MIRA INFORM REPORT

 

 

Report No. :

302408

Report Date :

12.01.2015

 

IDENTIFICATION DETAILS

 

Name :

LOBLAWS INC.

 

 

Formerly Known As :

LOBLAW GROCETERIAS CO., LTD.

 

 

Registered Office :

22 St. Clair Avenue, Ste 1901, Toronto, Ontario M4T 2S7

 

 

Country :

Canada

 

 

Date of Incorporation :

01.01.2008

 

 

Legal Form :

Ontario Corporation – Profit

 

 

Line of Business :

·         Subject operates supermarkets in Canada.

·         Its stores offer products in various categories, which comprise baby, bakery, baking and cooking, breads, canned food, cereals, grains and rice, coffee and tea, condiments, cookies and crackers, dairy, deli, deli and dips, floral, frozen desserts, frozen foods, frozen meat, fruit and veggie, health and beauty needs, household, household cleaning products, juices and drinks, meat and poultry, pasta, pets, produce, seafood, snacks and chips, and soft drinks.

 

 

No. of Employee :

192,000 [For The Group]

 

 

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 – September 30, 2014

 

Country Name

Previous Rating

(30.06.2014)

Current Rating

(30.09.2014)

Canada

A1

A1

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 

 

CANADA - ECONOMIC OVERVIEW

 

As a high-tech industrial society in the trillion-dollar class, Canada resembles the US in its market-oriented economic system, pattern of production, and high living standards. Since World War II, the impressive growth of the manufacturing, mining, and service sectors has transformed the nation from a largely rural economy into one primarily industrial and urban. The 1989 US-Canada Free Trade Agreement (FTA) and the 1994 North American Free Trade Agreement (NAFTA) (which includes Mexico) touched off a dramatic increase in trade and economic integration with the US, its principal trading partner. Canada enjoys a substantial trade surplus with the US, which absorbs about three-fourths of Canadian merchandise exports each year. Canada is the US's largest foreign supplier of energy, including oil, gas, uranium, and electric power. Given its abundant natural resources, highly skilled labor force, and modern capital plant, Canada enjoyed solid economic growth from 1993 through 2007. Buffeted by the global economic crisis, the economy dropped into a sharp recession in the final months of 2008, and Ottawa posted its first fiscal deficit in 2009 after 12 years of surplus. Canada's major banks, however, emerged from the financial crisis of 2008-09 among the strongest in the world, owing to the financial sector's tradition of conservative lending practices and strong capitalization. Canada achieved marginal growth in 2010-13 and plans to balance the budget by 2015. In addition, the country's petroleum sector is rapidly expanding, because Alberta's oil sands significantly boosted Canada's proven oil reserves. Canada now ranks third in the world in proved oil reserves behind Saudi Arabia and Venezuela.

 

Source : CIA

 

 

Company name & address

 

Company name:            LOBLAWS INC.

 

Reg. address:              22 St. Clair Avenue, Ste 1901, Toronto, Ontario M4T 2S7 Canada

 

Headquarters:               1 Presidents Choice Circle, Brampton, Ontario L6Y 5S5 – Canada

 

Telephone:                     +1905-459-2500

Fax:                              +1 905-861-2206

 

Website:                       www.loblaws.com

 

Corporate ID#:              ON-0001758457

 

State:                           Ontario

 

Judicial form:                Ontario Corporation – Profit

 

Date incorporated:        01-01-2008

 

Stock:                           -

 

Value:                           -

 

Name of manager:         VINCENTE TRIUS

 

 

ACTIVITIES & OPERATIONS

 

Business:

 

Business started on 01-01-1989.

 

Loblaws, Inc. operates supermarkets in Canada.

Its stores offer products in various categories, which comprise baby, bakery, baking and cooking, breads, canned food, cereals, grains and rice, coffee and tea, condiments, cookies and crackers, dairy, deli, deli and dips, floral, frozen desserts, frozen foods, frozen meat, fruit and veggie, health and beauty needs, household, household cleaning products, juices and drinks, meat and poultry, pasta, pets, produce, seafood, snacks and chips, and soft drinks.

Loblaws, Inc. was formerly known as Loblaw Groceterias Co., Ltd.

The company was founded in 1919 and is headquartered in Toronto, Canada. Loblaws, Inc. operates as a subsidiary of Loblaw Companies Limited.

 

 

Staff:    192,000 (for the group)

 

Operations & branches:

 

At above address, we find the corporate office.

 

The Company maintains supermarkets in Ontario and Quebec.

