MIRA INFORM REPORT

 

 

Report Date :

04.12.2014

 

IDENTIFICATION DETAILS

 

Name :

ZALE CANADA, INC.

 

 

Registered Office :

900-1959 Upper Water Street, Halifax, Nova Scotia B3J 2X2

 

 

Country :

Canada

 

 

Date of Incorporation :

15.04.1999

 

 

Legal Form :

Corporation – Profit 

 

 

Line of Business :

Retailer of traditional jewelry items

 

 

No. of Employees :

1,000+

 

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 :

Satisfactory

 

 

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 – June 1, 2014

 

Country Name

Previous Rating

(31.03.2014)

Current Rating

(01.06.2014)

Canada

A1

A1

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 

 

CANADA - ECONOMIC OVERVIEW

 

As a high-tech industrial society in the trillion-dollar class, Canada resembles the US in its market-oriented economic system, pattern of production, and high living standards. Since World War II, the impressive growth of the manufacturing, mining, and service sectors has transformed the nation from a largely rural economy into one primarily industrial and urban. The 1989 US-Canada Free Trade Agreement (FTA) and the 1994 North American Free Trade Agreement (NAFTA) (which includes Mexico) touched off a dramatic increase in trade and economic integration with the US, its principal trading partner. Canada enjoys a substantial trade surplus with the US, which absorbs about three-fourths of Canadian merchandise exports each year. Canada is the US's largest foreign supplier of energy, including oil, gas, uranium, and electric power. Given its abundant natural resources, highly skilled labor force, and modern capital plant, Canada enjoyed solid economic growth from 1993 through 2007. Buffeted by the global economic crisis, the economy dropped into a sharp recession in the final months of 2008, and Ottawa posted its first fiscal deficit in 2009 after 12 years of surplus. Canada's major banks, however, emerged from the financial crisis of 2008-09 among the strongest in the world, owing to the financial sector's tradition of conservative lending practices and strong capitalization. Canada achieved marginal growth in 2010-13 and plans to balance the budget by 2015. In addition, the country's petroleum sector is rapidly expanding, because Alberta's oil sands significantly boosted Canada's proven oil reserves. Canada now ranks third in the world in proved oil reserves behind Saudi Arabia and Venezuela.

 

Source : CIA


Company name and address

 

Company name:            ZALE CANADA, INC.

Address:                                   1440 Don Mills Road, North York, Ontario M3B 3M1 - Canada

Reg. address:              900-1959 Upper Water Street, Halifax, Nova Scotia B3J 2X2 Canada

Telephone:                    +1 416-391-7739

Fax:                              +1 416-391-7870

Website:                                   www.zalecorp.com

 

 

Company Summary

 

Corporate ID#:              3265471

State:                           Nova Scotia

Judicial form:                Corporation – Profit 

Date incorporated:        August 2, 2012

Date founded:              April 15, 1999

Stock:                           -

Value:                           -

Name of manager:         Mark LIGHT

 

 

ACTIVITIES & OPERATIONS

 

History:

 

ZALE CANADA, INC. is issued from the merger of:

- ZALE CANADA DIAMOND SOURCING, INC.

- ZALE CANADA FINCO 1, INC.

- ZALE CANADA FINCO 2, INC.

- ZALE CANADA INC.

 

IST

 

Business:

 

Zale Canada Co. is a retailer of traditional jewelry items and operates 201 stores in 9 provinces.

The Canadian operations consist of 4 brands:

- Peoples Jewellers (146 stores)

- Mappins Jewellers (55 stores)

- Peoples

- Mackenzie’s Jewellers

- Mappins

 

Zale Canada Co. is based in North York, Canada.

 

Staff:                1,000+

 

Operations & branches:

 

At the headquarters, we find the corporate office.

 

The Company maintains 201 stores in Canada.

