MIRA INFORM REPORT

 

 

Report Date :

19.04.2014

 

IDENTIFICATION DETAILS

 

Name :

GLENCORE GRAIN PTY LIMITED

 

 

Formerly Known As :

BROOKS GRAIN PTY. LTD.

 

 

Registered Office :

Level 8, 484 St Kilda Road, Melbourne, Victoria, Zip/postal code 3004

 

 

Country :

Australia

 

 

Financials (as on) :

31.12.2013 (Group Consolidated)

31.12.2012 (Non-Consolidated )

 

 

Date of Incorporation :

18.09.2003

 

 

Com. Reg. No.:

106378885

 

 

Legal Form :

Australian Proprietary Company

 

 

Line of Business :

engaged in processing, handling, marketing, wholesale distribution and exporter of various types of grains such as wheat, corn, barley, rice, soybeans, oilseeds, edible oils and biodiesel.

 

 

No. of Employees :

43 employees (Subject); 57,656 employees (Glencore Xstrata Group)

 

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

 

Status :

Good

 

 

Payment Behaviour :

No Complaints 

 

 

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 31, 2014

 

Country Name

Previous Rating

(31.12.2013)

Current Rating

(31.03.2014)

Australia

A1

A1

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low Risk

 

A2

Moderately Low Risk

 

B1

Moderate Risk

 

B2

Moderately High Risk

 

C1

High Risk

 

C2

Very High Risk

 

D

 


austraLia ECONOMIC OVERVIEW

 

The Australian economy has experienced continuous growth and features low unemployment, contained inflation, very low public debt, and a strong and stable financial system. By 2012, Australia had experienced more than 20 years of continued economic growth, averaging 3.5% a year. Demand for resources and energy from Asia and especially China has grown rapidly, creating a channel for resources investments and growth in commodity exports. The high Australian dollar has hurt the manufacturing sector, while the services sector is the largest part of the Australian economy, accounting for about 70% of GDP and 75% of jobs. Australia was comparatively unaffected by the global financial crisis as the banking system has remained strong and inflation is under control. Australia has benefited from a dramatic surge in its terms of trade in recent years, stemming from rising global commodity prices. Australia is a significant exporter of natural resources, energy, and food. Australia's abundant and diverse natural resources attract high levels of foreign investment and include extensive reserves of coal, iron, copper, gold, natural gas, uranium, and renewable energy sources. A series of major investments, such as the US$40 billion Gorgon Liquid Natural Gas project, will significantly expand the resources sector. Australia is an open market with minimal restrictions on imports of goods and services. The process of opening up has increased productivity, stimulated growth, and made the economy more flexible and dynamic. Australia plays an active role in the World Trade Organization, APEC, the G20, and other trade forums. Australia has bilateral free trade agreements (FTAs) with Chile, Malaysia, New Zealand, Singapore, Thailand, and the US, has a regional FTA with ASEAN and New Zealand, is negotiating agreements with China, India, Indonesia, Japan, and the Republic of Korea, as well as with its Pacific neighbors and the Gulf Cooperation Council countries, and is also working on the Trans-Pacific Partnership Agreement with Brunei Darussalam, Canada, Chile, Malaysia, Mexico, New Zealand, Peru, Singapore, the US, and Vietnam.

 

Source : CIA

 


IDENTIFICATION DETAILS

 

Verified Address

Subject name :                          GLENCORE GRAIN PTY LIMITED

 

Other style / Business name :     BROOKS GRAIN

 

Business address :                    Level 8, 484 St Kilda Road

Town :                                      Melbourne

Province :                                 Victoria

Zip/postal code :                       3004

Country :                                   Australia

Tel :                                          +61 3 98642000

Fax :                                         +61 3 98642002

Website :                                  www.glencoregrain.com.au

 

 

Registered address :                 Level 8, 484 St Kilda Road

Town :                                      Melbourne

Province :                                 Victoria

Zip/postal code :                       3004

Country :                                   Australia

 

 

Postal address :                        P.O. Box 7656

Town :                                      St. Kilda Road

Province :                                 Victoria

Zip/postal code :                       8004

Country :                                   Australia

 

 

SUMMARY DETAILS

 

Executive Summary

Date founded or registered :      18/09/2003

Legal form :                              Australian Proprietary Company

Chief executive :                       David Mattiske

Issued & paid up capital :          AUD 18,000,000

Sales turnover :                         AUD 2,391,597,000 (Non-Consolidated 12 months, 31/12/2012)

Net income :                             AUD 32,638,000 (Non-Consolidated 12 months, 31/12/2012)

Total fixed assets :                    AUD 1,029,243,000 (Non-Consolidated 12 months, 31/12/2012)

Line of business :                      Processing, handling, marketing, wholesale distribution and export of various

types of grains.

