MIRA
INFORM REPORT
|
Report Date : |
16.09.2014 |
IDENTIFICATION DETAILS
|
Name : |
API TECHNOLOGIES CORP. |
|
|
|
|
Registered Office : |
|
|
|
|
|
Country : |
|
|
|
|
|
Date of Incorporation : |
02.02.1999 |
|
|
|
|
Legal Form : |
Public Company |
|
|
|
|
Line of Business : |
Subject together with its subsidiaries, designs, develops, and
manufactures engineered solutions, RF, power systems management technology,
systems, secure communications, and electronic components |
|
|
|
|
No. of Employees |
1,975 |
RATING & COMMENTS
|
MIRA’s Rating : |
B |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
26-40 |
B |
Capability to overcome financial difficulties seems comparatively
below average. |
Small |
|
Status : |
Moderate |
|
Payment Behaviour : |
Slow |
|
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) |
|
|
A1 |
A1 |
|
Risk Category |
ECGC
Classification |
|
Insignificant |
A1 |
|
Low |
A2 |
|
Moderate |
B1 |
|
High |
B2 |
|
Very High |
C1 |
|
Restricted |
C2 |
|
Off-credit |
D |
UNITED STATES ECONOMIC OVERVIEW
The
|
Source
: CIA |
Company name and address
Company name: API TECHNOLOGIES CORP.
Address:
Telephone: +1 407-876-0279
Website: www.apitech.com
Corporate ID#: 2999595
State:
Judicial form: Public Company (Nasdaq = ATNY)
Date incorporated: 02-02-1999
Stock: 55,397,384
shares issued and outstanding
(as of July 2, 2014)
Value: USD 0.001= par value
Name of
manager: Bel LAZAR
ACTIVITIES
& OPERATIONS
Business:
API Technologies Corp., together with its subsidiaries, designs, develops, and manufactures engineered solutions, RF, power systems management technology, systems, secure communications, and electronic components.
It operates in three segments: Systems, Subsystems & Components (SSC); Electronic Manufacturing Services (EMS); and Secure Systems & Information Assurance (SSIA).
The SSC segment offers RF, microwave, and millimeter wave products; microelectronics, mixed signal microcircuits, and optical products; electromagnetic integrated solutions; and power and systems solutions.
The SSIA segment develops secure network and hardware solutions, including TEMPEST and emanation security, ruggedized systems, secure access, and information assurance products, as well as TEMPEST training and certification services under the EMCON, SST, Cryptek, ION, and Netgard brand names.
The
The company also manufactures passive electronic components,
including thermistors, film capacitors, magnetic transformers and inductors,
and audio power conditioning units. It serves defense, aerospace, industrial,
communications, satellite, medical, and government agencies, including the
governments of the
The company was formerly known as API Nanotronics Corp. and changed its name to API Technologies Corp. in October 16, 2009.
API Technologies Corp. was founded in 1993 and is based in
Office of the Foreign Assets Control (OFAC):
The company is not listed on the OFAC list.
The Specially Designated Nationals (SDN) List is a
publication of OFAC which lists individuals and organizations with whom
Suppliers include:
DONG IL TECHNOLOGY LTD.
28, NAMYANG-RO 930 BEON-GUL,HWASEON G-SI, GYEONGGI-DO, KOREA
EIN: 98-0200798
Staff: 1,975
Operations &
branches:
At the headquarters, we find the principal
corporate office.
