MIRA INFORM REPORT

Report Date :

18.07.2014

IDENTIFICATION DETAILS

Name :	ERVIN AMASTEEL

Registered Office :	George Henry Road Great Bridge Tipton Dy4 7bz

Country :	United Kingdom

Financials (as on) :	31.12.2012

Date of Incorporation :	22.06.1993

Com. Reg. No.:	02830693

Legal Form :	Private Unlimited with Share Capital

Line of Business :	· Engaged in Casting of Steel · Engaged in production of a Uniform Martensitic Steel Microstructure · Engaged as Manufacturer of ferrous Metallic abrasives

No. of Employees	91 (31.12.2012)

RATING & COMMENTS

MIRA’s Rating :

RATING		STATUS	PROPOSED CREDIT LINE
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

Status :	Moderate

Payment Behaviour :	Slow

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 – March 31, 2014

Country Name

Previous Rating

(31.12.2013)

Current Rating

(31.03.2014)

United kingdom

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

United kingdom ECONOMIC OVERVIEW

The UK, a leading trading power and financial center, is the third largest economy in Europe after Germany and France. Over the past two decades, the government has greatly reduced public ownership. Agriculture is intensive, highly mechanized, and efficient by European standards, producing about 60% of food needs with less than 2% of the labor force. The UK has large coal, natural gas, and oil resources, but its oil and natural gas reserves are declining and the UK became a net importer of energy in 2005. Services, particularly banking, insurance, and business services, are key drivers of British GDP growth. Manufacturing, meanwhile, has declined in importance but still accounts for about 10% of economic output. After emerging from recession in 1992, Britain's economy enjoyed the longest period of expansion on record during which time growth outpaced most of Western Europe. In 2008, however, the global financial crisis hit the economy particularly hard, due to the importance of its financial sector. Falling home prices, high consumer debt, and the global economic slowdown compounded Britain's economic problems, pushing the economy into recession in the latter half of 2008 and prompting the then BROWN (Labour) government to implement a number of measures to stimulate the economy and stabilize the financial markets; these included nationalizing parts of the banking system, temporarily cutting taxes, suspending public sector borrowing rules, and moving forward public spending on capital projects. Facing burgeoning public deficits and debt levels, in 2010 the CAMERON-led coalition government (between Conservatives and Liberal Democrats) initiated a five-year austerity program, which aimed to lower London's budget deficit from about 11% of GDP in 2010 to nearly 1% by 2015. In November 2011, Chancellor of the Exchequer George OSBORNE announced additional austerity measures through 2017 largely due to the euro-zone debt crisis. The CAMERON government raised the value added tax from 17.5% to 20% in 2011. It has pledged to reduce the corporation tax rate to 21% by 2014. The Bank of England (BoE) implemented an asset purchase program of £375 billion (approximately $605 billion) as of December 2013. During times of economic crisis, the BoE coordinates interest rate moves with the European Central Bank, but Britain remains outside the European Economic and Monetary Union (EMU). In 2012, weak consumer spending and subdued business investment weighed on the economy, however, in 2013 GDP grew 1.4%, accelerating unexpectedly in the second half of the year because of greater consumer spending and a recovering housing market. The budget deficit is falling but remains high at nearly 7% and public debt has continued to increase.

Source : CIA

Company name & address

Company Name: ERVIN AMASTEEL

Company No: 02830693

Company Status: Active - Accounts Filed

Registered Address: GEORGE HENRY ROAD GREAT BRIDGE TIPTON DY4 7BZ

Company summary

Registered address GEORGE HENRY ROAD GREAT BRIDGE TIPTON DY4 7BZ

Trading Address GEORGE HENRY ROAD GREAT BRIDGE TIPTON, West Midlands DY4

7BZ

Telephone Number +44.1215.222777

Fax Number +44.1215.222927

Email:

Website Address http://www.ervinindustries.com

TPS Yes

FPS No

Incorporation Date 22/06/1993

Type Private Unlimited with Share Capital

Filing date of Accounts 31.12.2012

Currency GBP

Share Capital £ 1,836,038

Principal Activity:

