Cimber Sterling AS: modeFinance Credit Report

Page 1

Monday, 07 May 2012

Cimber Sterling A/S

MORE Credit Rating

C

D

CC CCC

B

BB BBB

A

AA AAA

key

Company name

Cimber Sterling A/S

Identification number If you want to know more, ASKMORE modeFinance’s credit report.

TM

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Denmark

ZIP code and city

6400 - SONDERBORG

Address

Lufthavnsvej 2 +45 70101218 www.cimber.dk ir@cimber.dk

Legal form

Limited company

Account

Consolidated

Incorporation date

1971

NACE 2 Sector

5110 - Passenger air transport

TM

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Country

Listed Status

Active

MORE Credit limit

Not eligible for credit on the base of the available informations

plans 3 types of reports:

Turnover (th e) Rating s-peek

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ASKMORE Basic: This report includes modeFinance ’ s MORE Credit Ratings and MORE Credit Limit to help you in the decision making. It covers all essential information including financial statements of the last three years and descriptive information including trade description and sector analysis. This report type is ideally suited for decisions on transactions with each level of credit risk.

30/04/2010

30/04/2009

245,459

194,932

161,853

CC

CC

CCC

39.00%

39.00%

17.00%

78%

78%

78%

-4.06

-3.87

10.37

0.75

0.74

1.10

Current Ratio

0.41

0.37

0.61

Quick Ratio

0.40

0.36

0.58

Probability of default

Plus

Basic

30/04/2011

Confidence Level

TM

Solvency ratios Leverage ratio Total asset/Total liabilities Liquidity ratios

Profitability and economic equilibrium ratios Return on investement ROI (%) Return on equity ROE (%)

-

-

-

-119.76

-118.47

-114.12

2.97

2.30

1.99

Asset turnover Interest paid weight Gross Profit/Operating revenue

-

-

-

0.22

0.22

0.38

-

-

-

Interest Coverage ratios EBIT interest coverage ratio

Analysis and trend of financial strength

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MORE Credit Rating

D not available

non return

C

CC

extremly pathological pathological

CCC

B

BB

BBB

A

AA

AAA

high danger

weak

sufficient

adequate

good

very strong

extremely strong


Cimber Sterling A/S

Monday, 07 May 2012 MORE Credit Rating

D

C

CC CCC

B

BB BBB

A

AA AAA

key

Sector Analysis Company

Healthy

Balanced

Vulnerable

Risky

Solvency ratios Leverage ratio

-4.06

0.54

2.59

4.35

-2.31

Total asset/Total liabilities

0.75

2.85

1.39

1.15

0.89

Current Ratio

0.41

2.35

1.14

0.99

0.65

Quick Ratio

0.40

1.96

1.05

0.85

0.56

-

18.34

6.97

0.26

-15.69

-119.76

21.21

10.10

-4.02

-100.70

2.97

1.99

1.24

1.48

1.84

-

0.00

0.17

0.02

-0.06

0.22

0.20

0.20

0.09

0.02

-

391.30

5.07

0.05

-11.25

Days Sales Of Inventory (DIO)

2

12

9

10

8

Days Sales Outstanding (DSO)

21

31

32

28

34

Days Payable Outstanding (DPO)

34

15

29

27

45

Cash Conversion Cycle (DIO + DSO - DPO)

-11

19

15

6

-5

-

83

249

171

108

CC

A

BB

B

C

Liquidity ratios

Profitability and economic equilibrium ratios Return on investement ROI (%) Return on equity ROE (%) Asset turnover Interest paid weight Gross Profit/Operating revenue Interest Coverage ratios EBIT interest coverage ratio Cash Conversion Cycle (days)

Numer of analyzed companies (Average) Rating

The sector has been chosen according to: international companies in the sector NACE 2 5110 with financial data of year 2010.