The Company maintains branches located:
11335
Tel: +1 916-631-4363
Fax: +1 916-631-4364
Tel: 321-727-1838
Fax: 321-727-3729
38166 Old Stage Road
Tel: +1 302-846-2750
Fax: +1 302-846-3888
Tel: +1 443-259-3440
Fax: +1 443-259-8672
Tel: 508.251.6400
Fax: 508.251.6401
3053 Hwy 51 N
Tel: +1 601-643-2215
Fax: +1 601-643-5126
Tel: +1603-459-1600
Fax: +1 603-459-1605
120 Corporate Boulevard,
Suite A
Tel: +1 908-546-3900
Fax: +1 908-546-3901
Tel: +1 315-253-6241
Fax: +1 315-253-6247
Tel: +1 585-425-3390
Fax: +1 585-425-3392
Tel: +1 814-474-1571
Fax: +1 814-474-3110
Tel: +1 215-464-4000
Fax: +1 215-464-4001
Tel: +1 814-272-2700
Fax: +1 814-272-2701
Tel: +1 814-467-9060
Fax: +1 815-301-8468
SHAREHOLDERS & MANAGERS
Shareholders:
The Company
is listed with the Nasdaq under symbol ATNY.
STEEL EXCEL
INC. is a direct shareholder and holds 20.64% of the stock.
As of
06-30-2014, 30% of the stock was held by institutional and mutual fund owners,
including:
|
Steel Partners Holdings, LP |
20.64% |
|||||
|
Vanguard Group, Inc. (The) |
1.58% |
|||||
|
|
|
|
|
|
||
Management:
Bel LAZAR has been Chief Executive Officer of API Technologies Corp. since August 01, 2012 and has been its President since March 1, 2011.
Mr. Lazar has over 25 years of extensive experience in the defense, semiconductor and technology fields. He served as Chief Operating Officer of API Technologies Corp. from March 1, 2011 to August 01, 2012.
He served as Senior Vice President of Operations and Member of Executive Team at Microsemi Corporation from September 2008 to March 1, 2011.
At Microsemi, Mr. Lazar was responsible for several divisions serving the Aerospace and Defense markets with diverse product offerings, including space level DC-DC converters, power supplies, and other power management solutions; and RF and microelectronics components, subsystems, and systems.
In addition, Mr. Lazar was responsible for global Information Technology and for the acquisition and integration of several private and public companies, significantly improving their operating margins and overall profitability. Prior to Microsemi, Mr. Lazar spent over 22 years at International Rectifier, in expanding leadership and general management roles. He served as International Rectifier's Vice President of Aerospace & Defense Operations and R&D from July 2003 to September 2007 and Vice President of the Aerospace & Defense business unit from September 2007 to February 2008.
Mr. Lazar holds a Bachelor of Science degree in Engineering
from
Claudio MANNARINO is Senior Vice President & Chief Financial Officer.
Brian R. KAHN is the Chairman and Director.
Other Directors include Matthew E. AVRIL, Kenton W. FISKE, Mel KEATING,
and Kenneth J. KRIEG.
Subsidiaries
And partnership:
|
Spectrum Control, Inc. |
|
|
|
|
|
|
|
Spectrum Control, Inc. |
|
|
|
|
|
|
|
Spectrum Engineering International, Inc. |
|
|
|
|
|
|
|
Spectrum Control Technology, Inc. |
|
|
|
|
|
|
|
Spectrum FSY Microwave, Inc. |
|
|
|
|
|
|
|
Spectrum SEI Microwave, Inc. |
|
|
|
|
|
|
|
Spectrum Microwave, Inc. |
|
|
|
|
|
|
|
Spectrum Control GmbH |
|
|
|
|
|
|
|
Spectrum Control de Mexico |
|
|
|
|
|
|
|
Spectrum Control ( |
|
|
|
|
|
|
|
Spectrum Control Electronics (Dongguan) Co. LTD. |
|
|
|
|
|
|
|
CMT Filters, Inc. |
|
|
|
|
|
|
|
SenDEC Corp. |
|
|
|
|
|
|
|
API Cryptek Inc. d/b/a ION Networks |
|
|
|
|
|
|
|