 

 

SHAREHOLDERS & MANAGERS

 

Shareholders:

 

ZALE CANADA HOLDING LP

1000-44 Chipman Hill, CP 7289

St John, New Brunswich E2L 4S6

Canada

 

Which is a wholly owned subsidiary of:

 

ZALE CORPORATION

901 West Walnut Hill Lane, Irving, TX 75038

Incorporated in Delaware on 04-26-1991

ID# 2261333

The Company is listed with the NYSE under symbol ZLC.

 

Since May 2014, ZALE CORPORATION is a subsidiary of:

 

SIGNET JEWELERS LIMITED

Clarendon House, 2 Church Street

Hamilton, HM11 - Bermuda

 

Management:

 

Mark LIGHT is the CEO

He has been the CEO of Signet Jewelers Limited since October 31, 2014.

Mr. Light served as the Chief Operating Officer and President of Signet Jewelers Limited (formerly, Signet Group Plc) since May 29, 2014. Mr. Light serves as the Chief Executive Officer and President of Sterling Jewelers, Inc. He served as the Chief Executive Officer of US Division at Signet Jewelers Limited since January 12, 2006 until May 29, 2014, and served as its President of U.S. Division since 2002. He served as Chief Operating Officer of U.S. Division at Signet Jewelers Limited since 2002. Mr. Light joined Signet Jewelers Limited in 1978. He serves as Vice Chairman at Jewelers of America. He has been an Independent Director of Regis Corp. since October 2013.

He has been Director of Signet Jewelers Limited since October 31, 2014.

He served as an Executive Director of Signet Jewelers Limited from January 12, 2006 to October 2008.

 

George MURRAY is the President.

He has been the Chief Executive Officer of Zale Division and President of the Zale Division at Signet Jewelers Limited since July 31, 2014.

Mr. Murray served as the Chief Integration Management Officer of Signet Jewelers Limited from May 29, 2014 to July 31, 2014.

 

Tom HAUBENSTRICKER is the CFO

Denise SHADDER is Vice President and Treasurer

Laurel KRUEGER is Vice President and Secretary

J. Lynn DENNISON, Michael W. BARNES and Michele SANTANA are Directors.

 

Subsidiaries

And partnership:                        None

 

 

FINANCIALS

 

In Canada, privately held corporations are not required to publish any financials.

 

On a direct call, a financial assistant controlled the present report.

Sales declared for year 2013 is in the range of CAD 300,000,000=

 

The business is profitable.

 

Banks:  Royal Bank of Canada

 

 

LEGAL FILINGS

 

Legal filings & complaints:

 

As of today date, there is no legal filing pending with the Courts.

 

Secured debts summary:   None

 

Haut du formulaire

 

 

COMPANY CREDIT HISTORY

 

Trade references:

           

Date reported:               November 2014

High credit:                   CAD 40,000

Now owing:                   0

Past due:                      0

Last purchase:              October 2014

Line of business:           Office supply

Paying status:               5 days terms

 

Date reported:               November 2014

High credit:                   USD 1,600,000+

Now owing:                   0

Past due:                      0

Last purchase:              October 2014

Line of business:           Payroll

Paying status:               As agreed

 

Date reported:               November 2014

High credit:                   CAD 20,000+

Now owing:                   0

Past due:                      0

Last purchase:              October 2014

Line of business:           Telecommunications

Paying status:               5 days beyond terms

 

Domestic credit history:

 

National Credit Bureaus gave a correct credit rating.

 

According to our credit analysts, during the last 6 months, domestic payments were made with an average of 5 days beyond terms.

 

International credit history:

 

Payments of imports are currently made on terms.

 

Other comments:

 

The Company is in good standing.

This means that all local and federal taxes were paid on due date.

Last report was filed on 09-29-2014.

 

The risk is low.

 

Our opinion:

 

A business connection may be conducted.

 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.61.87

UK Pound

1

Rs.96.83

Euro

1

Rs.76.57

 

 

 

INFORMATION DETAILS

 

Analysis Done by :

DIV

 

 

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%)

 

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.