MIRA INFORM REPORT

 

 

Report Date :

17.12.2013

 

IDENTIFICATION DETAILS

 

Name :

OAO NIZHNE-LENSKOE

 

 

Registered Office :

Ul Kirova D 18, Blok "B", 677027 G Yakutsk 

 

 

Country :

Russia

 

 

Date of Incorporation :

20.11.2000

 

 

Com. Reg. No.:

1021401776659

 

 

Legal Form :

Public Limited Company

 

 

Line of Business :

·         recovery of diamond

Hunting

 

Mining of non-ferrous metal ores

 

Manufacturer of tools

Manufacturer of aircraft and spacecraft

Recycling of non-metal waste and scrap

Retail sale of automotive fuel

 

 

No. of Employees :

Not Available 

 

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 but Correct  

 

 

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 – September 30th, 2013

 

Country Name

Previous Rating

(30.06.2013)

Current Rating

(30.09.2013)

Russia

A2

A2

 

Risk Category

ECGC Classification

 

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 


 

 

Russia ECONOMIC OVERVIEW

 

Russia has undergone significant changes since the collapse of the Soviet Union, moving from a globally-isolated, centrally-planned economy to a more market-based and globally-integrated economy. Economic reforms in the 1990s privatized most industry, with notable exceptions in the energy and defense-related sectors. The protection of property rights is still weak and the private sector remains subject to heavy state interference. In 2011, Russia became the world's leading oil producer, surpassing Saudi Arabia; Russia is the second-largest producer of natural gas; Russia holds the world's largest natural gas reserves, the second-largest coal reserves, and the eighth-largest crude oil reserves. Russia is also a top exporter of metals such as steel and primary aluminum. Russia's reliance on commodity exports makes it vulnerable to boom and bust cycles that follow the volatile swings in global prices. The government since 2007 has embarked on an ambitious program to reduce this dependency and build up the country's high technology sectors, but with few visible results so far. The economy had averaged 7% growth in the decade following the 1998 Russian financial crisis, resulting in a doubling of real disposable incomes and the emergence of a middle class. The Russian economy, however, was one of the hardest hit by the 2008-09 global economic crisis as oil prices plummeted and the foreign credits that Russian banks and firms relied on dried up. According to the World Bank the government's anti-crisis package in 2008-09 amounted to roughly 6.7% of GDP. The economic decline bottomed out in mid-2009 and the economy began to grow again in the third quarter of 2009. High oil prices buoyed Russian growth in 2011-12 and helped Russia reduce the budget deficit inherited from 2008-09. Russia has reduced unemployment to a record low and has lowered inflation below double digit rates. Russia joined the World Trade Organization in 2012, which will reduce trade barriers in Russia for foreign goods and services and help open foreign markets to Russian goods and services. At the same time, Russia has sought to cement economic ties with countries in the former Soviet space through a Customs Union with Belarus and Kazakhstan, and, in the next several years, through the creation of a new Russia-led economic bloc called the Eurasian Economic Union. Russia has had difficulty attracting foreign direct investment and has experienced large capital outflows in the past several years, leading to official programs to improve Russia's international rankings for its investment climate. Russia's adoption of a new oil-price-based fiscal rule in 2012 and a more flexible exchange rate policy have improved its ability to deal with external shocks, including volatile oil prices. Russia's long-term challenges also include a shrinking workforce, rampant corruption, and underinvestment in infrastructure.

 

Source : CIA


Company name & address

 

OAO "Nizhne-Lenskoe"
Ul Kirova D 18, Blok "B", 
677027 G Yakutsk 

Tel:                   84112496000
E-Mail:              lenskoe@sakha.com

 

 

Company summary

 

 

Company development

Constant company development.

 

 

Business course

Satisfactory order situation.

 

Terms of payment

Mostly within agreed terms, partly delays of payments / payment reminders.

 

 

Business connection

Business connection is not denied. Credit is not assigned, it requires securities.

 

 

Established on

20/11/2000 - Public limited company (OAO)

Registered on

18/12/2002, Mezhrayonnaya inspektsiya Ministerstva Rossiyskoy Federatsii po nalogam i sboram №6 po Respublike Sakha (YAkutiya) (Strukturnoe podrazdelenie po ZHiganskomu ulusu), RegNr.: 1021401776659
Tax number: 1435116362
Statistical number: 34151207

 

Registered capital

 

RUB

1 015 757 080,-

 

Owner

OAO "Almazy Anabara"
ul CHernyshevskogo d 6, 677018 g YAkutsk 
Beginning of validity: 29.01.2013

%

100

 

 

Management

Andrey Vilevich Karkhu
Member of the board of directors

 

Andrey YUrevich Nikolaev
Member of the board of directors

 

 

Dzhenita Stanislavovna Belchusova
Member of the board of directors

 

Marianna Anatolevna Magomedova
Member of the board of directors

 

 

Matvey Nikolaevich vseev
Member of the board of directors

 

Pavel Nikolaevich Oshchepkov
Member of the board of directors

 

Sole Executive Body

Ivan Ivanovich Andreev
Managing director

General data

Main activity:
Other mining and quarrying n.e.c.

 

 

 

Full name:
OAO "Nizhne-Lenskoe"

 

Name in foreign language:
Join Stock Company Nizhne-Lenskoe

 

 

Short name:
OAO "Nizhne-Lenskoe"

 

 

 

 

Residence address:
ul Kirova d 18, blok "B", 677027 g YAkutsk 
Tel:
84112496000
E-Mail:
lenskoe@sakha.com

Other activities

 

 

 

 

 

Hunting

 

 

 

Mining of non-ferrous metal ores

 

Other mining and quarrying n.e.c.

