MIRA INFORM REPORT

Report Date :

30.05.2014

IDENTIFICATION DETAILS

Name :	AGROQUIMICA INDUSTRIAL RIMAC S.A.
Registered Office :	De La Plaza de Deportes de La Lima 300 Mts. Oeste y 100 Mts. Norte
Country :	Costa Rica
Financials (as on) :	30.09.2013
Date of Incorporation :	1975
Legal Form :	Joint-Stock Company
Line of Business :	Formulation, distribution and trading of agrochemicals: Herbicides, insecticides, nematicides.
No. of Employees :	109

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)
Costa Rica	A2	A2

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

COSTA RICA - ECONOMIC OVERVIEW

Prior to the global economic crisis, Costa Rica enjoyed stable economic growth. The economy contracted 1.3% in 2009 but resumed growth at about 4.5% per year in 2010-12. While the traditional agricultural exports of bananas, coffee, sugar, and beef are still the backbone of commodity export trade, a variety of industrial and specialized agricultural products have broadened export trade in recent years. High value-added goods and services, including microchips, have further bolstered exports. Tourism continues to bring in foreign exchange, as Costa Rica's impressive biodiversity makes it a key destination for ecotourism. Foreign investors remain attracted by the country's political stability and relatively high education levels, as well as the incentives offered in the free-trade zones; and Costa Rica has attracted one of the highest levels of foreign direct investment per capita in Latin America. However, many business impediments remain, such as high levels of bureaucracy, legal uncertainty due to overlapping and at times conflicting responsibilities between agencies, difficulty of enforcing contracts, and weak investor protection. Poverty has remained around 20-25% for nearly 20 years, and the strong social safety net that had been put into place by the government has eroded due to increased financial constraints on government expenditures. Unlike the rest of Central America, Costa Rica is not highly dependent on remittances as they only represent about 2% of GDP. Immigration from Nicaragua has increasingly become a concern for the government. The estimated 300,000-500,000 Nicaraguans in Costa Rica legally and illegally are an important source of mostly unskilled labor but also place heavy demands on the social welfare system. The US-Central American-Dominican Republic Free Trade Agreement (CAFTA-DR) entered into force on 1 January 2009 after significant delays within the Costa Rican legislature. CAFTA-DR has increased foreign direct investment in key sectors of the economy, including the insurance and telecommunications sectors recently opened to private investors. President CHINCHILLA was not able to gain legislative approval for fiscal reform, her top priority, though she continued to pursue fiscal reform in 2012. President CHINCHILLA and the PLN were successful in passing a tax on corporations to fund an increase for security services

Source : CIA

IDENTIFICATION

CORRECT COMPANY NAME

AGROQUIMICA INDUSTRIAL RIMAC S.A.

TAXPAYER REGISTRATION

CJ 310102820429

MAIN ADDRESS

De La Plaza de Deportes de La Lima 300 Mts. Oeste y 100 Mts. Norte

DEPT/PROV/REGION/STATE

Cartago

COUNTRY

COSTA RICA

TELEPHONE

(506) 25737751

CORPORATE E-MAIL

mmendez@rimacsa.com

COMMENTS

In Costa Rica all the addresses are informal. They are based on variable reference points, that is to say, there is not a formal or official scheme about the address of a place, in the city or in the field. In some cities of the country, there are names of streets and avenues but they are not often very used by people or few understand this scheme.
No telephone number was given on your order.

EXECUTIVE SUMMARY
Date of foundation	1975
Capital stock	C/.371,573,999.= Colones
Shareholders' equity	3,049,150,527.00 Colones (30SEP2013)
Annual revenues	US$ 20,078,180.15 Colones (30SEP2013)
Profits (loss)	544,415,838.00 Colones (30SEP2013)
permanent employees	109
Chief Executive	MACAYA HAYES, ROMAN
Disposition	Excellent. Full information and Financial Statements.
Payments policy	Usually to terms / good
Credit (**)	Risk is Minimal, Solvent, Satisfactory Financial Situation.
Number of times that this company was required: 17

LEGAL STRUCTURE

LEGAL STATUS	Joint-Stock Company
DATE OF INCORPORATION	06MAY1975
PLACE OF REGISTRY	Cartago
NOTARY OFFICE		DURATION	99 years
REGISTRATION	Volume 150, Page 235, Entry 197
CURRENT PAID-IN CAPITAL	C/.371,573,999.= Colones	LAST CAPITAL INCREASE	09/2000
SHAREHOLDERS EQUITY	3,049,150,527.00 Colones (30SEP2013)
CURRENT EXCHANGE RATE (US$)	C/.542.02 per USD.1.00
COMMENTS
The 7.82% of shares are held by other unknown minority shareholders.

DIRECTORS - EXECUTIVES – SHAREHOLDERS

FULL NAMES / COMPANY NAME	TITLE	%PART.	SINCE
MACAYA ORTIZ, ERNESTO	President	15.21%
MACAYA HAYES, ROMAN	General Manager	10.00%
ALVARADO TORRES, FERNANDO	Sales Manager
MACAYA ORTIZ, CARLOS	Shareholder	36.97%
RIVERA PORRAS, EDUARDO	Secretary
HERRERA, RONALD	General Accountant
ALVARADO ZAMORA, CHRISTIAN	Operations Manager
MACAYA HAYES, ANASTASIA	Shareholder	10.00%
MACAYA HAYES, MARGARITA	Shareholder	10.00%
MACAYA HAYES, ALEXANDRA	Shareholder	10.00%

WHO IS WHO?

MACAYA ORTIZ, ERNESTO

TITLE

President

NATIONALITY

Costa Rican

D.O.B.

1973

CIVIL STATUS

Married

PROFESSION

Bachelor's degree

BACKGROUND INFORMATION

He studied at Massachusetts Institute of Tecnology.

