employs 189 employee(s)

Comments on staff:

 

The staff number could not be confirmed by the company.

LOCATION

Headquarters

 

Centro de Negocios Miramar, Edificio Beijing, 5to piso, Ave 3ra, e/ 76 y 78

Ciudad de La Habana. CP. 11300

Playa, Ciudad de La Habana, Cuba.

The property is:

 

Owned

Comments on location:

 

Offices with administrative areas.

Branches:

 

Almost 30 branches in total in the territory of Cuba

 

 

Shareholders

- Manager - Related Companies

 

Listed at the stock exchange:

 

NO

Shareholders Parent Company(ies):

 

Empresa de Telecomunicaciones de Cuba S.A. (English: Telecommunications Company of Cuba; ETECSA) is a government owned full telecommunications service provider for the island of Cuba.

 

In February 2011 it bought the 27 % of shares that Telecom Italia owned.

Management:

 

Minister Ramiro Valdes - President

 

 

Financials

- COMMERCIAL TRENDS AND FORECAST

As a private company the subject does not publish any financial statements.

We have called the company several times, but nobody would answer our calls.

However our financial sources could provide us with the following data.

 

Those figures are estimates provided by confidential banking and financial institutions working with the company.

 

 

Currency

DATE

USD

2008

Turnover

14,500,000

Operating Income

36,000

Net Income

24,000

Net worth

179,000

Liabilities

600,000

The cash flow is

correct

 

Currency

DATE

USD

2007

Turnover

12,300,000

Net worth

5,000,000

 



Comments on the financial data: The trade embargo on Cuba made the company lost USD 52,852,000 million in 2009.


No updated financial data has been released to our sources as of today.

Legal Fillings

 The sources consulted record no detrimental legal or labor court information.

 

 

 


Rating

 

Local credit bureau gave a low credit rate.

 

 

 Final Opinion

 

This is a medium sized Cuban company, which employs 189 people and has 18 years of experience in the market.

 

The company will be affected by the economical change in the Cuban Regime, as regards supplier relations.

 

Its economic risk is high.

 

No updated financial data has been released to our sources.

 

We suggest working with caution and GUARANTEES.-

 

 

SUMMARY

 


FINANCIAL SUMMARY


DEBT COLLECTIONS AND PAYMENTS

Profitability

N.A.

Public

NO

Indebtedness

N.A.

Payments

N.A.

Cash

N.A.

 

 

 

 

APPENDIX

 

Comments

 

We called the subject several times but nobody answered our calles. We also sent an e-mail but nobody has replied.

 


FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.56.08

UK Pound

1

Rs.87.03

Euro

1

Rs.68.36

 

INFORMATION DETAILS

 

Report Prepared by :

MNL

 

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

Capability to overcome financial difficulties seems comparatively below average.

 

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

----

NB

New Business

----

 

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%)

 

 

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

This report is issued at your request without any risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or its officials.