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Report No. : |
351739 |
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Report Date : |
02.12.2015 |
IDENTIFICATION DETAILS
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Name : |
OUTOKUMPU FORTINOX S.A. |
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Registered Office : |
Centro Industrial Garín Rivadavia s/n,
Garín (B1619ADQ) Buenos Aires |
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Country : |
Argentina |
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Date of Incorporation : |
18.03.1991 |
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Legal Form : |
Joint Stock Company |
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Line of Business : |
Subject engaged in processes and
distributes stainless steel coils, pipes, bars, and flats |
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No. of Employee : |
88 |
RATING & COMMENTS
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MIRA’s Rating : |
B |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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26-40 |
B |
Capability to overcome financial difficulties seems comparatively
below average. |
Small |
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Status : |
Moderate |
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Payment Behaviour : |
Slow but correct |
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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
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Country Name |
Previous Rating (31.12.2014) |
Current Rating (31.03.2015) |
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Argentina |
C1 |
C1 |
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Risk Category |
ECGC
Classification |
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Insignificant |
A1 |
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Low |
A2 |
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Moderate |
B1 |
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High |
B2 |
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Very High |
C1 |
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Restricted |
C2 |
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Off-credit |
D |
ARGENTINA - ECONOMIC OVERVIEW
Argentina benefits from rich natural resources, a highly literate population, an export-oriented agricultural sector, and a diversified industrial base. Although one of the world's wealthiest countries 100 years ago, Argentina suffered during most of the 20th century from recurring economic crises, persistent fiscal and current account deficits, high inflation, mounting external debt, and capital flight.
A severe depression, growing public and external indebtedness, and an unprecedented bank run culminated in 2001 in the most serious economic, social, and political crisis in the country's turbulent history. Interim President Adolfo RODRIGUEZ SAA declared a default - at the time the largest ever - on the government's foreign debt in December of that year, and abruptly resigned only a few days after taking office. His successor, Eduardo DUHALDE, announced an end to the peso's decade-long 1-to-1 peg to the US dollar in early 2002. The economy bottomed out that year, with real GDP 18% smaller than in 1998 and almost 60% of Argentines under the poverty line. Real GDP rebounded to grow by an average 8.5% annually over the subsequent six years, taking advantage of previously idled industrial capacity and labor, an audacious debt restructuring and reduced debt burden, excellent international financial conditions, and expansionary monetary and fiscal policies. Inflation also increased, however, during the administration of President Nestor KIRCHNER, which responded with price restraints on businesses, as well as export taxes and restraints, and beginning in 2007, with understating inflation data.
Cristina FERNANDEZ DE KIRCHNER succeeded her husband as President in late 2007, and the rapid economic growth of previous years began to slow sharply the following year as government policies held back exports and the world economy fell into recession. The economy in 2010 rebounded strongly from the 2009 recession, but has slowed since late 2011 even as the government continued to rely on expansionary fiscal and monetary policies, which have kept inflation in the double digits.
The government has taken multiple steps in recent years to deal with these problems. It expanded state intervention in the economy throughout 2012. In May 2012 the Congress approved the nationalization of the oil company YPF from Spain's Repsol. The government expanded formal and informal measures to restrict imports during the year, including a requirement for pre-registration and pre-approval of all imports. In July 2012 the government also further tightened currency controls in an effort to bolster foreign reserves and stem capital flight. In October 2013, the government settled long-standing international arbitral disputes dating back to before and following the 2001 Argentine financial crisis. During 2014, the government continued with expansionary fiscal and monetary policies and foreign exchange and imports controls. Between 2011 and 2013, Central Bank foreign reserves had dropped $21.3 billion from a high of $52.7 billion. In July 2014, Argentina and China agreed on an $11 billion currency swap; the Argentine Central Bank has received the equivalent of $3.2 billion in Chinese yuan, which it counts as international reserves.
In 2014, the government also took some measures to mend ties with the international financial community, including engaging with the IMF to improve its economic data reporting, reaching a compensation agreement with Repsol for the expropriation of YPF, and agreeing to pay $9.7 billion in arrears to the Paris Club over five years, including $606 million owed to the United States. In July 2014, Argentina made its first payment to Paris Club creditors since the country's 2001 financial crisis. At the same time, the Argentine government in July 2014 entered a technical default on its external debt after it failed to reach an agreement with holdout creditors in the US. The government's delay in reaching a settlement and the continuation of interventionist and populist policies are contributing to high inflation and a prolonged recession, according to private analysts.
