MIRA INFORM REPORT

 

 

Report Date :

15.05.2014

 

IDENTIFICATION DETAILS

 

Name :

AMERICAN POWER CONVERSION CORP.(APC) B.V.

 

 

Registered Office :

Lot 3 Block 4, Phase III – C, Rosario, 4106

 

 

Country :

Philippines

 

 

Financials (as on) :

2012

 

 

Date of Incorporation :

11.01.2002

 

 

Legal Form :

Private Company

 

 

Line of Business :

Engaged in industrial and commercial activities, specifically the manufacture of computer related products.

 

 

No. of Employees

Not Available

 

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 – March 31, 2014

 

Country Name

Previous Rating

(31.12.2013)

Current Rating

(31.03.2014)

Philippines

A2

A2

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low Risk

 

A2

Moderately Low Risk

 

B1

Moderate Risk

 

B2

Moderately  High Risk

C1

High Risk

 

C2

Very High Risk

 

D

 

 

PHILIPPINES - ECONOMIC OVERVIEW

 

The economy has weathered global economic and financial downturns better than its regional peers due to minimal exposure to troubled international securities, lower dependence on exports, relatively resilient domestic consumption, large remittances from four- to five-million overseas Filipino workers, and a rapidly expanding business process outsourcing industry. The current account balance had recorded consecutive surpluses since 2003; international reserves are at record highs; the banking system is stable; and the stock market was Asia's second best-performer in 2012. Efforts to improve tax administration and expenditure management have helped ease the Philippines' tight fiscal situation and reduce high debt levels. The Philippines has received several credit rating upgrades on its sovereign debt, and has had little difficulty tapping domestic and international markets to finance its deficits. Economic growth in the Philippines averaged 4.5% during the MACAPAGAL-ARROYO administration, but poverty worsened during her term. Growth has accelerated under the AQUINO government, but with limited progress thus far in bringing down unemployment, which hovers around 7%, and improving the quality of jobs. Underemployment is nearly 20% and more than 40% of the employed are estimated to be working in the informal sector. The AQUINO administration has been working to boost the budgets for education, health, cash transfers to the poor, and other social spending programs, and is relying on the private sector to help fund major infrastructure projects under its Public-Private Partnership program. Long term challenges include reforming governance and the judicial system, building infrastructure, improving regulatory predictability, and the ease of doing business, attracting higher levels of local and foreign investments. The Philippine Constitution and the other laws continue to restrict foreign ownership in important activities/sectors (such as land ownership and public utilities)

Source : CIA

 

 

 


ANTECEDENT INFORMATION

 

Company:                  AMERICAN POWER CONVERSION CORP.

Address:                    Lot 3 Block 4, Phase III – C, Rosario, 4106

Country:                     PHILIPPINES

                        

 

FINDINGS

 

We conducted research and investigation on  AMERICAN POWER CONVERSION CORP. (APC) B.V., which  showed the following, viz:

 

 

VERIFICATION WITH SECURITIES & EXCHANGE COMMISSION (SEC):  AMERICAN POWER

CONVERSION CORP.

 

REGISTRATION –

 

Certificate No.                            :      A2001-19166

Date                                         :      January 11, 2002

Term                                         :      Fifty (50) years

Corporate Tax

ID No,                                       :      217-749-284-000

Tel./Fax Nos.                             :     (63) 046 437-1506  /  (63) 046 437-3280

Country where organized            :     Amsterdam, The Netherlands

 

Address                                    :     2nd Street, Phil. Economic Zone Authority (PEZA), Rosario, :Cavite Province

 

CAPITALIZATION -                     (Per GIS dated 2013)

 

Assigned Capital:                       US$100,000.

 

OFFICERS                             (As of 2013)

 

James A. Tabojka (American),  Managing Director

Myrna Asistores (Filipino),  Financial Controller

 

STATEMENT OF FINANCIAL POSITION

 

 

        


Balance Sheet 

 

                                 ASSETS

Current Assets

2012

2011

2010

        Cash

US$      48,050,113.

US$        2,009,819.

US$         1,565,561.

        Trade & Other Receivables-Net

       460,203,449.

          340,018,380.

            172,977,965.

        Inventories

        80,441,867.

       101,358,835.

           93,968,911.

        Other Current Assets

               1,434,628.

            18,216,575.

