MIRA INFORM REPORT

Report No. :	303030
Report Date :	20.01.2015

IDENTIFICATION DETAILS

Name :	BERSHKA MEXICO S.A. DE C.V.
Registered Office :	Calle Isabel La Catolica 24 Esq Fran. I Maderero Local A B Y C.- Bod 1 Loc A101-103.- Colonia Centro (Area 1) Cuauhtemoc
Country :	Mexico
Date of Incorporation :	2010
Legal Form :	Sociedad Anónima De Capital Variable
Line of Business :	Subject is engaged in design, manufacture, distribution and sale of fashion stores.
No. of Employee :	5,000

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 :

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ECGC Country Risk Classification List – September 30, 2014

Country Name	Previous Rating (30.06.2014)	Current Rating (30.09.2014)
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 20 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 2013, two-way merchandise trade reached nearly $507 billion. Mexico has free trade agreements with over 50 countries including Guatemala, Honduras, El Salvador, the European Free Trade Area, and Japan - 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 year in office, passing education, energy, financial, fiscal and telecommunications reform legislation. The three-party "Pact for Mexico" reform agenda aims to improve competitiveness and economic growth across the Mexican economy.

Source : CIA

STATUTORY INFORMATION
Legal Name:	BERSHKA MEXICO S.A. DE C.V.
Trade Name:	BERSHKA MEXICO
RFC:	BME004112J6
Date Created:	1998
Date Incorporated:	2010
Legal Address:	CALLE ISABEL LA CATOLICA 24 ESQ FRAN. I MADERERO LOCAL A B Y C.- BOD 1 LOC A101-103.- COLONIA CENTRO (AREA 1) CUAUHTEMOC MEXICO
Operative Address:	PONIENTE NO. 146 COL. IND. VALLEJO AZCAPOTZALCO,MEXICO
Telephone:	(55)5521-3440
Fax:	(55)5521-3440
Legal Form:	Sociedad Anónima de Capital Variable
Email:	edgarom@mx.inditex.com
Registered in:	430: CANACO SERVYTUR CD DE MEXICO
Website:	www.bershka.com
Manager:	Jesús Echevarría
Staff:	5 000
Activity:	Clothing Stores Industry
BANKS	BANAMEX
	The company does not make its banking data public
HISTORY
	Bershka born in 1998 as a new brand of Inditex Group
	Bershka belongs to Inditex Group, one of the largest fashion retail groups worldwide, with more than 6,100 stores in 86 countries in Europe, America, Asia and Africa. Besides Bershka, the largest of its retail chains, Inditex has other formats: Zara, Pull and Bear, Massimo Dutti, Stradivarius, Oysho, Zara Home and Uterqüe. In order to particularize their approach to the market, Inditex has eight fashion distribution chains (Bershka, Zara, Pull and Bear, Massimo Dutti, Stradivarius, Oysho, Zara Home and Uterqüe)
PRINCIPAL ACTIVITY	Today, after 15 years, the chain has over 910 stores in more than 64 countries, with sales accounting for 10% of total revenues of the whole group. Bershka has a sales area of over 338,000 square meters. The company's business includes the design, manufacture, distribution and sale of fashion stores.
Products/Services description:	Men and Women Clothes
Brands:	BERSHKA
Sales are:	Retail
Clients:	General public
Suppliers:	In Mexico there are 18 national suppliers Footwear: 9 in Leon and 9 in Guadalajara that produce a total of 4 million units in footwear. CAAMANO SISTEMAS METALICOS SL Spain GRAFITEX SERVICIOS DIGITALES, S.A. Spain ITX MERKEN BV FRIBOURG BRANCH Spain
Operations area:	National
The company imports from	Spain
The company exports to	Japón, Venezuela and Colombia
The subject employs	5 000 employees
Payments:	No Complaints
LOCATION
Headquarters :	PONIENTE NO. 146 COL. IND. VALLEJO AZCAPOTZALCO,MEXICO
Branches:	Patriotismo 229, Miguel Hidalgo, Ciudad de México, Distrito Federal - 01 55 5277 4030 Londres, Juárez, Cuauhtemoc, Distrito Federal - 01 55 5078 2000 Londres 104, Cuauhtémoc, Ciudad de México, Distrito Federal - 01 55 5207 1503 Manuel Ávila Camacho 1007, San Lucas Tepetlacalco, Tlalnepantla, México - 01 55 5366 9689 Motolinía 22, Centro, Cuauhtémoc, Ciudad de México, Distrito Federal - 01 55 5078 2000 San Francisco No. 65, Ahuizotla, Naucalpan de Juárez, México - 01 55 5366 9000 Insurgentes Sur 587, Del Valle, Benito Juárez, Ciudad de México, Distrito Federal - 01 55 5669 0021