 

 

Manufacture of tools

 

Manufacture of aircraft and spacecraft

 

 

Manufacture of jewellery and related articles n.e.c.

 

Manufacture of jewellery and related articles n.e.c.

 

 

Manufacture of jewellery and related articles n.e.c.

 

Manufacture of jewellery and related articles n.e.c.

 

 

Manufacture of jewellery and related articles n.e.c.

 

Manufacture of jewellery and related articles n.e.c.

 

 

Recycling of non-metal waste and scrap

 

Retail sale of automotive fuel

 

 

Agents involved in the sale of fuels

 

Agents specializing in the sale of particular products or ranges of products n.e.c.

 

 

Agents specializing in the sale of particular products or ranges of products n.e.c.

 

Wholesale of other household goods

 

 

Wholesale of metals and metal ores

 

Wholesale of other intermediate products

 

 

Other retail sale in specialized stores

 

Hotels without restaurants

 

 

Other land passenger transport

 

Freight transport by road

 

 

Non-scheduled air transport

 

Storage and warehousing

 

 

Security broking and fund management

 

Security broking and fund management

 

 

Architectural and engineering activities and related technical consultancy

 

Sewage and refuse disposal

 

Annual turnover

31/12/2006

Enterprise turnover

RUB

2 243 385 000,-

 

 

31/12/2007

Enterprise turnover

RUB

2 483 263 000,-

 

 

 

31/12/2008

Enterprise turnover

RUB

2 562 763 000,-

 

Events, negative data

18.01.2013 - Legal debt collection procedure

Remark: 
A58-194/2013 

 

 

24.01.2013 - Legal debt collection procedure

Remark: 
A58-257/2013 

 

22.08.2013 - Legal debt collection procedure

Remark: 
A58-4778/2013 in process 

 

Remarks

As the financial information of the subject company is not disclosed, the Credit limit cannot be calculated.


The main activity of OAO "Nizhne-Lenskoe" is diamond recovery.

The subject was bought by OAO “Almazy Anabara” in 2012 in the state of bankruptcy.

The subject has following licenses:

VP-73-000587N valid until 15.07.2016.
14.01.01.002.L.000016.06.06 valid until 02.06.2016.
IV-00-011317 temporally unlimited.
PV-00-010729 temporally unlimited.
YAKU02649KR valid until 15.04.2028.
YAKU 13662KE valid until 01.08.2018.
YAKU 13661KE valid until 01.08.2018.


Affiliation of the subject with other companies was found out through the managing director, Ivan Ivanovich Andreev (INN: 143505382860) with:

OOO "ELEKTRUM" – INN: 1435002975; Yakutsk. He was the shareholder of the company. The company was excluded from EGRUL in 2013.

OOO "Saidyy" – INN: 1435179524; Yakutsk. He is the managing director and the owner of 100% of share capital of the company. The company will excluded from EGRUL as inactive upon registering authorities decision.
OOO "MAISKI VETER" – INN: 1435211841; Yakutsk. He was the owner of 30% of share capital of the company.


The subject had several state contracts for the total sum:

In 2013: 4 722 747 RUB.
In 2012: 167 143 850 RUB.
In 2011: 134 733 RUB.


No negative information was found out about the subject in open sources.

 

 

Balances

 

There are no balancesheets registered.


 

DIAMOND INDUSTRY – INDIA

 

-            From time immemorial, India is well known in the world as the birthplace for diamonds.  It is difficult to trace the origin of diamonds but history says that in the remote past, diamonds were mined only in India. Diamond production in India can be traced back to almost 8th Century B.C.  India, in fact, remained undisputed leader till 18th Century when Brazilian fields were discovered in 1725 followed by emergence of S. Africa, Russia and Australia.

-            The achievement of the Indian diamond industry was possible only due to combination of the manufacturing skills of the Indian workforce and the untiring and unflagging efforts of the Indian diamantaires, supported by progressive Government policies.

-            The area of study of family owned diamond businesses derives its importance from the huge conglomerate of family run organizations which operate in the diamond industry since many generations.

-            Some of the basic traits of family run business enterprises include spirit of entrepreneurship, mutual trust lowers transaction costs, small, nimble and quick to react, information as a source of advantage and philanthropy.

-            Family owned diamond businesses need to improve on many fronts including higher standard of corporate governance, long-term performance – focused strategies, modern management and technology.

-            Utmost caution is to be exercised while dealing with some medium and large diamond traders which are usually engaged in fictitious import – export, inter-company transactions, financially assisted by banks. In the process, several public sector banks lost several hundred million rupees. They mostly diverted borrowed money for diamond business into real estate and capital markets.

-            Excerpts from Times of India dated 30th October 2010 is as under –

 

-            Gem & Jewellery Export Promotion Council in its statistical data has shown the export of polished diamonds to have increase by 28 % in February 2013. Compared to $ 1.4 bn worth of polished diamond export in February, 2012, India exported $ 1.84 billion worth of polished diamonds in February 2013. A senior executive of GJEPC said, “Export of cut and polished diamonds started falling month-wise after the imposition of 2 % of import duty on the polished diamonds. But February, 2013 has given a new ray of hope to the industry as the export of polished diamonds has actually increased by 28 %. It means the industry  is on the track of recovery and round tripping of diamonds has stopped completely.” Demand has started coming from the US, the UK, Japan and China. India’s polished diamond export is expected to cross $ 21 bn in 2013-14.

 

-            The banking sector has started exercising restraint while following prudent risk management norms when lending money to gems and jewellery sector. This follows the implementation of Basel III accord – a global voluntary regulatory standard on bank capital adequacy, stress testing and market liquidity.

 


 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.62.10

UK Pound

1

Rs.101.27

Euro

1

Rs.85.43

 

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.