MIRA INFORM REPORT

Report No. :	500780
Report Date :	31.03.2018

IDENTIFICATION DETAILS

Name :	COTO CENTRO INTEGRAL DE COMERCIALIZACION SA
Registered Office :	Paysandu 18421416-Ciudad Autonoma Buenos Aires
Country :	Argentina
Financials (as on) :	31.06.2015
Date of Incorporation :	1970
Legal Form :	Anonymous Society
Line of Business :	Subject is a large organization in the grocery stores industry located in Ciudad De Buenos Aires, Argentina.
No. of Employees :	16,000

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+	Low Risk	Business dealings permissible with low risk of default

Status :	Good
Payment Behaviour :	Regular
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

Country Name	Previous Rating (30.09.2017)	Current Rating (31.12.2017)
Argentina	B2	B2

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

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. In 2016, the World Bank downgraded Argentina from a high-income to upper-middle-income economy, on par with Columbia.

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 below 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, 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 slowed in late 2011 even as the government continued to rely on expansionary fiscal and monetary policies, which kept inflation in the double digits.

In order to deal with these problems, the government expanded state intervention in the economy: it nationalized the oil company YPF from Spain's Repsol, expanded measures to restrict imports, and further tightened currency controls in an effort to bolster foreign reserves and stem capital flight. Between 2011 and 2013, Central Bank foreign reserves dropped $21.3 billion from a high of $52.7 billion. In July 2014, Argentina and China agreed on an $11 billion currency swap; the Argentine Central Bank has received the equivalent of $3.2 billion in Chinese yuan, which it counts as international reserves.

With the election of President Mauricio MACRI in November 2015, Argentina began a historic political and economic transformation, as his administration took steps to liberalize the Argentine economy, lifting capital controls, floating the peso, removing export controls on some commodities, cutting some energy subsidies, and reforming the country’s official statistics. Argentina negotiated debt payments with holdout bond creditors and returned to international capital markets in April 2016. In September 2016, Argentina completed its first IMF Article IV Consultation since 2006.

After years of international isolation, Argentina took on several international leadership roles in 2017, including hosting the World Economic Forum on Latin America and the World Trade Organization Ministerial Conference, and is set to assume the presidency of the G-20 in 2018.

Source : CIA

STATUTORY INFORMATION

Legal Name:

COTO CENTRO INTEGRAL DE COMERCIALIZACION SA

Trade Name:

COTO

CUIT:

30-54808315-6

Date Created:

1970

Date Incorporated:

24/12/1979

Legal Address:

PAYSANDU 1842

1416-CIUDAD AUTONOMA BUENOS AIRES

ARGENTINA

Operative Address:

PAYSANDU 1842

1416-CIUDAD AUTONOMA BUENOS AIRES

ARGENTINA

Telephone:

54 11 4586 7777

Fax:

54 11 4586 7825

Legal Form:

ANONYMOUS SOCIETY

Email:

info@coto.com.ar

gcalcagno@coto.com

Registered in:

ARGENTINA

Website:

www.coto.com.ar

Contact:

Alfredo Coto, President and Founder

Staff:

16,000

Activity:

Main Activity:

471120 (F-883) Retail Sale In Supermarkets

Secondary Activities:

471110 (F-883) Retail Sale In Hypermarkets

649220 (F-883) Services Of Purchase And / Or Credit Card Entities

591300 (F-883) Exhibition Of Films And Video Links

101020 (F-883) Production And Processing Of Bird Meat

14810 (F-883) Breeding Of Poultry, Except For The Production Of Eggs

791200 (F-883) Wholesale Travel Agency Services

791100 (F-883) Retail Agency Retail Services

NAICS 1: Supermarkets and Other Grocery (except Convenience) Stores

NAICS 2: Meat Markets

NAICS 3: Animal (except Poultry) Slaughtering

SIC 1: Supermarkets, Chain

SIC 2: Meat And Fish Markets

SIC 3: Beef Products, From Beef Slaughtered On Site

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.