· Engaged in Casting of Steel

· Engaged in production of a Uniform Martensitic Steel Microstructure

· Engaged as Manufacturer of ferrous Metallic abrasives

DIRECTORS/MANAGEMENT

Total Current Directors	5
Total Current Secretaries	1
Total Previous Directors / Company Secretaries	9

Current Directors

Name	Stephen John Mills	Date of Birth	06/06/1952
Officers Title	Mr	Nationality	British
Present Appointments	2	Function	Director
Appointment Date	01/07/1993
Address	23 Glendinning Way, Madeley, Telford, Shropshire, TF7 5SX
Disqualified		Disqualified End Date
Disqualification Exception	No

Name	John Ervin Pearson	Date of Birth	22/05/1950
Officers Title	Mr	Nationality	British
Present Appointments	1	Function	Director
Appointment Date	22/06/1993
Address	1940 Brookview Drive, Saline, Michigan 48176
Disqualified		Disqualified End Date
Disqualification Exception	No

Name	Norman Wallace	Date of Birth	16/09/1956
Officers Title	Mr	Nationality	British
Present Appointments	1	Function	Director
Appointment Date	02/06/1997
address	2 Applebrook, Shifnal, Salop, TF11 9PZ
Disqualified		Disqualified End Date
Disqualification Exception	No

Name	James Trent Pearson	Date of Birth	13/04/1977
Officers Title	Mr	Nationality	American
Present Appointments	1	Function	Director
Appointment Date	21/06/2011
Address	286 Shelby Ct, Saline, Mi 48176
Disqualified		Disqualified End Date
Disqualification Exception	No

Name	Philip Ripley	Date of Birth	20/06/1961
Officers Title	Mr	Nationality	British
Present Appointments	1	Function	Director
Appointment Date	15/11/2010
Address	Mayfield House Paxford, Chipping Campden, Gloucestershire, GL55 6XU
Disqualified		Disqualified End Date
Disqualification Exception	No

Current Company Secretary

Name	Stephen John Mills	Date of Birth	06/06/1952
Officers Title	Mr	Nationality	British
Present Appointments	2	Function	Company Secretary
Appointment Date	29/11/1994
Address	23 Glendinning Way, Madeley, Telford, Shropshire, TF7 5SX

Previous Director/Company Secretaries

Name	Current Directorships	Previous Directorships
Alan Holmes	0	2
Arthur J Aston	0	2
Lynn Hoadley Rogers	0	2
Vincent Paul Sardone	0	1
Richard Lawrence Green	0	1
Stephen Cowling	1	1
Erwan Henry	0	1
Debbie Moore	38	836
Kevin Thomas Brown	52	1374

NEGATIVE INFORMATION

Mortgage Summary

Total Mortgage 0

Outstanding 0

Satisfied 0

CCJ

Total Number of Exact CCJs -	0	Total Value of Exact CCJs -
Total Number of Possible CCJs -	0	Total Value of Possible CCJs -
Total Number of Satisfied CCJs -	0	Total Value of Satisfied CCJs -
Total Number of Writs -	-

Exact CCJ Details

No CCJs found

Possible CCJs Details

There are no possible CCJ details

Writ Details

No writs found

SHARE & SHARE CAPITAL INFORMATION

Top 20 Shareholders

Name	Currency	Share Count	Share Type	Nominal Value	% of Total Share Count
ERVIN UK LTD PARTNERSHIP	GBP	1,744,236	ORDINARY	1	95
PEARSON ENTERPRISES INC.	GBP	91,802	ORDINARY	1	5

PAYMENT INFORMATION

Trade Debtors / Bad Debt Summary

Total Number of Documented Trade 4

Total Value of Documented Trade £5,663

Trade Payment Information

Average Invoice Value	443.91
Invoices available	870
Paid	834
Outstanding	36

Trade Payment Data is information that we collect from selected third party partners who send us information about their whole sales ledger.

Creditors Details

	Total Number	Total Value
Trade Creditors	0	-

No Creditor Data

Trade Debtors / Bad Debt Detail

	Total Number of Documented Trade	Total Value of Documented Trade
Trade Debtors	4	£5,663

Company Name	Amount	Statement Date
A P P Steel Structures Ltd	£3,024	06/08/2013
Wells Protective Coatings Limited	£1,167	16/10/2009
Bonus Flooring Limited	£837	06/07/2011
Hi-Tec Finishers Limited	£635	07/06/2010

Average Invoice Value	£443.91
Invoices available	870
Paid	834
Outstanding	36

Trade Payment Data is information that we collect from selected third party partners who send us information about their whole sales ledger.

