MIRA INFORM REPORT

Report No. :	505285
Report Date :	25.04.2018

IDENTIFICATION DETAILS

Name :	DEKA S-PB COMPANY LTD.
Registered Office :	Novoroshchinskaya Street 4, Liter A, Moskovskiy District, 196084 Saint Petersburg
Country :	Russia
Financials (as on) :	31.12.2016
Date of Incorporation :	18.05.2012
Com. Reg. No.:	OGRN 1127847279031
Legal Form :	Limited Liability Company
Line of Business :	· Non-specialised wholesale trade · Manufacture of wire products, chain and springs · Manufacture of metal forming machinery
No. of Employees :	60

RATING & COMMENTS

(Mira Inform has adopted New Rating mechanism w.e.f. 23^rd January 2017)

MIRA’s Rating :

A

Credit Rating	Explanation	Rating Comments
A	Acceptable Risk	Business dealings permissible with moderate risk of default

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.

ECGC Country Risk Classification List

Country Name	Previous Rating (30.09.2017)	Current Rating (31.12.2017)
Russia	A2	A2

Risk Category	ECGC Classification
Insignificant	A1
Low Risk	A2
Moderately Low Risk	B1
Moderate Risk	B2
Moderately High Risk	C1
High Risk	C2
Very High Risk	D

RUSSIA - ECONOMIC OVERVIEW

Russia has undergone significant changes since the collapse of the Soviet Union, moving from a centrally planned economy towards a more market-based system. Both economic growth and reform have stalled in recent years, however, and Russia remains a predominantly statist economy with a high concentration of wealth in officials' hands. Economic reforms in the 1990s privatized most industry, with notable exceptions in the energy, transportation, banking, and defense-related sectors. The protection of property rights is still weak, and the state continues to interfere in the free operation of the private sector.

Russia is one of the world's leading producers of oil and natural gas, and is also a top exporter of metals such as steel and primary aluminum. Russia is heavily dependent on the movement of world commodity prices as reliance on commodity exports makes it vulnerable to boom and bust cycles that follow the volatile swings in global prices. The economy, which had averaged 7% growth during the 1998-2008 period as oil prices rose rapidly, has seen diminishing growth rates since then due to the exhaustion of Russia’s commodity-based growth model.

A combination of falling oil prices, international sanctions, and structural limitations pushed Russia into a deep recession in 2015, with GDP falling by close by 2.8%. The downturn continued through 2016, with GDP contracting another 0.2%, but was reversed in 2017 as world demand picked up. Government support for import substitution has increased recently in an effort to diversify the economy away from extractive industries.

Source : CIA

SUMMARY
COMPANY NAME	OOO DEKA S-PB
ADDRESS	Building	Street			Area			PO Box
	Business Center Sobranie	Novoroshchinskaya Street 4, Liter A			Moskovskiy District			196084 Saint Petersburg
TEL/FAX	Verified Phones: (+7 812) 309 4519 / (+7 495) 766 8394 / Fax: (+7 812) 309 4519
EMAIL/WEBSITE	Email: info@deka-svarka.ru / Website: www.deka-svarka.ru
ACTIVITY	NACE 4690 - Non-specialised wholesale trade; NACE 2593 - Manufacture of wire products, chain and springs; NACE 2841 - Manufacture of metal forming machinery;
PRINCIPAL	Aleksandr Anatolievich Sedov					Workforce
	Managing Director					60
LEGAL INFO	Date Of Est.		Reg. No.	Legal Form			Status
	18/05/2012		OGRN 1127847279031	LLC			Active
CAPITAL	CURRENCY			AMOUNT
	RUBLE (RUB)			12,000

