MIRA INFORM REPORT

Report Date :

31.12.2014

IDENTIFICATION DETAILS

Name :	LABORATORIOS RECALCINE SA
Registered Office :	Avenida Carrascal 5650 Quinta Normal Santiago
Country :	Chile
Date of Incorporation :	01.01.1993
Legal Form :	Sociedad Anónima
Line of Business :	Manufactures and markets pharmaceutical products for diseases including allergies, asthma, ENT (Ear nose and throat) diseases. It also manufactures nutrition drugs.
No. of Employees :	50

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

Maximum Credit Limits :	USD 50,000
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)
Chile	A1	A1

Risk Category	ECGC Classification
Insignificant	A1
Low	A2
Moderate	B1
High	B2
Very High	C1
Restricted	C2
Off-credit	D

CHILE - ECONOMIC OVERVIEW

Chile has a market-oriented economy characterized by a high level of foreign trade and a reputation for strong financial institutions and sound policy that have given it the strongest sovereign bond rating in South America. Exports of goods and services account for approximately one-third of GDP, with commodities making up some three-quarters of total exports. Copper alone provides 19% of government revenue. From 2003 through 2013, real growth averaged almost 5% per year, despite the slight contraction in 2009 that resulted from the global financial crisis. Chile deepened its longstanding commitment to trade liberalization with the signing of a free trade agreement with the US, which took effect on 1 January 2004. Chile has 22 trade agreements covering 60 countries including agreements with the European Union, Mercosur, China, India, South Korea, and Mexico. Chile has joined the United States and nine other countries in negotiating the Trans-Pacific-Partnership trade agreement. The Chilean Government has generally followed a countercyclical fiscal policy, accumulating surpluses in sovereign wealth funds during periods of high copper prices and economic growth, and generally allowing deficit spending only during periods of low copper prices and growth. As of 31 December 2012, those sovereign wealth funds - kept mostly outside the country and separate from Central Bank reserves - amounted to more than $20.9 billion. Chile used these funds to finance fiscal stimulus packages during the 2009 economic downturn. In May 2010 Chile signed the OECD Convention, becoming the first South American country to join the OECD