	Within Terms	0-30 Days	31-60 Days	61-90 Days	91+ Days
Paid	629	122	58	25	0
Outstanding	15	4	3	4	10

GROUP STRUCTURE & AFFILIATED COMPANIES

Statistics

Group	3 companies
Linkages	0 companies
Countries	In 0 countries

Summary

Holding Company	-
Ownership Status	Intermediately Owned
Ultimate Holding Company	ERVIN INDUSTRIES

Group structure

Company Name	Registered Number	Latest Key Financials	Consol. Accounts	Turnover
ERVIN INDUSTRIES		-	-	$1,000,000
ERVIN UK LTD PARTNERSHIP	N/A	-	-
ERVIN AMASTEEL	02830693	31.12.2012	Y	£27,208,773

FINANCIAL INFORMATION

Key Financials

Year to date Turnover Pre Tax Profit Shareholder Funds Employees 31/12/2012 £ 27,208,773 -£ 623,016 -£ 10,166,300 91

31/12/2011 £ 29,164,878 £ 2,038,889 -£ 9,798,593 84

31/12/2010 £ 20,598,309 -£ 822,582 -£ 11,579,787 80

Profit & Loss

Date Of Accounts	31/12/12	(%)	31/12/11	(%)	31/12/10	(%)	31/12/09	(%)	31/12/08
Weeks	52	(%)	52	(%)	52	(%)	52	(%)	52
Currency	GBP	(%)	GBP	(%)	GBP	(%)	GBP	(%)	GBP
Consolidated A/cs	Y	(%)	Y	(%)	Y	(%)	Y	(%)	Y
Turnover	£27,208,773	-6.7%	£29,164,878	41.6%	£20,598,309	45.6%	£14,143,086	-28.8%	£19,874,665
Export	-	-	-	-	-	-	-	-	-
Cost of Sales	£23,166,391	4.6%	£22,141,517	29.7%	£17,065,418	39.9%	£12,200,034	-32%	£17,948,766
Gross Profit	£4,042,382	-42.4%	£7,023,361	98.8%	£3,532,891	81.8%	£1,943,052	0.9%	£1,925,899
Wages & Salaries	£4,580,451	25.3%	£3,655,945	11.4%	£3,280,992	4.8%	£3,130,538	-2.5%	£3,209,275
Directors Emoluments	£293,131	-6.7%	£314,297	-16.1%	£374,437	5.1%	£356,385	18.2%	£301,604
Operating Profit	-£466,909	-121.4%	£2,182,611	447.3%	-£628,463	77.2%	-£2,750,522	-51.7%	-£1,812,605
Depreciation	£299,267	1.3%	£295,553	-1.8%	£300,975	2.2%	£294,543	5.8%	£278,367
Audit Fees	£12,600	6.8%	£11,800	2.6%	£11,500	-	£11,500	-	£11,500
Interest Payments	£156,107	8.6%	£143,722	-26%	£194,119	26.7%	£153,187	-13.6%	£177,211
Pre Tax Profit	-£623,016	-130.6%	£2,038,889	347.9%	-£822,582	71.2%	-£2,854,989	-44.7%	-£1,972,927
Taxation	£76,301	138.8%	-£196,685	-118.3%	£1,075,000	999.9%	-£43,354	-73.4%	-£25,003
Profit After Tax	-£546,715	-129.7%	£1,842,204	629.8%	£252,418	108.7%	-£2,898,343	-45.1%	-£1,997,930
Dividends Payable	-	-	-	-	-	-	-	-	-
Retained Profit	-£546,715	-129.7%	£1,842,204	629.8%	£252,418	108.7%	-£2,898,343	-45.1%	-£1,997,930

