MIRA INFORM REPORT

 

 

Report Date :

17.05.2014

 

IDENTIFICATION DETAILS

 

Name :

DURAMAS CIA. LTDA.

 

 

Registered Office :

Av. Cornelio Vintimilla 2-62 y Rio Machangara, Parque Industrial de Cuenca -
Cuenca, Azuay

 

 

Country :

Ecuador

 

 

Date of Incorporation :

06.03.1979

 

 

Legal Form :

Limited Liability Partnership

 

 

Line of Business :

Import, Export, Distribution, Purchase, Sale, Marketing, Production and Manufacturing of rugs, textiles, fiber, yarn and other textile manufactures.

 

 

No. of Employees :

80

 

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)

Ecuador

B2

B2

 

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

 


 

ECUADOR - ECONOMIC OVERVIEW

 

Ecuador is substantially dependent on its petroleum resources, which have accounted for more than half of the country's export earnings and approximately two-fifths of public sector revenues in recent years. In 1999/2000, Ecuador's economy suffered from a banking crisis, with GDP contracting by 5.3% and poverty increasing significantly. In March 2000, the Congress approved a series of structural reforms that also provided for the adoption of the US dollar as legal tender. Dollarization stabilized the economy, and positive growth returned in the years that followed, helped by high oil prices, remittances, and increased non-traditional exports. From 2002-06 the economy grew an average of 4.3% per year, the highest five-year average in 25 years. After moderate growth in 2007, the economy reached a growth rate of 6.4% in 2008, buoyed by high global petroleum prices and increased public sector investment. President Rafael CORREA Delgado, who took office in January 2007, defaulted in December 2008 on Ecuador's sovereign debt, which, with a total face value of approximately US$3.2 billion, represented about 30% of Ecuador's public external debt. In May 2009, Ecuador bought back 91% of its "defaulted" bonds via an international reverse auction. Economic policies under the CORREA administration - for example, an announcement in late 2009 of its intention to terminate 13 bilateral investment treaties, including one with the United States - have generated economic uncertainty and discouraged private investment. China has become Ecuador's largest foreign lender since Quito defaulted in 2008, allowing the government to maintain a high rate of social spending; Ecuador contracted with the Chinese government for more than $9.9 billion in forward oil sales, project financing, and budget support loans as of December 2013. Foreign investment levels in Ecuador continue to be the lowest in the region as a result of an unstable regulatory environment, weak rule of law, and the crowding-out effect of public investments. In 2013, oil output marginally reversed a declining trend and production is expected to increase slightly in 2014, although prices will likely remain lower than in previous years. Faced with a 2013 trade deficit of $1.1 billion, Ecuador erected technical barriers to trade in December 2013, causing tensions with its largest trading partners. Ecuador also decriminalized intellectual property rights violations in February 2014.

 

Source : CIA

 

 

 

 


Company name and address

 

DURAMAS CIA. LTDA.

( DURAMAS )

Av. Cornelio Vintimilla 2-62 y Rio Machangara, Parque Industrial de Cuenca -
Cuenca
Azuay
ECUADOR

Telephone    : 593-7-2862030, 593-2-2568321, 593-2-2527166
Fax             : 593-7-2800064

E_Mail       : mcabrera@duramas.com.ec, xrivas@duramas.com.ec
Web Site     : www.duramas.com.ec
Postal Code  : 010108

 

SUMMARY


Started                          : 1980
Total Employees              : 80
Payments                     : Prompt
Social Capital               : US$        428.478.-


EVALUATION

 

Interpretation at the end of the report.


Financial indicators


Financial statements could not be obtained, thus financial analysis can not be
carried out

According to the Internal Revenue Service the most important figures as of

December 31st, 2012 are:

Sales US$ 6.485.808

Profit US$   157.929

According to the Internal Revenue Service the most important figures as of
December 31st, 2011 are:

Sales US$ 6.047.355

Profit US$   136.887

According to the Superintendence of Companies the most important figures as
of December 31st, 2010 are:

Sales:     US$. 5.696.343   

Assets:     US$. 5.280.960   

Liabilities:   US$. 3.849.851   

Equity:        US$. 1.431.109   

Profit:          US$.   271.084

 
COMMERCIAL INFORMATION


Commercial Bulletin      : As at 31/12/2013 subject does not register protested
                                    checks in the national central of risk


