MIRA INFORM REPORT

 

 

Report Date :

12.10.2013

 

IDENTIFICATION DETAILS

 

Name :

THYSSENKRUPP COMPANHIA SIDERÚRGICA DO ATLÂNTICO

 

 

Registered Office :

Avenida João Xxiii, S/Nº - Santa Cruz 23560-352 - Rio De Janeiro/Rj

 

 

Country :

Brazil

 

 

Financials (as on) :

30.09.2012

 

 

Date of Incorporation :

24.09.2004

 

 

Legal Form :

Privately Held Corporation

 

 

Line of Business :

Manufacture of Basic Iron And Steel

 

 

No. of Employees :

2500

 

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

 

Maximum Credit Limit:

USD 1.000.000,00

 

 

Status :

Satisfactory

 

 

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 – March, 31st, 2013

 

Country Name

Previous Rating

(31.12.2012)

Current Rating

(31.03.2013)

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% in 2011, and 1.3% in 2012. Unemployment is at historic lows and Brazil's traditionally high level of income inequality has declined for each of the last 14 years. Brazil's historically high interest rates have made 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 exchange 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. In an effort to boost growth, in 2012 the administration implemented a somewhat more expansionary monetary policy that has failed to stimulate much growth.

 

Source : CIA

 


company name and address

 

THYSSENKRUPP COMPANHIA SIDERÚRGICA DO ATLÂNTICO

 

 

ADDRESSES

 

MAIN ADDRESS:

AVENIDA JOÃO XXIII, S/Nº - SANTA CRUZ

ZIP CODE/CITY:

23560-352 - RIO DE JANEIRO/RJ

 

 

PHONE:

21 2141-3246

E-MAIL:

amanda.souza@thyssenkrupp.com

WEB SITE:

www.thyssenkrupp.com

 

BRANCHES:

 

 

 

ADDRESS:

RUA LAURO MULLER,116 - SALAS 2707, 2702, 2801, 2807, 2808, 3901, 3905 - BOTAFOGO

ZIP CODE/CITY:

22290-160 RIO DE JANEIRO/RJ

 

 

LEGAL DATA

 

MAIN ACTIVITIES:

 

MANUFACTURE OF BASIC IRON AND STEEL.

 

LEGAL FORM:

PRIVATELY HELD CORPORATION

 

 

INCORPORATION DATE:

24/09/2004

REGISTER DATE:

24/09/2004

BALANCE SHEET FILING DATE:

30/09

TAX CONTRIBUTOR NUMBER(CNPJ):

07.005.330/0001-19

STATE REGISTER:

77.863.508

 

 

SHARE CAPITAL:

R$ 14.382.258.292,00

 

BOARD OF DIRECTORS:

 

 

 

HERBET VIKTOR EICHELKRAUT

PRESIDENT DIRECTOR

RAINER VERHOEVEN

FINANCIAL DIRECTOR

HEYNO MICHAEL SMITH

DIRECTOR

PEDRO HENRIQUE GOMES TEIXEIRA

DIRECTOR

JORGE LUIZ RIBEIRO DE OLIVEIRA

DIRECTOR

 

 

AUTHORIZED USE OF SIGNATURE

 

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

 

SHAREHOLDERS / PARTNERS:

 

 

 

THYSSENKRUPP SLAB INTERNATIONAL BV

73,13%

VALE S/A

26,87%

 

AFFILIATES / SUBSIDIARIES:

 

 

 

URUCUM MINERAÇÃO S/A

 

VALE ENERGIA S/A

 

CASAM S/A

 

SOCIEDADE DE MINERAÇÃO ESTRELA DE APOLO S/A

 

AÇOS LAMINADOS DO PARA S/A

 

CIA FERRO LIGAS DO AMAPA CFA

 

THYSSENKRUPP MAQUINAS E EQUIPAMENTOS LTDA

 

 

 

COMPANY'S BACKGROUND

 

SUBJECT WAS ESTABLISHED ON SEPTEMBER 24, 2004 AS CSA COMPANHIA SIDERURGICA DO ATLANTICO. TO BE ENGAGED IN THE SAID LINE OF BUSINESS. IN SEPTEMBER 2006 IT ALTERED TO ABOVE-MENTIONED NAME BUT ONLY IN SEPTEMBER 07, 2010 IT STARTED ITS OPERATIONS.

 

THE COMPANY IS A JOINT-VENTURE BETWEEN CIA VALE DO RIO DOCE WHICH WAS FORMERLY AN STATE-OWNED COMPANY IS CURRENTLY ONE OF THE BIGGEST AND MOST IMPORTANT COMPANIES IN BRAZIL WITH OPERATIONS IN SEVERAL LINES OF BUSINESS AND THYSSENKRUPP WHICH IS ONE OF THE BIGGEST IRON AND STEEL INDUSTRY IN EUROPE". IT WILL PRODUCE 4,4 MILLIONS OF TONS PER YEAR.

