MIRA INFORM REPORT

 

 

Report Date :

06.12.2012

 

IDENTIFICATION DETAILS

 

Name :

LEVI STRAUSS DE MEXICO S.A. DE C.V.

 

 

Registered Office :

Jaime Balmes 8, Int.502, Col. Los Morales Polanco, Deleg. Miguel Hidalgo 11510 México DF Distrito Federal

 

 

Country :

Mexico

 

 

Date of Incorporation :

18.08.1966

 

 

Legal Form :

Stock Company of Variable Capital

 

 

Line of Business :

Manufacture and distribution of items of clothing for men and women such as trousers, jeans, shorts, shirts, T- shirt, dresses, jackets, sweatshirts, etc.

 

 

No. of Employees :

About 370

 

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 :

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 – June 30th, 2012

 

Country Name

Previous Rating

(31.03.2011)

Current Rating

(30.06.2012)

Mexico

A2

A2

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 

 

MEXICO - ECONOMIC OVERVIEW

 

Mexico has a free market economy in the trillion dollar class. It contains a mixture of modern and outmoded industry and agriculture, increasingly dominated by the private sector. Recent administrations have expanded competition in seaports, railroads, telecommunications, electricity generation, natural gas distribution, and airports. Per capita income is roughly one-third that of the US; income distribution remains highly unequal. Since the implementation of the North American Free Trade Agreement (NAFTA) in 1994, Mexico's share of US imports has increased from 7% to 12%, and its share of Canadian imports has doubled to 5%. Mexico has free trade agreements with over 50 countries including Guatemala, Honduras, El Salvador, the European Free Trade Area, and Japan - putting more than 90% of trade under free trade agreements. In 2007, during its first year in office, the Felipe CALDERON administration was able to garner support from the opposition to successfully pass pension and fiscal reforms. The administration passed an energy reform measure in 2008 and another fiscal reform in 2009. Mexico''s GDP plunged 6.2% in 2009 as world demand for exports dropped, asset prices tumbled, and remittances and investment declined. GDP posted positive growth of 5.4% in 2010 and 3.8% in 2011, with exports - particularly to the United States - leading the way. The administration continues to face many economic challenges, including improving the public education system, upgrading infrastructure, modernizing labor laws, and fostering private investment in the energy sector. CALDERON has stated that his top economic priorities remain reducing poverty and creating jobs.

Source : CIA

 


IDENTIFICATION

 

CORRECT COMPANY NAME

LEVI STRAUSS DE MEXICO S.A. DE C.V.

TRADE NAME

LEVI STRAUSS DE MÉXICO

TAXPAYER REGISTRATION

RFC LSM660818M98

MAIN ADDRESS

Jaime Balmes 8, Int.502, Col. Los Morales Polanco, Deleg. Miguel Hidalgo

POSTAL CODE

11510

PROVINCE / DEPARTAMENT

México DF

STATE / REGION

Distrito Federal

COUNTRY

MEXICO

TELEPHONE

(5255) 52828400

E-MAIL

kcasillas@levi.com

WEB

www.levi.com.mx

COMMENTS

This report was ordered under the name: Levi Strauss & Co.

Be advised that in Mexico, the Company has been incorporated under the name LEVI STRAUSS DE MÉXICO S.A. DE C.V.

 

Other website: www.levistrauss.com

 

 

SUMMARY

 

Date of foundation

1966

Capital stock

No specified

permanent employees

About 370

Disposition

Report totally prepared by outside sources.

Payments policy

Usually to terms/good

Credit (**)

Risk is Moderate. Within Average. Lightly Fair Situation.

 

 

LEGAL BACKGROUNDS

 

LEGAL STATUS

Stock Company of Variable Capital

DATE OF INCORPORATION

18AUG1966

PLACE OF REGISTRY

Mexico DF

DURATION

99 years

CURRENT PAID-IN CAPITAL

No specified

LISTED AT STOCK EXCHANGE

No

CURRENT EXCHANGE RATE (US$)

Ps$.12.97 per USD.1.00

COMMENTS

Membership:

-  American Chamber of Commerce of México A.C. (AMCHAM)".

