Tuesday, 22 January 2013
ATARI
MORE Credit Rating
C
D
CC CCC
B
BB BBB
A
AA AAA
key
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ATARI
Identification number
Not available
Country
France
ZIP code and city
75009 - PARIS
Address
78, RUE TAITBOUT +33 4 26 68 93 59 www.atari.com atari@calyptus.net
Legal form
Not available
Account
Consolidated
Incorporation date
1987
NACE 2 Sector
3240 - Manufacture of games and toys
TM
ASKMORE is the modeFinance product which gives the chance to evaluate the credit risk for every company from all around the world.
ASKMORE
Company name
Listed Status
Active
MORE Credit limit
470,000 e
plans 3 types of reports:
Turnover (th e) Rating s-peek
TM
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.
30/09/2011
31/03/2011
39,600
19,600
60,100
CCC
C
CCC
19.00%
62.00%
19.00%
100%
61%
100%
-5.88
-
-26.03
0.83
-
0.96
Current Ratio
0.51
0.00
0.80
Quick Ratio
0.48
0.00
0.77
Probability of default
Plus
Basic
31/03/2012
Confidence Level
TM
Solvency ratios Leverage ratio Total asset/Total liabilities Liquidity ratios
Profitability and economic equilibrium ratios Return on investement ROI (%)
10.90
-Inf
2.36
-48.05
-Inf
-158.97
Asset turnover
1.05
-
0.62
Interest paid weight
0.80
-1.21
0.87
Gross Profit/Operating revenue
0.95
0.85
0.82
0.48
-0.61
1.00
Return on equity ROE (%)
Interest Coverage ratios EBIT interest coverage ratio
Analysis and trend of financial strength
modeFinance Headquarter Building A - AREA Science Park Padriciano 99 - 34149 Trieste - Italy Ph.: +39 040 375 5337 Fax: +39 040 375 6741 info@modefinance.com TM
key askMORETM is a registered mark of modeFinanceTM
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
ATARI
Tuesday, 22 January 2013 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
-5.88
0.55
1.70
3.18
-3.29
Total asset/Total liabilities
0.83
2.83
1.59
1.16
0.99
Current Ratio
0.51
2.89
1.55
1.35
0.98
Quick Ratio
0.48
2.07
1.05
0.94
0.45
Liquidity ratios
Profitability and economic equilibrium ratios Return on investement ROI (%)
10.90
13.71
5.60
0.84
-11.50
Return on equity ROE (%)
-48.05
14.69
9.29
-5.89
-136.20
Asset turnover
1.05
1.18
1.13
0.99
1.13
Interest paid weight
0.80
0.01
0.17
0.00
-0.20
Gross Profit/Operating revenue
0.95
0.37
0.31
0.38
0.28
0.48
70.00
4.65
0.52
-5.95
Interest Coverage ratios EBIT interest coverage ratio Cash Conversion Cycle (days) Days Sales Of Inventory (DIO)
10
46
67
91
61
Days Sales Outstanding (DSO)
61
63
63
92
44
Days Payable Outstanding (DPO)
85
31
31
43
28
Cash Conversion Cycle (DIO + DSO - DPO)
-14
77
115
121
77
-
66
157
45
11
CCC
A
BB
B
CC
Numer of analyzed companies (Average) Rating
The sector has been chosen according to: international companies in the sector NACE 2 3240 with financial data of year 2012.
modeFinance srl VAT number 01168840328 info@modefinance.com www.modefinance.com TM
Area Science Park, Padriciano 99. 34149 Trieste, Italy Tel. +39 040 3755337 Fax +39 040 3756741
ATARI
Tuesday, 22 January 2013 MORE Credit Rating
D
C
CC CCC
B
BB BBB
A
key
Sector Analysis - Graphs
modeFinance srl VAT number 01168840328 info@modefinance.com www.modefinance.com TM
Area Science Park, Padriciano 99. 34149 Trieste, Italy Tel. +39 040 3755337 Fax +39 040 3756741
AA AAA
ATARI
Tuesday, 22 January 2013 MORE Credit Rating
C
D
CC CCC
B
BB BBB
A
AA AAA
key
Balance Sheet BALANCE SHEET (th e)
31/03/2012
30/09/2011
31/03/2011
IFRS
IFRS
IFRS
Exchange rate EUR - EUR
1
1
1
Number of months
12
6
12
Total assets
37,600
0
97,600
Fixed assets
15,600
0
22,900
15,000
-
18,100
Tangible fixed assets
200
-
2,700
Other fixed assets
400
-
2,100
22,000
0
74,700
1,100
0
2,900
Accounting practice
Intangible fixed assets
Current assets Stocks
6,600
0
9,700
14,300
0
62,100
5,400
-
16,400
Shareholders funds
-7,700
0
-3,900
Capital
14,700
-
24,300
Debtors Other current assets Cash & cash equivalent
Other shareholders funds
-22,400
-
-28,200
45,300
0
101,500
Non current liabilities
2,200
0
8,300
Long term debt
2,000
-
3,400
200
-
4,900
Current liabilities
43,100
0
93,200
Loans
Total liabilities
Other non-current liabilities
24,200
-
49,000
Creditors
9,200
0
21,500
Other current liabilities
9,700
-
22,700
37,600
0
97,600
NET DEBT (th e)
31/03/2012
30/09/2011
31/03/2011
Short term debts
24,200
-
49,000
Long term debt
2,000
-
3,400
Cash & cash equivalent
5,400
-
16,400
20,800
-
36,000
31/03/2012
30/09/2011
31/03/2011
Total shareh. funds & liab.