Balance Sheet

Date Of Accounts	31/12/12	(%)	31/12/11	(%)	31/12/10	(%)	31/12/09	(%)	31/12/08
Tangible Assets	£1,648,087	-1.6%	£1,675,114	-5.4%	£1,771,439	-4.7%	£1,859,689	5.2%	£1,767,598
Intangible Assets	0	-	0	-	0	-	0	-	0
Total Fixed Assets	£1,648,087	-1.6%	£1,675,114	-5.4%	£1,771,439	-4.7%	£1,859,689	5.2%	£1,767,598
Stock	£5,256,758	52.6%	£3,444,524	37.3%	£2,508,938	29.6%	£1,935,529	-28%	£2,688,910
Trade Debtors	£6,152,889	-7.3%	£6,634,013	18.4%	£5,602,772	29.4%	£4,330,023	1.8%	£4,254,361
Cash	£848,489	241.1%	£248,716	13.1%	£219,989	125%	£97,794	-78.2%	£448,412
Other Debtors	£1,516,510	-4%	£1,580,054	-16.2%	£1,885,064	300.1%	£471,178	48.5%	£317,299
Miscellaneous Current Assets	0	-	0	-	0	-	0	-	0
Total Current Assets	£13,774,646	15.7%	£11,907,307	16.5%	£10,216,763	49.5%	£6,834,524	-11.3%	£7,708,982
Trade Creditors	£3,543,395	-13.7%	£4,105,242	22.4%	£3,354,430	44.1%	£2,327,977	2.8%	£2,265,218
Bank Loans & Overdrafts	£5,813,153	6.5%	£5,457,565	-20.4%	£6,852,328	23.1%	£5,564,421	59.1%	£3,498,245
Other Short Term Finance	£2,772,861	852.2%	£291,211	578.4%	£42,925	-85.6%	£297,433	87.5%	£158,633
Miscellaneous Current Liabilities	£664,710	34%	£496,166	14.6%	£432,955	32%	£327,962	17.3%	£279,576
Total Current Liabilities	£12,794,119	23.6%	£10,350,184	-3.1%	£10,682,638	25.4%	£8,517,793	37.3%	£6,201,672
Bank Loans & Overdrafts and LTL	£18,608,067	0.6%	£18,488,395	-6.3%	£19,737,679	6.8%	£18,486,218	13.6%	£16,272,413
Other Long Term Finance	£12,045,645	-0.3%	£12,079,886	-0.2%	£12,106,732	0.6%	£12,030,503	-0.4%	£12,075,307
Total Long Term Liabilities	£12,794,914	-1.8%	£13,030,830	1.1%	£12,885,351	-0.3%	£12,921,797	1.2%	£12,774,168

Capital & Reserves

Date Of Accounts	31/12/12	(%)	31/12/11	(%)	31/12/10	(%)	31/12/09	(%)	31/12/08
Called Up Share Capital	£1,836,038	-	£1,836,038	-	£1,836,038	88%	£976,663	-	£976,663
P & L Account Reserve	-£12,002,338	-3.2%	-£11,634,631	13.3%	-£13,415,825	2.2%	-£13,722,040	-30.7%	-£10,501,031
Revaluation Reserve	-	-	-	-	-	-	-	-	-
Sundry Reserves	-	-	-	-	-	-	-	-100%	£25,108
Shareholder Funds	-£10,166,300	-3.8%	-£9,798,593	15.4%	-£11,579,787	9.1%	-£12,745,377	-34.2%	-£9,499,260

Other Financial Items

Date Of Accounts	31/12/12	(%)	31/12/11	(%)	31/12/10	(%)	31/12/09	(%)	31/12/08
Net Worth	-£10,166,300	-3.8%	-£9,798,593	15.4%	-£11,579,787	9.1%	-£12,745,377	-34.2%	-£9,499,260
Working Capital	£980,527	-37%	£1,557,123	434.2%	-£465,875	72.3%	-£1,683,269	-211.7%	£1,507,310
Total Assets	£15,422,733	13.5%	£13,582,421	13.3%	£11,988,202	37.9%	£8,694,213	-8.3%	£9,476,580
Total Liabilities	£25,589,033	9.4%	£23,381,014	-0.8%	£23,567,989	9.9%	£21,439,590	13%	£18,975,840
Net Assets	-£10,166,300	-3.8%	-£9,798,593	15.4%	-£11,579,787	9.1%	-£12,745,377	-34.2%	-£9,499,260