API Electronics Group Corp. |
|
|
|
|
|
|
|
API Nanotronics Sub, Inc. |
|
|
|
|
|
|
|
API Passive Components Inc. |
|
|
|
|
|
|
|
API Systems, Inc. |
|
|
|
|
|
|
|
API Defense, Inc. |
|
|
|
|
|
|
|
API Defense USA, Inc. |
|
|
|
|
|
|
|
Emcon USA, Inc. |
|
|
|
|
|
|
|
Cryptek Holdco UK Limited |
|
|
|
|
|
|
|
Emcon2007 Holdco Inc. |
|
|
|
|
|
|
|
Emcon Emanation Control Ltd. |
|
|
|
|
|
|
|
Filtran Limited |
|
|
|
|
|
|
|
National Hybrid, Inc. |
|
|
|
|
|
|
|
Secure Systems & Technologies, Ltd. |
|
|
|
|
|
|
|
API Technologies ( |
|
|
|
|
|
|
|
RF2M Ltd. (f/k/a C-MAC Aerospace Ltd.) |
|
|
|
|
|
|
|
RF2M Microelectronics Limited (f/k/a C-MAC Microcircuits Ltd.) |
|
|
|
|
|
|
|
RF2M Microwave Ltd. (f/k/a Cobham MAL Ltd.) |
|
|
FINANCIALS
|
Currency in |
As of: |
May 31 |
Nov 30 |
Nov 30 |
Nov 30 |
|
Revenues |
68.6 |
177.6 |
242.4 |
244.3 |
|
|
NET INCOME |
-9.0 |
-17.3 |
-148.7 |
-7.2 |
|
On
attachment:
- 10K 2013
- 2nd
10Q 2014
The Company
is reporting losses since several years.
Banks: Wells Fargo Bank
…
LEGAL FILINGS
Legal filings & complaints:
As of today date, there is no legal filing pending with the Courts.
Secured debts summary (UCC): Several in various States.
Haut du formulaire
COMPANY
CREDIT HISTORY
Trade
references:
Date
reported: August 2014
High
credit: USD 25,000
Now owing: 0
Past due: 0
Last
purchase: July 2014
Line of
business: Office supply
Paying
status: 25 days beyond terms
Date
reported: August 2014
High
credit: USD 2,500,000
Now owing: 0
Past due: 0
Last
purchase: July 2014
Line of
business: Payroll
Paying
status: As agreed
Date
reported: August 2014
High
credit: USD 4,000
Now owing: 0
Past due: 0
Last
purchase: July 2014
Line of
business: Telecommunications
Paying
status: 15 days beyond terms
Domestic
credit history:
Domestic
credit history appears as follow:
|
Monthly Payment
Trends - Recent Activity |
|
|
|
National
Credit Bureaus gave a medium/bad credit rating.
According to our credit analysts, during the last 6 months, domestic payments were made with an average of 20+ days beyond terms.
We noted a net increase in delays on payments since April 2014.
International credit history:
Payments of imports are currently made with an average of 5 days beyond terms.
Other
comments:
The Company
maintains a regular business.
The bank
confirmed late payments and a bad cash flow.
The Company
is in good standing.
This means that
all local and federal taxes were paid on due date.
The risk is
medium/high.
Our
opinion:
We suggest
you to be careful.
Standard & Poor’s
|
|
|
Publication
date: 05-Aug-2011 20:13:14 EST |
·
We have lowered our long-term
sovereign credit rating on the United States of America to 'AA+' from 'AAA' and
affirmed the 'A-1+' short-term rating.
·
We have also removed both the short- and long-term ratings
from CreditWatch negative.
·
The downgrade reflects our opinion
that the fiscal consolidation plan that Congress and the Administration
recently agreed to falls short of what, in our view, would be necessary to
stabilize the government's medium-term debt dynamics.
·
More broadly, the downgrade
reflects our view that the effectiveness, stability, and predictability of
American policymaking and political institutions have weakened at a time of
ongoing fiscal and economic challenges to a degree more than we envisioned when
we assigned a negative outlook to the rating on April 18, 2011.