Net debt
Working capital
-1,500
-
-8,900
-21,100
0
-18,500
31/03/2012
30/09/2011
31/03/2011
Net Current Assets
Days Sales Of Inventory (DIO)
10
0
Days Sales Outstanding (DSO)
61
0
59
Days Payable Outstanding (DPO)
85
0
131
-14
0
-54
Cash Conversion Cycle (DIO + DSO - DPO)
modeFinance srl VAT number 01168840328 info@modefinance.com www.modefinance.com TM
Area Science Park, Padriciano 99. 34149 Trieste, Italy Tel. +39 040 3755337 Fax +39 040 3756741
18
ATARI
Tuesday, 22 January 2013 MORE Credit Rating
C
D
CC CCC
B
BB BBB
A
AA AAA
key
Income Statement INCOME STATEMENT (th e)
31/03/2012
30/09/2011
31/03/2011
IFRS
IFRS
IFRS
Exchange rate EUR - EUR
1
1
1
Number of months
12
6
12
39,600
19,600
60,100
1
-35
-
0
0
0
Operating revenue / turnover
39,600
19,600
60,100
Total operating costs
38,000
21,000
58,100
Costs growth (%)
-10
-28
-
Service costs
-
-
-
Material costs
-
-
-
10,400
-
9,300
EBITDA
9,000
-300
16,700
Depreciation
7,400
1,100
14,700
EBIT
1,600
-1,400
2,000
-800
-2,800
-1,700
Accounting practice
Sales Revenues growth (%) Other revenues +/- variation in inventories and contract in progress + Fixed assets own construction capitalized
Costs of employees
Financial P/L
800
-
1,000
1,600
2,800
2,700
3,300
2,300
2,000
800
-4,200
300
-4,500
0
-6,500
Extr. and other revenue
-
-
-
Extr. and other expenses
-
-
-
-3,700
-4,200
-6,200
Financial revenue Financial expenses Interest paid P/L before tax Extr. and other P/L
P/L before tax + Extr. and other P/L Taxation
0
-
0
-3,700
-4,200
-6,200
31/03/2012
30/09/2011
P/L for period
Costs of Good Sold
31/03/2011
2,000
3,000
10,900
Gross Profit
37,600
16,600
49,200
Other Operating Expenses
36,000
18,000
47,200
31/03/2012
30/09/2011
31/03/2011
Cash flow Added value
3,700
-3,100
8,500
17,400
-
19,800
31/03/2012 Number of employees
71
modeFinance srl VAT number 01168840328 info@modefinance.com www.modefinance.com TM
30/09/2011
31/03/2011
-
Area Science Park, Padriciano 99. 34149 Trieste, Italy Tel. +39 040 3755337 Fax +39 040 3756741
354
ATARI
Tuesday, 22 January 2013 MORE Credit Rating
D
C
CC CCC
B
BB BBB
A
key
Evolutions and trends
modeFinance srl VAT number 01168840328 info@modefinance.com www.modefinance.com TM
Area Science Park, Padriciano 99. 34149 Trieste, Italy Tel. +39 040 3755337 Fax +39 040 3756741
AA AAA
ATARI
Tuesday, 22 January 2013 MORE Credit Rating
D
C
CC CCC
B
BB BBB
A
AA AAA
key
Qualitative information Full overview
The company, with headquarters in Lyon, France, operates as an international holding firm of a group that produces, publishes and distributes interactive games for all major video game consoles and computer game platforms. Founded by Bruno Bonnell and Christophe Sapet using the benefits from an introductory computer book in 1983, the company is a publicly quoted company. Infogrames Entertainment handles the administrative affairs and services of a holding company and assumes management services to its subsidiaries and local group and units. The company provides financial support and control function for the board. It has responsibility for managing the group and its overall legal structure, tax planning, financial and equity structures. The company also produces games under the Atari name through subsidiaries Atari, Inc. and Atari Europe. Its titles are played on major game platforms by Sony, Nintendo, and Microsoft, as well as on PCs.