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Area Science Park, Padriciano 99. 34149 Trieste, Italy Tel. +39 040 3755337 Fax +39 040 3756741


Cimber Sterling A/S

Monday, 07 May 2012 MORE Credit Rating

D

C

CC CCC

B

BB BBB

A

key

Sector Analysis - Graphs

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Area Science Park, Padriciano 99. 34149 Trieste, Italy Tel. +39 040 3755337 Fax +39 040 3756741

AA AAA


Cimber Sterling A/S

Monday, 07 May 2012 MORE Credit Rating

D

C

CC CCC

B

BB BBB

A

AA AAA

key

Balance Sheet BALANCE SHEET (th e)

30/04/2011

30/04/2010

30/04/2009

Accounting practice

Local GAAP

Local GAAP

Local GAAP

0.13378

0.13378

0.13378

Total assets

82,541

84,874

81,359

Fixed assets

43,620

49,452

50,079

1,013

1,144

0

Tangible fixed assets

27,040

35,431

38,511

Other fixed assets

15,566

12,877

11,568

38,921

35,422

31,280

1,201

1,070

1,344

Debtors

14,002

14,894

14,075

Other current assets

23,718

19,458

15,861

1,969

7,367

22

-26,971

-29,575

7,153

5,378

5,378

5,312

Other shareholders funds

-32,349

-34,953

1,841

Total liabilities

109,512

114,449

74,206

Non current liabilities

15,032

19,583

22,915

Long term debt

-

-

-

Other non-current liabilities

-

-

-

94,480

94,866

51,290

Exchange rate DKK - EUR

Intangible fixed assets

Current assets Stocks

Cash & cash equivalent Shareholders funds Capital

Current liabilities Loans Creditors

-

-

11,692

12,043

-

-

-

82,541

84,874

81,359

30/04/2011

30/04/2010

30/04/2009

Other current liabilities Total shareh. funds & liab. NET DEBT (th e)

23,063

Short term debts

-

-

Long term debt

-

-

-

1,969

7,367

22

-

-

-

Cash & cash equivalent Net debt

30/04/2011 Working capital

30/04/2010

-

30/04/2009

-7,859

4,273

3,376

-55,559

-59,444

-20,011

30/04/2011

30/04/2010

30/04/2009

Net Current Assets

Days Sales Of Inventory (DIO)

2

2

3

Days Sales Outstanding (DSO)

21

28

32

34

22

27

-11

8

8

Days Payable Outstanding (DPO) Cash Conversion Cycle (DIO + DSO - DPO)

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Area Science Park, Padriciano 99. 34149 Trieste, Italy Tel. +39 040 3755337 Fax +39 040 3756741


Cimber Sterling A/S

Monday, 07 May 2012 MORE Credit Rating

D

C

CC CCC

B

BB BBB

A

AA AAA

key

Income Statement INCOME STATEMENT (th e)

30/04/2011

30/04/2010

30/04/2009

Accounting practice

Local GAAP

Local GAAP

Local GAAP

0.13378

0.13378

0.13378

Sales

-

-

-

Revenues growth (%)

-

-

-

-

-

-

Operating revenue / turnover

245,459

194,932

161,853

Total operating costs

279,300

234,130

169,445

Costs growth (%)

19

38

-

Service costs

-

-

-

Material costs

-

-

-

50,838

48,880

42,201

-25,251

-30,702

-1,685

8,590

8,495

5,907

-33,840

-39,197

-7,592

-3,320

-1,284

-3,369

113

2,982

958

3,433

4,265

4,327

Exchange rate DKK - EUR

Other revenues +/- variation in inventories and contract in progress + Fixed assets own construction capitalized

Costs of employees EBITDA Depreciation EBIT Financial P/L Financial revenue Financial expenses Interest paid P/L before tax Extr. and other P/L

