MIRA INFORM REPORT

 

 

Report Date :

14.10.2014

 

IDENTIFICATION DETAILS

 

Name :

WAJAX CORPORATION

 

 

Registered Office :

3280 Wharton Way, Mississauga, Ontario L4X 2C5 -

 

 

Country :

Canada

 

 

Date of Incorporation :

01.01.2006

 

 

Legal Form :

Federal Corporation – Profit

 

 

Line of Business :

Subject is engaged in the sale, rental, and after-sale parts and service support of mobile equipment, power systems, and industrial components

 

 

No. of Employees :

2,766

 

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

 

Maximum Credit Limit :

CAD 5,000,000+

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 – June 1, 2014

 

Country Name

Previous Rating

(31.03.2014)

Current Rating

(01.06.2014)

Canada

A1

A1

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 


 

CANADA - ECONOMIC OVERVIEW

 

As a high-tech industrial society in the trillion-dollar class, Canada resembles the US in its market-oriented economic system, pattern of production, and high living standards. Since World War II, the impressive growth of the manufacturing, mining, and service sectors has transformed the nation from a largely rural economy into one primarily industrial and urban. The 1989 US-Canada Free Trade Agreement (FTA) and the 1994 North American Free Trade Agreement (NAFTA) (which includes Mexico) touched off a dramatic increase in trade and economic integration with the US, its principal trading partner. Canada enjoys a substantial trade surplus with the US, which absorbs about three-fourths of Canadian merchandise exports each year. Canada is the US's largest foreign supplier of energy, including oil, gas, uranium, and electric power. Given its abundant natural resources, highly skilled labor force, and modern capital plant, Canada enjoyed solid economic growth from 1993 through 2007. Buffeted by the global economic crisis, the economy dropped into a sharp recession in the final months of 2008, and Ottawa posted its first fiscal deficit in 2009 after 12 years of surplus. Canada's major banks, however, emerged from the financial crisis of 2008-09 among the strongest in the world, owing to the financial sector's tradition of conservative lending practices and strong capitalization. Canada achieved marginal growth in 2010-13 and plans to balance the budget by 2015. In addition, the country's petroleum sector is rapidly expanding, because Alberta's oil sands significantly boosted Canada's proven oil reserves. Canada now ranks third in the world in proved oil reserves behind Saudi Arabia and Venezuela.

 

Source : CIA

 

 

 

 


note

 

Your order on:              WAJAX EQUIPMENT

                                     26313 Township Road 531A, Ste 30, Acheson, Alberta T7X 5A3

                                     Canada

 

The corporate name is:  WAJAX CORPORATION (CORRECT NAME)

 

 

Company name and address

 

Company name:            WAJAX CORPORATION

 

Address:                                   3280 Wharton Way, Mississauga, Ontario L4X 2C5 - Canada

 

Telephone:                    +1 905-212-3300

 

Fax:                              +1 905-212-3350

 

Website:                       www.wajax.com

 

Corporate ID#:              4342062

 

State:                            Federal

 

Judicial form:                Federal Corporation – Profit

 

Date incorporated:        01-01-2006

 

Date founded:              1858

 

Stock:                          16,778,883 shares issued and oustanding

 

Market cap.:                  CAD 592,294,570=

 

Name of manager:         A. Mark FOOTE

 

 

ACTIVITIES & OPERATIONS

 

IST

 

Business:

 

Wajax Corporation, through its subsidiaries, is engaged in the sale, rental, and after-sale parts and service support of mobile equipment, power systems, and industrial components.

The company operates through three businesses: Equipment, Industrial Components, and Power Systems.

 

 

The Equipment business is involved in the distribution, rental, modification, and servicing of excavators, lift trucks, mining trucks and shovels, forest harvesting equipment, utility equipment, loader backhoes, container handlers, crawler and rough terrain cranes, skid steer loaders, wheel loaders, articulated dump trucks, shuttle cars, and continuous miners for construction, materials handling, forestry, mining, government, oil and gas, utilities, and manufacturing markets.

 

The Power Systems business is engaged in the distribution, rental, and servicing diesel and natural gas engines, power generators, and transmission products for agriculture, military, construction, mining, forestry, oil and gas, industrial/commercial, transportation, utilities, and marine markets.

 

The Industrial Components business is involved in the custom design, assembly, distribution, and servicing of bearings, power transmission parts, hydraulic components and systems, process pumps and equipment, motors, cylinders, valves, hoses and fittings, hoists, filters, and safety supplies for agriculture, metal processing, construction, mining, food processing, oil and gas, forestry, resellers/distributors, transportation, and industrial/manufacturing markets.

