MIRA INFORM REPORT

 

 

Report No. :

306134

Report Date :

10.02.2015

 

IDENTIFICATION DETAILS

 

Correct Name :

BRESTKAYA OBLASTNAYA BAZA BAKALEYA OAO

 

 

Registered Office :

Yanki Kupaly Street 100, Brest 224020

 

 

Country :

Belarus

 

 

Financials (as on) :

31.12.2004

 

 

Date of Incorporation :

03.04.2003

 

 

Legal Form :

Open Joint Stock Company

 

 

Line of Business :

Importers, Wholesalers and retailers of Alcoholic and Non-Alcoholic Beverages, Food Products, Fruits and Vegetables.

 

 

No of Employees :

1,059

 

 

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 :

Slow but Correct

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.

 

 

Belarus ECONOMIC OVERVIEW

 

As part of the former Soviet Union, Belarus had a relatively well-developed industrial base; it retained this industrial base - which is now outdated, energy inefficient, and dependent on subsidized Russian energy and preferential access to Russian markets - following the breakup of the USSR. The country also has a broad agricultural base which is inefficient and dependent on government subsidies. After an initial burst of capitalist reform from 1991-94, including privatization of state enterprises, creation of institutions of private property, and development of entrepreneurship, Belarus' economic development greatly slowed. About 80% of all industry remains in state hands, and foreign investment has been hindered by a climate hostile to business. A few banks, which had been privatized after independence, were renationalized. State banks account for 75% of the banking sector. Economic output, which had declined for several years following the collapse of the Soviet Union, revived in the mid-2000s thanks to the boom in oil prices. Belarus has only small reserves of crude oil, though it imports most of its crude oil and natural gas from Russia at prices substantially below the world market. Belarus exported refined oil products at market prices produced from Russian crude oil purchased at a steep discount. In late 2006, Russia began a process of rolling back its subsidies on oil and gas to Belarus. Tensions over Russian energy reached a peak in 2010, when Russia stopped the export of all subsidized oil to Belarus save for domestic needs. In December 2010, Russia and Belarus reached a deal to restart the export of discounted oil to Belarus. Little new foreign investment has occurred in recent years. In 2011, a financial crisis began, triggered by government directed salary hikes unsupported by commensurate productivity increases. The crisis was compounded by an increased cost in Russian energy inputs and an overvalued Belarusian ruble, and eventually led to a near three-fold devaluation of the Belarusian ruble in 2011. In November 2011, Belarus agreed to sell to Russia its remaining shares in Beltransgaz, the Belarusian natural gas pipeline operator, in exchange for reduced prices for Russian natural gas. Receiving more than half of a $3 billion loan from the Russian-dominated Eurasian Economic Community (EurAsEC) Bail-out Fund, a $1 billion loan from the Russian state-owned bank Sberbank, and the $2.5 billion sale of Beltranzgas to Russian state-owned Gazprom helped stabilize the situation in 2012; nevertheless, the Belarusian currency lost more than 60% of its value, as the rate of inflation reached new highs in 2011 and 2012, before calming in 2013. As of January 2014, the final tranche of the EurAsEC loan has been delayed, but in December 2013 Russia announced a new loan for Belarus of up to $2 billion for 2014. Notwithstanding foreign assistance, the Belarusian economy continues to struggle under the weight of high external debt servicing payments, a growing trade deficit, stagnant economic growth, and low foreign reserves.

 

Source : CIA

 

COmpany NAME

 

Brestkaya Oblastnaya Baza Bakaleya OAO (Correct)

PUBLIC JOINT STOCK COMPANY (Requested)

 

 

Company ADDRESS

 

Street               : Yanki Kupaly Street 100

Town                : Brest 224020

Country             : Belarus

Telephone  :      (375 16) 246 1387 / 246 6101 / 241 7697 (HR Department) / 240 8980 / 246 1985 / 244 8439

(Commercial department) / 241 8177 / 246 2312 (Foreign Relations Department) / 246 1339 / 241 6754 / 242 9635 (Sales Department) / 246 1220 (Marketing Department) / 241 5729 / 242 9139 / 246 1215 / 241 6001 (Accounts Department) / 252 7382 (Legal Department) / 246 1271 (Igor Nikolayevich) / 246 1388 (Lubov Andreyevna Mechnik)