·
Since then, we have changed our
view of the difficulties in bridging the gulf between the political parties over
fiscal policy, which makes us pessimistic about the capacity of Congress and
the Administration to be able to leverage their agreement this week into a
broader fiscal consolidation plan that stabilizes the government's debt
dynamics any time soon.
·
The outlook on the long-term rating
is negative. We could lower the long-term rating to 'AA' within the next two
years if we see that less reduction in spending than agreed to, higher interest
rates, or new fiscal pressures during the period result in a higher general
government debt trajectory than we currently assume in our base case.
The
transfer and convertibility (T&C) assessment of the
debt service--remains
'AAA'.
We lowered our long-term
rating on the U.S. because we believe that the prolonged controversy over
raising the statutory debt ceiling and the related fiscal policy debate
indicate that further near-term progress containing the growth in public
spending, especially on entitlements, or on reaching an agreement on raising
revenues is less likely than we previously assumed and will remain a
contentious and fitful process. We also believe that the fiscal consolidation
plan that Congress and the Administration agreed to this week falls short of
the amount that we believe is necessary to stabilize the general government
debt burden by the middle of the decade.
Our lowering of the
rating was prompted by our view on the rising public debt burden and our
perception of greater policymaking uncertainty, consistent with our criteria
(see "Sovereign Government Rating Methodology and
Assumptions ," June 30, 2011, especially Paragraphs 36-41).
Nevertheless, we view the
We have taken the ratings
off CreditWatch because the Aug. 2 passage of the Budget Control Act Amendment
of 2011 has removed any perceived immediate threat of payment default posed by
delays to raising the government's debt ceiling. In addition, we believe that
the act provides sufficient clarity to allow us to evaluate the likely course
of
The
political brinksmanship of recent months highlights what we see as
the containment of which
we and most other independent observers regard as key to long-term fiscal
sustainability.
Our opinion is that
elected officials remain wary of tackling the structural issues required to
effectively address the rising U.S. public debt burden in a manner consistent
with a 'AAA' rating and with 'AAA' rated sovereign peers (see Sovereign Government Rating Methodology and
Assumptions," June 30, 2011, especially Paragraphs 36-41). In
our view, the difficulty in framing a consensus on fiscal policy weakens the
government's ability to manage public finances and diverts attention from the
debate over how to achieve more balanced and dynamic economic growth in an era
of fiscal stringency and private-sector deleveraging (ibid). A new political
consensus might (or might not) emerge after the 2012 elections, but we believe
that by then, the government debt burden will likely be higher, the needed
medium-term fiscal adjustment potentially greater, and the inflection point on
the U.S. population's demographics and other age-related spending drivers
closer at hand (see "Global Aging 2011: In The U.S., Going Gray Will Likely
Cost Even More Green, Now," June 21, 2011).
Standard & Poor's
takes no position on the mix of spending and revenue measures that Congress and
the Administration might conclude is appropriate for putting the
The act calls for as much
as $2.4 trillion of reductions in expenditure growth over the 10 years through
2021. These cuts will be implemented in two steps: the $917 billion agreed to
initially, followed by an additional $1.5 trillion that the newly formed
Congressional Joint Select Committee on Deficit Reduction is supposed to
recommend by November 2011. The act contains no measures to raise taxes or
otherwise enhance revenues, though the committee could recommend them.
The act further provides
that if Congress does not enact the committee's recommendations, cuts of $1.2
trillion will be implemented over the same time period. The reductions would
mainly affect outlays for civilian discretionary spending, defense, and
Medicare. We understand that this fall-back mechanism is designed to encourage
Congress to embrace a more balanced mix of expenditure savings, as the
committee might recommend.
