MIRA INFORM REPORT

 

 

Report No. :

353776

Report Date :

16.12.2015

 

IDENTIFICATION DETAILS

 

Name :

GEVORG-ARAM LLC

 

 

Registered Office :

Sisakyan Street 29 Ashtarak 0201 Aragatsotn Region

 

 

Country :

Armenia

 

 

Date of Incorporation :

12.01.2007

 

 

Legal Form :

Limited Liability Company

 

 

Line of Business :

Trading as importers, wholesalers and retailers of laminated floorings and suspended ceilings.

 

 

No. of Employee :

21

 

 

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 :

DRAM 17,000,000

 

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 – March 31, 2015

 

Country Name

Previous Rating

(31.12.2014)

Current Rating

(31.03.2015)

Armenia

B2

B2

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 

 

ARMENIA - ECONOMIC OVERVIEW

 

Under the old Soviet central planning system, Armenia developed a modern industrial sector, supplying machine tools, textiles, and other manufactured goods to sister republics, in exchange for raw materials and energy. Armenia has since switched to small-scale agriculture and away from the large agroindustrial complexes of the Soviet era. Armenia has only two open trade borders - Iran and Georgia - because its borders with Azerbaijan and Turkey have been closed since 1991 and 1993, respectively, as a result of Armenia's ongoing conflict with Azerbaijan over the separatist Nagorno-Karabakh region. Armenia's geographic isolation, a narrow export base, and pervasive monopolies in important business sectors have made it particularly vulnerable to the sharp deterioration in the global economy and the economic downturn in Russia. Armenia is particularly dependent on Russian commercial and governmental support and most key Armenian infrastructure is Russian-owned and/or managed, especially in the energy sector, including electricity and natural gas. Remittances from expatriates working in Russia are equivalent to about 20% of GDP and partly offset the country's severe trade imbalance. Armenia joined Russia in the Eurasian Economic Union upon the bloc's launch in January 2015, even though the ruble's sharp depreciation in December 2014 led to currency instability, inflation, and significant decrease of export from Armenia to Russia. Armenia joined the WTO in January 2003. The government has made some improvements in tax and customs administration in recent years, but anti-corruption measures have been ineffective. Armenia will need to pursue additional economic reforms and to strengthen the rule of law in order to regain economic growth and improve economic competitiveness and employment opportunities, especially given its economic isolation from two of its nearest neighbors, Turkey and Azerbaijan.

 

Source : CIA

Company NAME and ADDRESS

 

GEVORG-ARAM LLC (Correct)

GEVORG ARAM LLC (Requested)

 

Street   : Charentsa Street 4

 

Town     : Yerevan

Country  : Armenia

 

Telephone: (374 10) 551 377 / 559 494 / Mobiles (374 91) 563 033 (Vardan Oganisyan) / (374 93) 050 500 (Beniamin Adimyan)

Fax      : (374 10) 559 494

E-Mail   : aygestan@inbox.ru

 

 

SENIOR COMPANY PERSONNEL

 

   Name                                     Position

 

1. Beniamin Adimyan                 Managing Director

 

2. Vardan Oganisyan                 Deputy Managing Director /

                                                Foreign Affairs

 

3. Lyusya Martirosyan                Deputy Managing Director / Marketing

 

4. Eduard Martirosyan               Warehouse Manager

 

Total Employees : 21

 

 

PAYMENTS

 

No complaints have been heard regarding payments from local suppliers or banks.

 

We consider it is acceptable to deal with subject for SMALL amounts, although it is normal accepted practice for international suppliers to deal on secured terms with Armenian importers.