 

ON DOCTOBER 25, 2010 SUBJECT ALTERED ITS CORPORATE NAME FROM THYSSENKRUPP CSA SIDERURGICA DO ATLANTICO LTDA TO THE PRESENT REGISTERED ONE.

 

FURTHER DETAILS ARE SO FAR NOT KNOWN.

 

PUBLIC INFORMATION:

 

PROTESTS:

 

11  PROTESTS,TOTAL AMOUNT R$ 284.458,53

DATE OF FIRST PROTEST: 08/03/2013  R$ 8.692,42

DATE OF HIGHEST PROTEST: 08/03/2013  R$ 56.277,58

 

DETAILS OF LATEST PROTESTS:

 

NOTARY OFFICE:

DATE:

VALUE:

1º CARTÓRIO DE ITAGUAI/RJ

26/04/2013

R$ 9.925,59

1º CARTÓRIO DO RIO DE JANEIRO/RJ

02/09/2013

R$ 242,76

3º CARTÓRIO DO RIO DE JANEIRO/RJ

22/03/2013

R$ 8.692,42

2º CARTÓRIO DO RIO DE JANEIRO/RJ

19/08/2013

R$ 5.913,60

3º CARTÓRIO DO RIO DE JANEIRO/RJ

20/03/2013

R$ 31.588,38

 

 

FINANCIAL INFORMATION

 

GENERAL BALANCE SHEETS AS OF 30/09/2012, 30/09/2011 AND 30/09/2010.

( FIGURES ARE IN THOUSANDS OF REAIS ).

 

ASSETS

 

 

 

CURRENT:

30/09/2012

30/09/2011

30/09/2010

 

 

 

 

CASH AND BANKS

136.517

377.750

457.450

CLIENTS

604.045

508.436

30.420

ADVANCE TO SUPPLIERS

12.386

6.898

21.992

INVENTORY

1.173.667

1.441.646

679.135

DERIVATIVES OPERATIONS

4.222

 

111.653

RECOVERABLE TAXES

249.049

373.144

61.188

OTHER

14.380

8.250

235.215

ASSETS HELD FOR SALE

 

 

155.590

 

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

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

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

TOTAL CURRENT ASSETS

2.194.266

2.716.124

1.752.643

 

LONG-TERM RECEIVABLES:

 

 

 

 

 

 

 

RECOVERABLE TAXES

671.491

545.340

913.057

DEFERRED TAXES

 

123.333

323.346

GUARANTEE DEPOSITS

3.225

3.088

335

 

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

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

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

TOTAL LONG-TERM RECEIVABLES

674.716

671.761

1.236.738

 

FIXED ASSETS:

 

 

 

 

 

 

 

INVESTMENTS

4.564

4.167

3.776

FIXED ASSETS

5.525.808

7.428.393

10.564.786

INTANGIBLE

27.612

33.286

31.748

DEFERRED

 

 

750.068

 

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

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

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

TOTAL FIXED ASSETS

5.557.984

7.465.846

11.350.378

 

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

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

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

TOTAL ASSETS

8.426.966

10.853.731

14.339.759

 

LIABILITIES:

 

 

 

CURRENT:

30/09/2012

30/09/2011

30/09/2010

 

 

 

 

LOANS AND FINANCING

1.601.552

686.419

121.512

DERIVATIVES OPERATIONS

183.817

486.194

7.080

SUPPLIERS

762.765

1.061.388

569.585

TAX LIABILITIES

39.336

30.772

25.457

SOCIAL / LABOR OBLIGATIONS

63.721

43.214

25.931

PROVISIONS

83.994

85.201

278.335

PROVISION FOR CONTINGENCIES

23.344

38.713

139.240

ADVANCE FROM CLIENTS

1.491

 

 

 

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

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

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

TOTAL CURRENT LIABILITIES

2.760.020

2.431.901

1.167.140

 

LONG TERM LIABILITIES:

 

 

 

 

 

 

 

LOANS AND FINANCING

2.677.985

1.955.098

1.369.497

SUPPLIERS

3.021

590

8.914

DEFERRED TAXES

 

123.333

1.399

PROVISIONS

5.011

16.993

12.257

PROVISION FOR CONTINGENCIES

5.379

4.956

2.065

 

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

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

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

TOTAL LONG TERM LIABILITIES

2.691.396

2.100.970

1.394.132

 

NET EQUITY:

 

 

 

 

 

 

 

SHARE CAPITAL

14.382.258

14.382.258

14.118.678

OTHER

1.529.074

1.192.649

9.503

ACCRUED PROFIT (LOSS)

-12.935.782

-9.254.047

-2.349.694

 

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

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

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

TOTAL NET EQUITY

2.975.550

6.320.860

11.778.487

 

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

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

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

TOTAL LIABILITIES

8.426.966

10.853.731

14.339.759

 

PROFIT AND LOSS ACCOUNTS AS OF 30/09/2012, 30/09/2011 AND 30/09/2010.

