MIRA INFORM REPORT

 

 

Report Date :

05.09.2014              

 

IDENTIFICATION DETAILS

 

Name :

MASTROTTO BRASIL S/A

 

 

Registered Office :

Rodovia Br 101, S/Nº. Km,201 – Capoeiruçú, 44300-000 - Cachoeira/BA

 

 

Country :

Brazil

 

 

Financials (as on) :

31.12.2013

 

 

Date of Incorporation :

24.06.1999

 

 

Legal Form :

Privately Held Corporation

 

 

Line of Business :

Tanning and other Leather Preparations.

 

 

No. of Employees :

653

 

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 – June 01, 2014

 

Country Name

Previous Rating

(31.03.2014)

Current Rating

(01.06.2014)

Brazil

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

 

 

BRAZIL - ECONOMIC OVERVIEW

 

Characterized by large and well-developed agricultural, mining, manufacturing, and service sectors, and a rapidly expanding middle class, Brazil's economy outweighs that of all other South American countries, and Brazil is expanding its presence in world markets. Since 2003, Brazil has steadily improved its macroeconomic stability, building up foreign reserves, and reducing its debt profile by shifting its debt burden toward real denominated and domestically held instruments. In 2008, Brazil became a net external creditor and two ratings agencies awarded investment grade status to its debt. After strong growth in 2007 and 2008, the onset of the global financial crisis hit Brazil in 2008. Brazil experienced two quarters of recession, as global demand for Brazil's commodity-based exports dwindled and external credit dried up. However, Brazil was one of the first emerging markets to begin a recovery. In 2010, consumer and investor confidence revived and GDP growth reached 7.5%, the highest growth rate in the past 25 years. Rising inflation led the authorities to take measures to cool the economy; these actions and the deteriorating international economic situation slowed growth in 2011-13. Unemployment is at historic lows and Brazil's traditionally high level of income inequality has declined for each of the last 14 years. Brazil's historically high interest rates have made it an attractive destination for foreign investors. Large capital inflows over the past several years have contributed to the appreciation of the currency, hurting the competitiveness of Brazilian manufacturing and leading the government to intervene in foreign exchange markets and raise taxes on some foreign capital inflows. President Dilma ROUSSEFF has retained the previous administration's commitment to inflation targeting by the central bank, a floating exchange rate, and fiscal restraint

Source : CIA

 

 


Company name

 

MASTROTTO BRASIL S/A

 

 

Company ADDRESSES

 

MAIN ADDRESS:

RODOVIA BR 101, S/Nº. KM,201 - CAPOEIRUÇÚ

ZIP CODE/CITY:

44300-000 - CACHOEIRA/BA

 

 

PHONE:

75 3425-8891

FAX:

75 3425-8877

E-MAIL:

carlinhos@mastrottoreichert.com.br

WEB SITE:

www.mastrottoreichert.com.br

 

BRANCHES:

 

NOT AVAILABLE

 

 

LEGAL DATA

 

MAIN ACTIVITIES:

 

TANNING AND DRESSING OF LEATHER

 

LEGAL FORM:

PRIVATELY HELD CORPORATION

 

 

INCORPORATION DATE:

24/06/1999

REGISTER DATE:

24/06/1999

BALANCE SHEET FILING DATE:

31/12

TAX CONTRIBUTOR NUMBER(CNPJ):

03.384.037/0001-59

STATE REGISTER:

52.014.783

 

 

SHARE CAPITAL:

R$ 73.500.000,00

LAST REGISTER OF CAPITAL:

31/12/2006

 

BOARD OF DIRECTORS:

 

 

 

CESAR GUILHERME SCHIRMER

DIRECTOR

GRAZIANO MASTROTTO

DIRECTOR

SANTO MASTROTTO

DIRECTOR

 

 

AUTHORIZED USE OF SIGNATURE

 

THE DIRECTORS ARE AUTHORIZED TO SIGN ON BEHALF OF THE COMPANY.

 

SHAREHOLDERS / PARTNERS:

 

 

 

GRUPPO MASTROTTO SPA

79,59%

COMITALIA COMPAGNIA FIDUCIARIA SPA

20,41%

 

AFFILIATES / SUBSIDIARIES:

 

 

 

REICHERT AGROPECUARIA LTDA

99,90%

CALÇADOS REIFER LTDA

92,20%

FCC FORNECEDORA COMPONENTES QUIMICOS

45,00%

PARS PARTICIPAÇÕES LTDA

25,00%

INJECT IND. DE INJETADOS LTDA

18,20%

 

 

COMPANY'S BACKGROUND

 

THE SUBJECT WAS ESTABLISHED ON JUNE 24, 1999 AS MASTROTTO REICHERT S/A. TO BE ENGAGED IN THE SAID LINE OF BUSINESS. ON OCTOBER 30, 2009 IT ADOPTED THE ABOVE-MENTIONED NAME.

