MIRA INFORM REPORT

 

 

Report Date :

11.09.2012

 

IDENTIFICATION DETAILS

 

Name :

RENUKA VALE DO IVAÍ S.A.

 

 

Registered Office :

Estrada Marisa, Km 3, Caixa Postal: 91, 86945-000 - Pedro Do IVAÍ/PR

 

 

Country :

Brazil

 

 

Financials (as on) :

31.03.2012

 

 

Date of Incorporation :

19.01.1981

 

 

Legal Form :

Privately Held Corporation

 

 

Line of Business :

Sugar And Alcohol Mill

 

 

No. of Employees :

550

 

 

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 :

Slow

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)

Brazil

A2

A2

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 

 

BRAZIL - ECONOMIC OVERVIEW

 

Characterized by large and well-developed agricultural, mining, manufacturing, and service sectors, Brazil's economy outweighs that of all other South American countries, and Brazil is expanding its presence in world markets. Since 2003, Brazil has steadily improved its macroeconomic stability, building up foreign reserves, and reducing its debt profile by shifting its debt burden toward real denominated and domestically held instruments. In 2008, Brazil became a net external creditor and two ratings agencies awarded investment grade status to its debt. After strong growth in 2007 and 2008, the onset of the global financial crisis hit Brazil in 2008. Brazil experienced two quarters of recession, as global demand for Brazil's commodity-based exports dwindled and external credit dried up. However, Brazil was one of the first emerging markets to begin a recovery. In 2010, consumer and investor confidence revived and GDP growth reached 7.5%, the highest growth rate in the past 25 years. Rising inflation led the authorities to take measures to cool the economy; these actions and the deteriorating international economic situation slowed growth to 2.7% for 2011 as a whole, though forecasts for 2012 growth are somewhat higher. Despite slower growth in 2011, Brazil overtook the United Kingdom as the world's seventh largest economy in terms of GDP. Urban unemployment is at the historic low of 4.7% (December 2011), and Brazil's traditionally high level of income equality has declined for each of the last 12 years. Brazil's high interest rates make it an attractive destination for foreign investors. Large capital inflows over the past several years have contributed to the appreciation of the currency, hurting the competitiveness of Brazilian manufacturing and leading the government to intervene in foreign exchanges markets and raise taxes on some foreign capital inflows. President Dilma ROUSSEFF has retained the previous administration's commitment to inflation targeting by the central bank, a floating exchange rate, and fiscal restraint.

Source : CIA


Company name

 

RENUKA VALE DO IVAÍ S.A.

 

 

Company ADDRESSES

 

MAIN ADDRESS:

ESTRADA MARISA, KM 3, CAIXA POSTAL: 91

ZIP CODE/CITY:

86945-000 - PEDRO DO IVAÍ/PR

 

 

PHONE:

43 3451-8000

FAX:

43 3451-8000

E-MAIL:

valedoivai@valedoivai.com.br

WEB SITE:

www.valedoivai.com.br

 

BRANCHES:

 

NOT AVAILABLE

 

 

LEGAL DATA

 

MAIN ACTIVITIES:

 

SUGAR AND ALCOHOL MILL

 

LEGAL FORM:

PRIVATELY HELD CORPORATION

 

 

INCORPORATION DATE:

19/01/1981

REGISTER DATE:

19/01/1981

BALANCE SHEET FILING DATE:

31/03

TAX CONTRIBUTOR NUMBER(CNPJ):

75.177.857/0001-80

STATE REGISTER:

64500463-94

 

 

SHARE CAPITAL:

R$ 175.000.000,00

 

BOARD OF DIRECTORS:

 

 

 

PAULO ADALBERTO ZANETTI

PRESIDENT DIRECTOR

VERA LÚCIA DE MELLO

DIRECTOR

SILÉZIO DA SILVEIRA

DIRECTOR

PRASHANT NIRANJAN

DIRECTOR

 


 

AUTHORIZED USE OF SIGNATURE

 

THE DIRECTORS ARE AUTHORIZED TO SIGN ON BEHALF OF THE COMPANY.

 

SHAREHOLDERS / PARTNERS:

 

 

 

SHREE RENUKA DO BRASIL PARTICIPAÇÕES LTDA

100,00%

 

AFFILIATES / SUBSIDIARIES:

 

 

 

ÁLCOOL DO PARANÁ TERMINAL PORTUÁRIO S/A

9,88%

CPA TRADING S/A

9,35%

PASA PARANA OPERAÇÕES PORTUÁRIAS S/A

14,29%

IVAICANA AGROPECUÁRIA LTDA

99,99%

BIOVALE COERCIO DE LEVEDURAS LTDA

99,99%

 

 

COMPANY'S BACKGROUND

 

THE SUBJECT WAS ESTABLISHED ON JANUARY 19, 1981 AS VALE DO IVAI S/A - AÇÚCAR E ÁLCOOL. TO BE ENGAGED IN THE SAID LINE OF BUSINESS. LATER IT ADOPTED THE ABOVE MENTIONED NAME AND UP TO DATE IT IS STILL OPERATING WITHIN THE GENERAL SCENE REPORTED HEREIN.