Cash Flow

Date Of Accounts	31/12A/12	(%)	31/12/11	(%)	31/12/10	(%)	31/12/09	(%)	31/12/08
Net Cashflow from Operations	£632,773	-63.9%	£1,754,316	199.5%	-£1,762,968	6.2%	-£1,878,593	10.3%	-£2,094,966
Net Cashflow before Financing	£278,426	-81.1%	£1,471,807	175%	-£1,961,414	17.2%	-£2,367,608	5.8%	-£2,512,970
Net Cashflow from Financing	-£34,241	29.1%	-£48,317	-106.1%	£795,702	999.9%	-£49,186	-105.2%	£944,347
Increase in Cash	£244,185	-82.8%	£1,423,490	222.1%	-£1,165,712	51.8%	-£2,416,794	-54.1%	-£1,568,623

Miscellaneous

Date Of Accounts	31/12/12	(%)	31/12/11	(%)	31/12/10	(%)	31/12/09	(%)	31/12/08
Contingent Liability	YES	-	YES	-	YES	-	YES	-	YES
Capital Employed	£2,628,614	-18.7%	£3,232,237	147.6%	£1,305,564	640%	£176,420	-94.6%	£3,274,908
Number of Employees	91	8.3%	84	5%	80	5.3%	76	-10.6%	85
Auditors	RSM TENON AUDIT LIMITED
Auditor Comments	The audit report contains no adverse comments
Bankers	BANK ONE NA
Bank Branch Code	30-00-74

Ratios

Date Of Accounts	31/12/12	31/12/11	31/12/10	31/12/09	31/12/08
Pre-tax profit margin %	-2.29	6.99	-3.99	-20.19	-9.93
Current ratio	1.08	1.15	0.96	0.80	1.24
Sales/Net Working Capital	27.75	18.73	-44.21	-8.40	13.19
Gearing %	-183	-188.70	-170.40	-145	-171.30
Equity in %	-65.90	-72.10	-96.60	-146.60	-100.20
Creditor Days	47.40	51.23	59.27	59.91	41.48
Debtor Days	82.31	82.79	99	111.44	77.91
Liquidity/Acid Test	0.66	0.81	0.72	0.57	0.80
Return On Capital Employed %	-23.70	63.07	-63	-1618.29	-60.24
Return On Total Assets Employed %	-4.03	15.01	-6.86	-32.83	-20.81
Current Debt Ratio	-1.25	-1.05	-0.92	-0.66	-0.65
Total Debt Ratio	-2.51	-2.38	-2.03	-1.68	-1.99
Stock Turnover Ratio %	19.32	11.81	12.18	13.68	13.52
Return on Net Assets Employed %	6.12	-20.80	7.10	22.40	20.76

ADDITIONAL INFORMATION

Commentary

No exact match CCJs are recorded against the company.
Sales in the latest trading period decreased 6.7% on the previous trading period.
Net Worth decreased by 3.8% during the latest trading period.

A 13.5% growth in Total Assets occurred during the latest trading period.
Pre-tax profits decreased by 130.6% compared to the previous trading period.
The company saw an increase in their Cash Balance of 241.1% during the latest trading period.
The audit report contains no adverse comments.
No recent changes in directorship are recorded.
The company is part of a group.
The company was established over 20 years ago.

Status History

No Status History found

Event History

Date	Description
09/06/2014	Annual Returns
11/10/2013	New Accounts Filed
11/10/2013	New Accounts Filed
13/06/2013	Annual Returns
18/06/2012	Annual Returns
08/03/2012	New Accounts Filed
08/03/2012	New Accounts Filed
18/07/2011	New Board Member Mr J.T. Pearson appointed
15/07/2011	New Accounts Filed
15/07/2011	New Accounts Filed
08/06/2011	Annual Returns
29/04/2011	Mr S. Cowling has left the board
18/11/2010	New Board Member Mr P. Ripley appointed
16/11/2010	E. Henry has left the board
09/10/2010	New Accounts Filed

Previous Company Names

No Previous Names found

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.60.14
UK Pound	1	Rs.103.00
Euro	1	Rs.81.33

INFORMATION DETAILS

Analysis Done by :	SUB

Report Prepared by :	MNL

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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This report is issued at your request without any risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or its officials.