|
Report Date : |
15.12.2014 |
IDENTIFICATION DETAILS
|
Name : |
LEVI STRAUSS & CO. |
|
|
|
|
Registered Office : |
|
|
|
|
|
Country : |
|
|
|
|
|
Financials (as on) : |
24.08.2014 |
|
|
|
|
Date of Incorporation : |
23.11.1970 |
|
|
|
|
Legal Form : |
Corporation – Profit |
|
|
|
|
Line of Business : |
Designs, markets, and sells jeans, casual and dress pants, tops, shorts,
skirts, jackets, footwear, and related accessories for men, women, and
children. |
|
|
|
|
No of Employees : |
16,000 |
RATING & COMMENTS
|
MIRA’s Rating : |
A |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
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 |
|
Status : |
Good |
|
Payment Behaviour : |
Regular |
|
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 – September 30, 2014
|
Country Name |
Previous Rating (30.06.2014) |
Current Rating (30.09.2014) |
|
|
A1 |
A1 |
|
Risk Category |
ECGC
Classification |
|
Insignificant |
A1 |
|
Low |
A2 |
|
Moderate |
B1 |
|
High |
B2 |
|
Very High |
C1 |
|
Restricted |
C2 |
|
Off-credit |
D |
UNITED STATES - ECONOMIC OVERVIEW
The
|
Source
: CIA |
Company name: LEVI STRAUSS & CO.
Address:
Telephone: +1
415-501-6000
Fax: +1 415-501-7112
Website: www.levistrauss.com
Corporate ID#: 0766102
State:
Judicial form: Corporation - Profit
Date incorporated: 11-23-1970
Date founded: 1853
Stock: 37,430,283 shares
outstanding on October 1, 2014
Value: USD
0.01= par value
Name of manager: CHARLES
V. BERGH
Business:
Levi Strauss & Co., a brand-name apparel company, designs, markets,
and sells jeans, casual and dress pants, tops, shorts, skirts, jackets,
footwear, and related accessories for men, women, and children.
The company sells its products under the under the Levi's, Dockers,
Signature by Levi Strauss & Co., and Denizen brands. Levi Strauss & Co.
also licenses its Levi's and Dockers trademarks for a range of product
categories, including footwear, belts, wallets and bags, outerwear, sweaters,
dress shirts, kidswear, sleepwear, and hosiery, as well as licenses its Signature
by Levi Strauss & Co. and Denizen trademarks in various markets for certain
product categories.
The company sells its products in approximately 110 countries worldwide
through a network of chain retailers, department stores, online sites, retail
stores, and shop-in-shops.
As of February 11, 2014, it operated a network of approximately 2,800
retail stores and shop-in-shops.
The company was founded in 1853 and is headquartered in
Last news:
On November 11, 2014, Levi Strauss & Co. announced the next phase of
its global productivity initiative, including a five-year strategic agreement
with Wipro Limited (WIT) to outsource certain global business services.
Levi said that it will eliminate about 500 positions, primarily due to
the decision to partner with Wipro, a global information technology, consulting
and business process services company.
The initiative, announced in March 2014, is expected to generate net
annualized cost savings of $175 million - $200 million once fully implemented.
Suppliers include:
NISHAT MILLS LIMITED
7 Main Gulberge
EIN: 94-0905160
Staff: 16,000
Operations & branches:
At the headquarters, we
find the corporate office, on lease.
The Company maintains
several branches in the
Shareholders:
This is a private Company.
Management:
Charles V. BERGH, President and CEO
Mr. Charles Victor Bergh, Chip has been the Chief Executive Officer and
President of Levi Strauss & Co. since September 1, 2011.
Mr. Bergh served as Group President of Special Assignment at Procter
& Gamble Co. from 2011 to September 2011. Mr. Bergh served as Group
President of Global Male Grooming Beauty & Grooming at Procter & Gamble
Co. from 2009 to 2011 and its Group President for Global Personal Care from
2007 to 2009.
