MIRA INFORM REPORT

 

Report Date :

09.08.2012

 

IDENTIFICATION DETAILS

 

Correct Name :

OTERO Y DOMINGUEZ LTDA. 

 

 

Registered Office :

Avda. Diez de Julio 202, Santiago, XIII Region Metropolitana , Postal Code  8330578 

 

 

Country :

Chile

 

 

Date of Incorporation :

17.06.1982.

 

 

Com. Reg. No.:

10.704 N°6053 of Santiago 

 

 

Legal Form :

Limited Liability Partnership 

 

 

Line of Business :

Distribution of tools and steel. 

 

 

No. of Employees :

200

 

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

 

Status :

Satisfactory

Payment Behaviour :

No Complaints

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)

Chile

A2

A2

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D


IDENTIFICATION                            

 

OTERO Y DOMINGUEZ LTDA. 
Avda. Diez de Julio 202 
Santiago 
XIII Region Metropolitana 
Postal Code      : 8330578 
CHILE 
Telephone         : 56-2-8896000, 56-2-8896544 
Fax                   : 56-2-6352882 
E_Mail              : aceros@acerosotero.cl , lvillagra@empresasotero.cl  
Web Site           : www.empresasotero.cl , www.acerosotero.cl  

SUMMARY 

Started                      : 1982 
Total Employees       : 200 
Payments                     : Prompt 
Sales                        : 000's$     29.962.908.- 
Capital                      : 000's$      1.496.784.- 

Sic(s) : 5072 - 5074 

Line of Business: Distribution of tools and steel. 

EVALUATION 

Interpretation at the end of the report. 

If additional information is received or present information is rectified, this  recommendation may be modified. 

Financial indicators 
ASSESSMENT 

COMMERCIAL INFORMATION 

Commercial Bulletin      : As at 27/07/2012 subject does not register protested 
                                    checks, bank drafts nor promissory notes in the 
                                    commercial information bulletin 

Labor Bulletin           :    As at 27/07/2012 does not register labor infringements 

Previsional Bulletin     :   As at 27/07/2012 does not register pension fund's 
                                    infringements 

Consolidated delinquency : As at 27/07/2012, subject does not register any  delinquent bill 



TRADE REFERENCES
Suppliers' trade references are supplied as follows: 

Detail of References 

Old            : Since 2000 
Last purchase  : 06-2012 
Terms          : 30 days 
Payment        : Prompt 
Notes          : invoice 
Credit         : (000'sUS$) 1.000 
Owes           : - 
Due            : Does not Register 
Paying Comments: Good 
Purchase Aver. : (Monthly 000's$) 800 

Old            : Since 1999 
Last purchase  : 06-2012 
Terms          : 30-45 days 
Payment        : Prompt 
Notes          : current account 
Credit         : (000'sUS$) 3.000 
Owes           : (000'sUS$) 1.200 
Due            : Does not Register 
Paying Comments: Good 
Purchase Aver. : (Monthly 000's$) 1.500 

Old            : Since 1999 
Last purchase  : 06-2012 
Terms          : 30 days 
Payment        : Prompt 
Notes          : checks 
Credit         : - 
Owes           : - 
Due            : Does not Register 
Paying Comments: Good 
Purchase Aver. : (Monthly 000's$) 2.000 

