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Report Date : |
16.09.2013 |
IDENTIFICATION DETAILS
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Name : |
WAREHOUSE STATIONERY LIMITED |
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Registered Office : |
C/O Bdo New
Zealand Limited, Level 8, Bdo Tower, 120 Albert Street, Auckland Central,
Auckland, Zip/Postal Code 1010 |
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Country : |
New Zealand |
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Financials (as on) : |
29.07.2012 (Group Consolidated) |
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Date of Incorporation : |
29.03.1995 |
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Com. Reg. No.: |
670149 |
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Legal Form : |
Private Limited Company |
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Line of Business : |
Subject is engaged in import and retail sales of stationary, office and technology products through its 61 Warehouse Stationery stores |
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No. of Employees : |
9,032
employees (The Warehouse Group) |
RATING & COMMENTS
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MIRA’s Rating : |
Ba |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
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Status : |
Satisfactory |
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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 – March 31st 2013
|
Country Name |
Previous Rating (31.12.2012) |
Current Rating (31.03.2013) |
|
New Zealand |
A1 |
A1 |
|
Risk Category |
ECGC
Classification |
|
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 |
new Zealand ECONOMIC OVERVIEW
Over the past 20 years the government has transformed New Zealand from
an agrarian economy dependent on concessionary British market access to a more
industrialized, free market economy that can compete globally. This dynamic
growth has boosted real incomes - but left behind some at the bottom of the
ladder - and broadened and deepened the technological capabilities of the
industrial sector. Per capita income rose for ten consecutive years until 2007
in purchasing power parity terms, but fell in 2008-09. Debt-driven consumer
spending drove robust growth in the first half of the decade, helping fuel a
large balance of payments deficit that posed a challenge for economic managers.
Inflationary pressures caused the central bank to raise its key rate steadily
from January 2004 until it was among the highest in the OECD in 2007-08;
international capital inflows attracted to the high rates further strengthened
the currency and housing market, however, aggravating the current account
deficit. The economy fell into recession before the start of the global
financial crisis and contracted for five consecutive quarters in 2008-09. In
line with global peers, the central bank cut interest rates aggressively and
the government developed fiscal stimulus measures. The economy posted a 2%
decline in 2009, but pulled out of recession late in the year, and achieved
roughly 2% per year growth in 2010-12. Nevertheless, key trade sectors remain
vulnerable to weak external demand. The government plans to raise productivity
growth and develop infrastructure, while reining in government spending.
|
Source : CIA |
Verified Address
Subject name :
WAREHOUSE STATIONERY LIMITED
Business
address : 26 The Warehouse Way
Town : Northcote
Province : Auckland
Zip/postal
code : 0627
Country : New Zealand
Tel : +64 9 4149500
Fax : +64 9 4149502
Website : www.warehousestationery.co.nz
Registered
address : C/o BDO NEW ZEALAND LIMITED
Level 8, BDO Tower
120 Albert Street
Town : Auckland Central
Province : Auckland
Zip/postal
code : 1010
Country : New Zealand
Postal address
: P.O. Box Box 101-248
North Shore Mail Centre
Town : North Shore City
Province : Auckland
Zip/postal
code : 0745
Country : New Zealand
Executive Summary
Date founded
or registered : 29/03/1995
Legal form : Private Limited
Company
Chief
executive : Pejman
Okhovat
Issued &
paid up capital : NZD 100
Sales turnover
: NZD 206,639,000
(Non-Consolidated 12 months, 29/07/2012)
Total fixed
assets : NZD 64,747,000
(Non-Consolidated 12 months, 29/07/2012)
Line of
business : Import and
retail sales of stationary, office and technology products through its
61 Warehouse Stationery stores.
Staff employed
: 9,032 employees
(The Warehouse Group)
Company Analysis
Country risk :
Country risk
is minimal
Operation
trend : Operational
trend is progressing
Management
experience : Management is
adequately experienced
Financial
performance : Financial
performance is very good
Organization
structure : Organizational
structure is consistent
Detrimental : No
detrimental found
Payment
history : No payment
delays noted
Comments : Larger credit can
still be considered. The Subject is well positioned in the market
and the financial stability of the group is positive.
Registry Data
Registration
date : 29/03/1995
Legal form : Private Limited Company
Registration
no 670149
Registered
authority : New Zealand Companies
Office
Registry
status : Live/Active
Previous name
: None reported.
Change of
legal form : None reported.
