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Report Date : |
18.01.2013 |
IDENTIFICATION DETAILS
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Name : |
PROCTER & GAMBLE INDUSTRIAL S.A. |
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Registered Office : |
alle Altagracia, Edif. Procter & Gamble, Sector Sorokaima, Urb. La
Trinidad Caracas Distrito Capital |
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Country : |
Venezuela |
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Date of Incorporation : |
19.06.1991 |
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Legal Form : |
Limited Partnership by Shares |
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Line of Business : |
Production, commercialization, importation, purchase, sale of home
cleaners, personal hygiene products, toiletries, over-the-counter medicines,
chemicals, foodstuffs and industrial products in general. |
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No. of Employees : |
About 1,500 |
RATING & COMMENTS
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MIRA’s Rating : |
B |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
|
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26-40 |
B |
Capability to overcome financial difficulties seems comparatively
below average. |
Small |
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Status : |
Moderate |
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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 – June 30th, 2012
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Country Name |
Previous Rating (31.03.2012) |
Current Rating (30.06.2012) |
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Venezuela |
B2 |
B2 |
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Risk Category |
ECGC
Classification |
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Insignificant |
A1 |
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Low |
A2 |
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Moderate |
B1 |
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High |
B2 |
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Very High |
C1 |
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Restricted |
C2 |
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Off-credit |
D |
VENEZUELA - ECONOMIC OVERVIEW
Venezuela remains highly dependent on oil revenues, which
account for roughly 95% of export earnings, about 40% of federal budget revenues,
and around 12% of GDP. Fueled by high oil prices, record government spending
helped to boost GDP growth by 4.2% in 2011, after a sharp drop in oil prices
caused an economic contraction in 2009-10. Government spending, minimum wage
hikes, and improved access to domestic credit created an increase in
consumption which combined with supply problems to cause higher inflation -
roughly 28% in 2011. President Hugo CHAVEZ's efforts to increase the
government's control of the economy by nationalizing firms in the agribusiness,
financial, construction, oil, and steel sectors have hurt the private
investment environment, reduced productive capacity, and slowed non-petroleum
exports. In the first half of 2010 Venezuela faced the prospect of lengthy
nationwide blackouts when its main hydroelectric power plant - which provides
more than 35% of the country's electricity - nearly shut down. In May 2010,
CHAVEZ closed the unofficial foreign exchange market - the "parallel
market" - in an effort to stem inflation and slow the currency's
depreciation. In June 2010, the government created the "Transaction System
for Foreign Currency Denominated Securities" to replace the
"parallel" market. In December 2010, CHAVEZ eliminated the dual
exchange rate system and unified the exchange rate at 4.3 bolivars per dollar.
In January 2011, CHAVEZ announced the second devaluation of the bolivar within
twelve months. In December 2010, the National Assembly passed a package of five
organic laws designed to complete the transformation of the Venezuelan economy
in line with CHAVEZ's vision of 21st century socialism. In 2011, Venezuela
continued to wrestle with a housing crisis, higher inflation, an electricity
crisis, and rolling food and goods shortages - all of which were fallout from the
government's unorthodox economic policies. The budget deficit reached around
5.2% of GDP in 2011, and public debt as a percent of GDP climbed steeply,
despite record oil prices.
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Source : CIA |
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CORRECT COMPANY NAME |
PROCTER & GAMBLE INDUSTRIAL S.A. |
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TAXPAYER REGISTRATION |
RIF J308109860 |
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MAIN ADDRESS |
Calle Altagracia, Edif. Procter & Gamble, Sector Sorokaima, Urb.