TRADE REFERENCES


Other suppliers denied to bring references trade

Detail of References

Old            : 20 years
Last purchase  : 12-2013
Terms          : 30 days
Payment        : Prompt
Notes          : checks
Credit         : Open
Owes           : Does not Register
Due            : Does not Register
Paying Comments: Excellent
Purchase Aver. : (Monthly US$) 2.500

Detail of Former Trade References
--------------------------------------------------------------------------------
              Last                                           Credit            Owes
Old        Purch. Payment.    Notes                     (US$)        (US$)
--------------------------------------------------------------------------------
20 years   08-13  Prompt      checks                        Open            None
8 years    04-12  Prompt      checks                        Open            None
20 years   04-12  Prompt      checks                        Open            None
20 years   05-11  Prompt      checks                        Open            None
20 years   08-10  Prompt      checks                        Open            None
Since 2005 06-10  Prompt      invoice                      1.000            None

- Tax Status: Current obligations fulfilled

- Special Taxpayer

- Subject is not part of the Clinton List

- Special Taxpayer:  It has special features and obligations which allow apply a
better control in then taxes

- Clinton List: A list of companies and persons from all around the world
involved in the drugs traffic and money washign, it is issued by the Office of
Foreign Assets Control (OFAC)of the Treasury Department of the United Sates of
America

Detail of Bank References

Bank                     : Banco de Guayaquil S.A.
To expire                : US$ 137,59

Bank                     : Banco Pichincha C.A.
To expire                : US$ 1.659.700,58

Total debt up to December 2013 is US$ 1.659.838,17

Credit history

Duramas Cia. Ltda had a credit with 1 month of overdue term for US$ 102,17 in the National Financial Sistem, registered in January 2013

Maximum amount of indebtedness registered by the subject -, in the National Financial System was US$ 1.659.838,17 in December, 2013

Average amount of indebtedness registered by the subject, in the National Financial System:
During 2010 was US$ 92.411,71
During 2011 was US$ 71.738,38
During 2012 was US$ 55.532,52
During 2013 was US$ 958.549,70



Indebtedness with one month past due.
Date                       amount in US$
January, 2013                     102,17
Income tax corresponding to the last years:
Year 2012: US$ 42.476
Year 2011: US$ 36.396
Year 2010: US$ 84.104
Year 2009: US$ 29.324


BANKS

 

The main banks are:

-  Banco de Guayaquil S.A.
-  Banco De La Produccion S.A.
-  Banco del Austro S.A.
-  Banco Del Pacifico S.A.
-  Banco Internacional S.A.
-  Banco Pichincha C.A.


OPERATIONS


Line of Business :

                   Registered line of business in the Ecuadorian Internal
                   Revenue Service (SRI) is:  FLOOR COVERING PRODUCTS RETAIL.

                   Registered social purpose in the Ecuadorian
                   Superintendencia de Compañías  is: import, export,
                   distribution, purchase, sale, marketing, production and
                   manufacturing of rugs, textiles, fiber, yarn and other
                   textile manufactures.
                  
Classification according to commercial activity:

Sic: 5023-0000 Homefurnishings
         -0401 Carpets
         -0400 Floor coverings
Sic: 5031-0000 Lumber, plywood, and millwork


Sales


Sales are steady throughout the year

National sales territory

Customers


Main customers are: Building companies in general,  public in general.


Purchases


Domestic and international purchases

Imports from Brazil, India, Italy, Spain, China, Egypt, Peru, United States,
Colombia.


National suppliers


- Asesores, Servicios Y Comercio Vindelpo Cia. Ltda.
- Compania De Comercio Y Transacciones Comitran S. A.
- Linde Ecuador S.A.
- Monsalve Moreno Cia. Ltda.
- Solvesa Ecuador S.A.

Foreign suppliers

- Mohak (United States)
- Sabema (Italy)
- Shaw Industries (United States)

Employees: 80 employees

 

Location


-  The administrative offices and production plant are located at Av. Cornelio
   Vintimilla 2-62 y Rio Machangara, Parque Industrial de Cuenca Cuenca Azuay,
   Ecuador of 4 hectare, industrial area, main avenue of commercial traffic,
   construction in good conditions

Branches


-  Av. 6 De Diciembre 30-19 Y Ave. Republica Quito Pichincha Ecuador
-  Av. Juan Tanca Marengo S-N y Francisco de Orellana Guayaquil Guayas Ecuador
-  Av. Remigio Crespo S-Ny Remigio Romero Cuenca Azuay Ecuador
-  Av. Victor Hugo S/N Y Ruben Dario Ambato Tungurahua Ecuador

 

RELATED COMPANIES


Subject is related to the following companies:

-  Serkuta Cia. Ltda. T A X : 0190348512001
-  Prefabricados De Concreto Tiger C Ltda T A X : 0190081095001
-  Inserkota Cia. Ltda. T A X : 0190311155001


INSURANCES


Insurance Company:

-Seguros Equinoccial S. A.