( FIGURES ARE IN THOUSANDS OF REAIS ).

 

 

30/09/2012

30/09/2011

30/09/2010

 

 

 

 

NET SALES

4.597.834

3.357.347

158.387

(-) COST OF SOLD GOODS

7.573.312

3.860.052

174.836

 

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

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

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

GROSS PROFIT

-2.975.478

-502.705

-16.449

OPERATING REVENUE (EXPENSE)

-1.061.868

-7.246.735

-920.583

FINANCIAL REVENUE(EXPENSE)

-166.709

126.848

557.178

 

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

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

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

OPERATIONAL PROFIT (LOSS)

-4.204.055

-7.622.592

-379.854

NON-OPERATING RESULT

 

 

168

CONTRIBUTION/INCOME TAX

918

-348.643

312.147

 

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

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

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

NET PROFIT (LOSS)

-4.203.137

-7.971.235

-67.539

 

RATIOS:

30/09/2012

30/09/2011

30/09/2010

 

QUICK RATIO

,37

 

,52

 

,92

 

CURRENT RATIO

,80

 

1,12

 

1,50

 

ACCOUNTS RECEIVABLE TURNOVER

7,61

TIMES

6,60

TIMES

5,21

TIMES

DAYS' SALES IN RECEIVABLES

47,30

DAYS

54,52

DAYS

69,14

DAYS

INVENTORY TURNOVER

6,45

TIMES

2,68

TIMES

,26

TIMES

ACCOUNTS PAYABLE PERIOD

36,26

DAYS

98,99

DAYS

1.172,82

DAYS

RETURN ON ASSETS

,55

TIMES

,31

TIMES

,01

TIMES

SALES TURNOVER ON NET EQUITY

1,55

TIMES

,53

TIMES

,01

TIMES

NET WORTH TIE-UP

1,86

 

1,18

 

,90

 

INDEBTEDNESS

1,83

 

,72

 

,22

 

EQUITY RATIO

35,31

%

58,24

%

82,14

%

WORKING CAPITAL RATIO

-20,50

%

11,69

%

50,17

%

GENERAL SOLVENCY

1,55

 

2,39

 

5,60

 

RETURN ON NET EQUITY

-141,26

%

-126,11

%

-,57

%

RETURN ON SALES (PROFIT MARGIN)

-91,42

%

-237,43

%

-42,64

%

GROSS PROFIT MARGIN

-64,71

%

-14,97

%

-10,39

%

OPERATIONAL RESULT

-91,44

%

-227,04

%

-239,83

%

SALES TURNOVER ON LIABILITIES

1,67

TIMES

1,38

TIMES

,14

TIMES

FOREIGN CURRENCY ON ASSETS

 

 

 

 

 

 

FOREIGN CURRENCY ON LIABILITIES

 

 

 

 

 

 

 

EXCHANGE RATE:

 

 

US$ 1,00 = R$ 2,18

- OFFICIAL RATE ON 10/10/2013

US$ 1,00 = R$ 2,03

- OFFICIAL RATE ON 30/09/2012

US$ 1,00 = R$ 1,87

- OFFICIAL RATE ON 30/09/2011

US$ 1,00 = R$ 1,69

- OFFICIAL RATE ON 30/09/2010

 

COMMENTS ON THE FINANCIAL INFORMATION:

 

FOLLOWS ATTACHED WORKSHEET WITH MAIN FINANCIAL RATIOS.

 

THE FIGURES AVAILABLE SHOW AN UNBALANCED FINANCIAL STANDING. IT HAS LOW CURRENT RATIO AND HIGH LEVEL OF INDEBTEDNESS. DESPITE THE GROWING SALES ITS THE HIGH COSTS DROVE THE COMPANY TO MADE NEGATIVE GROSS RESULT. FURTHER, THE COMPANY MADE HUGE LOSS DUE TO THE VERY HIGH OPERATING EXPENSES.

 

THE COMPANY STATED THAT SUCH HUGE LOSS AS THE COMPANY IS PRODUCING WITH NEGATIVE GROSS MARGIN AND THIS DUE TO THE FACT THAT HE COMPANY IS IN THE RAMP UP PHASE AND IS MAKING SOME TECHNICAL ADJUSTMENTS TO BALANCE THE SELLING MARGIN.

 

EVEN SO, IT IS WORTH THAT SUBJECT BELONGS TO TWO LEADING GROUPS IN THEIR RESPECTIVE LINES OF BUSINESS, THEREFORE THE SUBJECT MAY COUNT ON THEIR FINANCIAL SUPPORT WHENEVER REQUIRED.

