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MIRA INFORM REPORT
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Report No. : |
516084 |
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Report Date : |
26.06.2018 |
IDENTIFICATION DETAILS
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Name : |
TECUMSEH PRODUCTS COMPANY |
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Registered Office : |
Registered Agent: The Corporation Company, 30600
Telegraph Road, Bingham Farms, MI 48025 |
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Country : |
United States |
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Date of Incorporation : |
26.03.1930 |
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Legal Form : |
Domestic Profit Corporation |
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Line of Business : |
Subject manufactures and sells hermetically sealed compressors. It
offers air conditioning and refrigeration compressors, as well as condensing
units, heat pumps, and refrigeration systems. |
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No. of Employees : |
780 |
RATING & COMMENTS
(Mira Inform has adopted New Rating mechanism w.e.f. 23rd
January 2017)
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MIRA’s Rating : |
A+ |
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Credit Rating |
Explanation |
Rating Comments |
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A+ |
Low Risk |
Business dealings permissible with low
risk of default |
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Status : |
Good |
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Payment Behaviour : |
Regular |
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Litigation : |
Exist |
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
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Country Name |
Previous Rating (31.12.2017) |
Current Rating (01.04.2018) |
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United States |
A1 |
A1 |
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Risk Category |
ECGC
Classification |
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Insignificant |
A1 |
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Low Risk |
A2 |
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Moderately Low Risk |
B1 |
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Moderate Risk |
B2 |
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Moderately High Risk |
C1 |
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High Risk |
C2 |
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Very High Risk |
D |
UNITED STATES - ECONOMIC OVERVIEW
The US has the most technologically powerful economy in the world, with a per capita GDP of $59,500. US firms are at or near the forefront in technological advances, especially in computers, pharmaceuticals, and medical, aerospace, and military equipment; however, their advantage has narrowed since the end of World War II. Based on a comparison of GDP measured at purchasing power parity conversion rates, the US economy in 2014, having stood as the largest in the world for more than a century, slipped into second place behind China, which has more than tripled the US growth rate for each year of the past four decades.
In the US, private individuals and business firms make most of the decisions, and the federal and state governments buy needed goods and services predominantly in the private marketplace. US business firms enjoy greater flexibility than their counterparts in Western Europe and Japan in decisions to expand capital plant, to lay off surplus workers, and to develop new products. At the same time, businesses face higher barriers to enter their rivals' home markets than foreign firms face entering US markets.
Long-term problems for the US include stagnation of wages for lower-income families, inadequate investment in deteriorating infrastructure, rapidly rising medical and pension costs of an aging population, energy shortages, and sizable current account and budget deficits.
The onrush of technology has been a driving factor in the gradual development of a "two-tier" labor market in which those at the bottom lack the education and the professional/technical skills of those at the top and, more and more, fail to get comparable pay raises, health insurance coverage, and other benefits. But the globalization of trade, and especially the rise of low-wage producers such as China, has put additional downward pressure on wages and upward pressure on the return to capital. Since 1975, practically all the gains in household income have gone to the top 20% of households. Since 1996, dividends and capital gains have grown faster than wages or any other category of after-tax income.
Imported oil accounts for more than 50% of US consumption and oil has a major impact on the overall health of the economy. Crude oil prices doubled between 2001 and 2006, the year home prices peaked; higher gasoline prices ate into consumers' budgets and many individuals fell behind in their mortgage payments. Oil prices climbed another 50% between 2006 and 2008, and bank foreclosures more than doubled in the same period. Besides dampening the housing market, soaring oil prices caused a drop in the value of the dollar and a deterioration in the US merchandise trade deficit, which peaked at $840 billion in 2008. Because the US economy is energy-intensive, falling oil prices since 2013 have alleviated many of the problems the earlier increases had created.
The sub-prime mortgage crisis, falling home prices, investment bank failures, tight credit, and the global economic downturn pushed the US into a recession by mid-2008. GDP contracted until the third quarter of 2009, the deepest and longest downturn since the Great Depression. To help stabilize financial markets, the US Congress established a $700 billion Troubled Asset Relief Program (TARP) in October 2008. The government used some of these funds to purchase equity in US banks and industrial corporations, much of which had been returned to the government by early 2011. In January 2009, Congress passed and former President Barack OBAMA signed a bill providing an additional $787 billion fiscal stimulus to be used over 10 years - two-thirds on additional spending and one-third on tax cuts - to create jobs and to help the economy recover. In 2010 and 2011, the federal budget deficit reached nearly 9% of GDP. In 2012, the Federal Government reduced the growth of spending and the deficit shrank to 7.6% of GDP. US revenues from taxes and other sources are lower, as a percentage of GDP, than those of most other countries.