Fax                   : (375 16) 246 1387

E-Mail               : referent@brestbakaleya.com / commerce@brestbakaleya.com / vts@brestbakaleya.com /

marketing@brestbakaleya.com / buh@brestbakaleya.com / legal@brestbakaleya.com /

igalievski@brestbakaleya.com

Website            : www.brestbakaleya.com

 

Extended Name  : Brestkaya Oblastnaya Baza Bakaleya Otkrytoye Aktsyonernoye Obshchestvo

 

English Translation : Bakaleya Brest Regional Storehouse Open Joint-Stock Company

 

Also known as : Public Joint Stock Company Brestskaya Oblastnaya Baza Bakaleya

 

 

SENIOR COMPANY PERSONNEL

 

   Name                                                            Position

 

1. Valentina Alekseevna Khandoshko                  Managing Director

 

2. Lubov Andreyevna Mechnik                            Chief Accountant

 

3. Igor Nikolayevich                                           Commercial Director

 

4. Aleksnadr Aleksandrovich Ostriy                     Head of Foreign Relations  Department     

 

Total Employees :                                             1,059


PAYMENTS

 

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

 

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

 

Trade risk assessment: Normal

 

 

TRADE REFERENCES

 

NAME     : TRESCH SA

Street   : 74 Avenue de Belgique

Town     : F.68110 Illzach

Country  : France

 

NAME     : TAVRIA

Street   : pr. Dnipropetrovskiy 299

Town     : Nova Kahovka, Khersonska oblast 74905

Country  : Ukraine

 

 

PRINCIPAL BANKERS

 

NAME     : ASB BELARUSBANK OJSC

Branch   : Moskovskaya Street 202

Town     : Minsk 224020

Telephone: (375 16) 222 3074

Fax      : (375 16) 222 3074    

Acc. No. : 3012780020029

MFO      : 150501246

 

The company also has an account with :

MT Bank JSC

Partizansky Avenue 6A

Minsk 220033

Telephone: (375 17) 229 9888

Fax      : (375 17) 213 2909

 

 

FINANCIAL INFORMATION

 

Private companies in Belarus are not required to publish or disclose balance sheets. However, the subject interviewed offered the following information :


Sales Turnover              : B ROUBLE    44,635,000,000 - 2003 - exact

                        : B ROUBLE    55,947,000,000 - 2004 - exact

                        : B ROUBLE    80,176,000,000 - 2005 - exact

                        : B ROUBLE   105,712,000,000 - 2006 - exact

                        : B ROUBLE   131,766,000,000 - 2007 - exact

                        : B ROUBLE   168,450,000,000 - 2008 – exact

                        : B ROUBLE   196,707,000,000 – 2009 – exact

                        : B ROUBLE   256,759,000,000 – 2010 – exact 

                        : B ROUBLE   449,181,000,000 – 2011 – exact

                        : B ROUBLE   737,878,000,000 – 2012 – exact 

                        : B ROUBLE   851,985,000,000 – 2013 – exact 

                        : B ROUBLE   705,421,000,000 – 2014 – exact**                 

                       

Net Profit                       : B ROUBLE       576,000,000 - 2003 - exact

                        : B ROUBLE       951,000,000 - 2004 - exact

                        : B ROUBLE     1,391,000,000 - 2005 - exact

                        : B ROUBLE       335,000,000 - 2006 – exact *

                        : not given                  - 2007/2010  

                        : B ROUBLE    18,548,000,000 - 2011 - exact

                        : B ROUBLE    13,597,000,000 - 2012 - exact

                        : B ROUBLE    13,315,000,000 - 2013 - exact

                        : B ROUBLE    12,502,000,000 - 2014 – exact**

 

Total Capital Investment  : US DLRS 10,000,000 – approx

 

* 3 months results (January – March).

                        

** 9 months results (January - September).

 

Financial year ends 31 December.

