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Report Date : |
06.03.2012 |
IDENTIFICATION DETAILS
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Name : |
SILVER FERN FARMS LTD |
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Registered Office : |
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Country : |
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Date of Incorporation : |
30.09.1948 |
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Legal Form : |
NZ Co-operative Company |
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Line of Business : |
Meat Marketing and Processing Company |
RATING & COMMENTS
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MIRA’s Rating : |
Ba |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
|
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41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
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Status : |
Good |
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Payment Behaviour : |
No Complaints |
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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 – December 31, 2010
|
Country Name |
Previous Rating (30.09.2010) |
Current Rating (31.12.2010) |
|
|
A1 |
A1 |
|
Risk Category |
ECGC
Classification |
|
Insignificant |
A1 |
|
Low |
A2 |
|
Moderate |
B1 |
|
High |
B2 |
|
Very High |
C1 |
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Restricted |
C2 |
|
Off-credit |
D |
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Entity Type: |
NZ Co-operative Company |
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Incorporated: |
30 Sep 1948 |
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Current Status: |
Registered |
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Constitution Filed: |
Yes |
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Annual Return Filing Month: |
March |
Registered Office
Address for Service
Directors
BALFOUR,
BURT, Trevor John
GARDEN, Eoin Reay
Hamilton
Avenel, Millers
Flat, R D 2, Roxburgh 9572
HEWETT, Robert
James
MABIN, Angus
Collis
Taniwha, R D 1,
Waipukurau 4281
SHAW, David
Alfred
SOMERVILLE,
Richard John
ULRICH, Peter
Herstall
Rock Farm, Rd 13,
Pleasant Point,
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Total Number of Shares: |
126,434,072 |
|
Extensive Shareholdings: |
Yes |
|
397,766 |
1977962 GLENTHORNE STATION
LIMITED Brown Glassford
& Co Limited, Level 1, |
|
354,833 |
1185808 FNZ CUSTODIANS
LIMITED Level 7, 256
Lambton Quay, |
|
189,865 |
148341 FORSYTH BARR
CUSTODIANS LIMITED Forsyth Barr House,
Cnr Octagon & |
|
166,632 |
GARDEN, Eoin
Reay Hamilton Avenel, Millers
Flat, R D 2, Roxburgh 9572 |
|
164,067 |
1925333 GRAY BROTHERS
LIMITED |
|
155,288 |
1218647 ORARI GORGE STATION
LIMITED Tripp Rolleston
& Co, |
|
150,000 |
1209785 HEWETT FARM
LIMITED Shand Thomson
Ltd, |
|
150,000 |
1234958 LIVESTOCK
HOLDINGS LIMITED Dairy Holdings
Ltd, 7b |
TRADING ADDRESS
P O Box 941
FACSIMILE (643) 474 1087
LEATHER DIVISION Mersey St
PONDRA,
NAPIER
ASSOCIATES AUSTRALIAN LAMB
COMPANY
NEW
ZEALAND LAMB COMPANY LTD
MEW
ZEALAND LAMB COMPANY INC
NEW ZEALAND LAMB COMPANY
(NORTH AMERICA)
NEW
ZEALAND LAMB CO-OPERATIVE INC
NEW
ZEALAND LAMB HOLDINGS INC
CONTROLLED
ENTITIES Richmond Group
Holdings
Richmond Speciality Beef Importers Ltd
Richmond New Zealand Ltd
Silver Fern Farms NV (formerly
Silver Fern Farms GmbH (formerly
Richmond Lonsdale Limited
PPCS Superannuation Limited New
CFM Management Limited New
Richmond Equities Limited New
Kiwi Fern Limited
PPCS Investments Ltd New
Slink Skins Canterbury Limited
Venison Rotorua Limited
Farm Enterprises
Silver Fern Farms (
B. Brooks (
PPCS USA Inc
Global
Technologies Limited
OFFICES CHRISTCHURCH,
NZ
HASTINGS,
NZ
BANKERS WESTPAC
BANKING CORP
HSBC
RABOBANK
COMMONWEALTH BANK OF
EMPLOYEES 6,000
The subject was incorporated in
The subject was
formed as a meat marketing company in 1947, when it was known as Primary
Producers Co-operative Society (Otago) Limited, (PPCS). PPCS was established purely as a marketing company and
initially did not own any of its processing facilities. At that time the
business contracted external meat processing
companies to
process stock on its behalf.
In 1982 PPCS took
a significant step to securing its own processing capability when it acquired a
49% shareholding in the Canterbury Frozen Meat Company.
In 1988 PPCS
acquired a selection of assets from Waitaki International Limited including the
processing plants at Finegand and Marlborough, and the closed down plants at
Burnside and Islington which were subsequently reopened.
