Dex One: modeFinance Credit Report

Page 1

Tuesday, 19 March 2013

DEX ONE CORPORATION

MORE Credit Rating

C

D

CC CCC

B

BB BBB

A

AA AAA

key

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DEX ONE CORPORATION

Identification number

Not available

Country

United States of America

ZIP code and city

27513 - CARY

Address

1001, WINSTEAD DRIVE +1 919 297 1600 www.dexone.com info@dexone.com

Legal form

Not available

Account

Consolidated

Incorporation date

1886

NACE 2 Sector

5819 - Other publishing activities

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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

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.

31/12/2010

31/12/2009

1,144,310

741,462

1,528,840

CC

B

CC

42.00%

3.80%

42.00%

78%

78%

78%

-351.67

7.54

-1.65

1.00

1.13

0.39

Current Ratio

0.99

0.97

0.81

Quick Ratio

0.99

0.97

0.81

Probability of default

Plus

Basic

31/12/2011

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 (%)

-

-

-

-5,259.44

1,140.19

-93.27

0.43

0.22

0.49

Asset turnover Interest paid weight Gross Profit/Operating revenue

-

-

-

0.81

0.76

0.83

-

-

-

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


DEX ONE CORPORATION

Tuesday, 19 March 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

-351.67

0.57

1.87

2.07

-2.63

1.00

2.75

1.53

1.14

0.91

Current Ratio

0.99

2.63

1.42

1.06

0.82

Quick Ratio

0.99

2.07

1.17

0.87

0.61

Total asset/Total liabilities Liquidity ratios

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

-

16.82

7.29

0.71

-12.05

-5,259.44

19.54

9.98

-11.31

-82.79

0.43

1.23

1.38

1.35

1.33

-

0.01

0.14

0.01

-0.18

0.81

0.42

0.39

0.34

0.24

-

143.80

6.00

0.09

-5.19

Days Sales Of Inventory (DIO)

0

40

26

23

29

Days Sales Outstanding (DSO)

149

62

66

63

73

0

26

32

39

33

149

81

58

36

44

-

80

114

69

21

CC

A

BBB

B

CC

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

Days Payable Outstanding (DPO) Cash Conversion Cycle (DIO + DSO - DPO) Numer of analyzed companies (Average) Rating

The sector has been chosen according to: international companies in the sector NACE 2 5819 with financial data of year 2011.

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


DEX ONE CORPORATION

Tuesday, 19 March 2013 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


DEX ONE CORPORATION

Tuesday, 19 March 2013 MORE Credit Rating

C

D

CC CCC

B

BB BBB

A

AA AAA

key

Balance Sheet BALANCE SHEET (th e)

31/12/2011

31/12/2010

31/12/2009

Accounting practice

Local GAAP

Local GAAP

Local GAAP

0.7729

0.748

0.6942

12

12

12

Total assets

2,674,244

3,357,658

3,122,860

Fixed assets

1,813,616

2,519,818

1,928,417

1,686,446

2,371,332

1,498,141

117,123

141,184

109,171

10,048

7,302

321,105

860,628

837,840

1,194,443

0

0

0

Debtors

468,124

507,462

573,223

Other current assets

392,503

330,378

621,219

199,350

95,633

462,266

-7,626

393,385

-4,802,892

39

37

61,203

-7,664

393,348

-4,864,095

Total liabilities

2,681,870

2,964,273

7,925,752

Non current liabilities

1,811,784

2,098,604

6,451,632

Long term debt

1,687,964

1,860,964

1,777,903

123,819

237,640

4,673,729

Current liabilities

870,086

865,669

1,474,120

Loans

252,183

186,477

689,662

0

0

0

617,902

679,192

784,458

2,674,244

3,357,658

3,122,860

31/12/2011

31/12/2010

31/12/2009

Exchange rate USD - EUR Number of months

Intangible fixed assets Tangible fixed assets Other fixed assets Current assets Stocks

Cash & cash equivalent Shareholders funds Capital Other shareholders funds

Other non-current liabilities

Creditors Other current liabilities Total shareh. funds & liab. NET DEBT (th e) Short term debts Long term debt

252,183

186,477

689,662

1,687,964

1,860,964

1,777,903

Cash & cash equivalent Net debt

199,350

95,633

462,266

1,740,798

1,951,808

2,005,300

31/12/2011

31/12/2010

31/12/2009

Working capital Net Current Assets

-

-

-

-9,458

-27,829

-279,677

31/12/2011

31/12/2010

31/12/2009

Days Sales Of Inventory (DIO)

0

0

0

Days Sales Outstanding (DSO)

149

250

137

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

modeFinance srl VAT number 01168840328 info@modefinance.com www.modefinance.com TM

0

0

0

149

250

137

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


DEX ONE CORPORATION

Tuesday, 19 March 2013 MORE Credit Rating

C

D

CC CCC

B

BB BBB

A

AA AAA

key

Income Statement INCOME STATEMENT (th e)

31/12/2011

31/12/2010

31/12/2009

Accounting practice

Local GAAP

Local GAAP

Local GAAP

0.7729

0.748

0.6942

12

12

12

Exchange rate USD - EUR Number of months Sales

1,144,310

741,462

1,528,840

54

-52

-

0

0

0

Revenues growth (%) Other revenues +/- variation in inventories and contract in progress + Fixed assets own construction capitalized Operating revenue / turnover

