MIRA INFORM REPORT

 

 

Report No. :

321888

Report Date :

20.05.2015

 

IDENTIFICATION DETAILS

 

Name :

CRAILAR TECHNOLOGIES INC.

 

 

Registered Office :

4420 Chartterton Way, Ste 305 Victoria, British Columbia V8X 5J2

 

 

Country :

Canada

 

 

Date of Incorporation :

06.10.1998

 

 

Legal Form :

Public Company (TSX = CL)

 

 

Line of Business :

Subject is engaged in the technological development and natural sustainable fibers business.

 

 

No. of Employee :

27

 

 

RATING & COMMENTS

 

MIRA’s Rating :

B

 

RATING

STATUS

PROPOSED CREDIT LINE

26-40

B

Capability to overcome financial difficulties seems comparatively below average.

Small

 

Status :

Moderate

 

 

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.

 

 

ECGC Country Risk Classification List – December 31, 2014

 

Country Name

Previous Rating

(30.09.2014)

Current Rating

(31.12.2014)

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 early intervention by the Bank of Canada and the financial sector's tradition of conservative lending practices and strong capitalization. Canada achieved marginal growth in 2010-14 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 and address

 

Your order on:            CRALLAR TECHNOLOGIES INC

 

The correct name is:

 

 

Company name:           CRAILAR TECHNOLOGIES INC.

 

Address:                                   4420 Chartterton Way, Ste 305

                                    Victoria, British Columbia V8X 5J2 - Canada

 

Telephone:                    +1 250-658-8582

 

Fax:                              +1

 

Website:                                   www.crailar.com

 

 

Corporate ID#:              BC-0000572867

 

State:                           British Columbia

 

 

Judicial form:                Public Company (TSX = CL)

 

Date incorporated:        October 6, 1998

 

Stock:                           66,378,003 shares issued and outstanding (as of 05-18-2015)

 

Market Value:                 CAD 16,262,611=

 

 

Name of manager:         Lesley HAYES

 

 

ACTIVITIES & OPERATIONS

 

 

IST

 

Business:

 

Crailar Technologies Inc., a development stage company, engages in the technological development and natural sustainable fibers business.

It primarily produces natural and proprietary CRAiLAR Flax fibers targeted at the natural yarn and textile industries, as well as the deployment of its CRAiLAR processing technologies in the cellulose pulp and composites industries.

The company develops CRAiLAR Fiber for textiles, which is flax, hemp, or other sustainable bast fiber available in various blends, textures, colors, and applications; and CRAiLAR technologies for the processing of cellulose-based fibers as a dissolving pulp for use in the additives, ethers, and performance apparel markets.

 

It also focuses on processing CRAiLAR shive and seed products.

The company was formerly known as Naturally Advanced Technologies Inc. and changed its name to Crailar Technologies Inc. in October 2012.

Crailar Technologies Inc. was founded in 1998 and is headquartered in Victoria, Canada.

 

 

No name of foreign suppliers available.

 

 

Staff:                27

 

 

Operations & branches:

 

At the headquarters, we find the corporate office.

 

 

SHAREHOLDERS & MANAGERS

 

 

Shareholders:

 

The Company is listed with the TSX under symbol CL.

 

 

Management:

 

Ms. Lesley HAYES has been an Chief Executive Officer of Crailar Technologies Inc. since November 12, 2014.

Ms. Hayes served as a Vice President of Communications at Crailar Technologies Inc, (formerly, Naturally Advanced Technologies Inc. and Hemp town Clothing Inc) since December 15, 2000. until February 20, 2004. Ms. Hayes is a Self-employed Management Consultant since 2002. Ms. Hayes' responsibilities included marketing, business development, production and management of a staff of eight. Ms. Hayes was founder and President of Electra slide Corporation from 1987 to 1992. From 1996 to 1999, Ms. Hayes was self-employed as an investor relations consultant Ms. Hayes served as a Vice President of Operations at Vicom Multimedia Inc., from 1992 to 1996 and served as its General Manager of Calgary. Her responsibilities included management of the Calgary operation and development, marketing and management of new products. Ms. Hayes left Vicom in 1997. From 1997 to 1999, Ms. Hayes was the founder and President of Capital Influence Investor Relations. Ms. Hayes delivered front line and strategic services to clients in the real estate, manufacturing, mining and corporate communications sectors. From 1999 to 2002, Ms. Hayes served as Practice Manager of Creative Services of Burntsand Inc. (TSE: BRT). Her role was to design and build a new department and revenue stream for Hemp town Clothing Inc. Her responsibilities and duties also included marketing and partner relations for Western Canada and delivery of client engagements in L.A., Houston, Vancouver, New York and Calgary. Ms. Hayes also led an internal project to upgrade, redesign and 'Webify' all internal Burntsand systems and processes including the roll out of the Balanced Scorecard.