              10,447,772.

Total Current Assets

US$  590,130,057.

US$   461,603,609.

US$    278,960,209.

 

 

 

 

Non-Current Assets

 

 

 

       Prop., Plant & Equipment-Net

US$    46,314,398.

US$     49,954,324.

US$        39,760,607.

       Deferred Tax Assets

                 83,416.

                49,629.

                    44,713.

      Other Non-Current Assets

             796,423.

             272,643.

                 139,321.

Total Non-Current Assets

U$$    47,194,237.

US$    50,276,596.

US$        39,944,641.

TOTAL ASSETS

US$ 637,324,294.

vvvvvvvvvvvvvvvv

US$  511,880,205.

vvvvvvvvvvvvvvvv

US$     318,904,850.

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           LIABILITIES & HEAD OFFICE ACCT.

 

 

 

Current Liabilities

 

 

 

     Trade and Other Payables

US$   95,254,995.

US$   142,783,312.

US$        88,558,195.

     Income Tax Payable

            3,867,392.

               2,990,039.

                3,564,497.

Total Current Liabilities

US$  99,122,387.

US$   145,773,351.

US$       92,122,692.

 

 

 

 

Non-Current Liabilities

 

 

 

     Accrued Rent

US$        370,427.

US$            364,547.

US$             382,241.

     Pension Liability

            1,522,302.

                   743,333.

                    682,701.

Total Non-Current Liabilities

US$     1,892,729.

US$        1,107,880.

US$         1,064,942.

Total Liabilities

US$101,015,116.

US$    146,881,231.

US$       93,187,634.

 

 

 

 

            HEAD OFFICE ACCOUNT

 

 

 

Assigned Capital

US$          100,000.

US$           100,000.

US$            100,000.

Accumulated Earnings

         536,209,178.

          364,898,974.

           225,617,216.

Total Head Office Account

         536,309,178.

          364,998,974.

           225,717,216.

TOTAL LIABILITIES & HEAD OFFICE ACCOUNT

US$  637,324,294.

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US$   511,880,205.

vvvvvvvvvvvvvvvvv

US$   318,904,850.

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     Statements of Comprehensive Income

 

 

2012

2011

2010

Net Sales

US$1,096,397,408.

US$     996,516,416.

US$       831,669,008.

Cost of Goods Sold

           864,088,404.

            771,138,747.

              647,322,876.

Gross Income

           232,309,004.

           225,377,669.

            184,346,132.

General And Administrative Expenses

(            50,229,317.)

(            74,807,678.)

(              78,199,870.)

Foreign Exchange Gain/(Loss)-Net

(              1,275,674.)

(              2,605,936.)

               1,641,776.

Interest Income

            2,446,707.

                206,758.

                       82,168.

Loss on Disposal of Property, plant and Equipment

NIL

(                      9,271.)

(                   105,802.)

Miscellaneous Income

               531,845.

               446,138.

                    166,898.

Other Expenses

(                850,684.)

(                   75,641.)

NIL

Income Before Income Tax

US$  182,931,881.

US$  148,531,839.

US$     107,931,302.

Net Income

US$  171,310,204.

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US$  139,281,758.

vvvvvvvvvvvvvvvv

US$       97,982,896.

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BUSINESS ACTIVITY

 

As gathered, American Power Conversion Corporation (A.P.C,) B.V., Philippine Branch, is a company Incorporated in Amsterdam, Netherlands .Engaged in industrial and commercial activities, specifically the manufacture of computer related products.

 

A subsidiary company of Schneider Electric, a French global company, based in West Kingston, Rhode Island in United States. It is a maker of AC and DC-based back-up power products and services. The company manufactures unintb.erruptible power supply (UPS) devices, surge protectors, precision cooling products, and related items.

 

Another company, AMERICAN POWER CONVERSION (PHILS.) INC.,, wholly owned subsidiary of American Power Conversion  B.V.,  is a SEC registered company in 1996 with address at 2nd Street, Cavite EPZ Road, Rosario, Cavite. Head of Phil. operation is James Allen Tabojka (American).

 

 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.59.87

UK Pound

1

Rs.100.98

Euro

1

Rs.82.40

 

INFORMATION DETAILS

 

Analysis Done by :

KAR

 

 

Report Prepared by :

PDT

 

               

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.