MIRA INFORM REPORT

 

 

Report Date :

11.04.2014

 

IDENTIFICATION DETAILS

 

Name :

MINDANAO CONTAINER CORPORATION

 

 

Registered Office :

Brgy. Katipunan, Poblacion Villanueva, Misamis Oriental 9002

 

 

Country :

Philippines

 

 

Financials (as on) :

2010

 

 

Date of Incorporation :

13.07.1989

 

 

Legal Form :

Private Corporation

 

 

Line of Business :

Manufacture of Steel drums and container

 

 

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 :

Unknown

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 – december 01, 2013

 

Country Name

Previous Rating

(30.09.2013)

Current Rating

(01.12.2013)

Philippines

B1

A2

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 


 

PHILIPPINES ECONOMIC OVERVIEW

 

The economy has weathered global economic and financial downturns better than its regional peers due to minimal exposure to troubled international securities, lower dependence on exports, relatively resilient domestic consumption, large remittances from four- to five-million overseas Filipino workers, and a rapidly expanding business process outsourcing industry. The current account balance had recorded consecutive surpluses since 2003; international reserves are at record highs; the banking system is stable; and the stock market was Asia's second best-performer in 2012. Efforts to improve tax administration and expenditure management have helped ease the Philippines' tight fiscal situation and reduce high debt levels. The Philippines has received several credit rating upgrades on its sovereign debt, and has had little difficulty tapping domestic and international markets to finance its deficits. Economic growth in the Philippines averaged 4.5% during the MACAPAGAL-ARROYO administration, but poverty worsened during her term. Growth has accelerated under the AQUINO government, but with limited progress thus far in bringing down unemployment, which hovers around 7%, and improving the quality of jobs. Underemployment is nearly 20% and more than 40% of the employed are estimated to be working in the informal sector. The AQUINO administration has been working to boost the budgets for education, health, cash transfers to the poor, and other social spending programs, and is relying on the private sector to help fund major infrastructure projects under its Public-Private Partnership program. Long term challenges include reforming governance and the judicial system, building infrastructure, improving regulatory predictability, and the ease of doing business, attracting higher levels of local and foreign investments. The Philippine Constitution and the other laws continue to restrict foreign ownership in important activities/sectors (such as land ownership and public utilities)

 

Source : CIA

 

Company name and address

 

Company:                 MINDANAO CONTAINER CORPORATION

Address:                   Brgy. Katipunan, Poblacion Villanueva, Misamis Oriental 9002

Country:                    Philippines

Telephone No.:          88 (02) 892-4304;  840-5884

Service Type:            Normal

                         

 

FINDINGS:

 

We conducted research and verification on MINDANAO CONTAINER. CORP. Hereunder, our report, viz:

 

 

VERIFICATION WITH SECURITIES & EXCHANGE COMMISSION (SEC):  MINDANAO CONTAINER CORP.

 

 

Legal Entity  -  PRIVATE CORPORATION

 

 

REGISTRATION

 

(Per 2013 SEC General Information Sheet)

             

Certificate No.                                  :       0000165831       

Date                                                :      July 13, 1989 

Term                                                :      Fifty (50) years

Taxpayer ID No.                               :       000-132-794

 

Address                                           :                Brgy. Katipunan, Villanueva, Misamis Oriental

Liason Office                                    :               6th floor, Twin Cities Condominium, 110 Legazpi Street,

             Legazpi Village, Makati City 1229, Philippines

Telephone No.                                   :                +63(2) 892-4304 / 840-5884

Fax No.                                              :             +63(2)  817-9508

 

 

PRIMARY PURPOSE                

 

 Manufacture of Steel drums and container.

 

(NOTE:  Unless otherwise specified, the amount is in Philippine Peso (Php) )

 

  


 

CAPITALIZATION                                           

                                                                                                                                          

No. of Shares               Par Value/share                    Amount

 

Authorized Capital Stock  -

 

Common              -                    500,000   -                 100.                 -    50,000,000.

 

Subscribed & Paid Up

 

Common             -                      446,411                                                   -     44,641,100.

 

           

SHAREHOLDERS / DIRECTORS / OFFICERS 

 

Name

Position

    Amount Paid Up

1. Ana Ines D.S. Ugarte

Vice President

           8,035,300.

2. MMM Holdings, Inc.

----------

           7,320,800.

3. Miguel Angel/Claudine B. Ugarte

 Vice Chairman/Treasurer

           4,240,700.

4. ROMMOR MGT. & DEV. CORP.

----------

           3,794,300.

5. TRICOR MGT. & DEV. CORP.

----------

           3,794,300.

6.  KAMORA Holdings, Inc.

----------

           2,790,000.

7. MAMORA Holdings, Inc.

----------

           2,790,00.

8.  MH MGT. & DEV. CORP.

----------

           2,790,000.

9.  MIMORA Holdings, Inc.

----------

           2,790,000.

10.  MONTROSE Holdings, Inc.

----------

           2,455,200.

11. Bernandina Perez

----------

           1,830,100.

12. Marilene Pereyra Jacinto

----------

           1,339,300.

13. Ignacio Jose B. Ugarte

----------

              669,600.

14.  Manuel M. Moraza

----------

                    200.

15.  Kathleen Anne M. Ryan

----------

                    200.

16. Mark Edward Moraza

----------

                    200.

17. Melanie Moraza Armstrong

----------

                    200.

18. Mercedes Gimenez

----------

                    200.

19. Michael Patrick Moraza

Chairman

                    200.

20. Jose Luis U. Yulo Jr.

----------

                    100.

21. Remedios M. Romero-Salas

----------

                    100.