Wars in Iraq and Afghanistan required major shifts in national resources from civilian to military purposes and contributed to the growth of the budget deficit and public debt. Through FY 2018, the direct costs of the wars will have totaled more than $1.9 trillion, according to US Government figures.
In March 2010, former President OBAMA signed into law the Patient Protection and Affordable Care Act (ACA), a health insurance reform that was designed to extend coverage to an additional 32 million Americans by 2016, through private health insurance for the general population and Medicaid for the impoverished. Total spending on healthcare - public plus private - rose from 9.0% of GDP in 1980 to 17.9% in 2010.
In July 2010, the former president signed the DODD-FRANK Wall Street Reform and Consumer Protection Act, a law designed to promote financial stability by protecting consumers from financial abuses, ending taxpayer bailouts of financial firms, dealing with troubled banks that are "too big to fail," and improving accountability and transparency in the financial system - in particular, by requiring certain financial derivatives to be traded in markets that are subject to government regulation and oversight.
In December 2012, the Federal Reserve Board (Fed) announced plans to purchase $85 billion per month of mortgage-backed and Treasury securities in an effort to hold down long-term interest rates, and to keep short-term rates near zero until unemployment dropped below 6.5% or inflation rose above 2.5%. The Fed ended its purchases during the summer of 2014, after the unemployment rate dropped to 6.2%, inflation stood at 1.7%, and public debt fell below 74% of GDP. In December 2015, the Fed raised its target for the benchmark federal funds rate by 0.25%, the first increase since the recession began. With continued low growth, the Fed opted to raise rates several times since then, and in December 2017, the target rate stood at 1.5%.
In December 2017, Congress passed and President Donald TRUMP
signed the Tax Cuts and Jobs Act, which, among its various provisions, reduces
the corporate tax rate from 35% to 21%; lowers the individual tax rate for
those with the highest incomes from 39.6% to 37%, and by lesser percentages for
those at lower income levels; changes many deductions and credits used to
calculate taxable income; and eliminates in 2019 the penalty imposed on
taxpayers who do not obtain the minimum amount of health insurance required
under the ACA. The new taxes took effect on 1 January 2018; the tax cut for
corporations are permanent, but those for individuals are scheduled to expire
after 2025. The Joint Committee on Taxation (JCT) under the
Congressional Budget Office estimates that the new law will reduce tax revenues
and increase the federal deficit by about $1.45 trillion over the 2018-2027
period. This amount would decline if economic growth were to exceed the JCT’s
estimate.
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Source
: CIA |
STATUTORY
INFORMATION
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Order: |
TECUMSEH PRODUCTS COMPANY |
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Address in the order: |
P O BOX 527 TUPELO MS 38802 The address in the order
corresponds to a plant location. |
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Legal Name: |
TECUMSEH PRODUCTS COMPANY |
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TradeName: |
TECUMSEH |
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ID: |
096612 |
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Date Created: |
1930 |
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Date Incorporated: |
3-26-1930 |
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Legal Address: |
Registered Agent:
The Corporation Company 30600 Telegraph Road Bingham Farms, MI 48025 |
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Operative Address: |
5683 Hines Drive Ann Arbor, MI 48108 United States |
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Telephone: |
734.585.9500 |
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Fax: |
734.352.3700 |
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Legal Form: |
Domestic Profit Corporation |
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Email: |
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Registered in: |
MICHIGAN |
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Website: |
www.tecumseh.com |
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Contact: |
Mr. Douglas John Murdock- Chief Executive Officer
and President |
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Staff: |
780 |
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Activity: |
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Banks |
The company does not make its banking data public |
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History
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The company was founded in 1930 and is headquartered in Ann Arbor,
Michigan. Tecumseh Products Company is a subsidiary of Tecumseh Products
Holdings LLC. |
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Key Develeopments: |
Tecumseh Products Co. to be Acquired by Affiliate of
Mueller Industries and Atlas Holdings Tecumseh will remain a standalone business August 6, 2015 ANN ARBOR, Mich. — Tecumseh
Products Co., a leading manufacturer of refrigeration and air conditioning
compressors, announced that it has entered into a definitive merger agreement
under which an affiliate of Mueller Industries Inc. and Atlas Holdings LLC
will acquire Tecumseh in a transaction valued at approximately $123 million,
including the assumption of net debt. With the proposed
transaction, the new owners, Mueller Industries and Atlas Holdings, will
contribute market and operational expertise, as well as capital. Under the terms of
the merger agreement, an affiliate of Mueller Industries and Atlas Holdings
will commence a tender offer for all the outstanding common stock shares of
Tecumseh for $5.00 per share in cash, a 155 percent premium based on
Tecumseh’s closing price of $1.96 per share on Aug. 4, 2015. Tecumseh’s board
of directors has unanimously approved the merger agreement. |
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PRINCIPAL
ACTIVITY
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Tecumseh Products Company manufactures and sells hermetically sealed compressors.