Detail of Former Trade References 
-------------------------------------------------------------------------------- 
           Last                                           Credit            Owes 
Old        Purch. Payment.    Notes                     (000'sUS$)        (000'sUS$) 
-------------------------------------------------------------------------------- 
-                 Prompt      order form                       -            None 
Since 1999 08-10  Prompt      checks                     254.000            None 
Since 1990 08-09  Prompt      credit                      10.000            None 
Since 2000 09-10  Prompt      invoice                      1.000            None 
Since 1999 08-10  Prompt      current account               Open            None 
Since 1999 08-10  Prompt      checks                      50.000            None 
Since 1999 02-10  Prompt      checks                      50.000            None 
Since 1999 02-10  Prompt      current account               Open            None 
Since 2000 02-10  Prompt      invoice                        500            None 
Since 1999 05-09  Prompt      current account               Open            None 
Since 1999 04-09  Prompt      checks                           -            None 
Since 2000 04-09  Prompt      invoice                        500            None 
Since 1999 09-08  Prompt      checks                           -               - 
Since 1999 09-08  Prompt      current account               Open               - 
Since 2002        Prompt      checks                        Open            None 
Since 2002 03-08  Prompt      checks                        Open               - 
Since 1999 02-08  Prompt      current account               Open               - 
Since 2004 09-08  Prompt      current account              2.000             250 
Since 1999 02-08  Prompt      checks                           -               - 
Since 2004 08-07  Cash        checks                           -               - 
8 years    08-07  Prompt      checks                           -               - 
8 years    08-07  Prompt      current account               Open               - 
3 years    08-07  Cash        checks                           -               - 
5 years    08-07  Prompt      checks                        Open               - 
3 years    08-04  Cash        checks                           -            None 
8 years    10-06  Prompt      checks                           -               - 
Since 2004 10-06  Cash        checks                           -               - 
8 years    10-06  Prompt      current account               Open               - 
5 years    10-06  Prompt      checks                        Open               - 
8 years    09-05  Prompt      current account               Open               - 
Since 2004 03-05  Cash        checks                           -            None 
7 years    09-05  Prompt      checks                           -               - 
1 year     08-04  Cash        checks                           -            None 
5 years    09-05  Prompt      checks                        Open               - 
5 years    01-05  Prompt      checks                        Open               - 
5 years    01-05  Prompt      checks                        Open               - 
7 years    01-05  Prompt      not specified                    -               - 
8 years    01-05  Prompt      checks                           -               - 
10 years   01-05  Prompt      checks                        Open               - 
10 years   06-04  Prompt      checks                        Open               - 
5 years    06-04  Prompt      checks                      10.000               - 
5 years    06-04  Prompt      checks                        Open               - 

Operates with different credit conditions. Old customer.

During the last 6 months, its credit history shows 119 credit review inquiries 
requested by banks, telecommunications companies, insurance companies, hardware 
stores, credit reporting agencies, industries and businesses in general. 

The account holder credit report reflects no delinquent payment history, no

protests, and no social security and/or work infringements as of the date of

this report. 

AVERAGE PAYMENTS IN CHILE 

International Risk and Payment Review reported in June 2011 

The local delays in payment average 0-1 month. 
BANKS

Subject operates with the following banks: 

-  Banco de Chile, branch Seminario 
-  Banco de Credito e Inversiones, branch Diez de Julio 
-  Banco Security, main office Av. Apoquindo 3150, Las Condes 

OPERATIONS
Line of Business : Distributors of steel and tools.  Coromat, Proto, stainless & 
                   carbon steel, pipelines, tubes, fittings, plates, wires, 
                   bolts, laminated & phosphoric bronze.

                   COMPANY WITH CERTIFICATION ISO 9001: 2008 

Classification according to commercial activity: 

Sic: 5072-0000 Hardware 
Sic: 5074-0000 Plumbing and hydronic heating supplies 

Commercializes: 

- ENERPAC 
- MILLER 
- TELWIN 
- INFRA 
- HARRIS 
- FACOM 
- STAMLEY 
- COROMANT 
- SCHULZ 
- BINZEL 

Subject is considered as a large company in this line of business, normal 
competition 

Sales 
Sales are steady throughout the year 

100% wholesalers 

National and international sales territory 

Products are sold 

National: 99%. 

Sales conditions: Cash. term payments to 30 & 60 days with checks. 

International: 1%. 

Sales conditions: Credit 

Exports to Peru. 

Records of Exports obtained from Customs'National Service 

Country                            %last year   %Accum. 
------------------------------------------------------- 
Peru                                   100,00      0,00 

Historical registries 

Total       2011 = 000's$ 17.635 
Total       2010 = 000's$ 63.426 
Total       2009 = 000's$ 20.594 
Total       2008 = 000's$ 89.240 
Total       2007 = 000's$ 28.729 
Total       2006 = 000's$ 27.856 
Total       2005 = 000's$ 25.800 
Total       2004 = 000's$ 5.215 
Total       2003 = 000's$ 4.777 

Customers 
Main customers are: Line of business' distributors,  hardware store,  forest 
industry,  mining companies,  automobile companies,  fishing companies,  etc.. 