Mr. Bergh served as President for Global grooming of Procter &
Gamble Co. since 2006, President of Special Assignment of blades And Razors
since July 2005 and its President of ASEAN Australasia and India since 2000. He
joined P&G after spending four years as a US Army officer stationed in
His previous positions include Brand Assistant, FS&LP, Cleaning
Products since 1983; Assistant Brand Manager, FS&LP, Frymax since 1984;
Brand Manager, FS&LP, Whirl and other shortening & oils since 1986;
Brand Manager, Food Division, Duncan Hines Cake/Frosting since 1989; Associate
Advertising Manager, Food Division, Duncan Hines since 1990; Associate
Advertising Manager, Food & Beverage, Folgers/Jif since 1992; Advertising
Manager, Food & Beverage, Folgers/Jif since 1993; General Manager,
L&CP, Hard Surface Cleaners Category since 1995; General Manager, Food
& Beverage, U.S. Coffee/Peanut Butter/Baking Mixes since 1997; General
Manager, Food & Beverage, U.S. Coffee Products and Peanut Butter since
1998; Vice President-North America Coffee, Peanut Butter, North America
Beverage and Vice-President, ASEAN/Australasia/India since 1999. He served as a
Director at Singapore Economic Development Board. He has been Director of Levi
Strauss & Co. since September 1, 2011. Mr. Bergh served as Non-Executive
Director of Procter & Gamble Hygiene & Health Care Ltd., until
September 2, 2005.
Mr. Bergh received B.A. Degree at
Harmit J. SINGH is Executive Vice President and CF.
Subsidiaries and partnership:
Several subsidiaries in the
- 10K 2013
- 3rd 10Q 2014
|
(in USD) |
9 months ending 10-25-2014 |
9 months ending 10-25-2013 |
|
Revenue |
3,365,966,000 |
3,386,860,000 |
|
Net profit |
110,412,000 |
212,529,000 |
Banks: Bank of
Legal filings & complaints:
As of today date, there are several legal filing pending with the
Courts.
Secured debts summary (UCC):
Several
TRADE REFERENCES:
Date reported: November 2014
High credit: USD 300,000+
Now owing: 0
Past due: 0
Last purchase: October 2014
Line of business: Office supply
Paying status: 6 days beyond terms
Date reported: November 2014
High credit: USD 22,000,000+
Now owing: 0
Past due: 0
Last purchase: October 2014
Line of business: Payroll
Paying status: As agreed
Date reported: November 2014
High credit: USD 30,000
Now owing: 0
Past due: 0
Last purchase: October 2014
Line of business: Telecommunications
Paying status: 6 days beyond terms
Domestic credit history:
Domestic credit history appears
as follow:
|
Monthly Payment Trends - Recent Activity |
|
|
|
National Credit Bureaus
gave a medium credit rating.
According to our credit analysts, domestic payments are made with an
average of 5 to 10 days beyond terms.
International
credit history:
Payments of imports are currently made with an average of 5 to 10 days
beyond terms.
Other comments:
The Company maintains its
business.
The bank confirmed late
payments but remains confident.
The Company is in good
standing.
This means that all local
and federal taxes were paid on due date.
The risk is medium.
Our opinion:
A business connection may be
conducted but we suggest you to check regularly the way of payments.
Standard & Poor’s
|
|
|
Publication
date: 05-Aug-2011 20:13:14 EST |
·
We have also removed both the short- and long-term ratings
from CreditWatch negative.
·
The downgrade reflects our opinion that the fiscal
consolidation plan that Congress and the Administration recently agreed to
falls short of what, in our view, would be necessary to stabilize the
government's medium-term debt dynamics.
·
More broadly, the downgrade reflects our view that the
effectiveness, stability, and predictability of American policymaking and
political institutions have weakened at a time of ongoing fiscal and economic
challenges to a degree more than we envisioned when we assigned a negative
outlook to the rating on April 18, 2011.