Key Management
Name : Pejman Okhovat
Designation : Chief Executive Officer
Name : Paul Stewart Judd
Designation : Chief Financial Officer
Appointments
Name : Paul Stewart Judd
Designation : Director
Appointment
date : 02/05/11
Address : 90B Hebron Road
Waiake, Auckland 0630
New Zealand
Name : Mark David Powell
Designation : Director
Appointment
date : 16/04/09
Address : 20 Rakino Avenue
Manly, Whangaparaoa 0930
New Zealand
Biography : Mr. Mark David Powell is Group
Chief Executive Officer of
Warehouse Group Limited. His training and management experience
was in the underground coal mining industry. He changed direction
in
1986, joining Iceland plc, a UK food retailer with more than 600
stores. He has since held various management roles in the UK,
Canada and Spain, including responsibility for Wal-Mart Canada’s
logistics operations, supply chain and home shopping management
for Iceland plc and the logistics operations of Tesco. He has been
involved with the Company since 2002 in various capacities,
including
appointments such as Interim CEO of the Australian operations,
Group General Manager Supply Chain and Commercial Support and
CEO of Warehouse Stationery. He holds a Bachelor of Applied
Theology from Carey Baptist College, Auckland, New Zealand, in
2007, Bachelor of Science (Hons) in Mining Engineering from the
University of Wales in 1983, Master of Science in Logistics
(Distribution Technology and Management) from Cranfield School of
Management, Cranfield University, the United Kingdom, in 1991,
MBA from Cardiff Business School, Cardiff University, the United
Kingdom, in 2001, and a Mine Managers First Class Certificate of
Competency from Polytechnic of Wales.
Name : Stephen Nicholas Small
Designation : Director
Appointment
date : 07/05/12
Address : 11 Lowburn Avenue
Waipu, Bream Bay 0510
New Zealand
Biography : Mr. Stephen Small has been
Chief Financial Officer of Warehouse
Group Ltd since April 23, 2012. He has spent 12 years overseas,
the
last 10 of which have been in a variety of senior financial roles
with
General Motors in Asia and the United States. He has served as
Chief Financial Officer for General Motors Korea.
Staff employed
: 9,032 employees (The Warehouse
Group)
Key Advisors
Auditors : PRICEWATERHOUSECOOPERS
PricewaterhouseCoopers Tower, Level 22
188 Quay Street
Auckland Central, Auckland 1010
New Zealand
Composition
Authorized
Capital : NZD 100
No of shares :
100 Shares
Share par
value : NZD 1
Issued capital
: NZD 100
Paid up
capital : NZD 100
Composition
How listed : Full List
Composition
Shareholder
name : BOYE DEVELOPMENTS LIMITED
Address : 26 The Warehouse Way
Northcote, Auckland 0627
New Zealand
No. of shares
: 100 Shares
% of shares : 100%
Structure
Name : THE WAREHOUSE GROUP
LIMITED
Affiliation
type : Ultimate
Holding Company
Address : 26 The Warehouse Way
Northcote, Auckland 0627
New Zealand
Comments : The Warehouse Group Limited is
New Zealand-based retailer providing a range
of products from clothing, entertainment, technology and music to
sporting,
gardening and grocery. It has two segments in the New Zealand
retail sector. Its
segments include The Warehouse, Warehouse Stationery and Other
Group
operations. As of 29 July, 2013, The Warehouse was a general
merchandise and
apparel retailer, with 92 stores located throughout New Zealand,
and Warehouse
Stationery was a stationery retailer, with 61 stores located
throughout New
Zealand. Other Group operations include the Company’s property
operations,
which own a number of stores and distribution centers occupied by
the other
business segments. This segment also includes its corporate
function and a
chocolate factory, which supplies product to The Warehouse.
Name : THE WAREHOUSE LIMITED
Affiliation type :
Intermediate Holding Company
Address : 26 The Warehouse Way
Northcote,
Auckland 0627
New
Zealand
Name : BOYE DEVELOPMENTS LIMITED
Affiliation type : Parent
Company
Address : 26 The Warehouse Way
Northcote,
Auckland 0627
New
Zealand
Name : ELDAMOS INVESTMENTS LIMITED
Affiliation type : Sister
Company
Address : 26 The Warehouse Way
Northcote,
Auckland 0627
New
Zealand
Name : THE WAREHOUSE NOMINEES LIMITED
Affiliation type : Sister
Company
Address : 26 The Warehouse Way
Northcote,
Auckland 0627
New
Zealand
Related companies and corporate affiliations comments
Other companies of the
Warehouse Group should be considered affiliates of the Subject.
Bank Details
Name of bank :
Bank of New
Zealand
Address : New Zealand
Account
details : Current Account
Comments : It is generally not the policy
of local banks to provide credit status information to
non related parties, however interested parties would be advised
to consult first
with the Subject if banker's references are required.
Mortgages : None reported.
Legal Fillings
Bankruptcy
fillings : None reported.
Court
judgements : None reported.
Tax liens : None reported.
Others : None reported.