Staff employed :                       43 employees (Subject); 57,656 employees (Glencore Xstrata Group)

           

 

CREDIT RISK OPINION

 

Credit Risk Interpretation

Credit risk theory :                     Sound financial and operational base. Small to medium credits may be

considered with confidence that the commitment will be sustained in almost all cases. This is based on criterions such as years of establishment, number of employees, sales turnover, profit after tax, total assets, reserve, and others. Normal credit control policy applies.

 

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

Organisation structure :              Organisational structure is consistent

Detrimental :                 No detrimental records 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.

 

STATUTORY DETAILS

 

Registry Data

Registration date :                     18/09/2003

Legal form : Australian               Proprietary Company

Registration no                          Australian Company Number: 106378885

Registered authority :                Australian Securities and Investments Commission

Fiscal/ Tax no :                                     Australian Business Number: 29106378885

Registry status :                        Live/Active

Previous name :                        BROOKS GRAIN PTY. LTD. (initial)

Change of legal form :               None reported.

 

 

MANAGEMENT / DIRECTORS

 

Key Management

Name :                                      David Mattiske

Designation :                            Managing Director


BOARD OF DIRECTORS/ OTHER APPOINTMENTS

 

Appointments

Name :                          Andreas Peter Hubmann

Designation :                Director

Appointment date :        19/12/03

Address :                      C/o GLENCORE INTERNATIONAL AG

Baarermattstrasse 3

6340 Baar

Switzerland

Biography :                   Born on 11-10-1966 in Zug, Switzerland.

 

 

Name :                          Ernest Christian Barend Mostert

Designation :                Director

Appointment date :        17/02/06

Address :                      Frankenslag 76

2582 HT Den Haag

The Netherlands

Biography :                   Born on 18-08-1964 in Pretoria, South Africa.

 

 

Name :                          David Mattiske

Designation :                Director

Appointment date :        01/06/11

Address :                      3 Hughes Street

Malvern East, VIC 3145

Australia

Biography :                   Born on 16-10-1976 in Box Hill, Victoria, Australia.

 

 

Name :                          Ian William Ritter

Designation :                Company Secretary

Appointment date :        17/10/11

Address :                      5 Skyline Drive

Keilor, VIC 3036

Australia

Biography :                   Born on 13-10-1977 in Melbourne, Victoria, Australia.

Staff employed :           43 employees (Subject); 57,656 employees (Glencore Xstrata Group)

 

 

Key Advisors

Auditors :                      DELOITTE TOUCHE TOHMATSU

550 Bourke Street

Melbourne, VIC 3000

Australia

 

 

SHARE CAPITAL

 

Composition

Authorized Capital :       AUD 18,000,000

No of shares :               18,000,000 Ordinary Shares

Share par value :           AUD 1

Issued capital :              AUD 18,000,000

Paid up capital :            AUD 18,000,000

 

 

OWNERSHIP / SHAREHOLDERS

 

How listed :                   Full List

 

Composition

Shareholder name :       GLENCORE INTERNATIONAL AG

Address :                      Baarermattstrasse 3

6340 Baar

Switzerland

 

No. of shares :              18,000,000 Ordinary Shares

% of shares :                100%

 

 

RELATED COMPANIES & CORPORATE AFFILIATIONS

 

Structure

Name :                          GLENCORE XSTRATA PLC

Affiliation type :                        Ultimate Holding Company

Address :                      Baarermattstrasse 3

6340 Baar

Switzerland

 

Comments :                  Glencore Xstrata Plc is a diversified natural resource company. The Company operates

in three segments: Metals and Minerals, which includes copper, nickel, zinc/lead, alloys, alumina/aluminum and iron ore; Energy Products, which includes controlled and non-controlled coal mining and oil production operations and investments in strategic handling, storage and freight equipment and facilities, and Agricultural Products, which focuses on grains, oils/oilseeds, cotton and sugar. The Companys operations consist of over 150 mining and metallurgical sites, offshore oil production assets, farms and agricultural facilities.

 

The Company is a producer and marketer of over 90 commodities, such as mobile phones, bicycles, cutlery, plastics and electricity.

Name :                          GLENCORE INTERNATIONAL AG

Affiliation type :                        Parent Company

Address :                      Baarermattstrasse 3

6340 Baar

Switzerland

Comments :                  Glencore International AG sources, produces, processes, refines, transports,

stores, finances, and supplies commodities. The company was formerly known as

Marc Rich & Co AG. The company is based in Baar, Switzerland. Glencore

International AG operates as a subsidiary of Glencore Xstrata Plc.

 

 

Name :                          GLENCORE GRAIN B.V.