-

-

-

-43,000

-46,672

-10,961

-

-

-

Extr. and other revenue

-

-

-

Extr. and other expenses

-

-

-

-

-

-

Taxation

-10,700

-11,633

-2,798

P/L for period

-32,300

-35,038

-8,163

30/04/2011

30/04/2010

30/04/2009

P/L before tax + Extr. and other P/L

Costs of Good Sold

192,473

151,083

99,761

Gross Profit

52,986

43,849

62,092

Other Operating Expenses

86,827

83,047

69,684

30/04/2011

30/04/2010

30/04/2009

-23,710

-26,543

-2,256

-

-

-

Cash flow Added value

30/04/2011 Number of employees

657

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30/04/2010

30/04/2009

635

Area Science Park, Padriciano 99. 34149 Trieste, Italy Tel. +39 040 3755337 Fax +39 040 3756741

515


Cimber Sterling A/S

Monday, 07 May 2012 MORE Credit Rating

D

C

CC CCC

B

BB BBB

A

key

Evolutions and trends

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Area Science Park, Padriciano 99. 34149 Trieste, Italy Tel. +39 040 3755337 Fax +39 040 3756741

AA AAA


Cimber Sterling A/S

Monday, 07 May 2012 MORE Credit Rating

D

C

CC CCC

B

BB BBB

A

AA AAA

key

Qualitative information Full overview

The company, formerly known as Cimber Air A/s, is engaged in scheduled air transportation. It was incorporated in 1970 and has its registered head office strategically located in Sonderborg, Denmark. The company’s business operation specializes in operating a fleet of aircrafts in Denmark. It offers airline services to Scandinavia, Europe, Copenhagen, Billund, and Norrkoping destinations, as well as provides reservation services. It is a Danish based airline counting more than 850 employees with offices in five Danish airports and a fleet of 26 large and small aircraft. The company conducts more than 1000 flights every week and transports approximately 2.4 million leisure and business passengers per year.

History

Formerly known as Cimber Air A/s.

Primary business line

Engaged in scheduled air transportation.

Secondary business line

Not available.

Main activity

Services.

Secondary activity

Not available.

Main products and services

Operating a fleet of aircrafts in Denmark.

Size estimate

Not available.

Strategy, organization and policy

Not available.

Strategic alliances

Not available.

Membership of a network

Not available.

Main brand names

Not available.

Main domestic country

Denmark.

Main foreign countries or regions

Not available.

Main production sites

Not available.

Main distribution sites

Not available.

Main sales representation sites

Not available.

Main customers

Not available.

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Area Science Park, Padriciano 99. 34149 Trieste, Italy Tel. +39 040 3755337 Fax +39 040 3756741


Cimber Sterling A/S

Monday, 07 May 2012 MORE Credit Rating

D

C

CC CCC

B

BB BBB

A

AA AAA

key

Auditor/Advisor/Bank name

type

address

Danske Bank

Banker

-

Board name

date of birth

nationality

function

Mr Vilhelm Eigil Hahn Petersen Mr Joergen Groenlund Nielsen Mr. Jesper Jarlbaek

20/03/1960 09/03/1956

-

Chairman Deputy chairman Member of the board

Sharehoders (the first twenty shareholders ordered by Direct %)) Rating:

CIMBER STERLING GROUP A/S Country ISO code NACE Rev. 2, Core code Direct % Total % Address: Not available

DK

CC

Operating revenue (MIL $)

100.00 100.00

Total Assets (MIL $) Number of Employees Information date

387 193 840 2012/02

Subsidiaries (the first twenty subsidiaries ordered by Direct %) CIMBER AIR GESELLSCHAFT MIT BESCHRĂ„NKTER HAFTUNG

Rating:

Country ISO code NACE Rev. 2, Core code Direct % Total %

DE 100.00 100.00

Operating revenue (MIL $) Total Assets (MIL $) Number of Employees Information date

DK 9.00 -

Operating revenue (MIL $) Total Assets (MIL $) Number of Employees Information date

Rating:

AIRPORT COORDINATION DENMARK A/S Country ISO code NACE Rev. 2, Core code Direct % Total %

-

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1 15 2012/02 A

Area Science Park, Padriciano 99. 34149 Trieste, Italy Tel. +39 040 3755337 Fax +39 040 3756741