MACAYA ORTIZ, CARLOS

TITLE

Shareholder

NATIONALITY

Costa Rican

D.O.B.

1950

ASSOCIATED AS PER OUR DATABASE TO

COMPANY	TITLE	TAX REG	COUNTRY
RAFAEL PINTO Y COMPAÑIA S.A.	President	3101003110	COSTA RICA
PRODUCTOS LUBRICANTES S.A.	Shareholder	3101029473	COSTA RICA

RIVERA PORRAS, EDUARDO

TITLE

Secretary

NATIONALITY

Costa Rican

D.O.B.

1937

PROFESSION

Chemical Engineer (Trohim University-Norway)

RELATED COMPANIES TO SUBJECT COMPANY OR TO MAJORITY SHAREHOLDER

COMPANY NAME	COUNTRY	TAX REG.	RELATION %
INDUSTRIAS CARNEL S.A.	COSTA RICA	3101199722	Related

BUSINESS

Main activity

Formulation, distribution and trading of agrochemicals: Herbicides, insecticides, nematicides.

O P E R A T I O N S

Import

Yes

Country

Taiwan, USA, India and Europe

Export

Yes

COUNTRY

Central America, except for Dominican Republic and Guatemala

% CASH SALES / METHOD

10%

% Credit SALES / Terms

90% (30, 45, 60, 120 days)

% Ventas exterior (Paises)

60%

SELLING TerritorY

Domestic market - 40%

EMPLOYEES

109

LOCATION
PREMISES	Own Settled
AREA	1,200 sqm.
OTHER PREMISES	Headquarters and production plant operate at the above address. Before, they were located at: 250 metros Oeste, 50 metros Norte de la Lima de Cártago, Cartago.

FINANCIAL INFORMATION

Disposition

Excellent. Full information and Financial Statements.

Interviewee(s)

Ronald Herrera

Position(s)

Accountant

Information provided

Mr. Herrera provided operating information as well as main figures of the Balance Sheet as of 30/09/2013 (12 months), as follows:

BALANCE SHEET
Balance sheet date	30SEP2013
Type of balance sheet	Annual
Period	12 months
Currency	Colones
Exchange rate per US$	493.54
A S S E T S
Current Assetsd	10,399,125,687.00
Fixed	972,337,107.00
Total Assets	11,371,462,794.00
L I A B I L I T I E S
Current liabilities	8,310,974,489.00
Long term	11,337,778.00
TOTAL LIABILITIES	8,322,312,267.00
S H A R E H O L D E R S'  E Q U I T Y
Total shareholders equity	3,049,150,527.00
Total Liab. / Sh. equity	11,371,462,794.00
Sales	9,909,385,030.00
Profit (Loss)	544,415,838.00

R A T I O
Liquidity ratio	1.25	Current assets / Current liabilities
Debt-to-equity ratio	36.69 %	(Shareholders' equity / Current liabilities %)
Profitability margin	5.49 %	(Profits / Sales %)
Working capital	2,088,151,198.00	(Current assets - Current liabilities)

FINANCIAL SITUATION

SATISFACTORY
Taking into account the last Financial Statement submitted and/or other factors analyzed, we believe that financial Situation of the Company is SATISFACTORY due to the following considerations:
Liquidity Ratio is slightly acceptable. Working capital shows a slightly satisfactory margin. Shareholders' equity covers moderately its liabilities. Economic results are moderate.

INSURANCE

COMPANY	AGAINST
INSTITUTO NACIONAL DE SEGUROS S.A.	All risk

TRADE REFERENCES, CREDIT BUREAU, LAWSUITS, BANKS

(Confidential Information)

TRADE REFERENCES

Supplier: LT COMERCIAL	Tel.: (506) 22933232	Country: COSTA RICA
Goods/Services? : Plastic containers
Highest credit? : Not specified		Current
Client since? : 2004	Terms? : 45, 60 days	Performance? : Prompt
Supplier: ABC DISTRIBUCIONES	Tel.: (506) 22570317	Country: COSTA RICA
Goods/Services? : Plastic bottles
Highest credit? : US$ 30,000.=		Current
Client since? : 2009	Terms? : 60 days	Performance? : Prompt
Comments : They dealt until 2012. No problems reported.
Supplier: EMPAQUES SANTA ANA	Tel.: (506) 22820888	Country: COSTA RICA
Goods/Services? : Packaging
Highest credit? : Not specified		Current
Client since? : Sv.years	Terms? : 30 days	Performance? : Prompt
Comments : They deal until 2009. Good client
Supplier: CORRUGADOS DEL GUARCO	Tel.: (506) 25737411	Country: COSTA RICA
Goods/Services? : Paper, carton
Highest credit? : US$ 5,000
Client since? : 2008	Terms? : 30 days	Performance? : Prompt
Supplier: TRANSMERQUIM DE COSTA RICA S.A.	Tel.: (506) 25372474	Country: COSTA RICA
Goods/Services? : Chemicals
Highest credit? : Not specified
Client since? : Sv.years	Terms? : 30, 45 days	Performance? : Prompt

Note : Other suppliers did not provide information or could not be consulted

Supplier	Country
SIGMA ENVASES	COSTA RICA
WEST WACO	U.S.A.
WITCO	U.S.A.
BIETTFIELD	U.S.A.
AIR PRODUCTS	U.S.A.
ENVASES COMERCIALES SA	COSTA RICA

Comments :

BANCO NACIONAL DE COSTA RICA Under privacy policy, no information was obtained from the above entity.

GENERAL INFORMATION

Explanation about commercial reputation

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.58.84
UK Pound	1	Rs.98.40
Euro	1	Rs.80.03

INFORMATION DETAILS

Analysis Done by :	DIV
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.