It offers air conditioning and refrigeration compressors, as well as
condensing units, heat pumps, and refrigeration systems. |
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Products/Services description: |
It offers air
conditioning and refrigeration compressors, as well as condensing units, heat
pumps, and refrigeration systems. The company’s products are used in
commercial refrigeration applications, including walk-in coolers and
freezers, ice makers, dehumidifiers, water coolers, food service equipment
and refrigerated display cases, and vending machines; household refrigerators
and freezers; and residential and specialty air conditioning and heat pumps
comprising window air conditioners, packaged terminal air conditioners, and
recreational vehicle and mobile air conditioners. It also produces variable
speed compressors for a range of mobile cooling applications that utilize
battery and solar power, such as military, medical, telecommunications,
aircraft, truck, bus, rail, and automotive applications; sub-assemblies,
including indoor and outdoor condensing units, and multi-cell units; and
refrigeration systems that use single and variable speed AC and/or DC powered
compressors. |
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Brands: |
The Company's products are sold around the world under
brand names such as Tecumseh, Peerless, and Little Giant. |
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Sales are: |
Wholesale and retail |
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Clients: |
It sells its products primarily through its sales
staff, as well as independent sales representatives and authorized wholesale distributors
to original equipment manufacturers in 97 countries. COLD IMPORT SA Perú ITAIPU BINACIONAL Paraguay |
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Suppliers: |
TECUMSEH EUROPE SALES & LOGISTICS India INDUSTRIA DE MOTORES ELECTRICOS SA DE CV Mexico TPC REFRIGERATION DE MEXICO, S. DE R.L. DE C.V. Mexico |
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Operations area: |
National and international |
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The company imports from |
India Mexico |
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The company exports to |
Colombia Perú Paraguay |
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The subject employs |
780 employees |
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Payments: |
Regular |
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LOCATION
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Headquarters : |
5683 Hines Drive |
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Branches: |
Tupelo Mississippi - MS P.O. BOX 527 38802-0527 (38802) Tel: 6625662231, (662)566-2231 Tupelo, Mississippi Facility A Hub of Tecumseh
Activity Tecumseh’s Tupelo, Mississippi facility was brought
on line in 1975 as a compressor plant. It now produces compressors and
condensing units and also is our North American distribution hub, serving customers
in the United States, Canada, Mexico and abroad. |
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Related Companies: |
South America Technical Support Address Rua Ray Wesley Herrick, 700 Săo Carlos, SP 13565-090 Brazil Tecumseh Europe Sales & Logistics Technical Support 2 Avenue Blaise Pascal,Bat B Vaulx Milieu, 38090 France Tecumseh Malaysia Technical Support No. 18, Jalan Sultan Mohamed 4, Selat Klang Utara, 42200 Port Klang, Selangor Darul Ehsan, Malaysia |
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Main Competitors: |
Emerson Electric Co. Bristol Compressors International, LLC Danfoss Turbocor Compressors Inc. |
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GROUP STRUCTURE AND SUBSIDIARY COMPANIES
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Listed at the stock exchange: |
NO |
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Capital: |
NA |
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Shareholders: |
Tecumseh Products Holdings LLC USA |
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Management: |
Mr. Douglas John Murdock Chief Executive Officer and President Mr. Michael Bauersfeld Chief Financial Officer and Executive Vice President Mr. Roger Jackson Vice President of Global Human Resources Mr. Igor Popov Chief Business Development & Restructuring
Officer Mr. Jose Celso Lunardeli Furchi Vice President of Sales for Latin America |
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FINANCIAL
INFORMATION
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The company does