In the 1990s PPCS progressively expanded
through the acquisition of a number of small operators, then in 2001 it
launched a major takeover for Richmond Meats Limited (
The subject operates as New Zealand’s foremost meat marketing
and processing company and currently accounts for more than one third of New
Zealand’s sheep meat and beef exports and 54 per cent of venison exports.
The company is structured
as a farmer cooperative, and is therefore owned by about 9,000 farmer suppliers.
The subject owns or leases 24 processing facilities throughout the country,
employing more than 8,000 staff in the peak of the season. It also supports its
key markets in North America, the
From the subjects most recently lodged financial statements, it is noted
that for the financial year ended 30 September 2010 the subject recorded
consolidated revenue of $1,833,194,000, which resulted in an operating Loss
before tax of $15,415,000 and an operating Loss after tax of $14,019,000.
Included in the loss for the last financial year was a one off restructuring
fee of NZ$7.2 million.
Below is a summary of the subject’s consolidated income results for the
past two financial years.
|
|
Silver Fern Farms Ltd - consolidated |
||
|
|
As at 30 September 2010 - 13 months NZ$ |
As at 31 August 2009 - 12 months NZ$ |
Change (%) |
|
Revenue |
$1,833,194,000 |
$2,001,934,000 |
-8.43% |
|
Profit b/tax |
($15,415,000) |
$43,359,000 |
-135.55% |
|
Profit a/tax |
($14,019,000) |
$43,597,000 |
-132.16% |
During fiscal 2010, the subject recorded consolidated Net Cashflows from
operating activities totalling $72,794,000.
As at 30 September 2010 the subject recorded consolidated total current
assets of $229,604,000. They included cash of $3,182,000, receivables of
$106,199,000 and inventories of $76,141,000
Current liabilities at the same date totalled $170,110,000 and included
payables of $77,263,000 and bonds payable of $75,052,000.
As at 30 September 2010 the subject recorded consolidated Working
Capital of $59,494,000 and a current ratio of 1.35 to 1 indicating satisfactory
liquidity levels.
Consolidated Net Assets (excluding Members shares) totalled $367,771,000
as at 30september 2010. At this date, the subject further recorded a Debt to Equity
ratio of 0.63 to 1.
|
|
Silver Fern Farms Ltd - consolidated |
||
|
|
As at 30 September 2010 - 13 months NZ$ |
As at 31 August 2009 - 12 months NZ$ |
Change (%) |
|
Revenue |
$1,833,194,000 |
$2,001,934,000 |
-8.43% |
|
Profit b/tax |
($15,415,000) |
$43,359,000 |
-135.55% |
|
Profit a/tax |
($14,019,000) |
$43,597,000 |
-132.16% |
|
Net Profit Margin |
-0.76% |
2.18% |
-2.94% |
|
Current Assets |
$229,604,000 |
$307,733,000 |
-25.39% |
|
Non-Current Assets |
$370,637,000 |
$295,464,000 |
25.44% |
|
Total Assets |
$600,241,000 |
$603,197,000 |
-0.49% |
|
Current Liabilities |
$170,110,000 |
$89,119,000 |
90.88% |
|
Non-Current Liabilities |
$62,360,000 |
$197,817,000 |
-68.48% |
|
Total Liabilities |
$232,470,000 |
$286,936,000 |
-18.98% |
|
Net Assets (excluding Members Shares) |
$367,771,000 |
$316,261,000 |
16.29% |
|
Working Capital |
$59,494,000 |
$218,614,000 |
-72.79% |
|
Current Ratio |
1.35 |
3.45 |
-60.91% |
|
Debt to Equity |
0.63 |
0.91 |
-30.33% |
During the current investigation, contact with the subject’s principals
was unable to be established.
Subsequently details pertaining to the company’s suppliers were unable
to be obtained and a trade survey could not be conducted.
The subject was incorporated in
The subject was
formed as a meat marketing company in 1947.
For the financial year ended 30 September 2010 the subject recorded
consolidated revenue of $1,833,194,000, which resulted in an operating Loss
before tax of $15,415,000 and an operating Loss after tax of $14,019,000.
During fiscal 2010, the subject recorded consolidated Net Cashflows from
operating activities totalling $72,794,000.
As at 30 September 2010 the subject recorded consolidated Working
Capital of $59,494,000 and a current ratio of 1.35 to 1 indicating satisfactory
liquidity levels.
Consolidated Net Assets (excluding Members shares) totalled $367,771,000
as at 30september 2010.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.45.05 |
|
|
1 |
Rs.73.05 |
|
Euro |
1 |
Rs.63.81 |
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%)
This report is issued at your request without any
risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or
its officials.