MIRA INFORM REPORT

Report No. :	303918
Report Date :	28.01.2015

IDENTIFICATION DETAILS

Name :	COTO CIC S.A
Formerly Known As :	Carnecerios Integrales S.R.L.
Registered Office :	Paysandu 1842,(Cp 1416), Buenos Aires
Country :	Argentina
Date of Incorporation :	24.12.1979
Legal Form :	Public Company
Line of Business :	Subject is operates a chain of supermarkets
No. of Employee :	14.446

RATING & COMMENTS

MIRA’s Rating :

A

RATING		STATUS	PROPOSED CREDIT LINE
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

Status :	Good
Payment Behaviour :	Regular
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)
Argentina	B1	C1

Risk Category	ECGC Classification
Insignificant	A1
Low	A2
Moderate	B1
High	B2
Very High	C1
Restricted	C2
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 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. During 2013, the government continued with a mix expansionary fiscal and monetary policies and foreign exchange and imports controls to limit the drain in Central Bank foreign reserves, which nevertheless dropped US $12 billion during the year. GDP grew 3% and inflation remained steady at 25%, according to private estimates. In October 2013, the government settled long-standing international arbitral disputes (including with three US firms) dating back to before and following the 2002 Argentine financial crisis. In early 2014, the government embraced a series of more orthodox economic policies. It devalued the peso 20%, substantially tightened monetary and fiscal policies, and took 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 presenting a proposal to pay its arrears to the Paris Club.