 

TRADE NAME: "MASTROTTO BRASIL".

 

FURTHER DETAILS ARE SO FAR NOT KNOWN.

 

PUBLIC INFORMATION:

 

PROTESTS:

 

8  PROTESTS,TOTAL AMOUNT R$ 61.281,40

    DATE OF FIRST PROTEST: 09/2011  R$ 1.000,00

    DATE OF HIGHEST PROTEST: 03/2014  R$ 50.000,00

 

DETAILS OF LATEST PROTESTS:

 

NOTARY OFFICE:

DATE:

VALUE:

1º CARTÓRIO DE BA-CACHOEIRA

21/03/2013

R$ 195,70

1º CARTÓRIO DE BA-CACHOEIRA

22/02/2013

R$ 195,70

1º CARTÓRIO DE BA-CACHOEIRA

22/02/2013

R$ 182,00

1º CARTÓRIO DE BA-CACHOEIRA

11/03/2014

R$ 50.000,00

1º CARTÓRIO DE BA-CACHOEIRA

28/06/2012

R$ 4.436,00

 


FINANCIAL INFORMATION

 

GENERAL BALANCE SHEETS AS OF 31/12/2013, 31/12/2012 AND 31/12/2011.

( FIGURES ARE IN THOUSANDS OF REAIS ).

 

ASSETS

 

 

 

CURRENT:

31/12/2013

31/12/2012

31/12/2011

 

 

 

 

CASH AND BANKS

21.901

9.375

2.998

CLIENTS

27.559

18.582

28.339

INVENTORY

85.133

74.911

58.526

RECOVERABLE TAXES

27.598

13.720

23.251

DISCOUNTED EXPORT RECEIVABLES

2.797

2.980

5.055

OTHER CREDITS

2.892

5.932

5.421

 

----------------

----------------

----------------

TOTAL CURRENT ASSETS

167.880

125.500

123.590

 

LONG-TERM RECEIVABLES:

 

 

 

 

 

 

 

RECOVERABLE TAXES

34.120

50.611

27.844

DEFERRED TAXES

953

734

830

OTHER CREDITS

1.660

459

315

 

----------------

----------------

----------------

TOTAL LONG-TERM RECEIVABLES

36.733

51.804

28.989

 

FIXED ASSETS:

 

 

 

 

 

 

 

FIXED ASSETS

61.342

31.898

30.244

INTANGIBLE

1.124

176

207

 

----------------

----------------

----------------

TOTAL FIXED ASSETS

62.466

32.074

30.451

 

================

================

================

TOTAL ASSETS

267.079

209.378

183.030

 

LIABILITIES:

 

 

 

CURRENT:

31/12/2013

31/12/2012

31/12/2011

 

 

 

 

SUPPLIERS

23.141

8.698

11.229

LOANS AND FINANCING

20.053

15.513

25.073

TAXES & CONTRIBUTIONS

 

 

741

DIVIDENDS

29.229

27.933

13.573

OTHER DEBTS

1.458

1.839

1.713

COMMISSIONS DUE

742

748

1.035

LABOR OBLIGATIONS

2.236

2.284

1.934

 

----------------

----------------

----------------

TOTAL CURRENT LIABILITIES

76.859

57.015

55.298

 

LONG TERM LIABILITIES:

 

 

 

 

 

 

 

PROVISION FOR CONTINGENCIES

288

390

498

TRIBUTARY OBLIGATIONS

1.013

948

818

 

----------------

----------------

----------------

TOTAL LONG TERM LIABILITIES

1.301

1.338

1.316

 

NET EQUITY:

 

 

 

 

 

 

 

SHARE CAPITAL

73.500

73.500

73.500

CAPITAL RESERVES

9.757

9.757

9.756

PROFIT RESERVES

105.663

67.768

43.160

 

----------------

----------------

----------------

TOTAL NET EQUITY

188.920

151.025

126.416

 

================

================

================

TOTAL LIABILITIES

267.080

209.378

183.030

 

PROFIT AND LOSS ACCOUNTS AS OF 31/12/2013, 31/12/2012 AND 31/12/2011.

( FIGURES ARE IN THOUSANDS OF REAIS ).