 

Balance Sheet as at 31 December 2004 showed (latest available):

 

                                             2003            2004

                                           B ROUBLE        B ROUBLE 

FIXED ASSETS

 

Intangible Assets                      3,676,000,000   4,525,000,000

Tangible Assets                           31,000,000      24,000,000

Long Term Financial Investments           14,000,000      79,000,000

Total Fixed Assets                     3,721,000,000   4,628,000,000

 

CURRENT ASSETS

 

Inventories                              132,000,000     249,000,000

Value Added Tax on Purchased Goods       286,000,000     550,000,000

Products and Goods                     2,960,000,000   4,321,000,000

Goods Sold                             2,522,000,000   3,654,000,000

Accounts Receivable                        7,000,000     795,000,000

Monetry Assets                           141,000,000     280,000,000

Total Current Assets                   6,048,000,000   9,849,000,000

Total Assets                           9,769,000,000  14,477,000,000

 

SHAREHOLDERS' EQUITY

Share Capital                          2,161,000,000   2,161,000,000

Legal Reserve                              2,000,000       1,000,000

Additional Capital                     1,899,000,000   2,721,000,000

Retained Earnings                        335,000,000     563,000,000

Total Shareholders' Equity             4,397,000,000   5,446,000,000

Future Expenses                          (11,000,000)    (22,000,000)

 

LIABILITIES

 

Short Term Borrowings                    434,000,000     897,000,000

Long Term Borrowings                         ---         346,000,000

Trade Credits                          4,949,000,000   7,810,000,000

Total Liabilities                      5,383,000,000   9,053,000,000

Total Liabilities & Shareholders

Equity                                 9,769,000,000  14,477,000,000

 

Financial year ends 31 December.

 

 

LEGAL STATUS AND HISTORY

 

Date Started : 3 April 2003

 

History : History : The subject company has its origins as a state owned enterprise which was established on 8 March 1949. It became an open joint stock company on 3 April 2003.

 

Tax No. : UNP 200014118

 

Statistics Code : OKPO 01569305

 

Authorised & Paid-Up Capital : B ROUBLE 4,511,072,500 divided into 820,195 shares of B ROUBLE 5,500 each (increased from B ROUBLE 2,277,079,200)                                             

 

Otkrytoye Aktsyonernoye Obshchestvo (open joint stock company) with the following shareholders :

 

   Shareholders                                                                                      Percentage 

 

1. Fond Brestoblimushchestvo                                                   80%

   (State Property Management Fund of Brest Province)

   Lenin Street 11

   Brest 224006

   Telephone: (375 16) 223 4206

   Fax      : (375 16) 223 4206

 

2. 1,693 individual shareholders                                                  20%

 


ACTIVITIES

 

The Company is involved in the following activities :

Trading as importers, wholesalers and retailers of alcoholic and non-alcoholic beverages, food products, fruits and vegetables.

 

NACE Code: 4639

 

Imports from Italy, Greece, UK, Pakistan, India, Thailand, Sri Lanka, Mexico, Uruguay, Chile, Argentina, France, Spain, Germany, Georgia, Armenia, Ukraine, Moldova and Russia.

 

Subject does not export, all sales are domestic.

 

 

FACILITIES

 

The Company has the following facilities :

Owned premises (70,000 sq. m.) comprising administrative offices, a showroom and storage facilities located at the heading address as well as six branch offices and 30 retail outlets located throughout Belarus (see 'Branch Offices' below).

 

 

REGISTERED OFFICE

 

Yanki Kupaly Street 100

Brest 224020

 

 

BRANCH OFFICES

 

1. Branch Office No.1

   Slonimskoe Highway 1st km

   Baranovichi 225320      

   Telephone: (375 16) 340 0408

   Fax      : (375 16) 340 0389

 

2. Branch Office No.2

   Kozuboskogo Street 1

   Pinsk 225710

   Telephone: (375 16) 337 1533

   Fax      : (375 16) 537 1183

 

3. Branch Office No.3 RTP “KobrinBakaleya”

   Pl. Zamkovaya 10

   Kobrin 225306

   Telephone: (375 16) 322 3408

   Fax      : (375 16) 422 7986

   C.R. No. : 03387 (issued on 17 February 2003)

