MIRA
INFORM REPORT
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Report Date : |
03.01.2014 |
IDENTIFICATION DETAILS
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Name : |
ARCELOR MITTAL LIBERIA LTD. |
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Registered Office : |
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Country : |
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Financials (as on) : |
31.12.2012 (Consolidated) |
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Year of Establishments: |
2005 |
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Legal Form : |
Limited Corporation |
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Line of Business : |
Subject is engage into mining and exploration services |
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No. of Employees : |
2000 |
RATING & COMMENTS
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MIRA’s Rating : |
Ba |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
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Status : |
Satisfactory |
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Payment Behaviour : |
Slow but Correct |
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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, 2013
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Country Name |
Previous Rating (30.06.2013) |
Current Rating (30.09.2013) |
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Liberia |
C1 |
C1 |
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Risk Category |
ECGC
Classification |
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Insignificant |
A1 |
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Low |
A2 |
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Moderate |
B1 |
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High |
B2 |
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Very High |
C1 |
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Restricted |
C2 |
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Off-credit |
D |
Liberia ECONOMIC OVERVIEW
Liberia is a low income country heavily reliant on foreign assistance for revenue. Civil war and government mismanagement destroyed much of Liberia's economy, especially the infrastructure in and around the capital, Monrovia. Many businesses fled the country, taking capital and expertise with them, but with the conclusion of fighting and the installation of a democratically elected government in 2006, several have returned. Liberia has the distinction of having the highest ratio of direct foreign investment to GDP in the world. Richly endowed with water, mineral resources, forests, and a climate favorable to agriculture, Liberia had been a producer and exporter of basic products, primarily raw timber and rubber and is reviving those sectors. Local manufacturing, mainly foreign-owned, had been small in scope. President JOHNSON SIRLEAF, a Harvard-trained banker and administrator, has taken steps to reduce corruption, build support from international donors, and encourage private investment. Embargos on timber and diamond exports have been lifted, opening new sources of revenue for the government and Liberia shipped its first major timber exports to Europe in 2010. The country reached its Heavily Indebted Poor Countries initiative completion point in 2010, and nearly $5 billion of international debt was permanently eliminated. This new status will enable Liberia to establish a sovereign credit rating and issue bonds. Liberia's Paris Club creditors agreed to cancel Liberia's debt as well. The IMF has completed the sixth review of Liberia's extended credit facility, bringing total disbursements to over $379 million. The African Development Bank approved a grant of $48 million in 2011 to support economic governance and competitiveness. Rebuilding infrastructure and raising incomes will depend on generous financial and technical assistance from donor countries and foreign investment in key sectors, such as infrastructure and power generation. The country has achieved high growth during 2010-12 due to favorable world prices for its commodities.
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Source
: CIA |
SUBJECT'S NAME
Registered Name: ARCELOR MITTAL LIBERIA LTD.
Requested Name: ARCELOR
MITTAL LIBERIA LTD.
Other Names: ARCELORMITTAL (LIBERIA) HOLDINGS
LIMITED
ADDRESS
AND TELECOMMUNICATION
Physical Address: Tubman Boulevard At 15th Street,
Sinkor Monrovia
Postal Address: P. o. Box 1275
Monrovia
Country: Liberia
Phone: 231-77018056
Fax: 231-77008264
Email: anita.vanderriet@arcelormittal.com /
gavin.whindus1@arcelormittal.com / simmy.dhalwal@amec.com /
Website: www.corporate.arcelormittal.com
CREDIT OPINION
Financial Index as of December 2012 shows subject firm with a medium
risk of credit. However, bank and credit information obtained reveal a history
of prompt payments.
LEGAL
Legal Form: Limited Corporation
Date Incorporated: 2005
Reg. Number: Liberia
Nominal Capital LRD. 1,000,000
Subscribed Capital LRD. 1,000,000
Subscribed
Capital is Subscribed in the following form:
Position Shares
Mr. Lakshmi N.
Mittal Chairman
Mrs. Vanisha Mittal
Bhatia Group CEO
Mr. Aditya Mittal Group CFO
Mr. Lewis B. Kaden Director
Mr. Tye Burt Director
Mr. Jeannot Krecké Director
Mr. Bruno Lafont Director
HRH Prince
Guillaume de Luxembourg Director
Mr. Wilbur L. Ross
Jr Director
Mr. Antoine
Spillmann Director
Mrs. Suzanne
Nimocks Director
Mr. Narayanan Vaghul Director
Anita Van Der Riet Director
Mr. John Howell Manager
Public Investors Shareholder 30%
ArcelorMittal
Group Holding Co. 70%
RELATED COMPANIES
ArcelorMittal
Group Parent company.
None Subsidiary company.
Various Worldwide Affiliated companies.
None Shareholder of subject firm.
None Branches of the firm
OPERATIONS
Subject is engage into mining and exploration services
Imports: Asia,
Europe
Exports: Worldwide
Trademarks: None
Terms of sale: Cash
(20%) and 25-90 days (80%), invoices.
Main Customers: Industries,
firms and organizations
Employees: 2000
employees.
Vehicles: Several
motor vehicles.
Territory of
sales: Liberia
Location: Owned
premises, 100,000 square feet,
AUDITORS AND INSURANCE
Auditors: Deloitte and Touche
Insurance
Brokers: Information not available.
FINANCE
Currency Reported: Liberian Dollar (LRD.)
Approx. Ex. Rate: 1 US Dollar = 81.45 Liberian Dollar
Fiscal
Year End: December 31, 2012
Inflation: According to
information given by independent sources, the
inflation
at December 31st, 2012 was of 13%.
Group Financial Information Submitted Below
BANK
Bank Name: Global Bank Liberia
Branch: Liberia
Comments: None
TRADE
REFERENCES
Experiences: Good
NOTARIAL
BONDS
None
COMMENTS / ADDITIONAL INFORMATION
This
information was obtained from outside sources other than the subject company
itself and confirmed the above subject.
FOREIGN EXCHANGE RATES
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Currency |
Unit
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Indian Rupees |
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US Dollar |
1 |
Rs.61.90 |
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1 |
Rs.102.74 |
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Euro |
1 |
Rs.85.16 |
INFORMATION DETAILS
|
Report Prepared
by : |
MNL |
RATING EXPLANATIONS
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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>86 |
Aaa |
Possesses an extremely sound financial base with the strongest
capability for timely payment of interest and principal sums |
Unlimited |
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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 |
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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 |
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41-55 |
Ba |
Overall
operation is considered normal. Capable to meet normal commitments. |
Satisfactory |
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26-40 |
B |
Capability to overcome financial difficulties seems comparatively below
average. |
Small |
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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 |
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<10 |
C |
Absolute credit risk exists. Caution needed to be exercised |
Credit not
recommended |
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NB |
New Business |
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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.