Industry:	Companies in this industry operate physical retail establishments that sell clothing and accessories. Personal income and fashion trends drive demand for clothing. The profitability of individual companies depends heavily on effective merchandising and marketing. Large companies can offer wide selections of clothing and have advantages in purchasing, distribution, and marketing. Small stores can compete by offering unique merchandise, targeting a specific demographic, providing superior customer service, or serving a local market. The US industry is concentrated: the 50 largest companies account for about 65 percent of industry revenue. The clothing retail industry includes stores specializing in women's clothing (50 percent of industry revenue) or men's clothing (20 percent). Stores may also specialize in children's clothing (nearly 10 percent of sales) or accessories. Children's clothing stores include infant wear. Accessory stores may specialize in hats or caps, costume jewelry, gloves, handbags, ties, wigs, or belts. Within their specialty, stores typically sell a full range of items including clothing, outerwear, and underwear. Many clothing stores also sell shoes, accessories, makeup, and perfumes.
GROUP STRUCTURE AND SUBSIDIARY COMPANIES
Listed at the stock exchange:	NO
Capital:	NA
Shareholders %:	This is a private company. It is a subsidiary of: Inditex Avenida de la Diputación s/n 15142 Arteixo, A Coruña, España
Management:	Jesús Echevarría, Regional Manager Lizbeth Luis, Manager
Related Companies:	Alemania - Hamburgo Andorra - Andorra la Vella Austria - Viena Arabia Saudi - Viena Bahrein - Salmania Bélgica / Luxemburgo - Bruselas China - Shanghai Chipre - Nicosia Colombia - Bogotá Corea del Sur - Seúl Croacia - Zagreb España Egipto El Salvador - San Salvador Eslovenia - Ljubljana Estonia / Letonia / Lituania - Vilnius Eslovaquia Francia / París Grecia - Atenas Guatemala - Guatemala Holanda - Amsterdam Hong Kong - Hong Kong Hungría - Budapest Indonesia - Jakarta Irlanda - Dublín Italia - Milán Japón - Tokio Jordania - Amman Kuwait - Kuwait Letonia / Estonia / Lituania - Vilnius Líbano - Beirut Lituania / Estonia / Letonia - Vilnius Malasia - Selangor Darul Eshan Malta - B'Kara Marruecos - Casablanca México - México D.F. Montenegro - Podgorica Polonia - Varsovia Portugal - Lisboa Qatar - Doha Reino Unido - Londres República Checa - Praga Rumania - Bucarest Rusia - Moscú Serbia - Belgrado Singapur - Singapur Suiza - Ginebra Tailandia - Bangkok Turquía - Estambul E. A. U.
FINANCIAL INFORMATION
	This is a private company which does not make its financials public.
INDUSTRIA DE DISEÑO TEXTIL SA 2014 (Parent Company)
Revenue	$ 227.636.339.229
Gross Profit	$ 135.061.027.452
Operating Income	$ 4.179.774.768
Net Income	$ 32.354.463.102
Diluted EPS	$1.04
Cash at the beginning of the year	$ 5.196.778
Net Operating Cash	$3848.2
Net Investing Cash	$ -18.387.672
Net Financing Cash	$ -19.400.684
Net Change in Cash	$ 6.936.438
Cash at end of the year	$ 5.235.779
Capital Expenditure	$ -17.019.263
Cash	$ 5.235.779
Inventories	$2282.4
Other Income Assets	$ 16.896.096
Asset Summary
Total Current Assets	$ 9.207.788
Net Fixed Assets	$ 69.927.617
Other Noncurrent Assets	$ 2.523.097
Total Assets	$ 18.723.646
Total Equity	$12628.78
Shares Outstanding	3116.65
LEGAL FILINGS
	There are nolegal found for the subject
SUMMARY
	Bershka is a chain of clothing stores belonging to the Spanish group Inditex, founded in La Coruña by businessman Amancio Ortega Gaona. Bershka opened in April 1998. The store belongs to Inditex group, one of the largest fashion retail groups worldwide, with more than 4,780 stores in 77 countries in Europe, America, Asia and Africa. Besides Bershka, the largest of its retail chains, Inditex has other formats: Zara, Pull and Bear, Massimo Dutti, Stradivarius, Oysho, Zara Home and Uterqüe.
RISK INFORMATION
DEBTS	Controlled
PAYMENTS	No Complaints
CASH FLOW	Normal
STATUS	Active
ENTERVIEW
NAME	NA
POSITION	Sales
COMMENTS	He confirmed address, activity, imports and manager.

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.61.70
UK Pound	1	Rs.93.41
Euro	1	Rs.71.33

INFORMATION DETAILS

Analysis Done by :	KAR
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%)

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