·
Since then, we have changed our view of the difficulties in
bridging the gulf between the political parties over fiscal policy, which makes
us pessimistic about the capacity of Congress and the Administration to be able
to leverage their agreement this week into a broader fiscal consolidation plan
that stabilizes the government's debt dynamics any time soon.
·
The outlook on the long-term rating is negative. We could
lower the long-term rating to 'AA' within the next two years if we see that
less reduction in spending than agreed to, higher interest rates, or new fiscal
pressures during the period result in a higher general government debt
trajectory than we currently assume in our base case.
The
transfer and convertibility (T&C) assessment of the
debt service--remains
'AAA'.
We lowered our long-term rating
on the U.S. because we believe that the prolonged controversy over raising the
statutory debt ceiling and the related fiscal policy debate indicate that
further near-term progress containing the growth in public spending, especially
on entitlements, or on reaching an agreement on raising revenues is less likely
than we previously assumed and will remain a contentious and fitful process. We
also believe that the fiscal consolidation plan that Congress and the
Administration agreed to this week falls short of the amount that we believe is
necessary to stabilize the general government debt burden by the middle of the
decade.
Our lowering of the
rating was prompted by our view on the rising public debt burden and our
perception of greater policymaking uncertainty, consistent with our criteria
(see "Sovereign Government Rating Methodology and
Assumptions ," June 30, 2011, especially Paragraphs 36-41).
Nevertheless, we view the
We have taken the ratings
off CreditWatch because the Aug. 2 passage of the Budget Control Act Amendment
of 2011 has removed any perceived immediate threat of payment default posed by
delays to raising the government's debt ceiling. In addition, we believe that
the act provides sufficient clarity to allow us to evaluate the likely course
of
The
political brinksmanship of recent months highlights what we see as
the containment of which
we and most other independent observers regard as key to long-term fiscal
sustainability.
Our opinion is that
elected officials remain wary of tackling the structural issues required to
effectively address the rising U.S. public debt burden in a manner consistent
with a 'AAA' rating and with 'AAA' rated sovereign peers (see Sovereign Government Rating Methodology and
Assumptions," June 30, 2011, especially Paragraphs 36-41). In
our view, the difficulty in framing a consensus on fiscal policy weakens the
government's ability to manage public finances and diverts attention from the
debate over how to achieve more balanced and dynamic economic growth in an era
of fiscal stringency and private-sector deleveraging (ibid). A new political
consensus might (or might not) emerge after the 2012 elections, but we believe
that by then, the government debt burden will likely be higher, the needed
medium-term fiscal adjustment potentially greater, and the inflection point on
the U.S. population's demographics and other age-related spending drivers
closer at hand (see "Global Aging 2011: In The U.S., Going Gray Will Likely
Cost Even More Green, Now," June 21, 2011).
Standard & Poor's
takes no position on the mix of spending and revenue measures that Congress and
the Administration might conclude is appropriate for putting the
The act calls for as much
as $2.4 trillion of reductions in expenditure growth over the 10 years through
2021. These cuts will be implemented in two steps: the $917 billion agreed to
initially, followed by an additional $1.5 trillion that the newly formed
Congressional Joint Select Committee on Deficit Reduction is supposed to
recommend by November 2011. The act contains no measures to raise taxes or otherwise
enhance revenues, though the committee could recommend them.
The act further provides
that if Congress does not enact the committee's recommendations, cuts of $1.2
trillion will be implemented over the same time period. The reductions would
mainly affect outlays for civilian discretionary spending, defense, and
Medicare. We understand that this fall-back mechanism is designed to encourage
Congress to embrace a more balanced mix of expenditure savings, as the
committee might recommend.
