MIRA INFORM REPORT

Report Date :

24.12.2012

IDENTIFICATION DETAILS

Name :	HERTEX FABRICS (PTY) LTD
Registered Office :	12 Bella Rosa Street, Rosenpark, Durbanville, Cape Town7500
Country :	South Africa
Date of Incorporation :	29.06.1951
Com. Reg. No.:	1951/002375/07
Legal Form :	Limited Corporation
Line of Business :	dealers in textiles and garments
No. of Employees :	180 employees

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 – June 30^th, 2012

Country Name	Previous Rating (31.03.2012)	Current Rating (30.06.2012)
South Africa	A2	A2

Risk Category	ECGC Classification
Insignificant	A1
Low	A2
Moderate	B1
High	B2
Very High	C1
Restricted	C2
Off-credit	D

South Africa - ECONOMIC OVERVIEW

South Africa is a middle-income, emerging market with an abundant supply of natural resources; well-developed financial, legal, communications, energy, and transport sectors; a stock exchange that is the 18th largest in the world; and modern infrastructure supporting a relatively efficient distribution of goods to major urban centers throughout the region. Growth was robust from 2004 to 2007 as South Africa reaped the benefits of macroeconomic stability and a global commodities boom but began to slow in the second half of 2007 due to an electricity crisis and the subsequent global financial crisis' impact on commodity prices and demand. GDP fell nearly 2% in 2009 but recovered in 2010-11. Unemployment remains high and outdated infrastructure has constrained growth. State power supplier Eskom encountered problems with aging plants and meeting electricity demand necessitating "load-shedding" cuts in 2007 and 2008 to residents and businesses in the major cities. Daunting economic problems remain from the apartheid era - especially poverty, lack of economic empowerment among the disadvantaged groups, and a shortage of public transportation. South Africa''s economic policy is fiscally conservative focusing on controlling inflation and attaining a budget surplus. The current government largely follows these prudent policies but must contend with the impact of the global crisis and is facing growing pressure from special interest groups to use state-owned enterprises to deliver basic services to low-income areas and to increase job growth.

Source : CIA

SUBJECT'S NAME

Registered Name: HERTEX FABRICS (PTY) LTD

Requested Name: HERTEX FABRICS, SOUTH AFRICA

Other Names: None

ADDRESS AND TELECOMMUNICATION

Physical Address: 12 Bella Rosa Street, Rosenpark, Durbanville, Cape Town7500

Registered Address: Tyger Valley 7536, 12 Bella Street Rosen Park Belle Ville 7535

Postal Address: P. o. Box 4141

Tygervalley 7536 Cape Town

Country: South Africa

Phone: 27-21-9143390/7041

Fax: 27-21-9143387

Email: info@hertex.co.za

Website: www.hertex.co.za

CREDIT OPINION

Financial Index as of December 2011 shows subject firm with a medium risk of credit. However, bank and credit information obtained reveal a history of prompt payments.

LEGAL

Legal Form: Limited Corporation 

Date Incorporated: 29-June-1951

Reg. Number: 1951/002375/07

Tax Number: 9360177035

Nominal Capital ZAR. 1,000

Subscribed Capital ZAR. 1,000

Subscribed Capital is Subscribed in the following form:

Position Shares

Mr. Peter Herrmann MD

Mrs. Carla Martha Herrmann Van Der Merwe Director

Mr. Jacoba Maria Herrmann Director

Mrs. June Kathleen Da Silva Director

Mrs. Katrin Herrmann-van Dyk. Director

Mrs. Pauline Herrmann-Keys Director

DIRECTORS INFORMATION

Full Names PETER HERRMANN

Status Active

Date of Birth 08/01/1939

ID / Passport No. 3908015042105

Residential Address 19 Murray St, Durbanville7550

Postal Address P.o. Box 4141Tygervalley7536

Profession Managing Director

Country of residence South Africa

Full Names CARLA MARTHA HERRMANN VAN DER MERWE

Status Active

Date of Birth 11/11/1969

ID / Passport No. 6911130197082

Residential Address 20 Viola Crescent, Welgedacht7530

Postal Address P.o. Box 4141Tygervalley7536

Profession Director

Country of residence South Africa

Full Names JACOBA MARIA HERRMANN

Status Active

Date of Birth 02/11/1943

ID / Passport No. 4311020040009

Residential Address 19 Murray St, Durbanville7550

Postal Address P.o. Box 4141Tygervalley7536

Profession Director

Country of residence South Africa

Full Names JUNE KATHLEEN DA SILVA

Status Active

Date of Birth 25/04/1946

ID / Passport No. 4603250070007

Residential Address 10 Edinburgh Drive, Claremont7708

Postal Address P.o. Box 4141Tygervalley7536

Profession Director

Country of residence South Africa

Full Names KATRIN PETRA HERRMANN VAN DYK

Status Active

Date of Birth 12/12/1978

ID / Passport No. 7812150182088

Residential Address 12 Bella Rosa Street, Rosenpark, Bellville7530

Postal Address P.o. Box 4141Tyger Valley7536

Profession Director

Country of residence South Africa

RELATED COMPANIES

None Parent company.

None Subsidiary company.

HERTEX FABRICS (TRANSVAAL) (PTY) LTD Affiliated company.

None Shareholder of subject firm.

Various in South Africa and also in Namibia Branches of the firm

OPERATIONS

Registered to operate as dealers in textiles and garments

Imports: Asia

Exports: Worldwide

Trademarks: None

Terms of sale: Cash (30%) and 25-90 days (70%), invoices.

Main Customers: Industries, local agencies etc  

Employees: 180 employees.

Vehicles: Several motor vehicles.

Territory of sales: South Africa

Location: Owned premises, 20,000 square feet,

AUDITORS AND INSURANCE

Auditors: ULF MICHAEL PACK

Insurance Brokers: Information not available.

FINANCE

Currency Reported: South African Rand (ZAR.)

Approx. Ex. Rate: 1 US Dollar = 8.55 South African Rand

Fiscal Year End: December 31, 2011

Inflation: According to information given by independent sources, the inflation at December 31st, 2011 was of 13%.

Financial Information not Submitted

Profit and Loss (expressed in ZAR.)

2011

Sales 149,900,000

BANK

Bank Name: Nedbank

Branch: South Africa

Comments: None

TRADE REFERENCES

Experiences: Good

NOTARIAL BONDS

None

COMMENTS / ADDITIONAL INFORMATION

This information was obtained from outside sources other than the subject company itself and confirmed the above subject.

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.55.07
UK Pound	1	Rs.89.54
Euro	1	Rs.72.77

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%)

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