 

FURTHER DETAILS ABOUT THE SUBJECT'S HISTORY IS SO FAR NOT KNOWN.

 

REMARKS:

--------

 

WHEN CONTACTING THE SUBJECT WE INTERVIEWED MR. MARCOS - ACCOUNTING DEPARTMENT, WHO INFORMED THAT WOULD NOT DISCLOSE ANY KIND OF INFORMATION UNLESS THE INQUIRING PARTY'S NAME WAS DISCLOSED.

 

IF IT IS POSSIBLE TO DISCLOSE THE NAME OF THE INTERESTED SUPPLIER OF THE SUBJECT, WE MAY RESUME OUR CONTACTS AND TRY TO OBTAIN FURTHER INFORMATION.

 

THE DATA CONTAINED HEREIN WERE OBTAINED FROM OUTSIDE SOURCES, OUR DATABASE AND OFFICIAL. NO FURTHER DATA WAS AVAILABLE WITH SEVERAL SOURCES USUALLY INVESTIGATED.

 

PUBLIC RECORDS INFORMATION:

 

LAWSUITS:

 

 

 

DATE:

COURT OF LAW:

 

4

EXECUTIVE LAWSUIT

01/02/12

2ª VARA DE FRUTAL/MG

2

EVICTION

05/12/11

1ª VARA DE FRUTAL/MG

 


FINANCIAL INFORMATION

 

GENERAL BALANCE SHEETS AS OF 31/03/2012 AND 31/03/2011.

( FIGURES ARE IN THOUSANDS OF REAIS ).

 

ASSETS

 

 

 

CURRENT:

31/03/2012

31/03/2011

(15 MONTHS)

 

 

 

 

 

CASH AND BANKS

1.258

870

 

INVESTMENTS

2.463

186

 

CLIENTS

2.572

1.043

 

INVENTORY

7.960

11.951

 

ADVANCE TO SUPPLIERS

8.598

5.132

 

RECOVERABLE TAXES

18.240

5.240

 

INTERCOMPANY CREDITS

84.178

147.645

 

OTHER CREDITS

1.864

976

 

 

----------------

----------------

 

TOTAL CURRENT ASSETS

127.133

173.043

 

 

LONG-TERM RECEIVABLES:

 

 

 

 

 

 

 

CLIENTS

 

395

 

PUBLIC DEBTS

4.109

3.504

 

RECOVERABLE TAXES

2.785

2.514

 

PREMIUM TO AMORTIZE

19.531

 

 

JUDICIAL DEPOSITS

280

376

 

ADVANCE TO SUPPLIERS

2.095

1.291

 

OTHER CREDITS

1.133

2.116

 

 

----------------

----------------

 

TOTAL LONG-TERM RECEIVABLES

29.933

10.196

 

 

FIXED ASSETS:

 

 

 

 

 

 

 

INVESTMENTS

94.603

30.375

 

FIXED ASSETS

273.437

268.390

 

INTANGIBLE

59.818

69.530

 

 

----------------

----------------

 

TOTAL FIXED ASSETS

427.858

368.295

 

 

================

================

 

TOTAL ASSETS

584.924

551.534

 

 

LIABILITIES:

 

 

 

CURRENT:

31/03/2012

31/03/2011

(15 MONTHS)

 

 

 

 

 

LOANS AND FINANCING

100.062

12.064

 

SUPPLIERS

11.485

9.020

 

SOCIAL / LABOR OBLIGATIONS

4.936

4.179

 

TRIBUTARY OBLIGATIONS

446

1.779

 

ADVANCE FROM CLIENTS

1.654

384

 

DEBT WITH RELATED PARTIES

23.262

26.581

 

PROVISIONS

 

39.428

 

OTHER DEBTS

955

1.178

 

 

----------------

----------------

 

TOTAL CURRENT LIABILITIES

142.800

94.613

 

 

LONG TERM LIABILITIES:

 

 

 

 

 

 

 

LOANS AND FINANCING

232.667

260.757

 

SUPPLIERS

9.301

12.543

 

LABOR OBLIGATIONS

1.443

2.325

 

TRIBUTARY OBLIGATIONS

839

612

 

RELATED COMPANIES

19.762

20.609

 