We note that in a letter
to Congress on Aug. 1, 2011, the Congressional Budget Office (CBO) estimated
total budgetary savings under the act to be at least $2.1 trillion over the
next 10 years relative to its baseline assumptions. In updating our own fiscal
projections, with certain modifications outlined below, we have relied on the
CBO's latest "Alternate Fiscal Scenario" of June 2011, updated to
include the CBO assumptions contained in its Aug. 1 letter to Congress. In
general, the CBO's "Alternate Fiscal Scenario" assumes a continuation
of recent Congressional action overriding existing law.
We view the act's
measures as a step toward fiscal consolidation. However, this is within the
framework of a legislative mechanism that leaves open the details of what is
finally agreed to until the end of 2011, and Congress and the Administration
could modify any agreement in the future. Even assuming that at least $2.1
trillion of the spending reductions the act envisages are implemented, we
maintain our view that the
Compared with previous
projections, our revised base case scenario now assumes that the 2001 and 2003
tax cuts, due to expire by the end of 2012, remain in place. We have changed
our assumption on this because the majority of Republicans in Congress continue
to resist any measure that would raise revenues, a position we believe Congress
reinforced by passing the act. Key macroeconomic assumptions in the base case
scenario include trend real GDP growth of 3% and consumer price inflation near
2% annually over the decade.
Our revised upside
scenario--which, other things being equal, we view as consistent with the
outlook on the 'AA+' long-term rating being revised to stable--retains these
same macroeconomic assumptions. In addition, it incorporates $950 billion of
new revenues on the assumption that the 2001 and 2003 tax cuts for high earners
lapse from 2013 onwards, as the Administration is advocating. In this scenario,
we project that the net general government debt would rise from an estimated
74% of GDP by the end of 2011 to 77% in 2015 and to 78% by 2021.
Our revised downside
scenario--which, other things being equal, we view as being consistent with a
possible further downgrade to a 'AA' long-term rating--features less-favorable
macroeconomic assumptions, as outlined below and also assumes that the second
round of spending cuts (at least $1.2 trillion) that the act calls for does not
occur. This scenario also assumes somewhat higher nominal interest rates for
U.S. Treasuries. We still believe that the role of the U.S. dollar as the key
reserve currency confers a government funding advantage, one that could change
only slowly over time, and that Fed policy might lean toward continued loose
monetary policy at a time of fiscal tightening. Nonetheless, it is possible
that interest rates could rise if investors re-price relative risks. As a
result, our alternate scenario factors in a 50 basis point (bp)-75 bp rise in
10-year bond yields relative to the base and upside cases from 2013 onwards. In
this scenario, we project the net public debt burden would rise from 74% of GDP
in 2011 to 90% in 2015 and to 101% by 2021.
Our revised scenarios
also take into account the significant negative revisions to historical GDP
data that the Bureau of Economic Analysis announced on July 29. From our
perspective, the effect of these revisions underscores two related points when
evaluating the likely debt trajectory of the
When comparing the U.S.
to sovereigns with 'AAA' long-term ratings that we view as relevant peers--Canada,
France, Germany, and the U.K.--we also observe, based on our base case
scenarios for each, that the trajectory of the U.S.'s net public debt is
diverging from the others. Including the
Standard & Poor's
transfer T&C assessment of the
The outlook on the
long-term rating is negative. As our downside alternate fiscal scenario
illustrates, a higher public debt trajectory than we currently assume could
lead us to lower the long-term rating again. On the other hand, as our upside
scenario highlights, if the recommendations of the Congressional Joint Select
Committee on Deficit Reduction--independently or coupled with other
initiatives, such as the lapsing of the 2001 and 2003 tax cuts for high
earners--lead to fiscal consolidation measures beyond the minimum mandated, and
we believe they are likely to slow the deterioration of the government's debt
dynamics, the long-term rating could stabilize at 'AA+'.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.60.99 |
|
|
1 |
Rs.99.09 |
|
Euro |
1 |
Rs.79.03 |
INFORMATION DETAILS
|
Analysis Done by
: |
DIV |
|
|
|
|
Report Prepared
by : |
|
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%)
This report is issued at your request without any
risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL)
or its officials.