0 0 2011/10


Cimber Sterling A/S

Monday, 07 May 2012 MORE Credit Rating

D

C

CC CCC

B

BB BBB

A

AA AAA

key

ASKMORE rating guide General vision

A credit rating is an opinion of the general creditworthiness of an obligor (issuer rating), or the creditworthiness of an obligor in respect of a specific debt security, or other financial obligation (issue rating), based on relevant risk factors. The Multi Objective Rating Evaluation (MORE) model is essentially used to assess the level of distress of industrial companies by using data included in financial statements. The basic idea of the model is to analyze a set of financial and economic ratios in a predictive corporate bankruptcy model with the purpose of creating a fundamental credit rating model for each industrial sector. Results of the model are obtained by applying newly developed numerical methodologies, drawing together financial theory, data mining and engineering design methodologies. The heart of MORE is a multi dimensional and multi objective algorithm that produces a classification of each company, by taking into account any attributes (such as sector and country) characterizing a firm. The model gives the opportunity to assign a rating to a company even without considering a complete data analysis and allows to process quality information. It induces a better understanding of a company’s strength and weakness thanks to sophisticated data mining tools and taking into account the analyst knowledge. The MORE rating vision is to look at the fundamental economics of the company. The main idea is to evaluate the rating observing every aspect of the economical and financial behavior of the company: better is the equilibrium between the different aspects, better will be the final rating. This is done studying, evaluating and aggregating the most important sections of the financial and economic behavior of a company such as: profitability, liquidity, solvency, interest coverage and efficiency.

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Area Science Park, Padriciano 99. 34149 Trieste, Italy Tel. +39 040 3755337 Fax +39 040 3756741


Cimber Sterling A/S

Monday, 07 May 2012 MORE Credit Rating

D

C

CC CCC

B

BB BBB

A

AA AAA

key

Rating scale Rating class

Rating macro class

The company’s capacity to meet its financial commitments is extremely strong. The company shows an excellent

AAA

AA

Assessment

economic and financial flow and fund equilibrium. Healthy

The company has very strong creditworthiness. It also has a good capital structure and economic and financial equilibrium. Difference from AAA is slight. The company has a high solvency. The company is however more susceptible to the adverse effects of changes in

A

circumstances and economic conditions than companies in higher rated categories. Capital structure and economic equilibrium are considered adequate. The company’s capacity to meet its financial commitments could be affected by serious unfavourable events.

BBB Balanced

A company rated BB is more vulnerable than companies rated BBB. Furthermore the company faces major ongoing uncertainties or exposure to adverse business, financial, or economic conditions.

BB

The company presents vulnerable signals with regards to its fundamentals. Adverse business, financial, or economic

B

conditions will be likely to impair the company’s capacity or willingness to meet its financial commitments. Vulnerable

CCC

A company rated CCC has a dangerous disequilibrium on the capital structure and on its economic and financial fundamentals. Adverse market events and an inadequate management could affect with high probability the company’s solvency.

CC

The company shows signals of high vulnerability. In the event of adverse market and economic conditions, the company’s strong disequilibrium could increase. Risky

C

The company shows considerable pathological situations. commitments is very low.

D

The company has not any longer the capacity to meet its financial commitments.

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The company’s capacity to meet its financial

Area Science Park, Padriciano 99. 34149 Trieste, Italy Tel. +39 040 3755337 Fax +39 040 3756741


Cimber Sterling A/S

Monday, 07 May 2012 MORE Credit Rating

D

C

CC CCC

B

BB BBB

A

AA AAA

key

Fundamental Credit Rating Ratios Analysis area

Ratio

Assessment This measures the level of total liabilities of the company in comparison

Leverage ratio

with equity.

Solvency ratios

Financial ratios

Assets to debt

This indicates company’s solvency. The company shows a level of deficit when the value of this ratio is under one unit.

Fixed Assets coverage ratio

This is calculated only for holdings. It measures the capital structure i.e. whether a company covers the fixed assets with long term capital.