JUDICIAL DEPOSITS

2.513

2.591

 

TAXES AND CONTRIBUTIONS

9.502

35.306

 

OTHER

639

1.524

 

 

----------------

----------------

 

TOTAL LONG TERM LIABILITIES

276.666

336.267

 

 

NET EQUITY:

 

 

 

 

 

 

 

SHARE CAPITAL

175.000

175.000

 

CAPITAL RESERVES

99.158

 

 

OTHER COMPREHENSIVE INCOME

23.914

81.079

 

ACCRUED PROFIT (LOSS)

-132.614

-135.425

 

 

----------------

----------------

 

TOTAL NET EQUITY

165.458

120.654

 

 

================

================

 

TOTAL LIABILITIES

584.924

551.534

 

 

PROFIT AND LOSS ACCOUNTS AS OF 31/03/2012 AND 31/03/2011.

( FIGURES ARE IN THOUSANDS OF REAIS ).

 

 

31/03/2012

31/03/2011

(15 MONTHS)

 

 

 

 

 

NET SALES

263.097

174.742

 

(-) COST OF SOLD GOODS

178.414

128.465

 

 

----------------

----------------

 

GROSS PROFIT

84.683

46.277

 

OPERATING REVENUE (EXPENSE)

-39.669

-22.088

 

FINANCIAL REVENUE(EXPENSE)

-46.764

-4.446

 

 

----------------

----------------

 

OPERATIONAL PROFIT (LOSS)

-1.750

19.743

 

CONTRIBUTION/INCOME TAX

-673

-13.340

 

 

----------------

----------------

 

NET PROFIT (LOSS)

-2.423

6.403

 

 

RATIOS:

31/03/2012

31/03/2011

 

 

QUICK RATIO

,83

 

1,70

 

 

 

CURRENT RATIO

,89

 

1,83

 

 

 

ACCOUNTS RECEIVABLE TURNOVER

102,29

TIMES

167,54

TIMES

 

 

DAYS' SALES IN RECEIVABLES

3,52

DAYS

2,15

DAYS

 

 

INVENTORY TURNOVER

22,41

TIMES

10,75

TIMES

 

 

ACCOUNTS PAYABLE PERIOD

23,17

DAYS

25,28

DAYS

 

 

RETURN ON ASSETS

,45

TIMES

,32

TIMES

 

 

SALES TURNOVER ON NET EQUITY

1,59

TIMES

1,45

TIMES

 

 

NET WORTH TIE-UP

1,65

 

2,22

 

 

 

INDEBTEDNESS

2,54

 

3,57

 

 

 

EQUITY RATIO

28,29

%

21,88

%

 

 

WORKING CAPITAL RATIO

-10,97

%

82,90

%

 

 

GENERAL SOLVENCY

1,39

 

1,28

 

 

 

RETURN ON NET EQUITY

-1,46

%

5,31

%

 

 

RETURN ON SALES (PROFIT MARGIN)

-,92

%

3,66

%

 

 

GROSS PROFIT MARGIN

32,19

%

26,48

%

 

 

OPERATIONAL RESULT

-,67

%

11,30

%

 

 

SALES TURNOVER ON LIABILITIES

1,84

TIMES

1,85

TIMES

 

 

FOREIGN CURRENCY ON ASSETS

 

 

 

 

 

 

FOREIGN CURRENCY ON LIABILITIES

 

 

 

 

 

 

 

EXCHANGE RATE:

 

 

US$ 1,00 = R$ 2,03

- OFFICIAL RATE ON 06/09/2012

US$ 1,00 = R$ 1,82

- OFFICIAL RATE ON 31/03/2012

US$ 1,00 = R$ 1,62

- OFFICIAL RATE ON 31/03/2011

 

COMMENTS ON THE FINANCIAL INFORMATION:

 

FOLLOWS ATTACHED WORKSHEET WITH MAIN FINANCIAL RATIOS.

 

THE FIGURES AVAILABLE SHOW A DELICATE FINANCIAL STANDING. THE LEVEL OF INDEBTEDNESS IS VERY HIGH AND IT IS NOTED LOW CURRENT RATIO. DESPITE THE HIGH SALES VOLUME ITS HIGH FINANCIAL EXPENSES DROVE THE COMPANY TO MAKE NEGATIVE RESULTS.

 

REMARK: ON MAY 06, 2011 THE COMPANY ALTERED ITS FISCAL YEAR FROM DECEMBER 31 TO MARCH 31 OF EACH YEAR, THUS THE BALANCE SHEET FOR 2011 COMPRISES 15 MONTHS ONLY AND AS A RESULT THE COMPARISON WAS AFFECTED.