Purchases 
Places orders with multiple suppliers 

National: 20% 

Purchase conditions: 10% cash and  90% term payments to 30 & 60 days with 
                     invoices. 

International: 80% 

Purchase conditions: Letter of credit. 

Imports from Germany, Argentina, Brazil, Canada, China, South Korea, Spain, 
Finland, France, Netherlands, Hong Kong, India, England, Italy, Peru, Portugal, 
Romania, Sweden, Switzerland, Taiwan and United States. 

Records of Imports obtained from Customs'National Service 

Country                            %last year   %Accum. 
------------------------------------------------------- 
China                                   50,28      0,00 
Spain                                   15,09      0,00 
United States                            9,40      0,00 
Brazil                                   7,57      0,00 
Germany                                  4,97      0,00 
Peru                                     2,61      0,00 
India                                    2,39      0,00 
Argentina                                2,00      0,00 
France                                   1,65      0,00 
Italy                                    0,78      0,00 
South Korea                              0,76      0,00 
Portugal                                 0,75      0,00 
Taiwan                                   0,55      0,00 
Finland                                  0,50      0,00 
Romania                                  0,22      0,00 
Hong Kong                                0,21      0,00 
Switzerland                              0,10      0,00 
Sweden                                   0,06      0,00 
Canada                                   0,05      0,00 
England                                  0,05      0,00 
Netherlands                              0,02      0,00 

Historical registries 

Total       2011 = 000's$ 12.309.919 
Total       2010 = 000's$ 16.911.872 
Total       2009 = 000's$ 6.382.467 
Total       2008 = 000's$ 31.358.564 
Total       2007 = 000's$ 12.629.761 
Total       2006 = 000's$ 9.073.641 
Total       2005 = 000's$ 4.774.467 
Total       2004 = 000's$ 6.060.118 
Total       2003 = 000's$ 3.527.197 


Main suppliers (01/08/2012) 
- Acerinox Chile S.A. 
- Cap S.A. 
- Indura S.A. 
- Industrias Ceresita S.A. 
- Industrias Metalurgicas Limet Ltda. 
- Industrias Metalurgicas Sorena S.A. 
- Kupfer Hnos. S.A. 
- M y H Comercial e Industrial Ltda. 
- Petricio S.A., Francisco 
- Sandvik Chile S.A. 
- Sherwin Williams Chile S.A. 

Employees: 200 employees 

Location 

-  Head House and sales room at Avda. Diez de Julio 202 Santiago, Chile, 
   commercial area, main avenue of busy traffic, construction in good conditions 

Branches
-  Industrial sales at Fray Camilo Henríquez 781 Santiago Chile 
-  Sales room at Pedro Aguirre Cerda 7277 Antofagasta Chile 
-  Sales room at Traslaviña 1516 Santiago Chile 
-  Sales room at Paicavi 2677 Concepción Chile 
-  Sales room at Avda. Quillota 636 Viña del Mar Chile 
-  Sales room at Ruta 5 Sur 552, Camino a Pargua, Puerto Montt Chile 
-  Distribution and administration at Panamericana Norte 6080 Quilicura Santiago 
   Chile 
-  Warehouses at San Ignacio 071 Quilicura Santiago Chile 

RELATED COMPANIES
Subject is related to the following companies: 

-  Sociedad Comercial  Serviper Herramientas Limitada T A X 78284500-4 Santiago 
-  Soc. Inmobiliaria de Rentas e Inversiones Otero y Dominguez Ltda. T A X 
   78413660-4 Santiago 
-  Otero F. y Cia. Ltda., Patricio T A X 80706200-K Santiago 

FIXED ASSETS 
Real estates

Subject registers real estates valued at 

-  Building, Portugal 772-774 Santiago-Chile, Fiscal value of 000's$ 123.263.-, 
   rol Nº 2775-20 
-  Building, San Camilo 781 Santiago-Chile, Fiscal value of 000's$ 45.190.-, rol 
   Nº 2775-2 

Total fiscal appraisal $ 168.452.370.- 

Vehicles
Owns vehicles for the company's use 

12 trucks . 

