MIRA INFORM REPORT

 

 

Report Date :

29.12.2014

 

IDENTIFICATION DETAILS

 

Name :

CANPOTEX LIMITED

 

 

Registered Office :

111 2nd Avenue South, Ste 400 Saskatoon, Saskatchewan S7K 3R7

 

 

Country :

Canada

 

 

Date of Incorporation :

21.10.1981

 

 

Legal Form :

Federal Corporation – Profit

 

 

Line of Business :

·         Markets and distributes potash products

·         Subject offers standard grade products for agricultural use, including direct applications, bulk blending, and NPK formulations; and granular grades for direct fertilizer applications.

·         The company also provides potash products for the manufacture of potassium hydroxide; for water softeners; potash that is used as a road de-ice and an animal feed supplement; and potash that is used in the preparation of hydraulic fracturing solutions for oil well drilling to control swelling in certain clay formations.

 

 

No. of Employee :

85

 

 

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 – September 30, 2014

 

Country Name

Previous Rating

(30.06.2014)

Current Rating

(30.09.2014)

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 & address

 

Company name:            CANPOTEX LIMITED

 

Address:                       111 2nd Avenue South, Ste 400 Saskatoon, Saskatchewan S7K 3R7 - Canada

 

Telephone:                    +1 306-931-2200

 

Fax:                              +1 306-653-5505

 

Website:                                   www.canpotex.com

 

Corporate ID#:               35289-6

 

State:                           Federal

           

Judicial form:                 Federal Corporation – Profit 

 

Date incorporated:          10-21-1981

 

Date founded:               1970

 

Stock:                            -

 

Value:                             -        

 

Name of manager:          Steven DECHKA

 

 

ACTIVITIES & OPERATIONS

 

IST

 

Business:

 

Canpotex Limited markets and distributes potash products to customers principally in Asia, Latin America, and Oceania.

 

It offers standard grade products for agricultural use, including direct applications, bulk blending, and NPK formulations; and granular grades for direct fertilizer applications.

The company also provides potash products for the manufacture of potassium hydroxide; for water softeners; potash that is used as a road de-ice and an animal feed supplement; and potash that is used in the preparation of hydraulic fracturing solutions for oil well drilling to control swelling in certain clay formations.

 

 

In addition, it offers potash products that are used by food processors and pharmaceutical manufacturers in various products.

Furthermore, the company provides full load port agency services for Canpotex potash shipments through the Port of Vancouver; and forwarding agency services for cargoes of potash, sulphur, and grain.

It serves customers in Australia, Brazil, China, India, Indonesia, Japan, Korea, and Malaysia.

The company markets products through ocean transportation and railcars. Canpotex Limited was founded in 1970 and is based in Saskatoon, Canada subsidiary offices in Singapore; Hong Kong; Tokyo, Japan; and West Vancouver, Canada.

The Company exports worldwide.

 

Last news:

 

On April 24, 2014, Canpotex signed a contract to deliver 120,000 tons of potash to Bangladesh with an option for an additional 60,000 tons.

The one-year deal is valued at $40 million for the first installment with the optional deliveries estimated at $20 million. This is the first contract to supply Bangladesh and its emerging agricultural economy since 1992.

It is estimated that Bangladesh purchases approximately 600,000 tons/year of potash.

 

On April 4, 2014, Canpotex Limited announced that it has agreed to an annual contract with its government and private sector partners in India to supply approximately 1 million tonnes of potash at a price of $322.00 per ton on a CFR basis.

 

On January 24, 2014, Canpotex Limited announced that it has reached agreement with Sinochem Fertilizer Macao Commerical Offshore Ltd. for the supply of 700,000 metric tonnes of potash to China during the first half of 2014.

This new contract is priced at current and competitive market levels.

 

Staff:     85

 

 

Operations & branches:

 

At the headquarters, we find a large warehouse and office, owned.

 

 

SHAREHOLDERS & MANAGERS

 

Shareholders:

 

This is a private Company.

 

Management:

 

The Board of Directors includes Stephen F. DOWDLE, William J. DOYLE,

James T. PROKOPANKO, Steven DECHKA, Ron A. WILKINSON, Charles V. MAGRO, and Richard N. MCLELLAN.

 

 

Steven DECHKA is the President and CEO.

Dwayne DAHLE is the CFO.

 

Subsidiaries and partnership:

 

CANPOTEX (HONG KONG) LIMITED

Unit 2206, Westlands Centre, 20 Westlands Road, Quarry Bay, Hong Kong

 

CANPOTEX INTERNATIONAL CANADA INC.

100 Park Royal South, Suite 1111, West Vancouver, BC V7T 1A2, Canada and others.

 

 

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 25,000,000+

 

The business is profitable.

 

Banks:  Scotia Bank

 

 

LEGAL FILINGS

 

Legal filings & complaints:

 

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

 

Secured debts summary:   Several

 

 

COMPANY CREDIT HISTORY

 

TRADE REFERENCES:

 

Date reported:                December 2014

High credit:                    CAD 50,000

Now owing:                    0

Past due:                      0

Last purchase:               November 2014

Line of business:            Office supply

Paying status:               On terms

 

 

Date reported:                December 2014

High credit:                    CAD 120,000

Now owing:                    0

Past due:                      0

Last purchase:               November 2014

Line of business:            Payroll

Paying status:               As agreed

 

Date reported:                December 2014

High credit:                    CAD 1,100

Now owing:                    0

Past due:                      0

Last purchase:               November 2014

Line of business:            Telecommunications

Paying status:               On terms

 

 

Domestic credit history:

 

National Credit Bureaus gave a satisfying credit rating.

 

According to our credit analysts, during the last 6 months, domestic payments were made on due date.

 

 

Other comments:

 

The Company maintains its business.

The Company is in good standing.

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

The risk is low.

 

 

Our opinion:

 

A business connection may be conducted.

 


 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.63.64

UK Pound

1

Rs.98.98

Euro

1

Rs.77.74

 

 

INFORMATION DETAILS

 

Analysis Done by :

KAR

 

 

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%)

 

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.