 

Opinion on maximum credit : DRAM 17,000,000

 

Trade risk assessment: Normal

 

PRINCIPAL BANKERS

 

NAME               : PROCREDIT BANK CJSC

 

Branch              : Teryan Street 105/1

Town                : Yerevan 0009

 

Telephone         : (374 11) 202 020

Fax                   : (374 11) 202 021

 

Subject previously had an account with :

 

Hsbc Bank Armenia

Teryan Street 66

Yerevan 0009

Telephone: (374 10) 515 000

Fax      : (374 10) 515 001

 

 

FINANCIAL INFORMATION

 

Private companies in Armenia are not required to publish or disclose balance sheets. The following financial information is the latest available on the subject in our file :

 

Sales Turnover  : US DLRS   995,000 - 2007 - exact

                          : US DLRS 1,500,000 - 2008 - exact

                          : US DLRS 1,900,000 - 2009 – approx

                          : not given    2010 – 2012

                          : US DLRS 2,000,000 - 2013 - exact

                          : US DLRS 1,800,000 - 2014 - exact

                          : US DLRS 1,500,000 - 2015 – exact *

 

Net Profit           : not given but stated to be 40%

 

Total Value of Stock Held : US DLRS 2,000,000

 

Total Value of Current Contracts : US DLRS 1,500,000

 

* Decrease in sales turnover in 2015 is due to unfavourable market conditions.

 

Financial year ends 31 December.

 

 

 

LEGAL STATUS AND HISTORY

 

Date Started : 12 January 2007

 

History : Subject was established in Armenia on 12 January 2007 on the basis of Aigestan LLC, which was established on 10 September 1997.

 

C.R. No. : 16.110.00998

 

Tax No. : 01055458

 

Authorised Capital : DRAM 50,000

 

Paid up Capital : DRAM 50,000

 

Limited Liability Company with the following sole shareholder :

 

Beniamin Adimyan                           100%

(Armenian national)

 

 

ACTIVITIES

 

The Company is involved in the following activities :

 

Trading as importers, wholesalers and retailers of laminated floorings and suspended ceilings.

 

Principal suppliers includes:

 

- Kronotex;

  Germany

  Contact person : Inna Zoon

  E-Mai l: ina.sohn@kronotex.de

 

- Saarpor;

  Germany

  Contact person : Olga Much

  E-Mail : olga.much@saarpor.de

 

- Prometal;

  Italy

  Contact person : Luciana Frugani

  E-Mail : luciana.frugani@prometal.it

 

- Eurofloor;

  Poland

  Contact person : Oleksandr Proszkowski

  E-Mail : oleksandr.proszkowski@eurofloor.pl

 

- Panelix Supplies.

  Malta

  Contact person : Paul Borg

  E-Mail : paul@penelixsupplies.com

 

NACE Codes : 4673 / 4753

 

Imports from Belgium, Germany, Italy, Czech Republic, Poland, Malta and China.

 

Subject does not export, all sales are domestic.

 

 

FACILITIES

 

The Company has the following facilities :

 

1,000 sq. m. owned premises comprising administrative offices, a retail outlet and storage facilities located at the heading address.

 

Until 2015, subject was operated from :

 

Geratsi Street 30

Yerevan 0009

 

Until 2015, subject used the following telephone and fax numbers :

 

Telephone         : (374 10) 572 543

Fax                   : (374 10) 572 543

 

Until September 2009, subject was located at:

 

Tigran Mets Street 53

Yerevan 0009

Telephone         :  (374 10) 517 901

Fax                    :  (374 10) 517 901

 

 

REGISTERED OFFICE

 

Sisakyan Street 29

Ashtarak 0201

Aragatsotn Region

 

BRANCH OFFICE

 

Formal branch office :

 

Nar-Dosa Street 55

Yerevan

Telephone: (374 10) 559 661

 

 

SPECIAL NOTES

 

You enquired on : “GEVORG ARAM LLC”. Please note that the correct name is as per heading.

 

The address which you provided : “29 SISAKYANA STREET, 0201 ASHTARAK, ARMENIA ” is misspelt and applies to subject's registered office address. Please note that subject's administrative office address is as per heading.

 

Interviewed : Vardan Oganisyan (Deputy Managing Director / Foreign Affairs).

 

FOREIGN EXCHANGE RATES

 

Currency
Unit

Indian Rupees

US Dollar

1

Rs.67.04

UK Pound

1

Rs.101.67

Euro

1

Rs.73.93

DRAM

1

Rs.0.14

Note : Above are approximate rates obtained from sources believed to be correct

 

 

INFORMATION DETAILS

 

Analysis Done by :

HEE

 

 

Report Prepared by :

TRU

 

 

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.