Description
Source of
financial statement : Public Record
Sources
Financial
statement date : 29/07/12
Type of
accounts : Summarised
audited
Currency : New Zealand,
Dollar (NZD)
Exchange rate
: 1 USD = NZD 1.24
as of 11-09-2013
Summarized
Financial Information
Consolidation
type : Non Consolidated Non Consolidated Group Consolidated
Currency : New Zealand,
Dollar New Zealand, Dollar New Zealand, Dollar
(NZD) (NZD) (NZD)
Denomination :
(x1) One (x1) One (x1) One
Date of
financial year end : 29/07/12 29/07/11 29/07/12
Length of
accounts : 12 months 12 months 12 months
Sale turnover
/ Income : 206,639,000 201,453,000 1,732,168,000
Gross profit :
622,056,000
Operating
profit : 9,844,000 10,103,000 96,462,000
Profit before
tax : 114,936,000
Net income : 90,160,000
Non current
assets : 380,780,000
Current assets
: 353,274,000
Inventories : 309,421,000
Total assets :
64,747,000 59,379,000 734,054,000
Current
liabilities : 248,968,000
Non current
liabilities : 167,719,000
Total
liabilities : 23,867,000
24,688,000 416,687,000
Share equity :
40,880,000 34,691,000 317,367,000
Retained
earning : 76,434,000
Comments : The non
consolidated financial information above relates to the Subject only.
The group’s consolidated financial information above relates to
the Subject’s
Ultimate Holding Company The Warehouse Group Limited and all its
subsidiaries
which include the Subject.
Main
activities : The
Subject engages in import and retail sales of stationary, office and
technology products through its 61 Warehouse Stationery
stores.
The Subject also sells its products online via www.warehousestationery.co.nz.
The Subject is ultimately owned by The Warehouse Group Limited.
The Warehouse Group Limited is New Zealand-based retailer
providing a
range of products from clothing, entertainment, technology and
music to
sporting, gardening and grocery. It has two segments in the New
Zealand
retail sector. Its segments include The Warehouse, Warehouse
Stationery
and Other Group operations. As of 29 July, 2013, The Warehouse was
a
general merchandise and apparel retailer, with 92 stores located
throughout New Zealand, and Warehouse Stationery was a stationery
retailer, with 61 stores located throughout New Zealand. Other
Group
operations include the Company’s property operations, which own a
number of stores and distribution centers occupied by the other
business
segments. This segment also includes its corporate function and a
chocolate factory, which supplies product to The Warehouse.
Product & services :
Stationary
products: Pens, erasers, pencils, markers etc.
School
Supplies
Paper and
Books
Art Supplies
Craft &
Party Supplies
Filing &
Storage products
Gift Cards
Ink &
Toner
Office
Supplies
Office
Furniture
Office
Equipments
Postage &
Packaging products
Storage Boxes
& Baskets
Technology
products: calculators, scanners, printers, computers, tablets,
mobile phones
etc.
Brand :
WAREHOUSE
STATIONERY
Purchases
Local : Yes
International
: Mainly from Asia, Europe, United
States
Sales
Local : Yes
International
: No exports.
Key events : 30 July 2013
Warehouse Stationery cranks out the colours for big brand
refresh
Warehouse Stationery has embarked on its biggest brand
transformation in
22 years, and it's all about the new, with a new logo, new
colours, new
instore environments and a new brand campaign from its new agency
.99.
Warehouse Stationery opened its first store in Glenfield in
October 1991.
When it first started it was branded as ‘The Warehouse Stationery’
and
featured Warehouse red. But the name was changed to Warehouse
Stationery in 1996 and it settled on its trademark blue. Blue is
still the
colour of choice, but its 61 stores, the logo (which was designed
by .99)
and the new uniforms for its 1,000 staff, is now a more
contemporary
shade. Store upgrades and re-design will then flow through the
chain over
the next two years. Head of marketing Cathy Atkins says the
investment is
commercially sensitive, but says it's a multi-million dollar
rebrand.
These changes flow from extensive customer research and
consultation
and it is the latest stage in a four year journey that aimed to
transform the
business from a traditional stationery and office supplies
retailer into a
place to go for, as the slogan now says, ‘everything you need to
work,
study, create, connect’, whether it be mobile phones, technology
(it is an
authorised Apple reseller), furniture, and arts and crafts.
Atkins says it has been adding these products over the years to
better
meet its customers' needs, but, with research showing many
customers
weren't aware of its increased range and a desire for more revenue
growth,
"it was time to pull it all together" and "future
proof the brand".
Warehouse Stationery has enjoyed 16 consecutive quarters of same
store
sales growth and has over $200 million in revenue (financial
results for the
Warehouse Group are out in three or four weeks). It's also
"achieved
industry leading levels of team engagement" and is moving
into the
services business, being New Zealand’s only national print and
copy chain
offering the ‘BizRewards’ account programme and providing full
online
capability, with a ‘click and collect’ offering soon to come.