698370

BANCO DE LA NACION ARGENTINA

415829

HSBC BANK ARGENTINA S.A.

376462

BANCO ITAU ARGENTINA S.A.

286552

BANCO SUPERVIELLE S.A.

188545

INDUSTRIAL AND COMMERCIAL BANK OF CHINA

123725

BANCO DE LA PROVINCIA DE BUENOS AIRES

119438

BANCO INDUSTRIAL

110591

BANCO DE LA CIUDAD DE BUENOS AIRES

108242

BBVA BANCO FRANCES S.A.

61120

BANCO SANTANDER RIO S.A.

53111

BANCO COMAFI SOCIEDAD ANONIMA

48189

NUEVO BANCO DE SANTA FE SOCIEDAD ANONIMA

13340

BANCO MERIDIAN S.A.

6824

BANCO MARIVA S.A.

2411

According to the classification of banking relations of Argentina, the company operates with level: 1.

This is the highest classification in the system. It means that the company/person is fulfilling correctly its current Credit obligations.

Rejected Checks:

(All numbers in ARS$)

There are no rejected checks for the subject.

Positive Checks:

(All numbers in ARS$)

PERIOD	CHECK	AMOUNT
jun-18	16	1,670,596.00
may-18	52	16,289,025.89
abr-18	104	40,954,491.61
mar-18	189	106,859,109.46
feb-18	231	107,992,360.03
ene-18	288	100,495,765.72
dic-17	309	149,298,174.73
nov-17	217	89,221,960.70
oct-17	256	124,346,884.14
sep-17	283	135,032,326.42
ago-17	263	135,326,221.04
jul-17	227	121,679,804.15
jun-17	234	109,864,251.63
may-17	300	136,059,999.20
abr-17	320	118,220,708.52
mar-17	309	115,684,809.39
feb-17	295	156,391,885.41
ene-17	289	124,815,960.58
dic-16	339	125,840,488.98
nov-16	286	92,256,396.28
oct-16	94	19,133,813.81

Checks Pending of Deposit:

(All numbers in ARS$)

The following information comprises months from June 2018 to September 2017:

No. of cheks: 380

Total amount: 171,649,337

HISTORY

The company was founded in 1970 by Alfredo Coto and his wife, Gloria.

Key Developments

Coto Centro Integral de Comercializacion S.A. was formerly known as Carnecerios Integrales S.R.L.

PRINCIPAL ACTIVITY

Coto Centro Integral De Comercializacion S.A. is a large organization in the grocery stores industry located in Ciudad De Buenos Aires, Argentina.

Products/Services description:

Coto Centro Integral de Comercializacion S.A. (COTO) operates a chain of supermarkets in Argentina. It operates commercial centers, hypermarkets, mini-markets, and slaughter-houses. 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:

COTO

CIUDAD DEL LAGO

CRISTAL DEL LAGO

ESCUDO DE ORO

Sales are:

Wholesale and Retail

Clients:

ANTHEM LEATHER INC.

USA

Suppliers:

AGZULASA CIA. LTDA.

Ecuador

Jorcorp S.A. (Ecuador)

Ecuador

Exporsweet Sa

Ecuador

Reybanpac Rey Banano Del Pacifico Ca

Ecuador

DG GLOBAL INC.

Canada

Loceria Colombiana S.A.

Colombia

Operations area:

National and International

The company imports from

Ecuador, Canada and Colombia

The company exports to

USA

The subject employs

16,000 employees

Payments:

Regular-made on a 45-60 day payment term

LOCATION

Headquarters :

PAYSANDU 1842

1416-CIUDAD AUTONOMA BUENOS AIRES

ARGENTINA

Branches:

COTO's different formats include:

14 Hypermarkets

15 Small Hypermarkets

26 Large Supermarkets

41 Supermarkets

10 Small Supermarkets

9 Minimarkets

18,000 employees

3 Meat processing plants for cattle slaughtering

1 Processing plant for chickens

1 Production and Distribution Centre with a surface of 110,000 covered square meters.

Related Companies:

Inversora Coto S.A.

