MIRA INFORM REPORT

Report No. :	335827
Report Date :	13.08.2015

IDENTIFICATION DETAILS

Name :	INDUSTRIAL DE VÁLVULAS S.A. DE C.V.
Registered Office :	Avenida de la Industria, Lote 16 Fracc. Industrial El Trébol, Tepotzotlán Estado de México - 54610
Country :	Mexico
Year of Establishment :	1992
Legal Form :	Sociedad Anónima de Capital Variable
Line of Business :	Subject is offers metal processing and fabrication services. The Company provides the manufacturing valves and pipe fittings.
No. of Employee :	370

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, 2015

Country Name	Previous Rating (31.12.2014)	Current Rating (31.03.2015)
Mexico	A2	A2

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

MEXICO - ECONOMIC OVERVIEW

Mexico's $1.3 trillion economy has become increasingly oriented toward manufacturing in the 21 years since the North American Free Trade Agreement (NAFTA) entered into force. Per capita income is roughly one-third that of the US; income distribution remains highly unequal. Mexico has become the United States' second-largest export market and third-largest source of imports. In 2014, two-way trade in goods and services exceeded $550 billion. Mexico has free trade agreements with 46 countries, putting more than 90% of trade under free trade agreements. In 2012, Mexico formally joined the Trans-Pacific Partnership negotiations and formed the Pacific Alliance with Peru, Colombia and Chile. Mexico's current government, led by President Enrique PENA NIETO, emphasized economic reforms during its first two years in office, passing and implementing sweeping education, energy, financial, fiscal and telecommunications reform legislation, among others, with the long-term aim to improve competitiveness and economic growth across the Mexican economy. Although the economy is expected to experience stronger growth in 2015 as a result of increased investment and stronger demand for Mexican exports, growth is predicted to remain below potential for reasons of inefficiencies, with a large portion of the economy and workforce in the informal sector, and corruption. Over the medium-term, the economy is vulnerable to global economic pressures, such as lower external demand, rising interest rates, and low oil prices - approximately 30% of government revenue comes from the state-owned oil company, PEMEX. The increasing integration of supply chains, development of the energy sector, and government-to-government focus on trade facilitation will continue to make the North American region increasingly competitive and contribute to Mexican economic development and strength.