not make its financial statements public. The following information has been
provided by private sources: |
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USD 2017 |
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Estimated Net Assets |
56 000
000 |
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Cash flow |
Normal |
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LEGAL
FILINGS
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PATENTS |
US20160197566A1 US20160197566A1 Method and apparatus to control a single-phase
induction motor 2016-07-07 EP3033830A2 Method and apparatus to control a single-phase
induction motor 2016-06-22 FR2869098B1 Transcritical vapour compression system and method
of implementation, including ... Show More 2016-03-18 US20150240814A1 US20150240814A1 Compressor for natural gas 2015-08-27 CA2880354A1 Compressor for natural gas 2015-08-21 FR2850158B1 The modular system of heating or cooling 2015-05-15 CA2737121C Compressor 2013-12-31 US8567057B2 US8567057B2 Motor-compressor unit mounting arrangement for
compressors 2013-10-29 CA2747867C Baffle member for scroll compressors 2013-09-10 FR2980826A1 The assembly of the compressor, a delivery 2013-04-05 |
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GOVERNMENT CONTRACTS |
NA |
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CASES |
Haddad v. Tecumseh Products Company et al Filed: February 13, 2018 as 2:2018cv10521 Plaintiff: Majida Haddad Defendant: Tecumseh Products Company , CIGNA Health
and Life Insurance Company Cause Of Action: E.R.I.S.A.-Employee Benefits Court: Sixth Circuit › Michigan › Michigan Eastern
District Court Type: Labor › Employee Retirement Income Security
Act of 1974 John Tromza v. Tecumseh Products Company, a
Corporation and Marquette Corporation, a Corporation.marquette Corporation,
Appellant, 378 F.2d 601 (3d Cir. 1967) Annotate this Case U.S. Court of Appeals for the Third Circuit - 378
F.2d 601 (3d Cir. 1967) Argued November 17, 1966 Decided June 5, 1967 COPYRIGHT MATERIAL OMITTED William A. Weiler,
Pittsburgh, Pa. (Egler, McGregor & Reinstadtler, Pittsburgh, Pa., on the
brief), for appellant. Kim Darragh, Pittsburgh, Pa. (Meyer, Darragh,
Buckler, Bebenek & Eck, Pittsburgh, Pa., on the brief), for appellee,
Tecumseh Products Co. Donald Laird Hankey, New Kensington, Pa., for
plaintiff-appellee. Before McLAUGHLIN, KALODNER and HASTIE, Circuit
Judges. OPINION OF THE COURT KALODNER, Circuit Judge. Bittinger v. Tecumseh Products Co., 83 F. Supp. 2d
851 (E.D. Mich. 1998) U.S. District Court for the Eastern District of
Michigan - 83 F. Supp. 2d 851 (E.D. Mich. 1998) July 16, 1998 83 F. Supp. 2d 851 (1998) Charles S. BITTINGER, Individually and as a
Representative of those Similarly Situated, a Class, Plaintiff, v. TECUMSEH PRODUCTS COMPANY and Tecumseh Division
Group Insurance Plan for Retirees, Defendants. No. 94-CV-72283-DT. United States District Court, E.D. Michigan,
Southern Division. July 16, 1998. *852 *853 Ann C. Thompson, Kelman, Loria, Detroit,
MI, for Charles S. Bittinger, plaintiff. *854 Diane M. Soubly, Butzel Long, Ann Arbor, MI,
Daniel J. Bernard, Robert M. Vercruysse, James E. Roach, Vercruysse, Metz,
Bingham Farms, MI, for Tecumseh Products Company, Tecumseh Division Group
Insurance Plan for Retirees, defendants. Tecumseh Products Company v. Kulthorn Kirby Public
Company Ltd. et al Plaintiff: Tecumseh Products Company Defendant: Kulthorn Kirby Public Company Ltd. and
Elco Refridgeration Solutions, LLC Case Number: 2:2017cv10249 Filed: January 25, 2017 Court: Michigan Eastern District Court Office: Detroit Office County: Washtenaw Presiding Judge: Paul D. Borman Referring Judge: R. Steven Whalen Nature of Suit: Trademark Cause of Action: 15:1051 Jury Demanded By: Plaintiff |
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TRADEMARKS |
TECUMSEH REFRIGERATION COMPRESSORS, REFRIGERATION CONDENSING UNITS,
COMPLETE DOMESTIC REFRIGERATOR SYSTEMS COMPRISING AN OPERATIVE… Owned by: TECUMSEH PRODUCTS COMPANY Serial Number: 71625699 POWER PRODUCTS GASOLINE ENGINES Owned by: TECUMSEH PRODUCTS COMPANY Serial Number: 71639656 LAUSON INTERNAL COMBUSTION ENGINES FOR INDUSTRIAL AND
MARINE USE AND OUTBOARD MOTORS AND PARTS THEREFOR Owned by: TECUMSEH PRODUCTS COMPANY Serial Number: 71642079 TECUMSEH HERMETIC COMPRESSORS, HERMETIC CONDENSING UNITS,
COMPLETE HERMETIC REFRIGERATION SYSTEMS, AND CONVENTIONAL REFRIGERATION… Owned by: TECUMSEH PRODUCTS COMPANY Serial Number: 72031278 EZEE-START INTERNAL COMBUSTION ENGINES AND PARTS THEREFOR Owned by: TECUMSEH PRODUCTS COMPANY Serial Number: 72131729 TECUMSEH INTERNAL COMBUSTION ENGINES AND PARTS THEREFOR Owned by: TECUMSEH PRODUCTS COMPANY Serial Number: 72269942 KLEEN-AIRE AIR FILTERING INTAKE STRUCTURE FOR CARBURETORS OF