Machinery & Instalations
Own equipment 

INSURANCES
Insurance Company: 

-Mapfre Cia. de Seguros Generales de Chile S.A. 

Due              : Unspecified due dates 
In force         : Annual 
Risks            : Various risks. 
Objetive         : Others. 

-Liberty Cia. de Seguros Generales S.A. 

Due              : Unspecified due dates 
In force         : Annual 
Risks            : Fire & robbery. 
Objetive         : All assets. 

ADMINISTRATION 

Corporate General        : Patricio Raimundo Otero Francia TAX:4337664-0 
Manager 
General Manager          : Fernando Otero Dominguez 
Adm. & Finances Manager  : Gerardo Pérez Cereceda 
Personnel Assistant      : Isabel Recabarren 
Commercial Manager       : German Guerrero 
Head of Administration   : Carolina Quiroz 
General 
Accountant-in-chief      : Cristian Leiva 

LEGAL INFORMATION

Legal Structure      : Limited Liability Partnership 
Constitution date    : 17/06/1982. Registered on leaf 10.704 N°6053 of Santiago 
                       Trade Registry, year 1982, under the business name 
                       "PATRICIO OTERO Y MARIA ELENA DOMINGUEZ Y CIA LTDA." 

                       (They changed business name to the present one as per 
                       the official gazette, on May 28, 1985 page 13). 
                       
Notary               : Ana María Sepúlveda Fuentes, Santiago 
Term of duration     : 10 Year renewable in five-year periods 
Legal Address        : Santiago - Chile 
Published in         : Official Gazette dated 28/06/1982 page Nº 7 

Current Social Capital: 000's$ 1.496.784.- 

Partner : 7 

-  49,28% Soc. Inmobiliaria y de Rentas Otero y Dominguez Ltda. 
-  15,98% Inversiones Ombu Limitada 
-  11,13% Sociedad de Inversiones Las Violetas Limitada 
-  11,13% Sociedad de Inversiones Los Molinos Limitada 
-  11,13% Sociedad de Inversiones Las Dalias Limitada 
-   0,67% 6377387-5 María Elena Domínguez Necochea 

Power of attorney held by. 

Legal changes 

Public Deed dated 31/12/1990, notary Humberto Quezada Moreno, Santiago, 
published in the Official Gazette dated 22/01/1991 page N° 22, capital was 
increased: from $1.500.000 to $450.000.000.- 

Public Deed dated 26/05/1993, notary Nancy de la Fuente Hernández, Santiago, 
published in the Official Gazette dated 12/07/1993 page N° 24, partners were 
modified: Patricio Raimundo Otero Francia owner of 50% and María Elena Domínguez 
Necochea owner of the other 50% of rights, sold & transferred 49% each one of 
them, to Sociedad Inmobiliaria de Rentas é Inversiones Otero y Domínguez Ltda., 
which joined the partnership with 98%.
Consequently, partners are: Patricio Raimundo Otero Francia with 1%, María 
Elena Domínguez Necochea with 1% and "Sociedad Inmobiliaria de Rentas e 
Inversiones Otero y Domínguez Ltda." with 98% of participation. 

Public Deed dated 29/11/1993, notary Nancy de la Fuente Hernández, Santiago, 
published in the Official Gazette dated 20/12/1993 page N° 30, statutes were 
modified: new text is registered, partnership remains as indicated. Besides, 
partners were modified: it is invalidate public deed dated May 26, 1993, before 
Notary Nancy de la Fuente Hernández, of Santiago and a new text is fixed as 
follows: Patricio Raimundo Otero Francia owner of 50% of rights, sold & 
tranferred 49% of his rights to "Sociedad Inmobiliaria de Rentas e Inversiones 
Otero y Domínguez Ltda.".-  María Elena Dominguez Necochea owner of 50% of 
rights, sold & transferred 49% of her participation to "Sociedad Inmobiliaria de 
Rentas e Inversiones Otero y Domínguez Ltda."