ADMINISTRATION

 

President                          : Janine Marie Ugalde Burgoyne TAX:1723462089001
Manager                              : Julio Olmedo Ugalde Jerves TAX:0100582147001
Administrative Manager   : Ximena Rivas
Sales Manager                 : Lourdes Bermeo
Accountant                      : Maria Augusta Cabrera


CURRICULUM


Janine Marie Ugalde Burgoyne

T A X               : 1723462089001
Civil status        : Married
Birth date          : 09/04/1970 -Ecuador
Position            : President
Mercantile Register : Number 157 of 18/01/2013
Simultaneously      : Legally registed in the Ecuadorian Internal Revenue
                      Service (SRI) to engage in business as individual since
                      March 19th 2008.  Registered economic activity is:
                      Commercial activities by brokersl  Registered trade name
                      is: Marmol Tec.

Julio Olmedo Ugalde Jerves

T A X               : 0100582147001
Civil status        : Married
Birth date          : 08/11/1940 -Ecuador
Position            : Manager
Mercantile Register : Number 158 of 18/01/2013
Simultaneously      : Legally registed in the Ecuadorian Internal Revenue
                      Service (SRI) to engage in business as individual since
                      September 1st 2000.  Registered economic activity is:
                      Architecture activities  No registered trade name.


LEGAL INFORMATION


Legal Structure       : Limited Liability Partnership
Constitution date     :  06/03/1979
Authorization            : Resolution Nº 418
Notary                   : N° 2, Cuenca Azuay
Term of duration      : 50 Year, ended on 03/05/2029
Legal Address         : Cuenca - Ecuador
Published in           : Official Gazette dated 06/03/1979

Current Social Capital: US$ 428.478.-contributions US$ 1.-
Paid-in Initial Capital: US$ 32.-
Subscribed Initial Capital: US$ 64.-

Partner :

-  99,99% 0100582147001 Julio Olmedo Ugalde Jerves
-   0,01% 0190081095001 Prefabricados De Concreto Tiger C Ltda

Legal representation is held by Manager.

Legal changes

By Resolution Nº 750 on 28/09/2001, notary N° 8, Cuenca Azuay, published in the
Official Gazette dated 03/10/2001, corporate name was modified: from Textiles
Duramas Cia. Ltda. to Duramas Cia. Ltda.

By Resolution Nº 528 on 09/09/2004, notary N° 8, Cuenca Azuay, published in the
Official Gazette dated 10/09/2004, taking over was carried out where subject
merged to the company Imporpisos Cia. Ltda.

By Resolution Nº 1002 on 30/12/2008, notary N° 9, Cuenca Azuay, published in the
Official Gazette dated 31/12/2008, capital was increased: by US$ 120.000,00


INFORMATION SOURCES

 

On 22/01/2014 Miss. Ximena Rivas, Administrative Manager,  confirmed general
information.

-Other outside information sources.


Exchange rate

 

-Since September 9th, 2000, official currency in Ecuador
  is the US$ dollar
-Until then, the currency was the sucre.
  Exchange rate was s/. 25.000 X US$ 1.00

Macroeconomic Information


Interest Rate for the week of             10/03/2014 - 18/03/2014

Ref. Active Rate for Operations     ( % ) 8,17

Ref. Passive Rate for Operations    ( % ) 4,53

Basic Rate of Central Bank          ( % ) 0,20

Legal                                            ( % ) 8,17

Maximum conventional                ( % ) 9,33


Inflation Ratio                          

Yearly Inflation                          ( % ) 2,85 Feb/2014

Monthly Inflation                        ( % ) 0,11 Feb/2014

Accumulated                             ( % ) 0,83 Feb/2014


 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.58.86

UK Pound

1

Rs.98.82

Euro

1

Rs.80.72

 

INFORMATION DETAILS

 

Analysis Done by :

DIV

 

 

Report Prepared by :

NNA

 

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.