-  National Chamber of Small-sized Commerce, Service and Tourism of the City of Mexico

-  National Chamber of the Clothes Industry

 

 

DIRECTORS - EXECUTIVES – SHAREHOLDERS

 

FULL NAMES / COMPANY NAME

TITLE

%PART.

SINCE

CASILLAS, KARLA

Accounting Manager

 

 

LEVI STRAUSS & CO.

Majority Shareholder (Parent Company)

100%

 

 

 

WHO IS WHO?

 

LEVI STRAUSS & CO.

 

 

BUSINESS BACKGROUND

Levi Strauss & Co.; is a manufacturer of items of clothing, globally well-known for its brand Levi's (jeans). It was founded in 1853 in Sacramento (California, United States) by Levi Strauss, a Jewish immigrant from Buttenheim, in the region of Franconia, Bavaria, south of Germany.

Head Offices are located at: 1155 Battery St., San Francisco, CA, 94111 United States, Tel: (415) 501-6000.

 

 

BUSINESS HISTORY

 

Levi Strauss de México is a Mexican fully controlled by American capital, founded in 1966 by the Parent Company to serve the Mexican market.

 

The Company is a subsidiary of LEVI STRAUSS & CO. a company that since 1852 is engaged in the manufacture and trading of jeans and casual clothes under its brands: Levi's®, Dockers® and Slates®.

Today, Levi Strauss & Co.is present in over 110 countries with genuine products of multiple influences, which combine style and functionality to the most original fashion trends of the universe.

The company employs a staff of approximately 1,300 people at its headquarters in San Francisco, California and about 17,000 people worldwide.

At present, it has 21 production facilities and 25 customer support centers worldwide. Levi Strauss usually manufactures its products in regions where they are sold.

 

The other subsidiaries of Levi Strauss & Co. are:

 

 

 

RELATED COMPANIES TO SUBJECT COMPANY OR TO MAJORITY SHAREHOLDER

 

COMPANY NAME

COUNTRY

RELATION %

 

LEVI STRAUSS & CO.

U.S.A.

 

Majority Shareholder (Parent Company)

LEVI STRAUSS (U.K.) LTD

UNITED KINGDOM

 

Related

LEVI STRAUSS DE ESPAÑA S.A.

SPAIN

 

Related

LEVI STRAUSS DO BRASIL INDUSTRIA E COMERCIO LTDA.

BRAZIL

 

Related

LEVI STRAUSS GERMANY GMBH

GERMANY

 

Related

LEVI STRAUSS INTERNATIONAL, INC.

U.S.A.

 

Related

LEVI STRAUSS ITALIA S.R.L.

ITALY

 

Related

LEVI STRAUSS POLAND SP. Z.O.O.

POLAND

 

Related

LEVI'S ONLY STORES, INC.

U.S.A.

 

Related

LS JAPAN LTD

JAPAN

 

Related

 

 

 

 

 

BUSINESS

 

Main activity

Manufacture and distribution of items of clothing for men and women such as trousers, jeans, shorts, shirts, T- shirt, dresses, jackets, sweatshirts, etc.

Trademarks: LEVI'S; DOCKERS; DENIZEN

Import

Yes

Country

Vietnam, Brazil; direct credit

% CASH SALES / METHOD

100% (general public at stores)

% Credit SALES / Terms

100% (at department stores at 30, 60 days)

% DOMESTIC PURCHASES

50%

% FOREIGN PURCHASES

50%

SELLING TerritorY

Mexican market - 100%

EMPLOYEES

About 370

 

LOCATION

 

OTHER PREMISES

Headquarters operate at the above address. Facilities occupies 5th floor of the above building situated between Av. Ejercito Nacional and Calle Homero, business and residential area of the City of Mexico.

