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Report Date : |
22.09.2013 |
IDENTIFICATION DETAILS
|
Name : |
RAYOVAC GUATEMALA SA |
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Registered Office : |
Colonia Santa Isabel Jocotales, Zona 6 Guatemala City |
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Country : |
Guatemala |
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Date of Incorporation : |
February 1961 |
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Legal Form : |
Stock Company |
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Line of Business : |
Manufacture of batteries (dry) and in a lesser extent
release paper used in the manufacture of batteries. |
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No. of Employees : |
220 |
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 |
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Status : |
Satisfactory |
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Payment Behaviour : |
Slow but correct |
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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) |
|
Guatemala |
B1 |
B1 |
|
Risk Category |
ECGC
Classification |
|
Insignificant |
A1 |
|
Low |
A2 |
|
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 |
GUATEMALA - ECONOMIC
OVERVIEW
Guatemala is the most populous country in Central America
with a GDP per capita roughly one-half that of the average for Latin America and
the Caribbean. The agricultural sector accounts for 13% of GDP and 38% of the
labor force; key agricultural exports include coffee, sugar, bananas, and
vegetables. The 1996 peace accords, which ended 36 years of civil war, removed
a major obstacle to foreign investment, and since then Guatemala has pursued
important reforms and macroeconomic stabilization. The Dominican
Republic-Central American Free Trade Agreement (CAFTA-DR) entered into force in
July 2006 spurring increased investment and diversification of exports, with
the largest increases in ethanol and non-traditional agricultural exports.
While CAFTA-DR has helped improve the investment climate, concerns over
security, the lack of skilled workers and poor infrastructure continue to
hamper foreign direct investment. The distribution of income remains highly
unequal with the richest 20% of the population accounting for more than 51% of
Guatemala's overall consumption. More than half of the population is below the
national poverty line and 13% of the population lives in extreme poverty.
Poverty among indigenous groups, which make up 38% of the population, averages
73% and extreme poverty rises to 28%. Nearly one-half of Guatemala's children
under age five are chronically malnourished, one of the highest malnutrition
rates in the world. Given Guatemala''s large expatriate community in the United
States, it is the top remittance recipient in Central America, with inflows
serving as a primary source of foreign income equivalent to nearly two-fifths
of exports or one-tenth of GDP. Economic growth fell in 2009 as export demand
from US and other Central American markets dropped and foreign investment
slowed amid the global recession. The economy gradually recovered in 2010-12
Source
: CIA
|
IDENTIFICATION |
|
|
COMPANY NAME |
RAYOVAC
GUATEMALA SA |
|
TRADE NAME |
RAYOVAC GUATEMALA |
|
TAX ID TYPE |
NIT |
|
TAX ID NUMBER |
33196-1 |
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CURRENT STATUS |
Active |
|
MAIN ADDRESS |
Colonia Santa Isabel Jocotales, Zona 6 |
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CITY/PROVINCE/STATE |
Guatemala City |
|
PHONE NUMBER(S) |
(502)2422.8000 |
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FAX NUMBER |
(502)2289.1765/2422.8049 |
|
|
cortiz@gt.rayovac.com |
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WEB SITE |
www.la.rayovac.com (Group's website) |
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PAYMENT HISTORY |
EP. A: PAYMENTS USUALLY PROMPT |
|
COMMENTS OF IDENTIFICATION.- |
Another e-mail address: productos@gt.rayovac.com The present report was ordered as: RAY O VAC. Please be advised that the correct name of the subject is as shown in the heading. Also, it was ordered with address: 28 Calle B Final Lote 2, Colonia San Rafael Zona 6, 01006 Guatemala City, which corresponds to a branch of the subject. Please note that the main address of the subject is the one shown in caption. |
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LEGAL ASPECTS |
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LEGAL STATUS |
Stock Company |
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INCORPORATION DATE |
February 1961 |
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REGISTERED IN |
Guatemala City |
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DURATION |
Unlimited |
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REGISTRATION |
No.255, Folio No.5, Book 2 |
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PAID-UP CAPITAL |
Q.3,500,000.00 Quetzales |
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TYPE OF SHARES |
Registered shares |
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LISTED AT STOCK EXCHANGE |
NO |
|
RATE OF EXCHANGE |
US$1.00 = Q.7.91 (as of report date) |
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BACKGROUND (HISTORY).- |
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|