 

 

31/12/2013

31/12/2012

31/12/2011

 

 

 

 

NET SALES

280.322

224.471

185.859

(-) COST OF SOLD GOODS

208.991

170.289

156.900

 

----------------

----------------

----------------

GROSS PROFIT

71.331

54.182

28.959

OPERATING REVENUE (EXPENSE)

-3.308

-7.156

-9.652

FINANCIAL REVENUE(EXPENSE)

4.890

 

-554

 

----------------

----------------

----------------

OPERATIONAL PROFIT (LOSS)

72.913

47.026

18.753

CONTRIBUTION/INCOME TAX

-13.015

-8.050

-4.220

 

----------------

----------------

----------------

NET PROFIT (LOSS)

59.898

38.976

14.533

 

RATIOS:

31/12/2013

31/12/2012

31/12/2011

 

QUICK RATIO

1,08

 

,89

 

1,18

 

CURRENT RATIO

2,18

 

2,20

 

2,24

 

ACCOUNTS RECEIVABLE TURNOVER

10,17

TIMES

12,08

TIMES

6,56

TIMES

DAYS' SALES IN RECEIVABLES

35,39

DAYS

29,80

DAYS

54,89

DAYS

INVENTORY TURNOVER

2,45

TIMES

2,27

TIMES

2,68

TIMES

ACCOUNTS PAYABLE PERIOD

39,86

DAYS

18,39

DAYS

25,76

DAYS

RETURN ON ASSETS

1,05

TIMES

1,07

TIMES

1,02

TIMES

SALES TURNOVER ON NET EQUITY

1,48

TIMES

1,49

TIMES

1,47

TIMES

NET WORTH TIE-UP

,32

 

,21

 

,24

 

INDEBTEDNESS

,41

 

,39

 

,45

 

EQUITY RATIO

70,74

%

72,13

%

69,07

%

WORKING CAPITAL RATIO

118,43

%

120,12

%

123,50

%

GENERAL SOLVENCY

3,42

 

3,59

 

3,23

 

RETURN ON NET EQUITY

31,71

%

25,81

%

11,50

%

RETURN ON SALES (PROFIT MARGIN)

21,37

%

17,36

%

7,82

%

GROSS PROFIT MARGIN

25,45

%

24,14

%

15,58

%

OPERATIONAL RESULT

26,01

%

20,95

%

10,09

%

SALES TURNOVER ON LIABILITIES

3,65

TIMES

3,94

TIMES

3,36

TIMES

FOREIGN CURRENCY ON ASSETS

 

 

 

 

 

 

FOREIGN CURRENCY ON LIABILITIES

 

 

 

 

 

 

 

COMMENTS ON THE FINANCIAL INFORMATION:

 

FOLLOWS ATTACHED WORKSHEET WITH MAIN FINANCIAL RATIOS

 

THE FIGURES AVAILABLE SHOW A GOOD FINANCIAL STANDING. IT IS NOTED GOOD LIQUIDITY RATIOS AND IMPORTANT WORKING CAPITAL, AS WELL AS LOW LEVEL OF INDEBTEDNESS. IN ADDITION, IT IS NOTED GROWING SALES AND MADE PROFIT.

 

REAL ESTATE:

 

   OWNED PREMISES ARE VALUED AT R$ 13.913.000,00

 

VEHICLES:

 

   OWNED VEHICLES ARE VALUED AT R$ 333.000,00

 

MACHINES:

 

   OWNED MACHINES AND EQUIPMENTS ARE VALUED AT R$ 11.278.000,00

 

 

INSURANCE

 

COVERAGE:

FIRE / RAY / EXPLOSION

VALUE:

R$ 47.000.000,00

 

 

COVERAGE:

EXPORT CREDIT

VALUE:

R$ 38.000.000,00

 

 


BANKING REFERENCES

 

 

BRANCH/PHONE:

CITY:

BANCO BRADESCO S/A

2864    /  71 3355-6467

SALVADOR/BA

BANCO DO BRASIL S/A

0040-X  /  75 3425-2611

SALVADOR/BA

 

REMARKS: IN BRAZIL THE BANKS ARE PROHIBITED BY LAW TO PROVIDE INFORMATION OR ANY KIND OF COMMENTS ABOUT THEIR CLIENTS. DUE TO THIS LAW PROHIBITION WE ARE UNABLE TO PROVIDE ANY BANKING DETAILS.