 

Distribution Center:

-Av. Tejocotes S/N, Agave 4, Fraccionamiento San Martín Obispo Tepetlixpan, Cuautitlán Izcalli, Estado de México, C.P. 54763, Tel: (55) 53280545

 

Dockers® Store Paseo Interlomas:

-Vialidad de la Barranca 6, Local N1-43. Col. Exhacienda Jesús del Monte, Fraccionamiento Interlomas, Huixquilucan, Estado de México, C.P. 52787, Tel: (55) 52915414

 

 

 

 

 

 

Comments

Clients: The Company sells products through main department stores, among them:

 

-Distribuidora Liverpool S.A. de C.V.

-Suburbia S. de R.L. de C.V.

-El Palacio de Hierro S.A. de C.V.

 

Besides, it serves general public, through Levis®, stores:

-Huixquilucan

 Levi´s® Store Interlomas

-Tlaquepaque

 Levi´s® Store TQPQ

-Cuauhtémoc

 Levi's Buenavista

-Acapulco de Juárez

 Levi's® Shop Acapulco

-ExHacienda de Coapa

 Levi's® Shop Galerías Coapa

-Aguascalientes

 Levi's® Shop Aguascalientes

-Distrito Federal

 Levi's® Shop Santa Fe

-Distrito Federal

 Levi's® Shop Coyoacán

-Metepec

 Levi's® Shop Metepec

-Ecatepec

 Levi's® Shop Ecatepec

-Atizapán de Zaragoza

 Levi's® Shop Atizapán

-Zapopan

 Levi's® Shop Plaza Andares

 

among other, and through Dockers® stores:

 

-Estado de México

Dockers® Store Paseo Interlomas

-Distrito Federal

Santa Fe

-Distrito Federal

Coyoacán

-Distrito Federal

Universidad

-Distrito Federal

Galerías Coapa

-Distrito Federal

Perisur

-Distrito Federal (DF)

Tezontle

-Atizapán

Atizapán

-Naucalpan

Satélite

-Naucalpan

Mundo E

-Monterrey

Galerías Monterrey

-Monterrey

Valle Oriente Monterrey

 

among other

 

 

 

FINANCIAL INFORMATION

 

Disposition

Report totally prepared by outside sources.

Information provided

All the information contained in this report has been collected from different sources as people at the Company refused to provide information and far from it the financials due to their confidential nature.  Other sources were consulted, but no balance sheets or estímated accounting figures were available.

 

 

SALES

US$ 0.00 ()

FINANCIAL SITUATION

NN: UNDETERMINED

As no accounting elements were available, it is not possible to get a clearer vision of the financial potential of this Company.

Property of company comments

They include:

 

- Office furniture and fixtures

- Computers

- Vehicles

 

 

TRADE REFERENCES, CREDIT BUREAU, LAWSUITS, BANKS


(Confidential Information)

TRADE REFERENCES

 

 

 

 

 

 

 

Supplier: DAMCO LOGISTICS MÉXICO S.A. DE C.V.

Tel.: (55) 50109350

Country: MEXICO

Goods/Services? : Logistics services

 

 

Highest credit? : No specified

 

 

Client since? : Sv.years

Terms? : 15 days

Performance? : Prompt

 

Note : Other suppliers did not provide information or could not be consulted

 

 

Supplier

Country

Comment

SAIGON3 GARMENT JOINT STOCK COMPANY

VIETNAM

 

LEVI STRAUSS DO BRASIL INDUSTRIA E COMERCIO LT

BRAZIL

 

GDM ENTERPRISE CO.,LTD VENG SRENG

CAMBODIA

 

 

 


 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.54.57

UK Pound

1

Rs.87.90

Euro

1

Rs.71.53

 

 

INFORMATION DETAILS

 

Report Prepared by :

SDA

 

 

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.