 

Wajax Corporation operates through a network of 125 branches in Canada.

The company was formerly known as Wajax Income Fund and changed its name to Wajax Corporation in January, 2011.

The Company was founded in 1858 and is based in Mississauga, Canada.

 

 

Staff:    2,766

 

Operations & branches:

 

At the headquarters, we find the corporate headquarters, owned.

 

The company maintains several branches.

 

 

SHAREHOLDERS & MANAGERS

 

Shareholders:

 

The Company is listed with the Toronto Stock Exchange under symbol WJX.

 

 

Management:

 

A. Mark FOOTE is the President, Director and CEO.

He has been the Chief Executive Officer and President of Wajax Corporation since March 05, 2012. Mr. Foote served as President and Chief Executive Officer (Canada) of Zellers Inc. since August 2008. He served as President and Chief Merchandising Officer (Canada) of Loblaw Companies Limited from September 20, 2006 to April 2008 and served as its Executive Vice-President of General Merchandise since May 2006 and was responsible for all procurement and merchandising activities in the general merchandise business.

Mr. Foote has been a Director of Wajax Corporation since March 05, 2012.

 

John J. HAMILTON is Sr. Vice President and CFO.

 

Mr. Brian M. DYCK has been Senior Vice President of Equipment at Wajax Corporation since September 16, 2010 and also served as its General Manager of General Equipment - Western Region until 2010.

He has been with Wajax for 17 years.

 

 

Subsidiaries

And partnership:                        Several

 

 

FINANCIALS

 

On August 6, 2014, Wajax Corporation announced unaudited consolidated earnings results for the second quarter and six months ended June 30, 2014.

 

For the quarter, the company announced revenue of $374.4 million compared to $362.0 million for the same period a year ago. Net earnings were $12.3 million compared to $13.5 million for the same period a year ago. The lower earnings were mainly attributable to higher finance costs resulting from the increased cost of debt related to the issuance of long-term senior notes in the fourth quarter of last year, as well as a slightly higher income tax rate. Earnings before finance costs and income taxes was $20.1 million compared to $20.3 million for the same period a year ago. Earnings before income taxes were $16.9 million compared to $18.3 million for the same period a year ago. Diluted earnings per share were $0.72 compared to $0.80 for the same period a year ago.

 

For the six months, the company announced revenue of $705.8 million compared to $698.3 million for the same period a year ago. Net earnings were $19.0 million compared to $23.9 million for the same period a year ago. Funded net debt of $218.2 million at June 30, 2014 was relatively unchanged compared to $217.8 million at March 31, 2014. Earnings before finance costs and income taxes was $32.5 million compared to $36.2 million for the same period a year ago. Earnings before income taxes were $26.0 million compared to $32.4 million for the same period a year ago. Diluted earnings per share were $1.11 compared to $1.41 for the same period a year ago.

 

 

On attachment:

- 10K 2013

- 2nd 10Q 2014

 

Banks:  Scotia Bank

                       

 


 

LEGAL FILINGS

 

Legal filings & complaints:

 

As of today date, there is no legal filing pending with the Courts.

 

 

Secured debts summary:   Several

 

Haut du formulaire

 

 

COMPANY CREDIT HISTORY

 

Trade references:

 

Date reported:               September 2014

High credit:                   CAD 30,000

Now owing:                   0

Past due:                      0

Last purchase:              August 2014

Line of business:           Office supply

Paying status:               5 days beyond terms

 

Date reported:               September 2014

High credit:                   CAD 3,500,000

Now owing:                   0

Past due:                      0

Last purchase:             August 2014

Line of business:           Payroll

Paying status                As agreed

 

Date reported:               September 2014

High credit:                   CAD 6,000

Now owing:                   0

Past due:                      0

Last purchase:              August 2014

Line of business:           Telecommunications

Paying status:               3 days beyond terms

 

 

Domestic credit history:

 

National Credit Bureaus gave a correct credit rating.

 

According to our credit analysts, during the last 6 months, domestic payments were made with an average of 2 to 5 days beyond terms.

 

 

International credit history:

 

Payments of imports are currently made on terms.

 

 

Other comments:

 

The Company maintains its business.

 

The bank confirmed some late payments but remains confident.

 

The Company is in good standing.

This means that all local and federal taxes were paid on due date.

 

The risk is low.

 

 

Our opinion:

 

A business connection may be conducted.

 

 

CREDIT OPINION

 

Credit limit:                   CAD 5,000,000+


 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.61.24

UK Pound

1

Rs.98.68

Euro

1

Rs.77.60

 

INFORMATION DETAILS

 

Analysis Done by :

RAS

 

 

Report Prepared by :

NIS

 

               

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.