Source : CIA

STATUTORY INFORMATION
Legal Name:	INDUSTRIAL DE VÁLVULAS S.A. DE C.V.
Trade Name:	Walworth
RFC:	WVA921224M89
Date Created:	1842
Date Incorporated:	1992
Legal Address:	Avenida de la Industria, Lote 16 Fracc. Industrial El Trébol
	Tepotzotlán Estado de México - 54610
	México
Operative Address:	Avenida de la Industria, Lote 16 Fracc. Industrial El Trébol
	Tepotzotlán Estado de México - 54610
	México
Telephone:	52 55 5899 1700
Fax:	52 55 5876 0156
Legal Form:	Sociedad Anónima de Capital Variable
Email:	bguerra@walworth.com.mx
Registered in:	Mexico
Website:	www.walworth.com
	www.walworthmx.com
Contact:	José Antonio Usobiaga Silva, Director
Staff:	370
Activity:	Metal Valve & Pipe Fitting Manufacturing Industry
BANK DATA
BANAMEX
The company does not make its banking data public
HISTORY
Founded in 1842 by James Walworth and since then manufacturer of valves and equipment for the oil industry, mining, power generation, nuclear, etc.
PRINCIPAL ACTIVITY
Industrial de Valvulas S.A. de C.V. offers metal processing and fabrication services. The Company provides the manufacturing valves and pipe fittings.
Products/Services description:	MATERIALS
	Carbon Steels (Medium and Low-Carbon)
	Chromium Alloy Steels
	Austenitic Stainless Steels
	Duplex Stainless Steels
	Nickel Alloys (Incoloy, Inconel, Hastelloy, etc.)
	Aluminum Bronze
	Ductile Iron
	PRESSURE CLASSES
	Walworth® products are offered in pressure classes 150 to 4500.
	SIZES
	½” to 72” in diameter.
	TESTS
	Non-destructive examinations, mechanical tests and functionality tests such as:
	Radiography
	Magnetic Particles
	Liquid Penetrants
	PMI
	Ultrasonic
	Stress Tests
	Hardness Tests
	Fire Tests
	Cryogenic Service Tests
	Fluid Control Tests
Brands:	WALWORTH®
Sales are:	Wholesale
Clients:	CASA DE LA VALVULA S.A.
	Colombia
	NELKAREL SAC
	Peru
Suppliers:	FERRETERIA REINA S A
	Colombia
Operations area:	National and International
The company imports from	Colombia
The company exports to	Colombia, Peru
The subject employs	370 employees
Payments:	No Complaints
LOCATION
Headquarters :	Avenida de la Industria, Lote 16 Fracc. Industrial El Trébol
	Tepotzotlán Estado de México - 54610
	México
Branches:	The company does not have branches
Industry:	Companies in this industry manufacture metal industrial and fluid power valves, hose fittings, and pipe fittings.
	Demand depends primarily on the level of manufacturing and construction activity. Construction activity in the chemical, petroleum, utilities, water treatment, and housing industries is especially important. Large companies have advantages in efficiency of operations and economies of scale. Offshore subsidiaries are frequently used for low-cost manufacturing. Smaller producers compete by focusing on specialized product offerings and superior customer service.
	Major product categories are industrial valve applications used primarily in water works and municipal water systems (about 40 percent of US shipments); fluid power valves used in compressed or pressurized applications (30 percent); and plumbing-related valves and fixtures. Valves control the flow of liquids, gases, slurries, or dry materials through a pipe or similar passageway, and may also control the rate of flow, volume, pressure, and direction. Some of the most common types of valves are gate, ball, butterfly, pressure relief, and custom engineered for special applications. Valve activation is controlled by an actuator that may be manual, pneumatic, hydraulic, or electric. Valve sizes range from fractions of an inch to 25 to 30 feet in diameter.
GROUP STRUCTURE AND SUBSIDIARY COMPANIES
Listed at the stock exchange:	NO
Capital:	NA
Shareholders %:	This is a private company. Despite our search, we could not confirm major holder.
Management:	José Antonio Usobiaga Silva, Director
	Felipe Monroy Tinajero, Administrative Manager
	Vicente Nieves Vargas, Sales Director
	IváN SáNchez, Credit Controller
	José Rodolfo HernáNdez SantamaríA
Related Companies:	The company has offices in China and USA
FINANCIAL INFORMATION
The company is private and does not publish its financial figures. The followiing information is estimated and was provided by private sources:
2013
Revenue	6 630 000
Cash	Good
LEGAL FILINGS
There are no legal connected to the company
REVIEW
Classification Number:	2
RISK:	Low
	These businesses have a low projected risk of delinquency and a moderate to low risk of failure.
Requested Credit Amount	Maximum
Maximum Credit Suggested	USD 200 000
About Classification:
1: Fully Approved	The company is well established and in good situation.
2: Approved	Credit dealings are approved.
3: Marginal +	Business dealings are approved, however monitoring is suggested
4: Marginal -	Low credit is suggested and highly monitoring
5: Unsatisfactory	No credit line is suggested and monitoring the company is necessary.
Neg: Negative	The company does not exist
SUMMARY
Walworth Valves, S.A. de C.V. is a private company founded in 1942.
With 120 employees and $ 6,63M in annual revenue, the company is much bigger and generates more income than the average of manufacturers of accessories for valves and pipes.
The company has worldwide comercial partners and has created a well known brand within the market.
There are no negative.
RISK INFORMATION
DEBTS	Controlled
PAYMENTS	No Complaints
CASH FLOW	Normal
STATUS	Active
INTERVIEW
NAME	NA
POSITION	Administrative
COMMENTS	The person contacted confirmed address and activity. She refused to provide more data on the subject.

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.64.83
UK Pound	1	Rs.101.00
Euro	1	Rs.71.82

INFORMATION DETAILS

Analysis Done by :	KAS
Report Prepared by :	ASH

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%)

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This report is issued at your request without any risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or its officials.