Paysandú 1842/1846

Argentina

GROUP STRUCTURE AND SUBSIDIARY COMPANIES

Listed at the stock exchange:

NO

Capital:

ARS$ 495,000,000

Shareholders:

This is a private company. Major holders are Alfredo Coto, German Alfredo Coto, Alejandra Elizabeth Coto, Sofía Paula Coto, Matías Coto, Gloria Alicia García, Director

Management:

Alfredo Coto, Main Director, President and Founder

German Alfredo Coto, Vice President and Director

Alejandra Elizabeth Coto, Director

Sofía Paula Coto, Director

Matías Coto, Director

Gloria Alicia García, Director

FINANCIAL INFORMATION

We attach the company´s latest financial statements.

Exports
Annual FOB USD

2017

10,197,693

2016

31,610,502

2015

36,011,938

2014

37,661,774

2013

35,690,664

2012

42,564,188

LEGAL FILINGS

Trademarks

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

COTO NIÑOS

COTO PATIO DE COMIDAS

COTO PREMIA

COTO S.A.

COTO S.A. CIC

COTO UNA EMPRESA ARGENTINA

CRISTAL DEL LAGO

CROMOZONA

CUMPLES Z ZONA CUMPLEANOS

DAMA PLUS

DAMAPLUS TOP DESIGN

DE NUESTRO CAMPO A SU MESA

EL COLOSO

EL LOCO

EL LOCO ST TROPEZ

FONO, COTO

OFERTAS TODO PARA EL HOGAR

PAPACOT

SANTA LAURA

SC SOUTHERN CROSS

SC STONE CROSS

SPX

TOP HOUSE

TOPHOUSE

TOPHOUSE LO HACE MEJOR

TOPWASH

XY CROMOZONA

ZONA CINES

ZONA ZERO

Lawsuits

NATIONAL COURT IN THE COMMERCIAL NAR. 1

SECRETARIAT NRO. 1

The National Court of First Instance in the Commercial No. 1, in charge of Dr. Alberto Daniel Alemán, Secretary No. 1, in charge of Dr. Mariano Conde, based in Av. Roque S. Peña 1211, 5th floor of the Capital Federal, let it be known that before this Court they process the proceedings "UNION OF USERS AND CONSUMERS c / COTO CICSA s / sumarísimo" Expte. No. 49.851 / 2010, and that the plaintiff is an association of consumers that promotes a collective action against the company mentioned. The purpose of the claim is that the company: 1) As a precautionary measure, COTO cease to charge users the additional charge for the concept excess of the purchase limit with credit cards granted by COTO (CTI) and / or as the position is called in the future; 2) Provided that the defendant COTO returns to its users and former users all the sums of money -with more interest, from the moment of payment and until the effective total refund of the money amount in question- that charged them for the concept of additional charge for excess in the credit card limit, whether or not they have accepted it in a previous and express way at the time of the debit or charge made to them for that concept; 3) The defendant is charged with a civil penalty under the terms of Article 52 bis of the Consumer Defense Law, No. 24,240, as amended by Law 26,361, in order to violate the legal order, to be established in the contract an abusive clause and charge him a concept that would be forbidden. For the hypothetical case that the total dismissal of the charge and the requested restitution is not considered appropriate, in a subsidiary form we request that the cessation of the collection of the excess purchase limit be ordered when - added to the application of the compensatory interest rate and / or punitive (as the case may be) or even independently if neither of the two fees is charged, the limits established in articles 16 and 18 of Law 25.065 are exceeded and all amounts exceeding such amounts are ordered to be restored. limits. All this with more the application of the civil penalty of reference. The present edict has been arranged in accordance with the provisions of art. 54 of Law 24.240 and with the scope provided in said norm, so that the consumer or individual user can express their willingness to depart from the process. The aforementioned provision establishes: "The ruling that gives rise to the claim will be res judicata for the defendant and for all consumers or users who are in similar conditions, except for those who express their will to the contrary prior to sentencing under the terms and conditions that the magistrate disposes ". Publish for five (5) days in the Official Gazette. Buenos Aires, May 19, 2017. Mariano Conde. Secretary. Alberto Alemán Judge - Mariano Conde Secretary