 

ACCORDING TO THE CENTRAL BANK OF BRAZIL OFFICIAL REPORT, THE COMPANY HAS NO RETURNED CHECKS UP TO DATE. (IN THE TERMS OF "CIRCULAR 1682 BRAZILIAN CENTRAL BANK").

 

 

ACTIVITIES COMMENTS

 

 

TANNING AND OTHER LEATHER PREPARATIONS.

 

 

IMPORT AND EXPORT:

 

   IMPORTS FROM:

NOT AVAILABLE

 

   EXPORTS TO:

HOLLAND, CANADA, TAIWAN AND HONG KONG.

 

MAIN CLIENTS:

 

 

 

 

 

DOMESTIC CLIENTS:

 

PHONE:

ITALSOFA BAHIA LTDA

 

71 3594-3100

 

FOREIGN CLIENTS:

COUNTRY:

 

AD HULST VOF

HOLLAND

 

CTL LEATHER INC

CANADA

 

GRADE A LEATHER CO LTD

TAIWAN

 

NOBLE FURNISHING CO. LTD

HONG KONG

 

 

STAFF:

 

THE COMPANY HAS: 653 EMPLOYEE(S)

 

 


CONCEPT AND FULFILMENT

 

SUBJECT IS A WELL-ESTABLISHED COMPANY, OPERATING SINCE 1999. SO FAR IT HAS A CLEAR TRADE HISTORY AND GOOD PAYMENT BEHAVIOR.

 

THE COMPANY HAS TRADE RELATIONS WITH SEVERAL SUPPLIERS IN BRAZIL. THE SUPPLIERS EXTEND CREDIT FACILITIES TO THE SUBJECT IN TERMS AND AMOUNTS ACCORDING TO THE COMPANY'S NEEDS AND SO FAR NO PAYMENT PROBLEMS ARE NOTED.

 

OUR INVESTIGATION THROUGH THE PUBLIC SHOWED SOME DETRIMENTAL FILES REGISTERED AGAINST THE SUBJECT BUT DUE TO THE SUBJECT'S HIGH FINANCIAL STRENGTH AND HIGH SCALE OF OPERATIONS THE DETRIMENTAL FILES ARE CONSIDERED NORMAL AND DO NOT AFFECT ITS TRADE REPUTATION OR ITS CREDITWORTHINESS.

 

MAIN SUPPLIERS:

 

 

 

 

 

DOMESTIC SUPPLIERS:

 

PHONE:

BERTIN LTDA

 

14 3533-2033

COUROADA COMÉRCIO E REPRESENTAÇÕES LTDA

 

18 3522-1135

GREMIA REDUTORES LTDA

 

54 2105-3271

INDEPENDÊNCIA ALIMENTOS LTDA

 

11 4447-7000

INDUSPAN - INDÚSTRIA E COMÉRCIO DE COUROS PANTANAL

 

67 3373-4242

TFL DO BRASIL INDÚSTRIA QUÍMICA LTDA

 

51 3589-1999

 

PAYMENT HISTORY:

 

14 SUPPLIERS REPORTED PAYMENTS:

   TOTAL AMOUNT:  R$ 10.711.402,00

 

AMOUNT OF INVOICES PAID: 118

TOTAL OF PROMPT PAYMENTS: 97,6%

TOTAL OF DELAYED PAYMENTS: 2,4%

 

HIGHEST INVOICE: R$ 431.282,00

HIGHEST CREDIT: R$ 431.282,00

 

OUTSTANDING INVOICES DUE WITHIN THE NEXT 30 DAYS:

 

---------------------------

SUPPLIERS:

INVOICES:

TOTAL AMOUNT:

DUE WITHIN 30 DAYS

1

7

R$ 6.997,35

 

 


FINAL OPINION

 

THE SUBJECT IS A WELL-ESTABLISHED COMPANY IN BUSINESS FOR SEVERAL YEARS. UP TO DATE IT HAS GOOD FINANCIAL STANDING, A CLEAR TRADE HISTORY AND VERY PAYMENT BEHAVIOR.

 

BASED ON THE GENERAL INFORMATION AVAILABLE IT IS BELIEVED THAT GOOD TRADE RELATIONS MAY BE ESTABLISHED. CREDIT FACILITIES MAY BE EXTENDED WITHIN TERMS AND AMOUNTS ADEQUATE TO THE COMPANY'S FINANCIAL STRENGTH.

 

 


 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.60.45

UK Pound

1

Rs.99.45

Euro

1

Rs.79.46

 

INFORMATION DETAILS

 

Analysis Done by :

SUB

 

 

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.