"In addition to providing the hard goods to our consumers,
the research
showed we're seen as a friendly and helpful retailer. They trust
us for our
advice." And, as it moves into the tech space, that means it
needs to upskill
on product knowledge.
"We always strive to put our customers first and the changes
are founded
on what customers have told us they want from us in the future. It
provides
a platform for continuing the growth of the business," says
Warehouse
Stationery chief executive Pejman Okhovat in a release.
Okhovat says the company’s investment in its team members,
including
extensive training and the recently announced career retailer
wage, meant
customers could rely upon quality, independent advice.
“Our team members are not paid commission to sell a particular
product or
a brand and this means that they can focus entirely on what the
customer
wants and needs, without the temptation to put personal commission
and
incentives first ... All this adds up to an exciting improvement
for
customers.”
From an advertising point of view, stationery isn't the sexiest of
subjects.
But Atkins says the colourful, energetic new ads, which were shot
by .99's
in-house film production unit and feature a fair swag of
stop-motion, are
much more contemporary and do a good job of showcasing the range
of
products on offer in an interesting way.
“It was an incredible opportunity to work with Warehouse
Stationery on an
entirely new campaign from the logo to the stores to the
advertising, and
we’re really proud of the result," says executive creative
director Craig
Whitehead. "It’s a fantastic demonstration of what .99 can do
for retailers,
and shows the power of our market-leading in-house services. We
can’t
wait to see the tills ringing even louder for Warehouse
Stationery.“
Warehouse Stationery spent over $20 million on advertising last
year
according to Nielsen AIS figures (which are based on ratecard
spend). The
recent pitch didn't involve media, which is held by Starcom, or
below-the-line, which is held by Federation.
Source: www.stoppress.co.nz
Property &
Assets
Premises : The Subject operates from
premises at the verified heading address
consisting of a warehouse and an administrative office.
Branches : In addition, the Subject
operates from 61 retail stores under the name Warehouse
Stationery.
Gross Domestic
Products (GDP) & Economic Overview
Central bank : Reserve
Bank of New Zealand
Reserve of
foreign exchange & gold : US$
20.562 billion
Gross domestic
product - GDP : US$
180.548 billion
GPP
(Purchasing power parity) : 126.628
billion of International dollars
GDP per capita
- current prices : US$
40,454
GDP -
composition by sector : agriculture:
4.7%
industry: 24%
services: 71.3%
Inflation : 2009:
2.1%
2010: 2.3%
2011: 4%
Unemployment
rate : 2009:
6.1%
2010: 6.5%
2011: 6.5%
Public debt
(General
Government gross debt as
a % GDP) 2009: 26.1%
2010: 32.3%
2011: 37%
Government
bond ratings : Standard
& Poor's: AA+/Stable/A-1+
Moody's rating: Aaa
Moody's outlook: STA
Market value
of publicly traded shares US$67.061
billion
Largest
companies in the country : Westpac
Limited, Transpower, Fletcher Building Limited,
National Bank of New Zealand, Fonterra Co-Operative Group Ltd, Air
New Zealand Limited, The Warehouse Group Limited, Progressive Enterprises Ltd
Trade &
Competitiveness Overview
Total exports
: US$33.24
billion
Exports
commodities : Dairy
products, meat, wood and wood products, fish, machinery
Total imports
: US$31.11
billion
Imports
commodities : Machinery
and equipment, vehicles and aircraft, petroleum, electronics,
textiles, plastics
Export - major
partners : Australia
22%, US 11.5%, Japan 9.2%, China 5.3%, UK 4.6%
Import - major
partners : Australia
20.7%, China 13.4%, US 9.7%, Japan 9.5%, Singapore 4.9%,
Germany 4.7%
FDI Inflows : 2008:
US$4,598 million
2009: US$-1,293 million
2010: US$561 million
FDI Outflows :
2008:
US$462 million
2009: US$-308 million
2010: US$589 million
Best countries
for doing business : 3 out of 183
countries
Global
competitiveness ranking : 25
(ranking by country on a basis of 142, the first is the best)
Country and
Population Overview
Total
population : 4.37
million
Total area : 270,467 km2
Capital : Wellington
Currency : New Zealand
dollars (NZD)
Internet users
as % of total
Population 83%
Purchase Term
International
: L/C,
Telegraphic transfer, D/P, Credit 30-120 days
Sales Term
Local : Cash,
Credit card
Trade Reference/
Payment Behaviour
Comments : As local and
international trade references were not supplied, the Subject's
payment track record history cannot be appropriately determined
but based
on our research, payments are believed to be met without delay.
Investigation Note
Sources : Interviews and
material provided by the Subject
Other official and local business sources
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.63.79 |
|
UK Pound |
1 |
Rs.100.70 |
|
Euro |
1 |
Rs.84.67 |
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%)
This report is issued at your request without any
risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL)
or its officials.