Affiliation type :                        Sister Company

Address :                      Blaak 31

3011GA Rotterdam

Netherlands

 

 

Name :                          GLENCORE COMMODITIES LTD

Affiliation type :                        Sister Company

Address :                      50 Berkeley Street

London W1J 8HD

United Kingdom

 

 

Name :                          GLENCORE SINGAPORE PTE. LTD.

Affiliation type              Sister Company

Address :                      1 Temasek Avenue

#34-01, Millenia Tower

Singapore 039192

Singapore

 

Related companies and corporate affiliations comments :

Other companies of the Glencore Xstrata Group should be considered affiliates of the Subject.

 

 

BANK & MORTGAGES

 

Bank Details

Name of bank :                         Commonwealth Bank of Australia

Address :                      Australia

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

 

 

FINANCIAL DATA

 

Description

Source of financial statement :   Commercial Registry Filings

Financial statement date :          31/12/12

Type of accounts :                    Full audited

Currency :                                 Australia Dollar (AUD)

Exchange rate :                         1 USD = AUD 1.08 as of 27-03-2014

 

Summarized Financial Information

Consolidation type :                  Non Consolidated         Non Consolidated         Group Consolidated

Currency :                                 Australia Dollar (AUD)    Australia Dollar (AUD)    US Dollar (USD)

Denomination :                          (x1) One                        (x1) One                        (x1) One

Date of financial year end :        31/12/12                        31/12/11                        31/12/13

Length of accounts :                 12 months                     12 months                     12 months

Sale turnover / Income :             2,391,597,000                1,801,176,000                232,694,000,000

Gross profit :                            80,589,000                    43,267,000

Profit before tax :                      46,671,000                    19,025,000                    -7,044,000,000

Net income :                             32,638,000                    13,279,000                    -7,298,000,000

Non current assets :                  89,634,000                    2,007,000                      96,390,000,000

Current assets :                         939,609,000                  947,120,000                  58,542,000,000

Inventories :                              696,661,000                  592,148,000                  22,753,000,000

Total assets :                            1,029,243,000                949,127,000                  154,932,000,000

Current liabilities :                      923,034,000                  885,126,000                  46,042,000,000

Non current liabilities :               9,667,000                      97,000                          55,741,000,000

Total liabilities :                                     932,701,000                  885,223,000                  101,783,000,000

Share equity :                            96,542,000                    63,904,000                    53,149,000,000

Retained earning :                     78,542,000                    45,904,000                    49,824,000,000

 

 

Comments :                  The non-consolidated financial information above relates to the Subject only.

The group’s consolidated financial information above relates to Glencore Xstrata

PLC and all its subsidiaries which includes the Subject.

 

OPERATION DETAILS

 

Main activities :                         The Subject engages in processing, handling, marketing, wholesale distribution and

exporter of various types of grains such as wheat, corn, barley, rice, soybeans, oilseeds, edible oils and biodiesel.


The Subject is ultimately owned by Glencore Xstrata PLC.

 

Glencore Xstrata PLC engages in the production, sourcing, processing, refining, transporting, storage, financing, and supply of commodities worldwide. It operates in three segments: Metals and Minerals, Energy Products, and Agricultural Products. The Metals and Minerals segment engages in mining, smelting, refining, and warehousing copper, nickel, zinc/lead, alloys, alumina/aluminum, and iron ore products. The Energy Products segment activities include coal mining and oil production operations; and investments in handling, storage, and freight equipment and facilities. The Agricultural Products segment engages in the handling, processing, and storage of grains, such as wheat, corn, and barley; oilseeds, including soya beans and soft seeds; oil seed products, which include including edible oils and meals; and cotton and sugar. Glencore Xstrata PLC was formerly known as Glencore International PLC and changed its name to Glencore Xstrata PLC in May 2013. The company was founded in 1974 and is headquartered in Baar, Switzerland with presence and additional offices internationally.

 

Product & services :

·         Wheat

·         Corn

·         Barley

·         Rice

·         Soybeans

·         Oilseeds

·         Edible oils

·         Biodiesel

 

Purchases

Local :                          Yes

International :                Worldwide

 

Sales

Local :                          Yes

International :                Worldwide

 

Property & Assets

Premises :                    The Subject operates from premises at the verified heading address

consisting of an administrative office.