INTERNAL COMBUSTION ENGINES OF LAWAN AND GARDEN APPLIANCES Owned by: TECUMSEH PRODUCTS COMPANY Serial Number: 72377958 AUTOMAGIC CARBURETORS Owned by: TECUMSEH PRODUCTS COMPANY Serial Number: 72377960 Image Trademark TRANSAXLES, TRANSMISSIONS, GEAR REDUCTION UNITS,
DIFFERENTIAL AXLES, RIGHT ANGLE DRIVES, AND DRIVE HEADS; AND PARTS FOR… Owned by: TECUMSEH PRODUCTS COMPANY Serial Number: 73003243 TP HERMETIC COMPRESSORS FOR REFRIGERATION UNITS AND
FREEZERS AND PARTS THEREFOR, AND FOR HERMETIC COMPRESSORS FOR AIR
CONDITIONERS… Owned by: TECUMSEH PRODUCTS COMPANY Serial Number: 73173978 Image Trademark Internal Combustion Engines and Parts Therefor Owned by: TECUMSEH PRODUCTS COMPANY Serial Number: 73375188 |
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RENEWAL HISTORY |
CERT. OF CHANGE OF REG. OFF./RES. AGENT 9/29/2016 2016 ANNUAL REPORT 5/12/2016 MERGER DOCUMENT 9/21/2015 2015 ANNUAL REPORT 5/12/2015 2014 ANNUAL REPORT 5/13/2014 RESTATED ARTICLES OF INCORPORATION - PROFIT 4/30/2014 2013 ANNUAL REPORT 5/14/2013 2012 ANNUAL REPORT 5/14/2012 2011 ANNUAL REPORT 3/18/2011 |
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SUMMARY
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The company was founded in 1930 and is headquartered
in Ann Arbor, Michigan. It is a subsidiary of Tecumseh Products Holdings
LLC. Tecumseh Products Company manufactures and sells
hermetically sealed compressors. It has 780 employees and generates an annual
estimated net asset of $56m. The company imports from India and Mexico and
exports to Colombia, Perú and Paraguay. The company appears as ACTIVE in the records of
Michigan. |
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RISK
INFORMATION
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DEBTS |
Controlled |
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PAYMENTS |
Regular |
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CASH FLOW |
Normal |
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STATUS |
Active |
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INTERVIEW |
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NAME |
Stephen |
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POSITION |
Assistant |
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COMMENTS |
He confirmed experience, estimated staff number, old
group and old public listing. He confirmed management and history facts. |
FOREIGN EXCHANGE RATES
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Currency |
Unit
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Indian Rupees |
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US Dollar |
1 |
INR 68.15 |
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1 |
INR 90.27 |
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Euro |
1 |
INR 79.35 |
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USD |
1 |
INR 68.14 |
Note :
Above are approximate rates obtained from sources believed to be correct
INFORMATION DETAILS
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Analysis Done by
: |
VIV |
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Report Prepared
by : |
SYL |
RATING EXPLANATIONS
|
Credit Rating |
Explanation |
Rating Comments |
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A++ |
Minimum Risk |
Business dealings permissible with minimum
risk of default |
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A+ |
Low Risk |
Business dealings permissible with low
risk of default |
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A |
Acceptable Risk |
Business dealings permissible with
moderate risk of default |
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B |
Medium Risk |
Business dealings permissible on a regular
monitoring basis |
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C |
Medium High Risk |
Business dealings permissible preferably
on secured basis |
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D |
High Risk |
Business dealing not recommended or on
secured terms only |
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NB |
New Business |
No recommendation can be done due to
business in infancy stage |
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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)
This report is issued at
your request without any risk and responsibility on the part of MIRA INFORM
PRIVATE LIMITED (MIPL) or its officials.