History
Founded by Bruno Bonnell and Christophe Sapet.
Primary business line
An international holding firm of a group that produces, publishes and distributes interactive games for all major video game consoles and computer game platforms.
Secondary business line
Not available.
Main activity
Services.
Secondary activity
Not available.
Main products and services
Produces, publishes and distributes interactive games for all major video game consoles and computer game platforms.
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
France.
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.
modeFinance srl VAT number 01168840328 info@modefinance.com www.modefinance.com TM
Area Science Park, Padriciano 99. 34149 Trieste, Italy Tel. +39 040 3755337 Fax +39 040 3756741
ATARI
Tuesday, 22 January 2013 MORE Credit Rating
D
C
CC CCC
B
BB BBB
A
AA AAA
key
Auditor/Advisor/Bank name
type
address
DELOITTE & ASSOCIÉS
Auditor
-
MAZARS
Auditor
-
Board name
date of birth
nationality
function
Mr. Franck Emmanuel Dangeard Mr. Dominique Marie Philippe D’Hinnin Bluebay Value Recovery (Master Mr. Pascal Cagni
25/02/1958 04/08/1959 28/10/1961
-
Chairman of the Board of Directors Vice - Chairman Member of the board of directors Independent director
Mr. Michael Marie Alain Combes Mr. Eugene S Davis Mrs. Alexandra Fichelson Mr. David Pryor Gardner Mr. David Pryor Gardner
29/03/1962 17/09/1976 21/07/1965 21/07/1965
-
Independent director Administrateur Representant de Bluebay Value Recovery Master) Fund Director and Chief Executive Officer Member, Senior Management Team
Mrs. Gina Jo Germano Mr. Phil Harrison Dr. Didier Lamouche Mr. Jeffrey Charles Lapin Mr. Jeffrey Charles Lapin Mr. Thomas Virden
09/06/1966 07/05/1959 24/06/1956 24/06/1956 13/12/1957
United States United States -
Director Director Independent director Director (BlueBay Value Recovery (Master) Fund Limited) Member, Senior Management Team -
Mr. Mr. Mr. Mr.
21/06/1964 21/06/1964 20/08/1965 -
-
Member, Senior Management Team Member, Senior Management Team Member, Senior Management Team
James D Wilson James D Wilson Fabrice C. Hamaide Johnathan Needham
Sharehoders (the first twenty shareholders ordered by Direct %) Rating:
BLUEBAY ASSET MANAGEMENT (SERVICES) LTD Country ISO code NACE Rev. 2, Core code
GB -
Direct % Total % Address : Not available
29.21
374.3 295.66
Number of Employees Information date
228 2011/11
modeFinance srl VAT number 01168840328 info@modefinance.com www.modefinance.com TM
A
Operating Revenue (MIL $) Total Assets (MIL $)
Area Science Park, Padriciano 99. 34149 Trieste, Italy Tel. +39 040 3755337 Fax +39 040 3756741
ATARI
Tuesday, 22 January 2013 MORE Credit Rating
D
C
CC CCC
B
BB BBB
A
AA AAA
key
Rating:
ROYAL BANK OF CANADA RBC via its funds Country ISO code NACE Rev. 2, Core code Direct % Total % Address : Not available
CA 28.97
Operating Revenue (MIL $) Total Assets (MIL $) Number of Employees Information date
THE BLUEBAY VALUE RECOVERY (MASTER) FUND LIMITED
Rating:
Country ISO code
Operating Revenue (MIL $)
NACE Rev. 2, Core code Direct % Total % Address : Not available
KY 24.98 -
Total Assets (MIL $) Number of Employees Information date
GB 4.26
Operating Revenue (MIL $) Total Assets (MIL $) Number of Employees Information date
GB
Operating Revenue (MIL $)
0 2011/11
Rating:
GLG PARTNERS LP Country ISO code NACE Rev. 2, Core code Direct % Total %
26137.46 825430.19 74377 2012/03
0 2012/01
Address : Not available
Rating:
THE BLUEBAY MULTI - STRATEGY Country ISO code NACE Rev. 2, Core code Direct % Total % Address : Not available
4.23 -
-
Total Assets (MIL $) Number of Employees Information date
0 2011/11