IDENTIFICATION
CO. NAME	OOO DEKA S-PB
TRADEMARK	DEKA
ALSO KNOWN NAME (S)	DEKA S-PB LLC / Deka S-Pb Company Ltd.
BUILDING	Business Center Sobranie
STREET	Novoroshchinskaya Street 4, Liter A
AREA	Moskovskiy District
POSTAL ADDRESS	196084 Saint Petersburg
CITY	Saint Petersburg
COUNTRY	Russia
TELEPHONE	(+7 812) 309 4519 / (+7 495) 766 8394 / (+7 812) 922 3173 / Mobiles (+7 906) 244 3793 / (+7 950) 047 0538
FAX	(+7 812) 309 4519
VERIFIED EMAIL	info@deka-svarka.ru / mp@deka-svarka.ru
WEBSITE	www.deka-svarka.ru
BUSINESS HOURS	DAYS	OFFICE HOURS	BREAK TIME
	Mon-Fri	09:00-18:00	13:00-14:00
REGISTERED ADDRESS	Novoroshchinskaya Street 4, Liter A, Moskovskiy District, 196084 Saint Petersburg, Russia

SENIOR PERSONNEL
MANAGEMENT	NAME	POSITION
	Aleksandr Anatolievich Sedov	Managing Director
	Sergey Taykov Ms. Lyudmila	Regional Manager Purchasing Officer
WORKFORCE	NO. OF EMPLOYEES	PERIOD
	60	04.2018

FINANCIAL SUMMARY
REVENUE	31/12/2017	31/12/2016
	RUBLE 350,000,000	RUBLE 313,465,000
NET PROFIT / (LOSS)	31/12/2017	31/12/2016
	RUBLE 10,000,000	RUBLE 17,129,000
PROFIT BEFORE TAX	RUBLE 27,070,000 as of 31/12/2016
STOCK/INVENTORIES	RUBLE 29,065,000 as of 31/12/2016
FISCAL YEAR-END	31 December

LEGAL STATUS
INCORPORATION	18/05/2012
REGISTRATION NO.	C.R. NUMBER	ISSUED BY
	OGRN 1127847279031	Federal Tax Service
OTHER REGISTRATION NO.	INN 7810869440 (Tax Code) / KPP 781001001 / OKPO 9594662 (Statistics Code) / OKTMO 40373000000
AUTHORISED CAPITAL	AMOUNT	CURRENCY
	12,000	RUBLE
PAID-UP CAPITAL	AMOUNT	CURRENCY
	12,000	RUBLE
LEGAL FORM	Limited Liability Company
BUSINESS HISTORY	The Company was incorporated in Russia on 18 May 2012.
STATUS	Active
SHAREHOLDERS	NAME	PERCENTAGE
	Aleksandr Anatolievich Sedov Nationality: Russian Tax Code: INN 781419103616	100.00%

OPERATION
BANKERS	1. PAO Bank Saint-Petersburg Nastavnikov Avenue 19 Saint Petersburg Russia Telephone: (+7 812) 329 5050 SWIFT: JSBSRU2P 1. JSC Alfa-Bank Moskovskiy Avenue 74, Liter A, Apartment 2H Frunzenskiy District Saint Petersburg Telephone: (+7 495) 755 5858 Fax : (+7 495) 755 5858 Subject also has an account with other local banks.
ACTIVITY CODE (NACE)	4690 - Non-specialised wholesale trade; 2593 - Manufacture of wire products, chain and springs; 2841 - Manufacture of metal forming machinery;
LINE OF BUSINESS	Manufacturers of welding wires & machines and related consumables under the trademark “DEKA”.
IMPORT FROM	Europe and China.
EXPORT TO	occasionally to CIS countries.
FACILITIES	Premises comprising administrative offices located at the heading address as well as a manufacturing unit and 8 sales offices located throughout Russian Federation (see “Branch Offices” below).
BRANCH OFFICES	1. Veshnih Vod Street 8, Block 1 Moscow 129339 2. Montazhnikov Street 24 Yekaterinburg 620050 3. 3-ya Promyshlennaya Street 6/2 Village Kirilovka Novorossiysk 4. Mezhinskogo Street 2 Rostov-on-Don 5. Dorozhnaya Street 84b Voronezh 6. Vesennyaya Street 1 Nab. Chelny Republic of Tatarstan 7. Arkhonskiy Per. 7 Novosibirsk 8. Barrikad Street 1 Nizhny Novgorod
RELATED COMPANIES	Associates 1. OOO SIGMA Parkovaya Street 4, Liter A, Office 329 Saint Petersburg 196084 Russia Est.: 09/11/2016 C.R. No.: OGRN 1167847433775 Tax Code: INN 7810625596 Sole Shareholder: Aleksandr Anatolievich Sedov 2. OOO Stankoprom S-PB Parkovaya Street 4, Liter A Saint Petersburg 196084 Russia Est.: 29/11/2001 C.R. No.: OGRN 1027804911738 Tax Code: INN 7810245587 Sole Shareholder: Aleksandr Anatolievich Sedov