Consequently, "Sociedad Inmobiliaria de Rentas e Inversiones Otero y Domínguez 
Ltda." joined the partnership with 98% of participation, María Elena Dominguez 
Necochea owns 1% and Patricio Raimundo Otero Francia owns 1% of rights. 

Public Deed dated 13/09/2007, notary Raúl Iván Perry Pefaur, Santiago, published 
in the Official Gazette dated 10/10/2007 page N° 30, partners were modified: 
Sociedad Inmobiliaria, de Rentas e Inversiones Otero y Domínguez Ltda., owner of 
the 98%, sold, ceded and transferred a 24% of rights to Sociedad Inmobiliaria de 
Rentas e Inversiones Gaspar Ltda., which joined the partnership.

Consequently, capital of $450.000.000.- is completed by Patricio Raimundo 
Otero Francia $ 4.500.000.- (1%), María Elena Domínguez Necochea $ 4.500.000 
(1%), Sociedad Inmobiliaria, de Rentas e Inversiones Otero y Domínguez Ltda. 
$333.000.000 (74%) and  Sociedad Inmobiliaria, de Rentas e Inversiones Gaspar 
Ltda. $108.000.000 (24%).- 
Other stipulations in extracted deed.

Public Deed dated 29/10/2008, notary Raúl Iván Perry Pefaur, Santiago, published 
in the Official Gazette dated 11/11/2008 page N° 24, statutes were modified: it 
was registered that as a result of the acquisition of de Inversiones Ombú 
Limitada of the 100% of rights in Sociedad Inmobiliaria, de Rentas, e 
Inversiones Gaspar Limitada, which has been consequently dissolved, only 
partners of "Otero y Domínguez Limitada" (subject) are : Sociedad Inmobiliaria, 
de Rentas e Inversiones Otero y Domínguez Limitada 74%, Inversiones Ombú 
Limitada  24%, Patricio Raimundo Otero Francia  1% and María Elena Domínguez 
Necochea  1%.- 

Public Deed dated 27/10/2011, notary Suplente Verónica Torrealba Costabal de 
Iván Torrealba A., Santiago, published in the Official Gazette dated 14/12/2011, 
capital was increased: from $450.000.000.- to $996.784.273 through the 
capitalization of the own equity revaluation fund, which amounts to 
$546.784.273.-

At the same time, capitalized capital is increased from $996.784.273 to 
$1.496.784.271.- It was agreed that the increase of $ 499.999.998 will be 
subscribed and paid  within a period of three years in one-third proportion each 
of the following companies: "Sociedad de Inversiones Las Dalias Limitada", 
"Sociedad de Inversiones Los Molinos Limitada" and "Sociedad de Inversiones Las 
Violetas Limitada", which joined as new partners.

Consequently, capital of $ 1.496.784.271.- is completed by  "Sociedad 
Inmobiliaria de Rentas e Inversiones Otero y Domínguez Limitada" $ 737.620.362.- 
(49,28%), "Inversiones Ombú Limitada" $ 239.228.226 (15,98%), "Sociedad de 
Inversiones Las Dalias Limitada" $ 166.666.666 (11,13%), "Sociedad de Inversines 
Las Violetas Limitada" $1.666.666 (11,13%), "Sociedad de Inversiones Los Molinos 
Limitada" $ 1.666.666 (11,13%), María Elena Domínguez Necochea $9.967.843 
(0,67%) and Patricio Raimundo Otero Francia $9.967.843 (0,67%), one cash 
payment. 

INFORMATION SOURCES 
On 31/07/2012 Mr. Carolina Quiroz, Head of Administration General,  submitted 
just general information. 

-Other outside information sources. 

Exchange rate 

-As at 03/08/2012 $484,60 Per US$ 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.55.15

UK Pound

1

Rs.86.00

Euro

1

Rs.68.31

 

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.