Date of draw: 06/25/2014

CABA Executive Commercial Court .: 010 Secretary .: 100 File: 017957

Defendant / s: TELIS DA SILVA ALBERTO JESUS DOC 92995041

Actor / s: COTO CIC SA CUIT 30548083156

Date of draw: 06/25/2014

CABA Executive Commercial Court: 010 Secretary: 019 File: 017959

Defendant / s: LAURIOLA GABRIELA ELIZABET DOC 32006485

Actor / s: COTO CIC SA CUIT 30548083156

Date of draw: 06/27/2014

CABA Ordinary Commercial Court: 003 Secretary: 006 File: 019358

Defendant / s:

COTO CICSA CUIT

30548083156

Actor / s: ATP AGUAS SRL CUIT 30709098434

Date of the draw: 05/28/2014

CABA Ordinary Commercial Court: 022 Secretary: 043 File: 014068

Defendant / s:

COTO CICSA CUIT

30548083156, LINCE SEGURIDAD LTDA LABOR COOPERATIVE

Actor / s: GHILLINI JORGE JUAN CUIL 20041872064

Date of draw: 05/22/2014

CABA Ordinary Commercial Court: 021 Secretary: 041 File: 013139

Defendant / s:

COTO CICSA CUIT

30548083156

Actor / s: GIAMPAOLETTI SA CUIT 30690212265

Date Raffle: 04/25/2014

CABA Ordinary Commercial Court: 004 Secretary: 008 File: 009935

Defendant / s:

COTO CICSA CUIT

30548083156

Actor / s: ANTIPLAGA NORTE SRL CUIT 30710233817

Date of draw: 04/11/2014

CABA Ordinary Commercial Court: 006 Secretary: 011 File: 008084

Defendant / s:

COTO CICSA CUIT

30548083156

Actor / s: ACLIMATAR SRL CUIT 30694751462

Registration in AFIP:

(Administración Federal de Ingresos Públicos)

Social contract: 12/24/1979 [38 years]

AFIP registration: 01/01/2000 [18 years old]

Earnings: Active

IVA: Active

Description	Admission Date
Internal Other Goods and Services	-
Social Security Registry Employer	01/01/1971
Earnings Societies	01/09/1976
Iva	01/04/1989
Minimum presumed income	01/01/1999
Tax S Recorded Videogram	01/08/1999
Sicore Value Added Tax 493	01/01/2000
Withholding Contrib Social Security 742	01/04/2000
Withholding Contrib Social Security 740	01/04/2000
Sicore Income Tax 78	01/05/2001
Withholding Contrib Social Security 748	01/10/2003
Sicore Prizes Games and C Deposits 434	01/10/2004
Citi Information Registry Shopping	01/01/2005
Withholdings Contrib Seg Social 754	01/07/2005
Cinematographic Spec Tickets	01/02/2006
Registration Information Corporate Participations	01/01/2007
Bp Shares or Shares	01/09/2008
Registration Information Presentation of Financial Statements in Pdf Format	01/01/2010
Withholding Contributions Social Security 755	01/07/2010
Registration Information Regimen of Retail Commercial Operations Information	01/01/2014
Information Regimen Information Regimen of Purchases and Sales	01/01/2015
Tax on Profit Profits of the Ext 904	01/03/2015
Tax on Profit Profits of Ext 171	01/07/2017

OFAC

Sanctions List Search

The company is not listed in the OFAC list.