Ms. Hayes also provides contract facilitation and training in the USA. and Canada through the International Young Entrepreneur Organization ("YEO").

She has been the Non Executive Chairperson of Crailar Technologies Inc, since November 06, 2013 and has been its Member of Advisory Board since 2006.

 

Ms. Hayes has been a Director of Northern Abitibi Mining Corp. (TSE:NAI) since December 6, 1996. Ms. Hayes has been a Member of the

Calgary Chapter of YEO for over 10 years, and served on the Calgary Board for YEO for 5 years. She served as Director of Tyler Resources Inc., since February 11,1997. Ms. Hayes has been a Director of No Drama Media Inc. providing business consultancy services since 2002. She served as a Director of Crailar Technologies Inc, since December 15, 2000 and also served as Director of Vicom. Ms. Hayes attended the Alberta College of Art in 1983 taking courses in Visual Communications as well as attended Sheridan College in 1984 taking courses in Computer Graphics.

Ms. Hayes completed the Canadian Securities Course in 1997 and worked in investor relations for 4 years.

She completed three masters level accounting courses, Financial Accounting, Managerial Accounting and Operations Accounting as part of the process of completing her MBA through the University of Calgary/University of Alberta joint MBA program.

 

Theodore S. SANDERS Jr. is the CFO.

 

 

As far as we know, they are involved in other corporations, including:

 

CRAILAR FIBER TECHNOLOGIES INC.

Incorporated in British Columbia on April 5, 2005

ID# BC-0000720882

 

 

FINANCIALS

 

On 05/12/2015, Crailar Technologies Inc. announced that they will be unable to file their next 10-Q by the deadline required by the SEC.

 

On April 13,2015, CRAiLAR Technologies Inc. reported consolidated earnings results for the full year ended December 27, 2014.

For the year, the company reported net loss of $14,172,000 against $15,170,000 a year ago. Revenues were $4,196,000 against $587,000 a year ago. Basic and diluted loss per share was $0.25 against $0.34 a year ago. LBITDA was $10,825,000 against $12,256,000 a year ago. Adjusted LBITDA was $3,417,000 against $5,957,000 a year ago. Net cash used in operating activities was $9,850,000 against $8,081,000 a year ago. Purchase of property and equipment was $1,558,000 against $3,908,000 a year ago. Acquisition of intangible assets was $24,000 against $89,000 a year ago.  Loss before taxes was $14,371,000 against $15,170,000 a year ago. For the fourth quarter of 2014, the company reported write down of plant and equipment of  $7,491,000.

 

 

Banks:  Scotia Bank

                       

 

 

LEGAL FILINGS

 

Legal filings & complaints:

 

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

 

 

Secured debts summary:   Several

 

 

COMPANY CREDIT HISTORY

 

Trade references:

 

Date reported:               April 2015

High credit:                   USD 12,000

Now owing:                   0

Past due:                      0

Last purchase:              March 2015

Line of business:           Office supply

Paying status:               15 days beyond terms

 

Date reported:               April 2015

High credit:                   USD 40,000

Now owing:                   0

Past due:                      0

Last purchase:              March 2015

Line of business:           Payroll

Paying status:               As agreed

 

Date reported:               April 2015

High credit:                   USD 220

Now owing:                   0

Past due:                      0

Last purchase:              March 2015

Line of business:           Telecommunications

Paying status:               15 days beyond terms

 

 

Domestic credit history:

 

National Credit Bureaus gave a medium/high credit risk.

 

According to our credit analysts, during the last 6 months, domestic payments were made with an average of 10 to 15 days beyond terms.

 

The cash flow is low.

 

 

Other comments:

 

The Company is in good standing.

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

 

The risk is medium/high.

 

 

Our opinion:

 

We suggest you to be careful.

 

 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.63.69

UK Pound

1

Rs.99.73

Euro

1

Rs.71.90

 

 

INFORMATION DETAILS

 

Analysis Done by :

KAR

 

 

Report Prepared by :

ANK

 


 

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.