Rating:
MAN GROUP PLC via its funds
BBB
Country ISO code NACE Rev. 2, Core code Direct %
GB -
Operating Revenue (MIL $) Total Assets (MIL $) Number of Employees
Total % Address : Not available
4.22
Information date
1.00 -
Operating Revenue (MIL $) Total Assets (MIL $) Number of Employees Information date
Country ISO code NACE Rev. 2, Core code
US -
Operating Revenue (MIL $) Total Assets (MIL $)
36.72 2186.66
Direct % Total % Address : Not available
0.51
Number of Employees Information date
260 2012/07
2012/03
Rating:
PUBLIC Country ISO code NACE Rev. 2, Core code Direct % Total % Address : Not available
960 6013 1596
Rating:
DIMENSIONAL FUND ADVISORS LP via its funds
modeFinance srl VAT number 01168840328 info@modefinance.com www.modefinance.com TM
2012/08
A
Area Science Park, Padriciano 99. 34149 Trieste, Italy Tel. +39 040 3755337 Fax +39 040 3756741
ATARI
Tuesday, 22 January 2013 MORE Credit Rating
D
C
CC CCC
B
BB BBB
A
AA AAA
key
Rating:
SELF OWNED Country ISO code NACE Rev. 2, Core code Direct % Total % Address : Not available
-
Operating Revenue (MIL $) Total Assets (MIL $) Number of Employees Information date
2012/10
Subsidiaries (the first twenty subsidiaries ordered by Direct %) Rating:
ATARI ASIA PACIFIC PTY LTD Country ISO code NACE Rev. 2, Core code Direct % Total %
AU 100.00 100.00
Operating Revenue (MIL $) Total Assets (MIL $) Number of Employees Information date
AU 100.00 100.00
Operating Revenue (MIL $) Total Assets (MIL $) Number of Employees Information date
AU 100.00 100.00
Operating Revenue (MIL $) Total Assets (MIL $) Number of Employees Information date
FR 100.00 100.00
Operating Revenue (MIL $) Total Assets (MIL $) Number of Employees Information date
AU 100.00 100.00
Operating Revenue (MIL $) Total Assets (MIL $) Number of Employees Information date
US 100.00 100.00
Operating Revenue (MIL $) Total Assets (MIL $) Number of Employees Information date
Rating:
ATARI MELBOURNE HOUSE PTY Country ISO code NACE Rev. 2, Core code Direct % Total %
Rating:
ATARI EUROPE SAS Country ISO code NACE Rev. 2, Core code Direct % Total %
CCC 20.05 56.58 100 2012/10
2012/03
Rating:
ATARI INTERACTIVE INC Country ISO code NACE Rev. 2, Core code Direct % Total %
2012/10
Rating:
ATARI INTERACTIVE AUSTRALIA PTY Country ISO code NACE Rev. 2, Core code Direct % Total %
2012/03
Rating:
ATARI ASIA PACIFIC PTY LIMITED Country ISO code NACE Rev. 2, Core code Direct % Total %
2012/03
modeFinance srl VAT number 01168840328 info@modefinance.com www.modefinance.com TM
Area Science Park, Padriciano 99. 34149 Trieste, Italy Tel. +39 040 3755337 Fax +39 040 3756741
2012/10
ATARI
Tuesday, 22 January 2013 MORE Credit Rating
D
C
CC CCC
B
BB BBB
A
AA AAA
key
Rating:
ATARI JAPAN CO.,LTD. Country ISO code NACE Rev. 2, Core code Direct % Total %
JP 100.00 100.00
Operating Revenue (MIL $) Total Assets (MIL $) Number of Employees Information date
JP 100.00 100.00
Operating Revenue (MIL $) Total Assets (MIL $) Number of Employees Information date
US 100.00 100.00
Operating Revenue (MIL $) Total Assets (MIL $) Number of Employees Information date
US 100.00 100.00
Operating Revenue (MIL $) Total Assets (MIL $) Number of Employees Information date
AT 100.00 100.00
Operating Revenue (MIL $) Total Assets (MIL $) Number of Employees Information date
FR 100.00 100.00
Operating Revenue (MIL $) Total Assets (MIL $) Number of Employees Information date
FR 100.00 100.00
Operating Revenue (MIL $) Total Assets (MIL $) Number of Employees Information date
GB 100.00 100.00
Operating Revenue (MIL $) Total Assets (MIL $) Number of Employees Information date
Rating:
ATARI JAPAN, Y.K. Country ISO code NACE Rev. 2, Core code Direct % Total %