We note that in a letter
to Congress on Aug. 1, 2011, the Congressional Budget Office (CBO) estimated
total budgetary savings under the act to be at least $2.1 trillion over the
next 10 years relative to its baseline assumptions. In updating our own fiscal
projections, with certain modifications outlined below, we have relied on the
CBO's latest "Alternate Fiscal Scenario" of June 2011, updated to
include the CBO assumptions contained in its Aug. 1 letter to Congress. In
general, the CBO's "Alternate Fiscal Scenario" assumes a continuation
of recent Congressional action overriding existing law.
We view the act's
measures as a step toward fiscal consolidation. However, this is within the
framework of a legislative mechanism that leaves open the details of what is
finally agreed to until the end of 2011, and Congress and the Administration
could modify any agreement in the future. Even assuming that at least $2.1
trillion of the spending reductions the act envisages are implemented, we
maintain our view that the
Compared with previous
projections, our revised base case scenario now assumes that the 2001 and 2003
tax cuts, due to expire by the end of 2012, remain in place. We have changed our
assumption on this because the majority of Republicans in Congress continue to
resist any measure that would raise revenues, a position we believe Congress
reinforced by passing the act. Key macroeconomic assumptions in the base case
scenario include trend real GDP growth of 3% and consumer price inflation near
2% annually over the decade.
Our revised upside
scenario--which, other things being equal, we view as consistent with the outlook
on the 'AA+' long-term rating being revised to stable--retains these same
macroeconomic assumptions. In addition, it incorporates $950 billion of new
revenues on the assumption that the 2001 and 2003 tax cuts for high earners
lapse from 2013 onwards, as the Administration is advocating. In this scenario,
we project that the net general government debt would rise from an estimated
74% of GDP by the end of 2011 to 77% in 2015 and to 78% by 2021.
Our revised downside
scenario--which, other things being equal, we view as being consistent with a
possible further downgrade to a 'AA' long-term rating--features less-favorable
macroeconomic assumptions, as outlined below and also assumes that the second
round of spending cuts (at least $1.2 trillion) that the act calls for does not
occur. This scenario also assumes somewhat higher nominal interest rates for
U.S. Treasuries. We still believe that the role of the U.S. dollar as the key
reserve currency confers a government funding advantage, one that could change
only slowly over time, and that Fed policy might lean toward continued loose
monetary policy at a time of fiscal tightening. Nonetheless, it is possible
that interest rates could rise if investors re-price relative risks. As a
result, our alternate scenario factors in a 50 basis point (bp)-75 bp rise in
10-year bond yields relative to the base and upside cases from 2013 onwards. In
this scenario, we project the net public debt burden would rise from 74% of GDP
in 2011 to 90% in 2015 and to 101% by 2021.
Our revised scenarios
also take into account the significant negative revisions to historical GDP
data that the Bureau of Economic Analysis announced on July 29. From our
perspective, the effect of these revisions underscores two related points when
evaluating the likely debt trajectory of the
When comparing the U.S.
to sovereigns with 'AAA' long-term ratings that we view as relevant
peers--Canada, France, Germany, and the U.K.--we also observe, based on our
base case scenarios for each, that the trajectory of the U.S.'s net public debt
is diverging from the others. Including the
Standard & Poor's
transfer T&C assessment of the
The outlook on the
long-term rating is negative. As our downside alternate fiscal scenario
illustrates, a higher public debt trajectory than we currently assume could
lead us to lower the long-term rating again. On the other hand, as our upside
scenario highlights, if the recommendations of the Congressional Joint Select
Committee on Deficit Reduction--independently or coupled with other
initiatives, such as the lapsing of the 2001 and 2003 tax cuts for high
earners--lead to fiscal consolidation measures beyond the minimum mandated, and
we believe they are likely to slow the deterioration of the government's debt
dynamics, the long-term rating could stabilize at 'AA+'.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.62.44 |
|
|
1 |
Rs.98.15 |
|
Euro |
1 |
Rs.77.38 |
INFORMATION DETAILS
|
Analysis Done by
: |
RAS |
|
|
|
|
Report Prepared
by : |
TPT |
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.