Current ratio

This measures whether a company has sufficient short-term assets to cover its short-term liabilities.

Liquidity ratios This compares current liabilities only to those assets that can be readily

Quick ratio

turned into cash.

Return on Investement(ROI)

This measures the profitability of company investments without regard to the way the investment is financed.

Return on Equity(ROE)

This measures the profitability of the equity.

Asset turnover

This indicates the investments turnover with regards to sales. The level assumed from the ratio depends on the sector in which the company operates.

Profit margin

This indicates the profitability of sales.

Interest Paid coverage

This indicate the ability of the company to cover interest expenses through the economic margins (Gross profit and EBIT) and through the cash flow from operating activities.

Profitability and economic ratios

Interest coverage ratio

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Area Science Park, Padriciano 99. 34149 Trieste, Italy Tel. +39 040 3755337 Fax +39 040 3756741


Cimber Sterling A/S

Monday, 07 May 2012 MORE Credit Rating

D

C

CC CCC

B

BB BBB

A

AA AAA

key

MORE Credit Limit, Probability of default and Confidence Level MORE Credit Limit

MORE Credit limit is the estimation of the amount of maximum credit that is possible to assign on a commercial relationship with the analyzed company with an outlook of one year. modeFinance used the following values associated with the company analyzed while computing the credit limit:

• Size; • Years in Business; • Average number of suppliers; • Liquidity of the company and the comparison with its sector; • The funds dedicated to be paid to suppliers; • The likelihood that a company may pay its debts in the next 12 months (MORE Ratings).

The credit limit in this report is merely a suggested value of commercial credit limit calculated on the basis of annual public data. This value should be reviewed by paying attention to the Confidence Level value and by using other information such as other business information, news... etc; and private information such as the relationship with client, history of payments, guarantees and the knowledge of the sector.

Probability of default e Confidence Level

In addition to the MORE Rating, modeFinance also estimates the probability of default and provides a level of confidence. The probability of default is the degree of certainty (in quantitative terms) that the company will go into default. As the probability of default is strongly affected by the economic climate that the company is operating in, companies in the same MORE class will not necessarily have the same probability of default. The MORE model can produce a MORE rating even if there is missing data by using an associated confidence level:

Confidence =

P Available Information P Total Information

The level of confidence does not indicate financial confidence in the company. It is a reflection of the variations in availability of financial data across Europe due to filing regulations and suggests the degree of financial detail the MORE rating is able to take into account for each company. For companies with fully populated records a confidence level of 100% would be applied: companies where no financial data is provided, 0%. This puts the MORE rating in a context for the user and aids interpretation.

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Area Science Park, Padriciano 99. 34149 Trieste, Italy Tel. +39 040 3755337 Fax +39 040 3756741


Cimber Sterling A/S

Monday, 07 May 2012 MORE Credit Rating

D

C

CC CCC

B

BB BBB

A

AA AAA

key

Notes and disclaimer NOTES

modeFinance has based the present analysis on the company available financial statements, coming from one or more of the following sources: local providers, Commercial Register (Companies House), websites, modeFinance’s database etc.

DISCLAIMER

All Rights Reserved. No part of this publication may be reproduced, stored in a retrieval system or transmitted in any form by any means, electronic, mechanical, photocopying, recording or otherwise, without the prior permission of the publisher modeFinance. The facts of this report are believed to be correct at the time of publication but cannot be guaranteed. Please note that the findings, conclusions and recommendations that modeFinance delivers will be based on information gathered in good faith from both primary and secondary sources, whose accuracy we are not always in a position to guarantee. As such modeFinance can accept no liability whatever for actions taken based on any information that may subsequently prove to be incorrect.

Contacts

Info web

modeFinance MORE rating AREA Science Park 34149 Trieste, via Padriciano 99 - ITALY info@modefinance.com www.modefinance.com

Phone

+39 040 3755337

Company Products Where

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Area Science Park, Padriciano 99. 34149 Trieste, Italy Tel. +39 040 3755337 Fax +39 040 3756741


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