Rating:
EDEN GAMES Country ISO code NACE Rev. 2, Core code Direct % Total %
C 1.94 2.94 100 2012/10
2012/03
Rating:
GAME NATION Country ISO code NACE Rev. 2, Core code Direct % Total %
2012/03
Rating:
EDEN STUDIOS SAS Country ISO code NACE Rev. 2, Core code Direct % Total %
64.4 564 2012/10
Rating:
DYNAMIC SYSTEM GMBH Country ISO code NACE Rev. 2, Core code Direct % Total %
16.9 143 2012/03
Rating:
CALIFORNIA US HOLDINGS INC Country ISO code NACE Rev. 2, Core code Direct % Total %
2012/03
Rating:
ATARI, INC. Country ISO code NACE Rev. 2, Core code Direct % Total %
2012/10
modeFinance srl VAT number 01168840328 info@modefinance.com www.modefinance.com TM
Area Science Park, Padriciano 99. 34149 Trieste, Italy Tel. +39 040 3755337 Fax +39 040 3756741
2012/10
ATARI
Tuesday, 22 January 2013 MORE Credit Rating
D
C
CC CCC
B
BB BBB
A
AA AAA
key
Rating:
GAME NATION.NET INC Country ISO code NACE Rev. 2, Core code Direct % Total %
US 100.00 100.00
Operating Revenue (MIL $) Total Assets (MIL $) Number of Employees Information date
GB 100.00 100.00
Operating Revenue (MIL $) Total Assets (MIL $) Number of Employees Information date
US 100.00 100.00
Operating Revenue (MIL $) Total Assets (MIL $) Number of Employees Information date
GB 100.00 100.00
Operating Revenue (MIL $) Total Assets (MIL $) Number of Employees Information date
FR 100.00 100.00
Operating Revenue (MIL $) Total Assets (MIL $) Number of Employees Information date
GB 100.00 100.00
Operating Revenue (MIL $) Total Assets (MIL $) Number of Employees Information date
Rating:
HARTLAND TREFOIL LIMITED Country ISO code NACE Rev. 2, Core code Direct % Total %
Rating:
INFOGRAMES INTERACTIVE DIRECT LIMITED Country ISO code NACE Rev. 2, Core code Direct % Total %
2012/10
Rating:
INFOGRAMES ENTERTAINMENT SA Country ISO code NACE Rev. 2, Core code Direct % Total %
2012/03
Rating:
INFOGRAMES ENTERTAINMENT LTD Country ISO code NACE Rev. 2, Core code Direct % Total %
2012/10
Rating:
HUMONGOUS INC Country ISO code NACE Rev. 2, Core code Direct % Total %
2012/10
modeFinance srl VAT number 01168840328 info@modefinance.com www.modefinance.com TM
2012/03 A
Area Science Park, Padriciano 99. 34149 Trieste, Italy Tel. +39 040 3755337 Fax +39 040 3756741
1.41 2012/10
ATARI
Tuesday, 22 January 2013 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.
modeFinance srl VAT number 01168840328 info@modefinance.com www.modefinance.com TM
Area Science Park, Padriciano 99. 34149 Trieste, Italy Tel. +39 040 3755337 Fax +39 040 3756741
ATARI
Tuesday, 22 January 2013 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.
modeFinance srl VAT number 01168840328 info@modefinance.com www.modefinance.com TM
The company’s capacity to meet its financial
Area Science Park, Padriciano 99. 34149 Trieste, Italy Tel. +39 040 3755337 Fax +39 040 3756741
ATARI
Tuesday, 22 January 2013 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
modeFinance srl VAT number 01168840328 info@modefinance.com www.modefinance.com TM
Area Science Park, Padriciano 99. 34149 Trieste, Italy Tel. +39 040 3755337 Fax +39 040 3756741
ATARI
Tuesday, 22 January 2013 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.
modeFinance srl VAT number 01168840328 info@modefinance.com www.modefinance.com TM
Area Science Park, Padriciano 99. 34149 Trieste, Italy Tel. +39 040 3755337 Fax +39 040 3756741
ATARI
Tuesday, 22 January 2013 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
modeFinance srl VAT number 01168840328 info@modefinance.com www.modefinance.com TM
Area Science Park, Padriciano 99. 34149 Trieste, Italy Tel. +39 040 3755337 Fax +39 040 3756741