The subject was originally incorporated in February 1961, with company name DURALUX SA. Later, on 20/05/1971, subject was registered in the Public Registry , and on 16/10/1971, it was entered into the Commercial Registry. By Public Deed, dated 13/04/2000, before Notary Anabella Bruni de Bermudez, subject changed its company name to current one shown in caption: RAYOVAC GUATEMALA SA. |
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COMMENTS RELATED COMPANIES |
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|
The subject is subsidiary of RAYOVAC CORPORATION (USA), which in turn is subsidiary of SPECTRUM BRAND Group. RAYOVAC CORPORATION is a corporation with companies around the world. It also has distribution centers in the USA, Canada, Hong Kong and Latin America, as well as sales offices in the USA, Canada, Hong Kong, Argentina, Chile, Colombia, Dominican Republic, El Salvador, Grand Cayman Island, Guatemala, Mexico, Honduras and Venezuela. It is a global company of consumer products. |
|
Current Credit Limit:
maximum credit figure of US$250,000.00 Dollars
|
CREDIT OPINION |
|
COMMENT: The subject is an industrial company with 52 years in the market, which seems to be operating normally. It holds good equity back up and it is part of a solid business group. Besides, it counts with positive trading references. Hence, we consider it is suitable for a maximum credit figure of US$250,000.00 Dollars. |
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CREDIT OPINION |
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COMMENT: The subject is an industrial company with 52 years in the market, which seems to be operating normally. It holds good equity back up and it is part of a solid business group. Besides, it counts with positive trading references. Hence, we consider it is suitable for a maximum credit figure of US$250,000.00 Dollars. |
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BOARD OF DIRECTORS-EXECUTIVES-SHAREHOLDERS |
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NAME |
JOB TITLE |
% STAKE |
|
JONES, DAVID |
President |
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FLORES SALAS, LUIS EDUARDO |
Production Manager |
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|
ORTIZ, CARLOS ALFREDO |
Commercial Manager |
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DOMINGUEZ OAJACA, CLAUDIA PATRICIA |
Proxy |
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CABALLEROS POLANCO, JUAN JOSE ULISES |
Proxy |
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MONTES MARROQUIN, RENE |
Proxy |
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SANCHEZ , HELEM |
Accountant |
|
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RAYOVAC CORPORATION (USA) |
Shareholder |
100% |
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LITIGATIONS |
|
No detrimental against the subject were found. |
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PAID-UP CAPITAL |
Q.3,500,000.00 Quetzales |
|
TYPE OF SHARES |
Registered shares |
|
SHAREHOLDERS |
||
|
NAME |
JOB TITLE |
% STAKE |
|
RAYOVAC CORPORATION (USA) |
Shareholder |
100% |
|
PAYMENTS |
|
|
TRADE REFERENCES |
|
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TYPE OF SUPPLIER |
NATIONAL |
|
ACCOUNT OPENED |
Since 25 years ago |
|
CREDIT FACILITIES |
Q.500,000.00 Quetzales |
|
MONTHLY AVERAGE |
Q.200,000.00 Quetzales |
|
DEADLINES |
Terms at 30 days |
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PRODUCTS SOLD |
Packing material |
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RATING |
PROMPT |
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COMMENTS.- |
Payments by checks. |
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TYPE OF SUPPLIER |
NATIONAL |
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ACCOUNT OPENED |
Since July 2004 |
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CREDIT FACILITIES |
Q.3,000,000.00 Quetzales |
|
MONTHLY AVERAGE |
Q.1,400,000.00 Quetzales |
|
DEADLINES |
Terms at 60 days |
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PRODUCTS SOLD |
Packing material |
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RATING |
PROMPT |
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COMMENTS.- |
Payments via bank transfers. Last Purchase: August 2013 |
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|
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TYPE OF SUPPLIER |
INTERNATIONAL |
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ACCOUNT OPENED |
Since 2010 |
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CREDIT FACILITIES |
In cash |
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PRODUCTS SOLD |
Mechanical products |
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RATING |
WITHOUT CREDIT EXPERIENCE |
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COMMENTS.- |
Rated as Good Client. |
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CREDIT FILES |
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Other consulted suppliers did not provide information about their clients as per confidentiality policies. |
|
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LOCAL SUPPLIERS |
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|
Name |
Contact |
Telephone |
|
CAJAS Y EMPAQUES DE GUATEMALA SA |
Marco Tulio Delgado |
(502) 2424.3300 |
|
TAPAMETAL DE
GUATEMALA |
Edwin Amado |
(502) 6628.0500 |