Filling History:

COTO CENTRO INTEGRAL DE COMERCIALIZACION S.A.

It is hereby informed that by Extraordinary Assembly and Ordinary and Extraordinary Assembly on November 15, 2017: A) it was resolved to create 4 additional share classes (B, C, D and E), reallocate the share capital to different share classes and, consequently, modify the art. 4 of the statute, which was drafted as follows: ARTICLE FOUR: The share capital is set at the sum of $ 495,000,000 (pesos four hundred and ninety five million) divided into 4,950,000 common shares, nominative, non-endorsable, of nominal value one hundred pesos ($ 100) each one of them and that grant right to a vote by action. The share capital is divided into five classes of ordinary shares according to the following detail: (i) 1,000 Class A shares; (ii) 1,000 Class B shares; (iii) 1,000 Class C shares; (iv) 1,000 Class D shares; and (v) 4,946,000 class E shares, which import certain rights and obligations for its holders as established in the bylaws. If a Class E shareholder acquires new shares through inter vivos or mortis causa, then such shares will be converted automatically and without the need for any additional intervention by the Company, in Class E shares. In case a Class A, B, C shareholder, or D acquiring inter vivos or mortis causa for any security, new shares will be converted automatically and without the need for any additional intervention by the Company, in Class A, B, C or D shares, as the case may be; B) certain capacities of the company were included for the better fulfillment of its purpose, extending it to the construction activities and computer services, reforming accordingly the art. 3; C) art. 8th, in order to regulate the appointment of directors by the different classes of shareholders; D) modifications were made regarding the Shareholders' Meeting, reforming art. 14th; E) limits were established for the transfer of the shares (preferential purchase right, joint selling rights and transfer to competing third parties), incorporating art. 6th BIS; F) art. 8th BIS, in order to establish matters that will require special majorities for approval by the Board; G) was incorporated the art. 14 BIS, in order to establish matters that will require special majorities for approval by the Shareholders Assembly; H) the following board was appointed for three fiscal years: (i) Alfredo Coto, as Regular Director of Class E and Chairman; (ii) Germán Alfredo Coto, as Principal Director of Class A; (iii) Alejandra Elizabeth Coto, as Principal Director of Class B; (iv) Sofía Paula Coto, as Principal Director of Class C; (v) Matías Coto, as Regular Director of Class D; and (vi) Gloria Alicia García, as Alternate Director of Class A, B, C, D and E. All Directors established special domicile Paysandú 1842, CABA. Authorized by private instrument Minutes of the Meeting dated 11/15/2017 Veronica Paula Pianta - T °: 125 F °: 345 C.P.A.C.F.

12/22/2017 N ° 99860/17 v. 12/22/2017

SUMMARY

Founded in 1970, Coto Centro Integral De Comercializacion S.A. is a large organization in the grocery stores industry located in Ciudad De Buenos Aires, Argentina.

It has 16,000 full-time employees.

It mainly imports from Ecuador, Canada and Colombia and exports to USA, operating within national and international companies.

This has been an ACTIVE company incorporated in ARGENTINA in 1979.

RISK INFORMATION

DEBTS

Controlled

PAYMENTS

Regular

CASH FLOW

Normal

STATUS

Active

INTERVIEW

NAME

Agustina

POSITION

Operator

COMMENTS

The person contacted confirmed legal name, trade name, telephone and website.

She asked the reason of the call and refused to provide further information explaining that she was not allowed to do so.

She transferred the call but the person allowed to provide the company´s information was not available to answer.

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	INR 65.04
UK Pound	1	INR 92.28
Euro	1	INR 80.62
ARS	1	INR 3.23

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

INFORMATION DETAILS

Analysis Done by :	NIY
Report Prepared by :	KET

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)

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.