La Trinidad |
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PROVINCE / DEPARTAMENT |
Caracas |
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STATE / REGION |
Distrito Capital |
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COUNTRY |
VENEZUELA |
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TELEPHONE |
(58212) 9036555 - 9036111 |
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E-MAIL |
andreazzi.m@pg.com |
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WEB |
www.proctergamble.com |
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COMMENTS |
At present the Company legal status is a Joint-Stock Company. |
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Date of foundation |
1991 |
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Capital stock |
Bs.F.2,701,390.= Bolivares Fuertes |
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Shareholders' equity |
1,000,608,180.00 Bolívares Fuertes (30/062010) |
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Annual revenues |
US$ 109,268,677.67 Bolívares Fuertes (30/062010) |
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Profits (loss) |
-11,346,162.00 Bolívares Fuertes (30/062010) |
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permanent employees |
About 1,500 |
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Chief Executive |
DUEŃAS VANIN, ALBERTO |
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Disposition |
Report totally prepared by outside sources. |
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Payments policy |
Without rating (No payment experience traced) |
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Credit (**) |
Risk is Moderate. Within Average. Lightly Fair Situation. |
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LEGAL STATUS |
Limited Partnership by Shares |
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DATE OF INCORPORATION |
19JUN1991 |
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PLACE OF REGISTRY |
Caracas - Registry of Companies II |
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DURATION |
50 years |
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REGISTRATION |
No.42, Volume 141-A. File 339.496 |
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INITIAL CAPITAL |
Bs.50,000,000.= Bolivares |
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CURRENT PAID-IN CAPITAL |
Bs.F.2,701,390.= Bolivares Fuertes |
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LAST CAPITAL INCREASE |
03.07.2001 (No.66, Volume 130-A) |
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SHAREHOLDERS EQUITY |
1,000,608,180.00 Bolívares Fuertes (30/062010) |
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CLASS OF SHARES |
Registered |
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LISTED AT STOCK EXCHANGE |
No |
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SHARE VALUE |
Bs.F. 10.= Bolivares Fuertes |
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CURRENT EXCHANGE RATE (US$) |
BsF.4.30.= per USD1.00 |
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COMMENTS |
The Company was registered under the name INVERSIONES PROCTER &
GAMBLE C.A.; on 02.09.1991, it changed its name to PROCTER & GAMBLE DE
VENEZUELA C.A., under No. 67, Volume 115-A. Subsequently, it changed again its name and its legal status from
stock company (CA) to limited partnership by shares (S.C.A.) dated 03.07.2001,under Number 66, Volume
130-A. On 30/03/2006, the Company changed again its legal status from limited partnership by shares (S.C.A. to
joint-stock company (S.A.) The capital stock has been increased as follows: - Bs. 2,171,600,000, in December 1993 - Bs. 2,700,990,000, in January 1995 The Board of Directors was appointed on 25/09/2010. In 2008, currency conversion came into effect in Venezuela, under
which, three zeros are deleted from the old Bolívar (Bs.). |
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FULL NAMES / COMPANY NAME |
TITLE |
%PART. |
SINCE |
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DUEŃAS VANIN, ALBERTO |
President |
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ALFONZO LARRAIN LANDAEZ, CESAR RAFAEL |
Director |
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LEON, LUIS ANTONIO |
Director |
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BARREIDA LARRAURI, ESTIBABALITZ |
Director |
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DE LLANO GONZALEZ, LUIS MANUEL |
Director |
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VARELA BARCIA, MARIA VICTORIA |
Director |
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PROCTER & GAMBLE DE VENEZUELA S.C.A. |
Majority Shareholder (Parent Company) |
100% |
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DUEŃAS VANIN, ALBERTO |
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NATIONALITY |
Colombian |
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ID |
CI 82182865 |
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ALFONZO LARRAIN LANDAEZ, CESAR RAFAEL |
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NATIONALITY |
Venezuelan |
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ID |
CI 11309867 |
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LEON, LUIS ANTONIO |
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NATIONALITY |
Venezuelan |
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ID |
CI 5740779 |
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BARREIDA LARRAURI, ESTIBABALITZ |
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NATIONALITY |
Venezuelan |
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ID |
CI 16379451 |
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DE LLANO GONZALEZ, LUIS MANUEL |
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NATIONALITY |
Venezuelan |
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ID |
CI 4355741 |
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VARELA BARCIA, MARIA VICTORIA |
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NATIONALITY |
Venezuelan |
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ID |
CI 12385142 |
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PROCTER & GAMBLE DE VENEZUELA S.C.A. |
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BUSINESS BACKGROUND Limited Company by Shares. Entered in the Registry of Companies V of
the City of Caracas, dated 11/05/2001. |
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Founders: Procter & Gamble de Venezuela C.A. (founded on 31.07.1950,
under Nş 789. TAX ID RIF.J-00030031-
In December 1994, the Company merged INDUSTRIAS MAMMI C.A., effective as
from January 1995.
In 1995, in line with strategic alliances plan of the Company, it
acquired PRODUCTOS CRUZ VERDE C.A., and its product lines of home cleaners,
cloth softeners, including the trademarks..
In August 1996 an alliance was attempted with S.C. JOHNSON DE VENEZUELA,
for the Cruz Verde product line (floor wax), but which was objected by the
Competition Superintendency, alleging the resulting entity would have 7 times
more market participation than their nearest competitor.
In August 2000, it was agreed to establish a branch in the city of
Porlamar, state of Nueva Esparta.
In July 2001, INVERSIONES INDUSTRIAS MAMMI S.C.A. transferred its shares
to PROCTER & GAMBLE TENEDORA S.A.
In November 2002 it was agreed to pay Bs.58,054,739,304.= Bolívares to
MAX FACTOR K.K. in virtue of transference of loan contract made by PROCTER
& GAMBLE HOLDING S.R.L. to the Company.
