MIRA INFORM REPORT

Report No. :	509607
Report Date :	19.05.2018

IDENTIFICATION DETAILS

Name :	SANDVIK, INC.
Registered Office :	251 Little Falls Drive, Wilmington, New Castle, De, 19808
Country :	United States
Date of Incorporation :	1919
Legal Form :	Corporation
Line of Business :	Subject manufactures metal-cutting tools, mining and construction equipment, and products of high alloy materials.
No. of Employees :	4,800

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 :	Excellent
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)
United States	A1	A1

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

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.

Source : CIA

STATUTORY INFORMATION
Order:	Sandvik Hyperion (The name given in the order is the company`s trade name).
Address in the order:	6325 Huntley Road Worthington OH 43085-9817
Legal Name:	SANDVIK, INC.
Trade Names:	Sandvik Hyperion
ID:	594220
Date Created:	1919
Date Incorporated:	2/15/1963
Legal Address:	251 LITTLE FALLS DRIVE, WILMINGTON, NEW CASTLE, DE, 19808, USA
Operative Address:	1702 Nevins Road Fair Lawn, NJ 07410 United States
Telephone:	201-794-5000
Fax:	201-794-5165
Legal Form:	CORPORATION
Email:	-
Registered in:	DELAWARE
Website:	www.home.sandvik/en/contact/country-listing/americas/united-states
Contact:	Johan (John) Israelsson - President
Staff:	4,800
Activity:	SIC Code: 3316, Cold-Rolled Steel Sheet, Strip, and Bars NAICS Code 331221, Rolled Steel Shape Manufacturing
Banks
BANK OF AMERICA
History
The company was founded in 1919.
Key Developments:	KKR to buy tool components maker Hyperion from Sweden's Sandvik DECEMBER 8, 2017 NEW YORK, Dec 8 (Reuters) - KKR & Co LP has agreed to buy industrial tool components manufacturer Hyperion from Sandvik, a deal the U.S. buyout firm said marked its first acquisition in the mid-market industrials sector.
Parent Company:	Sandvik Inc. operates as a subsidiary of: Sandvik AB. Kungsbron 1 Floor 6 Section G Stockholm, 111 22 Sweden
PRINCIPAL ACTIVITY
Sandvik Inc. manufactures metal-cutting tools, mining and construction equipment, and products of high alloy materials.
Products/Services description:	The company offers metal-cutting tools, mining and construction equipment, and products of high alloy materials. Its products are used in mechanical engineering, automotive, oil and gas, and aerospace applications.
Brands:	Sandvik Hyperion
Sales are:	Wholesale
Clients:	Nov Pressure Group Cie SA
Suppliers:	Sandvik Asia Pvt., Ltd. Dormer Tools S.A. Sandvik Materials Technology Ab Fagersta Stainless AB Crown Colombiana S.A. Sandvik De Mexico SA De Cv
Operations area:	National and International
The company imports from	INDIA BRAZIL SWEDEN COLOMBIA MEXICO
The company exports to	PARAGUAY
The subject employs	4,800 employees
Payments:	Regular
LOCATION
Headquarters :	1702 Nevins Road Fair Lawn, NJ 07410 United States
Comments on Address:	The address given in the order is a branch location.
Branches:	Sandvik, Inc 6325 Huntley Road Columbus, OH 43229, USA Sandvik, Inc 2424 Sandifer Boulevard Westminster, SC 29693, USA
Related Companies:	Sandvik Canada, Inc 2550 Meadowvale Blvd Unit 3 Mississauga, ON, L5N 8C2 Canada Sandvik Mining And Construction Do Brasil S/A Av. das Nações Unidas 21732 Glp Smc SAO JOAO DAS DUAS PONTES, SAO PAULO, 04795--914 Brazil SANDVIK MATERIALS LIMITED Unit 2 Canal Arm Festival Park STOKE-ON-TRENT, ST1 5UR United Kingdom
GROUP STRUCTURE AND SUBSIDIARY COMPANIES
Listed at the stock exchange:	NO
Capital:	NA
Shareholders:	The company does not disclose information on shareholders. The following information has been provided by private sources: Sandvik Inc. operates as a subsidiary of: Sandvik AB. Kungsbron 1 Floor 6 Section G Stockholm, 111 22 Sweden
Management:	Johan (John) Israelsson - President
FINANCIAL INFORMATION
The company does not make its financial statements public. The following information has been provided by private sources:
USD 2016
Assets	540.000.000
Cash flow	Normal
LEGAL FILINGS