Source : CIA

Company name and address COTO CIC S.A
Address in the order:	PAYSANDU 1842,(CP 1416), BUENOS AIRES, ARGENTINA
Legal Name:	COTO CIC S.A
Trade Name:	COTO
CUIT:	30-54808315-6
Date Created:	1979
Date Incorporated:	24/12/1979
Legal Address:	Paysandu 1842, Capital Federal (1416), Capital Federal, Argentina
Operative Address:	Paysandu 1842, Capital Federal (1416), Capital Federal, Argentina
Telephone:	54 11 4586-7777 / +54 11 4586-6003 / +54 11 4586-6001 /
Fax:	54 810 9999268
Legal Form:	Centro Integral de Comercialización Sociedad Anónima (C.I.C.S.A)
Email:	info@coto.com.ar
Registered in:	DIV. REC. GRANDES CONTRIB. NACIONALES HIPOLITO YRIGOYEN N°370 PLANTA BAJA 1086 CIUDAD AUTONOMA BUENOS AIRES
Website:	www.coto.com.ar
Manager:	Alfredo Coto
Staff:	14.446
Activity:	Supermarket Chain
BANKS
According to Argentinian Central Bank, the company maintains credit lines with the following banks:
BANK	AMOUNT IN AR$
BANCO DE GALICIA Y BUENOS AIRES S.A.	266460,5
BANCO DE LA PROVINCIA DE BUENOS AIRES	115357,4
HSBC BANK ARGENTINA S.A.	102746,8
BANCO DE LA NACION ARGENTINA	87039,2
BANCO ITAU ARGENTINA S.A.	70666,9
NUEVO BANCO DE SANTA FE SOCIEDAD ANONIMA	58196,4
BANCO SUPERVIELLE S.A.	58112
BANCO DE LA CIUDAD DE BUENOS AIRES	36742,3
INDUSTRIAL AND COMMERCIAL BANK OF CHINA	14689,8
BANCO COMAFI SOCIEDAD ANONIMA	10347,1
BANCO INDUSTRIAL	8906,2
BANCO FINANSUR S.A.	3946,8
BANCO DE LA PAMPA S.E.M.	2327,5
AMERICAN EXPRESS ARGENTINA S.A.	2094,8
BANCO SANTANDER RIO S.A.	1886,7
BANCO CMF S.A.	1571,6
MULTIFINANZAS COMPAÑIA FINANCIERA S.A.	24,6
CITIBANK N.A.	0,7
According to the classification of banking relations of Argentina, the company operates with the following level: 1.
This is the highest classification in the system. It means that the company/person is fulfilling correctly its current Credit obligations. This is therefore positive information that will enable the granting of any line of credit. There are no rejected checks for the company.
HISTORY The company was formerly known as Carnecerios Integrales S.R.L. Coto Centro Integral de Comercializacion S.A. was incorporated in 1979 and is based in Buenos Aires, Argentina. Shortly after it opened its first hypermarket in New Pompeii, Buenos Aires. Years later, he opened his own supply center in Esteban Echeverría, the largest in Latin America. On October 24, 2008, Coto opened in Munro, had his secondary center where goods into disuse, formerly owned by the Working Home, transforming it into a hypermarket. In the 90's, Alfredo Coto rejected an offer of 1.2 billion dollars from Wal-Mart to keep their supermarkets.
PRINCIPAL ACTIVITY Coto Centro Integral de Comercializacion S.A. operates a chain of supermarkets in Argentina. It operates commercial centers, hypermarkets, mini-markets, and slaughter-houses.
Products/Services description:	The company offers meat, groceries, health and care products, drinks and beverages, fruits and vegetables, home cookware and appliances, linen and bedding, perishables, and frozen products.
Brands:	Some of its various brands: ALIMENTO RICO OMEGA 3 AQUA 90 BRASERIA FAST FOOD BRASERIA FAST FOOD COTO CARNICERIAS INTEGRADAS COTO CARNICERIAS INTEGRADAS COTO S.A. CARNICERIAS INTEGRADAS COTO SRL CENTENARIO PLAZA CIC COTO S.A. CIUDAD DEL LAGO COTO COTO EXPRESO COTO MUSLITOS
Sales are:
Clients:	General Clientele
Suppliers:	La Serenisima, Sancor SA, etc
Operations area:	National
The company imports from	Worldwide
The company exports to	It exports beef, pork, and cut meat products to Europe, the United States, Hong Kong, Brazil, Chile, and Israel, as well as manufactures and supplies leather materials for apparel, shoes, homes, and cars.
The subject employs	14.446 employees
Payments:	Regular-made on a 35-45 day basis. Monitored over the last 12 months.
LOCATION
Headquarters :	Paysandu 1842, Capital Federal (1416), Capital Federal, Argentina
Branches:	It has 120 branches in total, 2 majority in the Metropolitan Area of Buenos Aires. It has recently opened a new large sized store in th capital city.
GROUP STRUCTURE AND SUBSIDIARY COMPANIES
Listed at the stock exchange:	NO
Capital:	AR$ 300 000 000
Shareholders %:	This is a private company. The major holder is Alfredo Coto and his wife Gloria Coto.
Management:	PRESIDENT, ALFREDO COTO VP, GERMAN ALFREDO COTO DIRECTORS GLORIA ALICIA GARCIA DE COTO SOFIA PAULA COTO. MATIAS COTO ALEJANDRA ELIZABETH COTO CARLOS ALBERTO MESSINA
FINANCIAL INFORMATION This is a private company which does not make its financial figures public. The following information has been provided by outside sources.
USD 2013
Revenue	2 096 821 000
Net Income	44 118 000
Total Equity	890 354 000
Cash Flow	GOOD
Exports FOB DOLLAR
2014	28.276.109
2013	34.020.136
2012	41.535.895
2011	42.782.253
2010	36.337.535
LEGAL FILINGS
"Romero, Nelida Beatriz c / Coto Integral Marketing Center SA s / damages " 2007 Administrative fine for misleading advertising Sunday, June 15, 2014 It was upheld a fine against a supermarket, for having published a notice offering discounts on "all products" while in a footnote on page and less letter stated exceptions. Such conduct lent to confusion among potential consumers, in violation of the Fair Trading Act.
RISKMA REVIEW
Riskma Review:	1
RISK:	Low
Requested Credit Amount	Maximum
About Riskma Review:
RR1: Fully Approved	The company is well established and in good situation.
RR2: Approved	Credit dealings approved.
RR3: Marginal +	Business dealings approved +suggested monitoring.
RR4: Marginal -	Low credit suggested + highly suggested monitoring
RR5: Unsatisfactory	No credit line suggested + monitoring the company
Neg: Negative	The company does not exist
SUMMARY
Coto Centro Integral de Comercializacion S.A. operates a chain of supermarkets in Argentina. The company was formerly known as Carnecerios Integrales S.R.L. Coto Centro Integral de Comercializacion S.A. was incorporated in 1979 and is based in Buenos Aires, Argentina. The company has a larges sized structure and is one of the major supermarket chains in Argentina. It has recently invested in a larged sized store located in the capital city of Buenos Aires. There are no negative. It has a positive profitability.
RISK INFORMATION
DEBTS	Controlled
PAYMENTS	Regular
CASH FLOW	Good
STATUS	Active
ENTERVIEW
NAME	Carla
POSITION	Sales
COMMENTS	She confirmed address, CUIT, owner and branches. She refused to provide more data.

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs. 61.46
UK Pound	1	Rs. 92.76
Euro	1	Rs. 69.03

INFORMATION DETAILS

Analysis Done by :	RAS
Report Prepared by :	ASH

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.