 

REAL ESTATE:

 

OWNED PREMISES ARE VALUED AT R$ 41.581.000,00

 

VEHICLES:

 

OWNED VEHICLES ARE VALUED AT R$ 4.518.000,00

 

MACHINES:

 

OWNED MACHINES AND EQUIPMENTS ARE VALUED AT R$ 241.525.000,00

 

INSURANCE

 

NOT AVAILABLE

 

 

BANKING REFERENCES

 

NOT AVAILABLE

 

 

 

REMARKS: IN BRAZIL THE BANKS ARE PROHIBITED BY LAW TO PROVIDE INFORMATION OR ANY KIND OF COMMENTS ABOUT THEIR CLIENTS. DUE TO THIS LAW PROHIBITION WE ARE UNABLE TO PROVIDE ANY BANKING DETAILS.

 

ACCORDING TO THE CENTRAL BANK OF BRAZIL OFFICIAL REPORT, THE COMPANY HAS NO RETURNED CHECKS UP TO DATE. (IN THE TERMS OF "CIRCULAR 1682 BRAZILIAN CENTRAL BANK"). DATE RESEARCHED:.

 

 

ACTIVITIES COMMENTS

 

 

SUGAR AND ALCOHOL MILL

 

 

IMPORT AND EXPORT:

 

IMPORTS FROM:

NOT AVAILABLE

 

EXPORTS TO:

NOT AVAILABLE

 

MAIN CLIENTS:

 

 

 

 

 

DOMESTIC CLIENTS:

 

 

NOT AVAILABLE

 

 

 

STAFF:

 

THE COMPANY HAS: 550 EMPLOYEE(S)

 


 

CONCEPT AND FULFILMENT

 

THE SUBJECT IS A WELL-ESTABLISHED COMPANY, OPERATING SINCE 1987. SO FAR IT HAS A CLEAR TRADE HISTORY AND NORMAL PAYMENT BEHAVIOUR.

 

THE COMPANY HAS TRADE RELATIONS WITH SEVERAL SUPPLIERS IN BRAZIL. THE SUPPLIERS EXTEND CREDIT FACILITIES TO THE SUBJECT IN TERMS AND AMOUNTS ACCORDING TO THE COMPANY'S NEEDS AND SO FAR NO PAYMENT PROBLEMS ARE NOTED.

 

THE LAWSUITS REPORTED ARE NOT RELATED WITH TRADE DEBTS. THEY ARE RELATED TO TAX DEBTS THAT FOR ANY REASON THE COMPANY HAS NOT YET PAID. USUALLY THIS KIND OF SUITS DO NOT AFFECT THE COMPANY REPUTATION BUT IN THE SUBJECT SPECIFIC CASE IT IS NOT POSSIBLE TO EVALUATE AS THERE ARE SEVERAL SUITS REGISTERED AND NO DETAILS REGARDING THE AMOUNTS INVOLVED ARE AVAILABLE FOR PUBLIC INSPECTION.

 

MAIN SUPPLIERS:

 

 

 

 

 

DOMESTIC SUPPLIERS:

 

 

NOT AVAILABLE

 

 

 

PAYMENT HISTORY:

 

13 SUPPLIERS REPORTED PAYMENTS:

TOTAL AMOUNT:  R$ 143.678,00

 

AMOUNT OF INVOICES PAID: 79

TOTAL OF PROMPT PAYMENTS: 99,3%

TOTAL OF DELAYED PAYMENTS: 0,7%

 

HIGHEST INVOICE: R$ 13.073,00

HIGHEST CREDIT: R$ 13.073,00

 

OUTSTANDING INVOICES DUE WITHIN THE NEXT 60 DAYS:

 

---------------------------

SUPPLIERS:

INVOICES:

TOTAL AMOUNT:

DUE WITHIN 60 DAYS

1

1

R$ 2.563,28

 

 

FINAL OPINION

 

THE SUBJECT IS A WELL-ESTABLISHED COMPANY IN BUSINESS FOR SEVERAL YEARS. UP TO DATE IT HAS A DELICATE FINANCIAL STANDING BUT A CLEAR TRADE HISTORY AND GOOD PAYMENT BEHAVIOUR.

 

BASED ON THE GENERAL INFORMATION AVAILABLE IT IS BELIEVED THAT GOOD TRADE RELATIONS MAY BE ESTABLISHED. CREDIT FACILITIES MAY BE EXTENDED WITHIN TERMS AND AMOUNTS ADEQUATE TO THE COMPANY'S FINANCIAL STRENGTH.

 

 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.55.33

UK Pound

1

Rs.88.50

Euro

1

Rs.70.74

 

 

INFORMATION DETAILS

 

Report Prepared by :

PDT

 

 

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.