 

REMARKS:

--------

 

THE SUBJECT STARTED OPERATING ONLY IN SEPTEMBER 07, 2010 WITH FULL CAPACITY.

 

REAL ESTATE:

 

OWNED PREMISES ARE VALUED AT R$ 900.628.000,00

 

VEHICLES:

 

OWNED VEHICLES ARE VALUED AT R$ 8.241.000,00

 

MACHINES:

 

OWNED MACHINES AND EQUIPMENTS ARE VALUED AT R$ 3.810.705.000,00

 

 

INSURANCE

 

NOT AVAILABLE.

 

BANKING REFERENCES

 

 

 

 

BANCO SANTANDER (BRASIL) S/A

 

 

 

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").

 

 

ACTIVITIES COMMENTS

 

 

SUBJECT WAS SETUP TO BE ENGAGED IN THE MANUFACTURE OF BASIC IRON AND STEEL.

 

 

IMPORT AND EXPORT:

 

IMPORTS FROM:

NOT AVAILABLE.

 

EXPORTS TO:

NOT AVAILABLE.

 

MAIN CLIENTS:

 

 

 

 

 

DOMESTIC CLIENTS:

 

 

NOT AVAILABLE

 

 

 

STAFF:

 

THE COMPANY HAS: 2500 EMPLOYEE(S)

 

 

CONCEPT AND FULFILMENT

 

THE SUBJECT IS A NEWLY ESTABLISHED JOINT-VENTURE BETWEEN CIA DO VALE DO RIO DOCE AND THYSSENKRUPP. TWO COMPANIES WITH WELL-KNOWN OPERATING HISTORY AND HUGE FINANCIAL STRENGTH.

 

IT 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.

 

OUR INVESTIGATION THROUGH THE PUBLIC SHOWED SOME DETRIMENTAL FILES REGISTERED AGAINST THE SUBJECT BUT DUE TO THE SUBJECT’S HIGH FINANCIAL STRENGTH AND HIGH SCALE OF OPERATIONS THE DETRIMENTAL FILES ARE CONSIDERED NORMAL AND DO NOT AFFECT ITS TRADE REPUTATION OR ITS CREDITWORTHINESS.

 

MAIN SUPPLIERS:

 

 

 

 

 

DOMESTIC SUPPLIERS:

 

 

POLYSIUS DO BRASIL LTDA

 

 

RIP SERVIÇÕS DE SIDERURGICOS LTDA

 

 

RIP SERVOÇOS INDUSTRIAIS LTDA

 

 

THYSSENKRUPP COMERCIO DE COMUSTIVEIS

 

 

THYSSENKRUPP ELEVADORES

 

 

WHITE MARTINS STEEL GASES

 

 

 

FOREIGN SUPPLIERS:

 

 

POLYSIUS AG

 

 

THYSSENKRUPP AG

 

 

THYSSENKRUPP FORDENTCHNIK GMBH

 

 

THYSSENKRUPP GTT BAUTECHNK GMBH

 

 

THYSSENKRUPP STEEL EUROPE AG

 

 

THYSSENKRUPP TUPES

 

 

TK MATERIALS INTERNATIONAL GMBH

 

 

 

PAYMENT HISTORY:

 

7 SUPPLIERS REPORTED PAYMENTS:

TOTAL AMOUNT:  R$ 110.516,00

 

AMOUNT OF INVOICES PAID: 72

TOTAL OF PROMPT PAYMENTS: 99,1%

TOTAL OF DELAYED PAYMENTS: 0,9%

 

HIGHEST INVOICE: R$ 9.900,00

HIGHEST CREDIT: R$ 9.900,00

 

OUTSTANDING INVOICES DUE WITHIN THE NEXT 30 DAYS:

 

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

SUPPLIERS:

INVOICES:

TOTAL AMOUNT:

DUE WITHIN 30 DAYS

1

1

R$ 5.559,19

 

 

FINAL OPINION

 

THE SUBJECT IS A NEWLY ESTABLISHED JOINT-VENTURE BETWEEN CIA DO VALE DO RIO DOCE AND THYSSENKRUPP. AND THE TRADE REPUTATION OF ITS SHAREHOLDERS ITSELF MAKES THE SUBJECT WORTH FOR IMPORTANT OPERATIONS.

 

THE COMPANY STARTED OPERATING ONLY IN 2010 BUT 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.

 

A CREDIT LIMIT OF USD 1.000.000,00 MAY BE GRANTED. FOR HIGHER AMOUNTS IT WOULD BE RECOMMENDED DEMMAND A COLLATERAL FROM THE SHAREHOLDERS.

 

 


 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.61.16

UK Pound

1

Rs.97.77

Euro

1

Rs.82.78

 

 

INFORMATION DETAILS

 

Report Prepared by :

SDA

 

 

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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This report is issued at your request without any risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or its officials.