 

 

SHAREHOLDERS & MANAGERS

 

Shareholders:

 

LOBLAW COMPANIES LIMITED

1 Presidents Choice Circle, Brampton, Ontario L6Y 5S5

 

Loblaw Companies Limited operates as a food retailer; and provides drugstore, general merchandise, and financial products and services primarily in Canada and the United States. It operates in two segments, Retail and Financial Services. The company operates its owned stores under the Atlantic Superstore, Dominion, Extra Foods, Loblaws, Maxi, Maxi & Cie, Provigo, The Real Canadian Superstore, T&T Supermarket, and Zehrs banners; wholesale outlets under the Cash & Carry, Presto, and The Real Canadian Wholesale Club names; and franchised and affiliated stores under the Atlantic SaveEasy, Fortinos, Extra Foods, nofrills, SuperValu, valu-mart, Provigo, and Your Independent Grocer trade names. It operates approximately 1,000 corporate and franchised stores from coast to coast. The company also markets control label products in the food, health and beauty, apparel, and general merchandise categories under the President’s Choice, PC, no name, Joe Fresh, PC Organics, Blue Menu, PC black label, Club Pack, PC G.R.E.E.N, Exact, Teddy’s Choice, PC Home, and Everyday Essentials brand names.

In addition, it provides financial products and services comprising the President’s Choice Financial MasterCard, an investment certificate product through the broker channel; personal banking services; deposit taking services; PC points loyalty program; home, auto, travel, and pet insurance; and gift card and mobile phone services, such as The Mobile Shop and PC Mobile. The company was incorporated in 1956 and is headquartered in Brampton, Canada.

Loblaw Companies Limited is a subsidiary of George Weston Limited.

 

The Company is listed with the Toronto Stock Exchange under symbol L.

 

 

Currency in
Millions of Canadian Dollars

As of:

Jan 01
2011
CAD

Dec 31
2011
CAD

Dec 29
2012
CAD

Dec 28
2013
CAD

REVENUES

30,836.0

31,250.0

31,604.0

32,371.0

NET INCOME

675.0

769.0

634.0

630.0

 

 

 

 

 

Management:

 

Mr. Vicente Trius has been the President of Loblaw at George Weston Limited since August 2, 2011. Mr. Trius serves as the President and Member of Management Board at Loblaw Companies Limited.

He served as an Executive Director of Europe and Member of Executive Board at Carrefour SA from May 3, 2010 to May 1, 2011.

He served as the Chief Executive Officer and President of Wal-Mart Asia International at Wal-Mart Stores Inc., from January 2008 to July 6, 2009. He served as the Chief Executive Officer and President of Wal-Mart Latin America of Wal-Mart Stores Inc. from July 06, 2009 to 2010 and from July 6, 2009 to November 2009 respectively. He served as an Executive Vice President of Wal-Mart Stores Inc. from January 2008 to 2010. Mr. Trius served as the Vice President of international operations for Wal-Mart as well as Chief Executive Officer of Brazil and Asian divisions of Wal-Mart. He served as the Chief Executive Officer and President of Wal-Mart of Asia International from January 2008 to July 6, 2009. He served as Chief Executive Officer and President of WMS Supermercados do Brasil S.A (also known as Wal-Mart Brasil Ltd). Prior to joining Wal-Mart, he worked for Dairy Farm International and Revco Drugstores. Mr. Trius has received numerous awards and honors including 'Executive of Value' from the Brazilian Retail Sector in 2006 and 2007 as well as the Sam M. Walton Entrepreneur of the Year Award, the highest honor awarded to a Wal-Mart associate worldwide.

His education includes an Executive MBA at Darden School of Business and studies at the Harvard Business School of Executive Education, Ashridge College in the U.K., and the University of Barcelona.

 

Sarah DAVIS is Director and CFO.

Others Directors include David G. GORe AND Lisa POPOVITCH.

 

Subsidiaries & Partnership:    

 

None

 

 

FINANCIALS

 

In Canada, privately held corporations are not required to publish any financials.

 

On a direct call, a financial assistant controlled the present report and confirmed that all financials are consolidated into the parent company.

 

The business is profitable.

 

Banks: 

 

HSBC Bank

Royal Bank of Canada

CIBC

 

 

LEGAL FILINGS

 

 

Legal filings & complaints:

 

As of today date, there is no legal filing pending with the District Courts.

 

Secured debts summary:   Several

 

 

COMPANY CREDIT HISTORY

 

National Credit Bureaus give a satisfying credit rating.

 

According to our credit analysts, during the last 6 months, payments of imports were made on terms.

 

The Company maintains a strong business.

The Company is in good standing.

This means that all local and federal taxes were paid on due date.

Last annual report was filed on 12-22-2014.

The risk is low.

 

 

Our opinion:

 

A business connection may be conducted.

 

 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.62.40

UK Pound

1

Rs.94.17

Euro

1

Rs.73.61

 

 

INFORMATION DETAILS

 

Analysis Done by :

DIV

 

 

Report Prepared by :

TPT

 


 

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.