FINANCIAL INFORMATION
CURRENCY	RUBLE
PERIOD	31/12/2016	31/12/2015
CURRENT ASSETS	46,742,000	59,441,000
STOCK/INVENTORIES	29,065,000	26,184,000
NON-CURRENT ASSETS	262,000	249,000
CURRENT LIABILITIES	29,529,000	59,344,000
NON-CURRENT LIABILITIES	0	0
EQUITY	17,475,000	346,000
BALANCE TOTAL	47,004,000	59,690,000
REVENUE	313,465,000	148,526,000
NET PROFIT / LOSS	17,129,000	59,000
NOTES	Balance sheets as at 31 December 2016 showed : 31/12/2016 31/12/2015 (in RUBLE) ASSETS Non-current assets Intangible assets 262,000 249,000 Total non-current assets 262,000 249,000 Current assets Stock 29,065,000 26,184,000 Value added tax on purchased valuables 9,370,000 4,966,000 Trade receivables 5,062,000 11,176,000 Cash and cash equivalents 2,924,000 7,000 Other current assets 321,000 17,108,000 Total current assets 46,742,000 59,441,000 TOTAL ASSETS 47,004,000 59,690,000 EQUITY & LIABILITIES Share capital 12,000 12,000 Retained earnings 17,463,000 334,000 Total Equity 17,475,000 346,000 Total long-term liabilities 0 0 Short-term liabilities Accounts payable 29,529,000 59,344,000 Total Short-term Liabilities 29,529,000 59,344,000 TOTAL EQUITY & LIABILITIES 47,004,000 59,690,000 INCOME STATEMENT Revenue 313,465,000 148,526,000 Cost of Sales (246,666,000) (115,022,000) Gross Profit 66,799,000 33,504,000 Commercial expenses (21,301,000) (11,293,000) Profit(loss) from sales 45,498,000 22,211,000 Other income and expenses Interest payable (1,593,000) (579,000) Other income 15,792,000 9,187,000 Other expenses (32,627,000) (28,661,000) Profit(loss) before taxation 27,070,000 2,158,000 Current income tax (9,941,000) (2,095,000) Net Profit(loss) 17,129,000 59,000

SPECIAL REMARKS
INTERVIEWED	Sergey Taykov (Regional Manager).
COMMENTS	You enquired on: Deka S-Pb Company Ltd. Please note that this name applies to an English translation of the subject’s name. Subject’s correct registered name is as per heading.

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	INR 66.36
UK Pound	1	INR 92.51
Euro	1	INR 81.05
RUB	1	INR 1.07

Note : Above are approximate rates obtained from sources believed to be correct

INFORMATION DETAILS

Analysis Done by :	VAR
Report Prepared by :	SYL

RATING EXPLANATIONS

Credit Rating	Explanation	Rating Comments
A++	Minimum Risk	Business dealings permissible with minimum risk of default
A+	Low Risk	Business dealings permissible with low risk of default
A	Acceptable Risk	Business dealings permissible with moderate risk of default
B	Medium Risk	Business dealings permissible on a regular monitoring basis
C	Medium High Risk	Business dealings permissible preferably on secured basis
D	High Risk	Business dealing not recommended or on secured terms only
NB	New Business	No recommendation can be done due to business in infancy stage
NT	No Trace	No recommendation can be done as the business is not traceable

NB is stated where there is insufficient information to facilitate rating. However, it is not to be considered as unfavourable.

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 are as follows:

· Financial condition covering various ratios

· Company background and operations size

· Promoters / Management background

· Payment record

· Litigation against the subject

· Industry scenario / competitor analysis

· Supplier / Customer / Banker review (wherever available)

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