22. Jose Luis Romero Salas Jr.

President

                    100.

23. Junita N. Dayao

Corporate Secretary

        ­­        NIL      

                                      Total  Paid-Up Capital:                                 44,641,100.

                                                                                                         vvvvvvvvvvvv

 

 

BUSINESS ACTIVITY 

 

As gathered, subject firm was established in 1989 by A. Soriano Corporation and Aboitiz & Company and years later, Grupo F. Jacinto invested into the corporation. In 2004, a group of companies managed by Manuel Moraza and Inaki Ugarte took ownership of the company.

Mindanao Container Corporation (MCC) specializes in the production and marketing of high quality 210-liter steel drums. The main products are tight head and top-open head steel drums lined with food-grade internal material to be used as containers for export of juice concentrates and oleochemical products (e.g. tertiary amines, fatty al- cohol products, etc.). MCC Plant is located in Villanueva, Misamis Oriental which is situated in Northern Mindanao.

 

MCC Production/Process

 

Cold Rolled Coil Steel Material - Maintain technically pre-qualified suppliers of Cold Rolled Coil. Supply conform with JISG 3141 Class SPCC-SD utilized for making the drum body, bottom-end and covers.

 

Drum External Paint -  Work with technically and commercially accredited paint manufacturers. Unless specified otherwise, it utilizes baking type enamel paint.

 

Drum Internal Paint -  Utilizes Epoxy Phenolic Lacquer coating for the internal lining, compliant with US FDA Regulation 21 CFR, Section 175.300, Sub Part C. In paint application, adopts the advanced and automated paint spray technology of Nordson. The internal paint is oven cured.

 

Continuous Type Oven Configuration -  Utilizing a conveyorized and continuous oven configuration for the external and internal paint curing.

 

 

Main Plant Address              :           Poblacion Villanueva, Misamis Oriental 9002, Philippines

Telephone No.                  :           +63(88) 567-0347/0317/0277

Fax No.                             :               +63 (88) 567-0347

 

Liaison Office  Address         :             6th floor, Twin Cities Condominium, 110 Legazpi Street,

Legazpi Village, Makati City, NCR.

Telephone No.                  :                  +63(2) 892-4304    +63(2) 840-5884   +63(2) 750-2394

Fax No.:                                              +63(2) 892-5369

 

E-mail                                   :             info@mincon.com.ph

 

 

 

 

 

FINANCIAL CONDITION

 

(Audited Financial Statement for years 2010, 2009, & 2008, as compiled)

 

 (NOTE:  Latest on file with SEC)

 

 

BALANCE SHEET

 

ASSETS

Current Assets

2010

2009

2008

Cash

9,780,568

2,991,304

3,467,703

Receivables – Net

37,815,826

39,239,346

25,740,574

Inventories

37,201,064

33,793,501

82,522,274

Input Taxes

34,508,410

33,604,372

30,181,680

Prepayments

                     472,393

                    603,298

           875,714

Total Current Assets

  119,778,261

  110,231,821

  142,787,945

Non-Current Assets

 

 

 

Property and Equipment – Net

7,654,842

9,808,411

13,746,352

Available-for-sale and Investment

25,500

21,150

21,150

Other Non Current Assets

1,028,654

1,104,918

1,576,705

Total Non-Current Assets

  8,708,996

  10,934,479

  15,344,207

Total Assets

 128,487,257

vvvvvvvvvvvvv

121,166,300

vvvvvvvvvvvv

 158,132,152

Vvvvvvvvvvvv

LIABLITIES AND EQUITY

Current Liabilities

 

 

 

Accounts Payable & Accrued Expenses

9,166,971

11,419,384

4,755,402

Liabilities under Trust Receipts

NIL

NIL

50,738,317

Income Tax Payable

1,997,428

2,390,422

1,213,625

Loans Payable

39,550,000

33,883,717

35,000,000

Other Current Liabilities

696,308

936,230

8,990,158

Total Current Liabilities

  51,410,707

 48,629,753

 100,697,502

Non- Current Liabilities

 

 

 

Deferred Tax Liability

1,305

NIL

NIL

Total Liabilities

 51,412,012

  48,629,753

  100,697,502 

                 Equity

 

 

 

Total Equity

 77,075,245

  72,536,547

57,434,650

Total Liabilities and Equity

 128,487,257

vvvvvvvvvvvvv

 121,166,300

vvvvvvvvvvvvv

  158,132,152

vvvvvvvvvvvvvv

 

 

 

 

 

 

 

 

INCOME STATEMENT

 

 

 

 

 

Net Sales

207,658,445

187,484,639

186,776,247

Cost of Goods Manufactured and Sold

158,380,446

140,854,434

138,831,643

Gross Income

  49,277,999

  46,630,205

  47,944,604

Interest Income

13,101

11,461

11,652

Miscellaneous Income

3,525,513

1,943,377

1,993,039

Net Operating Income

  52,816,613

  48,585,043

  49,949,295

Total Operating Expenses

  19,290,503

  19,670,960

  18,225,960

Income from Operations

  33,526,110

  28,914,083

  31,723,335

Finance Costs

                  3,576,066

4,081,948

6,373,021

Income Before Tax Expense

  29,950,044

  24,832,135

  25,350,314

Tax Expense

8,983,090

7,447,620

8,870,673

Net Income

  20,966,954

vvvvvvvvvvvv

  17,384,515

vvvvvvvvvvvv

  16,479,641

vvvvvvvvvvvv

 

 

 

 


 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.60.21

UK Pound

1

Rs.101.05

Euro

1

Rs.83.33

 

INFORMATION DETAILS

 

Analysis Done by :

SUB

 

 

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%)

 

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.