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Source
: CIA |
STATUTORY INFORMATION
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Legal Name: |
OUTOKUMPU FORTINOX S.A. |
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Trade Name: |
OUTOKUMPU FORTINOX |
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CUIT: |
30-64279958-0 |
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Date Created: |
1991 |
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Date Incorporated: |
18/03/1991 |
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Legal Address: |
Centro Industrial Garín |
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Operative Address: |
Centro Industrial Garín |
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Telephone: |
54 33 2744 8000 |
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Fax: |
54 80 0777 3340 |
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Legal Form: |
SOCIEDAD ANÓNIMA |
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Email: |
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Registered in: |
AGENCIA PILAR |
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Website: |
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Contact: |
President: Michael Geoffrey
Wallis |
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Staff: |
88 |
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Activity: |
Steel Service Centers &
Other Metal Wholesalers Industry |
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BANKS |
According to Argentinian
Central Bank, the company maintains credit lines with the following banks: |
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BANK |
AMOUNT IN AR$ |
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BANCO SANTANDER
RIO S.A. |
17683,9 |
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AMERICAN EXPRESS
ARGENTINA S.A. |
15 |
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According to the
classification of banking relations of Argentina, |
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There are no rejected checks |
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History
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Outokumpu Fortinox S.A. was
formerly known as Thyssenkrupp Fortinox S.A. and changed its name to Outokumpu
Fortinox S.A. in January 2013. The company was founded in 1991 and is based
in Garin, Argentina. Outokumpu Fortinox S.A. operates as a subsidiary of
ThyssenKrupp Services AG. |
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PRINCIPAL ACTIVITY
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Outokumpu Fortinox S.A. processes
and distributes stainless steel coils, pipes, bars, and flats. |
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Products/Services
description: |
The company offers blocks
and sheets of special steel, and sheets of abrasion-resistant steel. It
offers stainless steel products that include coils, plates and sheets,
pipes/tubes, bars/flats/angles, tube and pipeline fittings, and welding
supplies; and special steel sheets that comprise wear resistant, manganese,
bullet protection, and high resistance structural sheets. The company also
provides special tools steels for cold and hot working; plastic molding;
high-speed, pulvimetallurgic, and mechanical construction; copper alloys; and
more. In addition, it offers cutting and flattening, slittering, emery
polishing and PVC layering, blade cutting, thermal cutting, pre-mechanized,
technical assistance, and technical conference services. |
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Brands: |
Outokumpu Fortinox |
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Sales are: |
Wholesale |
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Clients: |
The company supplies
products to companies in the fields of food, mining, metal mechanics, chemistry,
construction, auto parts industries, and others. It offers its products
through a network of representatives and distributors in Bahia Blanca,
Córdoba, Mar del Plata, Mendoza, Río Negro, Rosario, and Tucuman, Argentina. |
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Suppliers: |
OUTOKUMPU MEXINOX, S.A. DE
C.V. |
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Operations area: |
National |
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The company imports from |
Mexico |
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The company exports to |
Latin America |
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The subject employs |
88 employees |
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Payments: |
Slow but correct |
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LOCATION
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Headquarters : |
Centro Industrial Garín |
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Branches: |
The company does not have
branches |
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GROUP STRUCTURE AND SUBSIDIARY COMPANIES
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Listed at the stock
exchange: |
NO |
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Capital: |
AR$ 2.100.010 |
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Shareholders: |
Outokumpu Fortinox S.A.
operates as a subsidiary of: |
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Management: |
President: Michael Geoffrey
Wallis |
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FINANCIAL INFORMATION
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This is a private company which
does not make its financials public. The following information has been
provided by our private sources: |
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USD 2014 |
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Revenue |
50 733 000 |
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Net Income |
(3 112 000) |
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Total Equity |
1 561 100 |
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Exports Annual FOB USD |
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2014 |
29.209 |
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2013 |
35.375 |
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2012 |
316.576 |
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2011 |
152.105 |
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2010 |
174.204 |
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LEGAL FILINGS
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There are no legal connected
to the subject |
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SUMMARY
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Outokumpu Fortinox S.A.
processes and distributes stainless steel coils, pipes, bars, and flats. Outokumpu Fortinox S.A. was
formerly known as Thyssenkrupp Fortinox S.A. and changed its name to
Outokumpu Fortinox S.A. in January 2013. The company was founded in
1991 and is based in Garin, Argentina. Outokumpu Fortinox S.A. operates as a
subsidiary of ThyssenKrupp Services AG. The company shows 2 open
credit lines with financial institutions and shows Slow
but correct payment behaviour. However, its last financial
statements show negative profitability. We suggest working with low
credit line and monitoring the subject for the following 12 months. |
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RISK INFORMATION
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DEBTS |
Medium |
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PAYMENTS |
Slow but correct |
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CASH FLOW |
Medium |
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STATUS |
Active |
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INTERVIEW |
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NAME |
Carlos |
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POSITION |
Administrative |
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COMMENTS |
The person contacted
confirmed address, activity, parent company, managers. |
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FOREIGN EXCHANGE RATES
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Currency |
Unit
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Indian Rupees |
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US Dollar |
1 |
Rs.66.52 |
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1 |
Rs.100.44 |
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Euro |
1 |
Rs.70.44 |
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ARS |
1 |
Rs.6.88 |
Note :
Above are approximate rates obtained from sources believed to be correct
INFORMATION DETAILS
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Analysis Done by
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KIN |
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Report Prepared
by : |
TRU |
RATING EXPLANATIONS
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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>86 |
Aaa |
Possesses an extremely sound financial base with the strongest
capability for timely payment of interest and principal sums |
Unlimited |
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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 |
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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 |
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41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
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26-40 |
B |
Capability to overcome financial difficulties seems comparatively
below average. |
Small |
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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 |
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<10 |
C |
Absolute credit risk exists. Caution needed to be exercised |
Credit not
recommended |
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-- |
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.