Source : CIA

Company name and address

Legal Name:	LABORATORIOS RECALCINE SA
Trade Name:	CFR Recalcine
RUT:	91637000-8
Date Created:	1922
Date Incorporated:	01/01/1993
Legal Address:	Avenida Carrascal 5650 Quinta Normal Santiago Chile
Operative Address:	Avenida Carrascal 5650 Quinta Normal Santiago Chile
Telephone:	56 2 674 6900
Fax:	56 2 337 1776
Legal Form:	Sociedad Anónima
Email:	info@reclacine.cl
Registered in:	Chile
Website:	www.recalcine.cl
Manager:	Mr. Alejandro Esteban Weinstein Manieu
Staff:	50
Activity:	Drugs Manufacture Wholesale
BANKS	Banco de Chile
	The company does not make its banking data public
HISTORY
	In 1922, Nicolas Rudoy Weinstein founded the "Botica Italiana" milestone that marks the birth of Recalcine Laboratories, now part of CFR Pharmaceuticals SA.
	In December 2011, the merger of subsidiaries occurs Laboratory Recalcine SA Synthia e Inversiones Ltda., being the legal successor Recalcine Laboratory Inc. This merger had no effect on results given which was recorded as a pooling of interests in controlled entities common.
PRINCIPAL ACTIVITY	It is the oldest division of the CFR Pharmaceuticals SA and offers varied therapeutic alternatives with focus on products to related pharmaceutical digestive treatments rheumatologic, muscle relaxants and neurotónicos.
Products/Services description:	Laboratorios Recalcine S.A. manufactures and markets pharmaceutical products for diseases including allergies, asthma, ENT (Ear nose and throat) diseases. The company also manufactures nutrition drugs.
Brands:	Some of their several trademarks: ABDOMIL ABETAL ABIOSTAL ABRAXIL ACAR KLEAN ACASIL ACE PLUS ACERDIL ACHOLEST ACI-VANTON ACOTOL ACOVIREN ACTIVARIL ACTIVE LIFE ACTIVITAL ACUESTROL ADEMINAL COLUMBIA ADIAMIL
Sales are:	Wholesale
Clients:	Pharmacies, Drugstores, Ditributors, Hospitals / LABORATORIO FRANCO COLOMBIANO LAFRANCOL SAS , ENFARMA EP, FARMINDUSTRIA SA /
Suppliers:	CI PROCAPS SA Colombia LABORATORIOS SYNTHESIS S A S Colombia
Operations area:	National & International
The company imports from	Colombia
The company exports to	Latin America, Europe
The subject employs	50 employees
Payments:	Regular
LOCATION
Headquarters :	Avenida Carrascal 5650 Quinta Normal Santiago Chile
Branches:	Aníbal Pinto 200 Of. 401, Puerto Montt, X Región
GROUP STRUCTURE AND SUBSIDIARY COMPANIES
Listed at the stock exchange:	NO
Capital:	MU$S 44.241
Shareholders %:	This is a subsidiary of: CFR Pharmaceuticals S.A CHILE
Management:	Mr. Alejandro Esteban Weinstein Manieu, General Manager
Related Companies:	Sociedad de Inversiones Synthia Ltda (subsidiary comapny)
FINANCIAL INFORMATION
	This is a private company which does not make its financial statements public. The following information has been provided by outside sources.
MUS$ 2012
Income:	92.974
Cost of Sales	-13,381
Gross Profit:	79.593
Assets:	163,975
Liabilities:	120
Exports US$
Year	Total
2013	US$ 36,372,168
2012	US$ 28,422,486
2011	US$ 23,118,248
2010	US$ 18,949,935
2009	US$ 15,459,329
2008	US$ 15,615,029
Imports in US$
Year	Total
2013	US$ 46,394,891
2012	US$ 38,186,629
2011	US$ 33,573,123
2010	US$ 31,313,571
2009	US$ 31,565,572
2008	US$ 34,018,037
LEGAL FILINGS
	"QUETIDIN XR" Subject .Tribunal: Penalty Summary Health Claim QUETIDIN XR 10th Civil Court of Santiago. Amount: MUS $ 124 Cuasa: Role. 340-2011 State .Comentarios: Cause with unfavorable judgment, appealed Recalcine. Enter dated April 21 the Court of Appeals under Role number 9366-2011. To date, the hearing is pending the resource. Estimation Result: Favorable: 25%
	"ROCHE CHILE LIMITED TO LAB. RECALCINE S.A " Subject .Tribunal: Demand for unfair competition by product Reditux 9th Civil Court of Santiago. Amount: Unspecified Cause: Role. 14.419-2011 State .Comentarios: Cause with favorable ruling. I. In Court Santiago Appeals for appeal filed by the applicant enters dated September 5 this year under Role number 6494-2012 Estimation Result: Favorable: 50%
	"LABORATORY RECALCINE SA ROCHE WITH CHILE LIMITED ". Subject .Tribunal: Demand for violation of DL 211. Court of defense free competition Amount: Unspecified Cause: Docket No. 229-2011 FINANCIAL STATEMENTS 167 I state. Comments: The cause is in a state of agreement, slope failure. Estimation Result: Favorable 50%
recommendation credit limits
Maximum Credit Provided	USD 50,000
SUMMARY
	Laboratorios Recalcine S.A. manufactures and markets pharmaceutical products. It is a subsidiary of CFR Pharmaceuticals SA. and has a medium sized structure. The company is involved in several legal issues since is it part of many commercial transactions. However, they have had no negtaive effects.
RISK INFORMATION
	In December 2012, Recalcine had sales of MUS $ 92,974, growing by 9.5% over the year MUS $ 84,924 2011. The increase was mainly due to the performance in Peru (with sales of MUS $ 39,447, growing 13.8%) mainly by strengthening the respiratory Neumobiotics line; and Chile (with sales of MUS $ 25,314, growing by 5.1%). Major Recalcine products were Flemex, Bacterol Tensodox and that recorded total sales of MUS $ 5,769, MUS MUS $ 3,472 and $ 3,248, respectively (equivalent to growth of 20.6%, 23.0% and 9.8%). Recalcine gross profit increased 12.3% to MUS $ 79,593 or 85.6% of net sales of the division in 2012, in compared to MUS $ 70,869 or 83.4% of net sales during 2011.
DEBTS	Controlled
PAYMENTS	SLOW BUT CORRECT
CASH FLOW	Normal
iNTERVIEW
NAME	NA
POSITION	Administrative
COMMENTS	The person contacted confirmed activity, staff, address, owners.

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.63.75
UK Pound	1	Rs.99.88
Euro	1	Rs.77.32

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%)

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