   Tax No. : UNP 200980168 

   Statistics Code : OKPO 01569305

   Managing Director: Valentina Nikolaevna Alisievich

  

4. Branch Office No.4 

   Bazovskaya Street 1A, Settlement Sukhorukie 

   Minsk 223050

   Telephone: (375 17) 507 8913 / 507 8926

   Fax      : (375 17) 507 8649

 

5. TUP “Pinsk Bakaleya”

   Belova Street 2

   Pinsk 225710

   Telephone: (375 16) 535 1826

   Fax      : (375 16) 535 1843

   C.R. No. : 0088552 (issued on 10 April 2014)

   Tax No. : UNP 291124414 

   Managing Director: Aleksnadr Vasilyevich Pikulik

 

6. Branch Office No.5

   Mogilev Street 1B  

   Gomel 246000

   Telephone: (375 23) 254 3610

   Fax      : (375 23) 263 9958

 

7. Branch Office No. 6

   Rezervnya Street 9

   Mogilev 212002

   Telephone: (375 22) 244 9333

   Fax      : (375 22) 244 8744

 

8. Retail Outlet No.2 “Vinar ”

   Lenina Street 16

   Brest 

 

9. Retailer Outlet No.5

   Sikorskogo Street 43

   Brest

 

10.Retail Outlet No.10

   Gogolya Street 82

   Brest 

 

11.Retail Outlet No.22 “Vinar”

   Suvorova Street 104

   Brest

 

12.Retail Outlet No.23 “Producti”

   Yanki Kupaly Street 100

   Brest 224020

 

13.Retail Outlet No.9

   Yanki Kupaly Street 18/6

   Brest

 

14.Retail Outlet No.33

   Vereskovaya Street 43

   Brest

 

15.Bistro

   Yanki Kupaly Street 100

   Brest 224020

 

16.Retail Outlet No.4

   Zheleznodorozhnaya Street 5

   Kobrin

 

17.Retail Outlet No.7

   Sovetskaya Street 115/2

   Kobrin

 

18.Bar

   Kutuzova Street 16

   Kobrin

 

19.Retail Outlet No.15 and Bar

   9 May Street 1

   Kobrin  

 

20.Retail Outlet No.24 “Vinar”

   Pervomayskaya Street 4

   Kobrin

 

21.Retail Outlet No.27 “Vinar”

   9 May Street 1

   Kobrin

 

22.Retail Outlet No.1

   Lermontova Street 3

   Malorita

 

23.Retail Outlet No.12

   Sovetskaya Street 94

   Malorita 

 

24.Retail Outlet No.

   Kalinina Street 8, Settlement Sakharniy Zavod

   Zhabinka

 

25.Retail Outlet No.14

   Internatsionalnaya Street 18

   Pruzhani

 

26.Retail Outlet No.9

   Nakonechnikova Street 6

   Baranovichi 

 

27.Retail Outlet No.16

   Oktyabrskaya Street 69

   Gantsevich

 

28.Retail Outlet No.17

   Zavodskaya Street 18A

   Gantsevich

 

29.Retail Outlet No.18

   Oktyabrskaya Street 58B

   Gantsevich

 

30.Retail Outlet No.31

   Kozuboskogo Street 1

   Pinsk  

 

31.Retail Outlet No.3

   Gorynskaya Street 179

   Stolin

 

32.Retail Outlet No.30

   8th Inogorodnaya Street 16A

   Gomel

 

33.Retail Outlet No.6

   Brestkaya Street 2

   Gomel

 

34.Retail Outlet No.25 “Vinar”

   Vostochnaya Street 131

   Minsk

 

35.Retail Outlet No.26 “Vinar”

   Timiryazeva Street 129

   Minsk

 

 

SPECIAL NOTE

 

You enquired on: PUBLIC JOINT STOCK COMPANY. Please note that the correct name is as per heading.

 

Interviewed: Igor Nikolayevich (Commercial Director).

 

 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.62.14

UK Pound

1

Rs.94.79

Euro

1

Rs.70.38

 

INFORMATION DETAILS

 

Analysis Done by :

RAS

 

 

Report Prepared by :

MNL

 

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.