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CENTRAL DE
EMPAQUES SA |
Monica Maza |
(502) 2326.5600 |
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BIC DE
GUATEMALA |
Cindy Alvizur |
(502)2422.8000 |
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FOREIGN SUPPLIERS |
|||
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Name |
Contact |
Telephone/fax |
Country |
|
INTERMEC SA |
Angela Corrales |
(57-1) 742.8300 |
COLOMBIA |
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GRILLO WERKE AKTIENGESELLSCH AFT |
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GERMANY |
|
OTTO WOOLF |
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GERMANY |
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SIFA PLAST SPA |
|
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ITALY |
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CIA. MINERA
AUTLAN SA DE CV |
|
(52-81) 8152.1500 |
MEXICO |
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DALAS GROUP |
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U.S.A. |
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EURO CONTROL |
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SPAIN |
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UNION MINES |
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BELGIUM |
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MITSUICO |
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JAPAN |
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CHEVRON CHEMICAL |
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U.S.A. |
|
RAY-O-VAC |
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JAPAN |
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ASIA TRADING |
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TAIWAN |
|
RAYOVAC DE
MEXICO SA DE CV |
|
(52-55) 5565.5000 |
MEXICO |
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DAISCHI CARBON |
|
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JAPAN |
|
DRIFELL TRADING |
|
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SOUTH AFRICA |
|
MICROLITE SA |
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(55-11)
2147-2111 |
BRAZIL |
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OVERSEAS TRADING CONRAD JACOBSON GMBH |
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GERMANY |
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JIAOZUO XINDA CHEMICAL INDUSTRY CO LTD |
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CHINA |
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PANASONICCARBON ANYANG CO LTD |
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CHINA |
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DENKA SINGAPORE
PTE LTD |
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SINGAPORE |
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DELTA EMD PTY
LTD |
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SOUTH AFRICA |
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RELATED COMPANIES |
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NAME |
TAX ID. NUMBER |
COUNTRY |
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DISTRIB. RAYOVAC
GUATEMALA SA |
32121-4 |
GUATEMALA |
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INDUSTRIAS DE
PILAS SA |
HE9LX-4 |
HONDURAS |
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RAYOVAC CHILE SOC. COM. LTDA |
77.373.620-0 |
CHILE |
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RAYOVAC DE
MEXICO SA DE CV |
ROV-730726-UYO |
MEXICO |
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RAYOVAC DE
VENEZUELA SA |
J-07506682-0 |
VENEZUELA |
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RAYOVAC
DOMINICANA SA |
10100952-7 |
DOMINICAN REPUBLIC |
|
RAYOVAC EUROPA LIMITED |
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ENGLAND |
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RAYOVAC FAR EAST LIMITED |
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HONG KONG |
|
RAYOVAC-VARTA
SA |
890803029 |
COLOMBIA |
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COMMENTS ON LEGAL ASPECTS .- |
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The subject is member of the Chamber of Industry of Guatemala. Besides, it is member of the American Chamber of Commerce in Guatemala. |
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FINANCIAL
INFORMATION |
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CONTENT.- |
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We had an interview with Miss Brenda de Cano (Accounting Department), who only supplied general data on the subject, declining to furnish commercial data for considering it as confidential. Therefore, we had to consult the outside sources; however, they did not provided us with financial statements, neither. The subject is an industrial company with long experience in business which registers no detrimentals regarding its trade operations. The subject is an industrial company incorporated in 1961, which registers no detrimentals regarding its commercial operations. COUNTRY CONTEXT - GUATEMALA: The below information has been obtained from a highly regarded public source that issues comments on all of worlds? countries. Taxes: · Guatemalan income tax: 5% on the net profit-business: · Alphabetic currency code for every country by the International Organization for Standardization (ISO) 4217:Quetzal (GTQ). Main economic indicators: · External debt: US$16.17 billion (31 December 2012 est.) · International net reserves: US$6.311 billion (31 December 2012 est.) · Inflation rate forecasted : 4% (2012 est.) · GDP real growth rate: 3.1% (2012 est.) · Annual GDP per capita: US$5,200 (2012 est.) GDP - composition by sector: agriculture: 13% industry: 23.8% services: 63.2% (2012 est.) · Labuor force of 5.571 million people divided by: agriculture: 38% industry: 14% services: 48% Unemployment rate: 4.1% (2011 est.) Productivity sectors: Agriculture - products: sugarcane, corn, bananas, coffee, beans, cardamom; cattle, sheep, pigs, chickens · Industrial- products:: sugar, textiles and clothing, furniture, chemicals, petroleum, metals, rubber, tourism Foreign trade: Exports: US$9.864 billion (2012 est.) country comparison to the world: 95 Exports - commodities: coffee, sugar, petroleum, apparel, bananas, fruits and vegetables, cardamom Exports - partners: US 37.9%, El Salvador 10.5%, Honduras 6.8%, Mexico 5.1% Imports: US$15.57 billion (2012 est.) country comparison to the world: 86 Imports - commodities: fuels, machinery and transport equipment, construction materials, grain, fertilizers, electricity, mineral products, chemical products, plastic materials and products Imports - partners: US 40.4%, Mexico 11.6%, China 8.2%, El Salvador 4.5% Final Brief: Commercial Country Risk: LOW Political Country Risk: LOW |
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INSURANCE.- |
|
The subject holds an insurance policy against all-risk, with SEGUROS EL ROBLE SA, valid until 30/09/2013, with a coverage amount of US$25,000,000.00 Dollars. |
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RATE OF EXCHANGE |
US$1.00 = Q.7.91 |
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OPERATIONS |
|
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SECTOR |
1.-INDUSTRY |
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ACTIVITY |
ELECTRICAL MATERIALS |
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ISIC CATEGORY |
D-MANUFACTURING INDUSTRIES (ELABORATION, MANUFACTURING, PRODUCTION, PUBLISHING, CASTING, CONSTRUCTION) |
|
ISIC CLASS |
3140-Manufacture of accumulators, primary cells and primary batteries |
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MAIN ACTIVITY |
The subject is engaged in the manufacture of batteries (dry) and in a lesser extent release paper used in the manufacture of batteries. Products: batteries (alkaline batteries, dry electric batteries). House brand: "RAY-O-VAC" |
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% CASH SALES/PAYMENT METHOD |
5% |
|
% CREDIT SALES/TERMS |
95% (Terms at 30, 45 and 60 days) |
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TERRITORY OF SALES |
62% (Domestic market) |
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% FOREIGN SALES |
38% |
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N. OF EMPLOYEES |
220 |
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LOCATION |
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ADMINISTRATIVE OFFICES and INDUSTRIAL PLANT: Located at the address shown in caption, in an industrial zone of the city. Owned premises with a total area of 30,000sq.m. ANOTHER PREMISE: - 28 Calle B, Lt.2, Finca San Rafael, Jocotales, Zona 6. |
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COMMENTS OF OPERATIONS.- |
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The subject imports raw material from Germany, Colombia, Italy, USA, South Africa, Brazil, China, Singapore, Belgium, England, Spain, Japan and Mexico. Likewise, it exports batteries and release paper to France, Colombia, Mexico, Costa Rica, Nicaragua, Chile, Dominican Republic, Honduras and El Salvador. The 87% of raw material used in the manufacture of batteries is imported, being main ones: manganese, zinc, lampblack, asphalts, paper, etc. Imports are made against credit at 45, 60 days. Products are distributed 100% on a wholesale basis. In national market it operates through distributor: DISTRIBUIDORA RAYOVAC DE GUATEMALA SA. Likewise, in foreign market it also sells through distributors. The subject covers all the Guatemalan Republic, some of its clients are supermarkets, malls among others. |
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BANKERS / REFERENCE |
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Bank Name |
Account Number |
Account Officer |
Telephone |
Country |
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BANCO INDUSTRIAL SA |
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|
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GUATEMALA |
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BANCO UNO SA |
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|
GUATEMALA |
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CITIBANK DE
GUATEMALA SA |
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|
|
GUATEMALA |
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BANK COMENTS |
||||
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The subject performs trade and bank operations through the above banks, which reported well managed accounts. Without further details. |
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FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.62.24 |
|
|
1 |
Rs.99.90 |
|
Euro |
1 |
Rs.84.23 |
INFORMATION DETAILS
|
Report
Prepared by : |
NIS |
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.