 

Branches :                    In addition, the Subject operates from the following branches located at:

 

124-130 South

Terrace Adelaide, SA 5000 Australia

Tel: +61 8 82117199

Unit 11, 142-154 South Terrace

Fremantle, WA 6160

Australia

Tel: +61 8 93355688


37-39 Moorong Street

Wagga, NSW 2650

Australia

Tel: +61 2 69218383

 

 

Unit 5, Business Central

136-140 Russell Street

Toowoomba, QLD 4350

Australia

Tel: +61 7 46381496

 

Other property :             Total NBV of property, plant and equipment as of 31-12-2012 was AUD

471,000

 

 

SUMMARIZED COUNTRY RISK

 

Gross Domestic Products (GDP) & Economic Overview

Central bank :                                        Reserve Bank of Australia

 

Reserve of foreign exchange & gold :    US$ 46.714 billion

 

Gross domestic product - GDP :            US$ 1.586 trillion

 

GPP (Purchasing power parity) :            954.296 billion of International dollars

 

GDP per capita - current prices :            US$ 68,916

 

GDP - composition by sector :             agriculture: 4%

industry: 25.6%

services: 70.4%

 

Inflation :                                              2010: 2.8%

2011: 3.4%

2012: 2.7%

 

Unemployment rate :                             2010: 5.2%

2011: 5.1%

2012: 5.2%

Public debt

(General Government gross debt as

a % GDP)                                             2010: 20.4%

2011: 22.9%

2012: 24%

 

Government bond ratings :                    Standard & Poor's: AAA

Moody's rating: Aaa

Moody's outlook: STA

Market value of publicly traded shares    : US$1.198 trillion

 

Largest companies in the country :         Qantas Airways (Airline),Coca-Cola Amatil (Beverages), CSL (Biotechs),

Brambles (Business & Personal Services),Crown Ltd (Casinos &  aming), Amcor (Containers & Packaging),Suncorp-Metway (Diversified Insurance), BHP Billiton (Diversified Metals & Mining),Newcrest Mining (Diversified Metals & Mining), Orica (Diversified Metals & Mining), Iluka Resources (Diversified Metals & Mining), Origin Energy (Electric Utilities), AGL Energy (Electric Utilities), Wesfarmers (Food Retail), Woolworths (Food Retail), Metcash (Food Retail), Macquarie Group (Investment services), AMP (Investment services), Challenger Ltd (Investment services), Fortescue Metals Group (Iron & Steel), Bluescope Steel (Iron & Steel), Commonwealth Bank (Major Banks), Westpac Banking Group (Major Banks), National Australia Bank (Major Banks), ANZ (Major Banks), Woodside Petroleum (Oil & Gas Operations), Santos (Oil & Gas Operations), Caltex Australia (Oil & Gas Operations), WorleyParsons (Oil Services & Equipment), Toll Holdings (Other Transportation), Transurban Group (Other Transportation), QBE Insurance Group (Property & Casualty Insurance), Insurance Australia Group (Property & Casualty Insurance), QR National (Railroads), Westfield Group (Real Estate), Stockland Australia (Real Estate), Westfield Retail Trust (Real Estate), Lend Lease (Real Estate), CFS Retail Property Trust (Real Estate), Goodman Group (Real Estate), Bendigo & Adelaide Bank (Regional Banks), Bank of Queensland (Regional Banks), Incitec Pivot (Specialized Chemicals), Telstra (Telecommunications Services)

 

Trade & Competitiveness Overview

Total exports :                           US$263.9 billion

Exports commodities :              Coal, iron ore, gold, meat, wool, alumina, wheat, machinery and transport

equipment

Total imports :                           US$239.7 billion

Imports commodities :               Machinery and transport equipment, computers and office machines,

telecommunication equipment and parts; crude oil and petroleum products

 

Export - major partners :            China 27.4%, Japan 19.2%, South Korea 8.9%, India 5.8%

Import - major partners :            China 18.5%, US 11.4%, Japan 7.9%, Singapore 6.3%, Germany 4.7%

 

FDI Inflows :                             2009: US$26,554 million

2010: US$35,556 million

2011: US$41,317 million

 

FDI Outflows :                           2009: US$16,693 million

2010: US$12,791 million

2011: US$19,999 million

Best countries for doing business : 10 out of 185 countries

 

Global competitiveness ranking : 20 (ranking by country on a basis of 144, the first is the best)

 

 

Country and Population Overview

Total population :                      22.68 million

Total area :                                7,692,024 km2

Capital :                                    Canberra

Currency :                                 Australian dollars (AUD)

Internet users as % of total

Population                                79%

 

PAYMENT HISTORY

PAY

Purchase Term

Local :                                      Bank transfer, D/P, D/A, Credit 30-120 days

International :                            L/C, Telegraphic transfer, D/P, D/A, Credit 30-120 days

 

 

Sales Term

Local :                                      Bank transfer, D/P, D/A, Credit 30-120 days

International :                            L/C, Telegraphic transfer, D/P, D/A, Credit 30-120 days

 

 

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.60.38

UK Pound

1

Rs.101.63

Euro

1

Rs.83.57

 

INFORMATION DETAILS

 

Report Prepared by :

NNA

 

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.