On 30/06/2006, they agreed to merge the companies: Inversiones Procter
& Gamble de Venezuela S.C.A., Inversiones Industrias Mammi S.C.A., Procter
& Gamble Tenedora S.A., Procter & Gamble Valores S.A., Procter &
Gamble Color 1 S.R.L., Inversiones
Procter & Gamble de Venezuela 1 S.R.L., Inversiones Mammi 1 S.R.L. and Procter & Gamble Industrial 1
S.R.L.; under which the Company took
over the assets and equity, chattels and estates, shares, names, trade names,
relations, obligations, debts, commitments and rights of the merged companies. Those companies are not liquidated but
continue existing legally.
Until September 2007, the only shareholder was Procter & Gamble
International Operations S.A. (Switzerland);
as from December 2008, the current shareholder appears.
The Company is part of global PROCTER & GAMBLE. In Venezuela, it is
related to
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COMPANY NAME |
COUNTRY |
RELATION % |
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INVERSIONES INDUSTRIAS MAMMI C.A. |
VENEZUELA |
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Related |
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INVERSIONES PROCTER & GAMBLE DE VENEZUELA S.C.A. |
VENEZUELA |
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Related |
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PROCTER & GAMBLE INTERNATIONAL OPERATIONS LTD. |
VENEZUELA |
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Related |
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PROCTER & GAMBLE SERVICIOS LATINOAMERICA S.C.A |
VENEZUELA |
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Related |
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Main activity |
Production, commercialization, importation, purchase, sale of home
cleaners, personal hygiene products, toiletries, over-the-counter medicines,
chemicals, foodstuffs and industrial products in general. The Company produces: Soaps, detergents, shampoo, cleansers, shoe
polish, toothpaste, diapers and
women's sanitary pads, deodorants, among other. It also is engaged in representation and/or distribution of
manufacturers. In Venezuela they are producing products such as sanitary napkins and
disposable diapers, while products
such as soaps, shampoos, toothpaste they produced before, are now imported. Trademarks: "ACE", "ARIEL", "BOLD 3",
"PANTENE", "RINDEX", "HEAD & SHOULDERS",
"DRENE", "CREST", "PAMPERS",
"ALWAYS", "TESS", "NUTRISTAR",
"SECRET", "DOWNY", "CAMAY", "SAFEGUARD", "LAVA
SAN", "MONCLER", "ALWAYS", "CHARMIN",
"TAMPAX", "SWIFFER", among other. |
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Import |
Yes |
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Country |
Mexico, Colombia and Chile |
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Export |
Yes |
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COUNTRY |
The Caribbean, Colombia, Brazil, Peru, Mexico |
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% Credit SALES / Terms |
100% 30 days |
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% Ventas exterior (Paises) |
5% |
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% DOMESTIC PURCHASES |
Yes |
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% FOREIGN PURCHASES |
Yes |
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SELLING TerritorY |
Domestic market: 95% |
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EMPLOYEES |
About 1,500 |
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Comments |
In 1998, they cancelled the diaper line MAMMI, being replaced by
PAMPERS at a cost of US$8 Million Dollars. Such brand accounted for the 60%
of the sales of the Guatire plant. |
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Disposition |
Report totally prepared by outside sources. |
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Information provided |
The information contained in this report has been collected from
outside sources as people at the Company were very reluctant to cooperate. Through third-party sources we got main figures of the Balance Sheet
for the FY as of June 30, 2010, compared with that of the previous period,
latest available. The Company is not entered into CADIVI as such but under the name
Procter & Gamble de Venezuela S.C.A. (Parent Company). |
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FINANCIAL SITUATION |
A+: GOOD Taking into account the last Financial Statement submitted and/or other
factors analyzed, we believe that financial Situation of the Company is
SATISFACTORY / GOOD due to the following considerations: - Liquidity Ratio is higher or similar than industry average - Positive working capital allows the Company to comply with payments
promptly - Shareholders' equity covers its current liabilities largely - Though economic and financial results show negative results |
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(Confidential Information)
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TRADE REFERENCES |
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CREDIT HISTORY The above suppliers reported to have dealt with Subject Company for 1
- 20 years. In general, the Company has been granted credit lines between
BsF.800,000, and BsF.1,000,000.=
Bolivares Fuertes. Packing and films are sold. PAYMENTS MADE ON TIME
at 30 - 45 days in average. |
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BANKERS Under privacy policy, the above bank refused to give information about
the Company. |
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FOREIGN EXCHANGE RATES
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Currency |
Unit
|
Indian Rupees |
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US Dollar |
1 |
Rs.54.64 |
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|
1 |
Rs.87.45 |
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Euro |
1 |
Rs.72.65 |
INFORMATION DETAILS
|
Report Prepared
by : |
SDA |
RATING EXPLANATIONS
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RATING |
STATUS |
PROPOSED CREDIT LINE |
|
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>86 |
Aaa |
Possesses an extremely sound financial base with the strongest capability
for timely payment of interest and principal sums |
Unlimited |
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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 |
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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 |
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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 |
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<10 |
C |
Absolute credit risk exists. Caution needed to be exercised |
Credit not
recommended |
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---- |
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.