PATENTS	Rake Patent number: 4215528 Abstract: An improved lawn rake incorporates a plastic molded head with individually replaceable tines. Type: Grant Filed: July 9, 1979 Date of Patent: August 5, 1980 Assignee: Sandvik, Inc. Inventor: William G. Fodor Blade-type holder for clamping a cutting insert and an adapter for supporting the holder Patent number: 5829923 Abstract: A blade-type cutting insert holder is connected to an adapter. The blade includes a pair of clamp arms forming a space therebetween in which a cutting insert is clamped. The adapter includes a slot in which the blade is mounted. A clamp screw is threadedly mounted in the adapter and is arranged to engage one of the clamp arms and press it toward the other clamp arm to create an insert-retaining clamp force. Type: Grant Filed: October 30, 1996 Date of Patent: November 3, 1998 Assignee: Sandvik, Inc. Inventor: Brian Nowicki Combination cross and rip cut handsaw Patent number: 4265285 Abstract: A handsaw is provided having uniform repetitive groups of teeth with the tips thereof disposed in a straight line and with the depth and pitch diminishing in the forward direction. Each group of teeth in the illustrated embodiment is composed of four teeth of different pitch of 6, 8, 10 and 12 points. Although each tooth per group is of different length, the set of each tooth is equal with only a portion of each tooth being bent. Other critical angular relations are maintained. Type: Grant Filed: March 18, 1980 Date of Patent: May 5, 1981 Assignee: Sandvik, Inc. Inventor: William G. Fodor
GOVERNMENT CONTRACTS	Government Contractor: SANDVIK, INC. Name & Address: 17-02 NEVINS RD FAIR LAWN, NJ 07410-2886, USA Number of Defense Contracts Awarded : 2 Dollar Amount of Defense Contracts Awarded: $11,456
CASES	Sandvik, Inc. d/b/a Sandvik Materials Technology v. Hamilton Metals, Inc. Plaintiff: Sandvik, Inc. d/b/a Sandvik Materials Technology Defendant: Hamilton Metals, Inc. Case Number: 4:2016cv02078 Filed: July 13, 2016 Court: Texas Southern District Court Office: Houston Office County: Anderson Presiding Judge: Alfred H Bennett Nature of Suit: Other Contract Cause of Action: 28:1330 Jury Demanded By: Plaintiff Indusource, Incorporated v. Sandvik Inc. et al Plaintiff: Indusource, Incorporated Defendant: Sandvik Inc., Sandvik AB and Sandvik Tooling France, SAS Case Number: 2:2016cv10056 Filed: January 7, 2016 Court: Michigan Eastern District Court Office: Detroit Office County: Wayne Presiding Judge: George Caram Steeh Referring Judge: R. Steven Whalen Nature of Suit: Recovery of Overpayment and Enforcement of Judgment Cause of Action: 28:1332 Jury Demanded By: Plaintiff Dottle v. Sandvik, Inc. Plaintiff: Leonard Dottle Defendant: Sandvik, Inc. Case Number: 3:2015cv00583 Filed: March 24, 2015 Court: Pennsylvania Middle District Court Office: Scranton Office County: Lackawanna Presiding Judge: A. Richard Caputo Nature of Suit: Employment Cause of Action: 28:1331 Jury Demanded By: Plaintiff
TRADEMARKS	DISSTON Rakes, Pruning Shears, Hedge Shears, Lopping Shears and Lawn and Garden Tools of Comparable Types Owned by: SANDVIK, INC. Serial Number: 72105098 TRUBORE TOOLS FOR INTERNAL CUTTING OF WORK PIECES-NAMELY, REAMERS, AND ROUGHING CUTTERS Owned by: SANDVIK, INC. Serial Number: 72216961 DUODEX Machine Tooling-Namely, Metal Cutters and Reamers Owned by: SANDVIK, INC. Serial Number: 73331994 GREAT SHAPES Hand Tools-Namely, Shapers and Blades Therefor Owned by: SANDVIK, INC. Serial Number: 73340608
RENEWAL HISTORY	No records found.
UCC	No records found.
OFAC Sanctions List Search	The company is not listed in the OFAC list.
SUMMARY
Founded in 1919, Sandvik, Inc. is an organization in the Rolled Steel Shape Manufacturing Industry headquartered in Fair Lawn, NJ. The company has 4,800 regular employees and generates an estimated $540 million USD in annual estimated assets. It operates nationally and internationally, mainly exporting to Paraguay. It is ACTIVE in business with no negative records.
RISK INFORMATION
DEBTS	Controlled
PAYMENTS	Regular
CASH FLOW	Normal
STATUS	Active
INTERVIEW
NAME	Mike
POSITION	Sales
COMMENTS	He confirmed the name of the parent company, the address of the headquarters and location, the date of creation of the company, the number of employees and the name of the President.

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	INR 67.96
UK Pound	1	INR 91.88
Euro	1	INR 80.28
USD	1	INR 67.99

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

INFORMATION DETAILS

Analysis Done by :	NIY
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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This report is issued at your request without any risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or its officials.