1,144,310

741,462

1,528,840

Total operating costs

1,476,922

1,661,638

6,247,360

Costs growth (%)

-11

-73

-

Service costs

-

-

-

Material costs

-

-

-

Costs of employees

-

-

-

481,109

124,890

776,858

EBITDA Depreciation EBIT Financial P/L

813,721

1,045,066

5,495,379

-332,612

-920,176

-4,718,521

-164,893

5,627,970

-405,602

Financial revenue

-175,278

-201,292

-339,818

Financial expenses

-10,385

-5,829,263

65,784

-

-

-

-497,505

4,707,794

-5,124,123

-

-

-

Extr. and other revenue

-

-

-

Extr. and other expenses

-

-

-

-

-

-

-96,420

222,475

-644,537

-401,085

4,485,320

-4,479,586

31/12/2011

31/12/2010

31/12/2009

Interest paid P/L before tax Extr. and other P/L

P/L before tax + Extr. and other P/L Taxation P/L for period

Costs of Good Sold

221,945

179,639

257,223

Gross Profit

922,366

561,823

1,271,616

1,254,978

1,481,999

5,990,137

31/12/2011

Other Operating Expenses

Cash flow Added value

31/12/2010

31/12/2009

412,636

5,530,386

1,015,793

-

-

-

31/12/2010

31/12/2009

3,200

3,500

31/12/2011 Number of employees

2,700

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


DEX ONE CORPORATION

Tuesday, 19 March 2013 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


DEX ONE CORPORATION

Tuesday, 19 March 2013 MORE Credit Rating

D

C

CC CCC

B

BB BBB

A

AA AAA

key

Qualitative information Full overview

It is a publicly quoted company primarily engaged in providing print, online and mobile yellow pages and search solutions as well as major search engines. The company was founded as R. H. Donnelley Company in 1886 by Reuben H. Donnelley. The US - based company has its corporate headquarters located in Cary, North Carolina. It is a leading marketing solutions company that helps local businesses reach, win and keep ready - to - buy customers. The company’s highly - skilled, locally based marketing consultants offer a wide range of marketing products and services that help businesses get found more than one billion times each year by actively shopping consumers. It offers local businesses personalized marketing consulting services and exposure across a broad network of local marketing products, including its “official� print, online and mobile yellow pages and search solutions, such as www. dexknows. com, as well as major search engines. Through access to a vast collection of highly valuable, proprietary local market intelligence, as well as the personal, hands - on service from approximately 1,500 dedicated marketing consultants, the company helps about 435,000 local businesses create custom - tailored marketing programs that effectively reach potential customers - wherever, whenever, and however they search. It delivers a broad range of products and services to help local businesses grow - from identifying target audiences and developing messaging, to optimizing marketing programs and leveraging appropriate products, such as online and mobile search solutions, print yellow pages directories, voice based search platforms, and one of the largest pay - per - click ad networks in the United States.

History

Founded as R. H. Donnelley Company by Reuben H. Donnelley.

Primary business line

Engaged in providing print, online and mobile yellow pages and search solutions as well as major search engines.

Secondary business line

Not available.

Main activity

Services.

Secondary activity

Not available.

Main products and services

Print, online and mobile yellow pages and search solutions, such as www. dexknows. com; and major search engines.

Size estimate

Leading marketing solutions company.

Strategy, organization and policy

Not available.

Strategic alliances

Not available.

Membership of a network

Not available.

Main brand names

Not available.

Main domestic country

United States of America.

Main foreign countries or regions

Not available.

Main production sites

Not available.

Main distribution sites

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


DEX ONE CORPORATION

Tuesday, 19 March 2013 MORE Credit Rating

D

C

CC CCC

B

BB BBB

A

AA AAA

key

Main sales representation sites

Not available.

Main customers

Not available.

Auditor/Advisor/Bank name

type

address

KPMG LLP

Auditor

-

The Bank of New York

Transfer Agent

-

Board name

date of birth

nationality

function

Mr. Mr. Mr. Mr.

14/10/1960 -

-

Independent Director Independent Director Independent Director Independent Director

31/01/1949

United States

President, Chief Executive Officer, Director

Jonathan B Bulkeley Richard L Kuersteiner W. Kirk Liddell Mark A McEachen

Mr. Alfred Thomas Mockett

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

FRANKLIN RESOURCES, INC. via its funds Country ISO code NACE Rev. 2, Core code Direct % Total %

US 26.18

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

US 9.95 -

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

7205.5 14751.5 8558 2012/09

Address : Not available

Rating:

HAYMAN CAPITAL MANAGEMENT LP Country ISO code NACE Rev. 2, Core code Direct % Total % Address : Not available

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

0 2012/12


DEX ONE CORPORATION

Tuesday, 19 March 2013 MORE Credit Rating

D

C

CC CCC

B

BB BBB

A

AA AAA

key

Rating:

BENNETT JAMES DONALD via its funds Country ISO code NACE Rev. 2, Core code Direct % Total % Address : Not available

US 9.55

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

US

Operating Revenue (MIL $)

Rating:

RESTRUCTURING CAPITAL ASSOCIATES LP Country ISO code NACE Rev. 2, Core code Direct % Total % Address : Not available

9.10

Total Assets (MIL $) Number of Employees Information date

US 8.64 -

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

US

Operating Revenue (MIL $)

0 2012/12

Rating:

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

2012/06

2012/12

Address : Not available

Rating:

PAULSON & CO. INC. via its funds Country ISO code NACE Rev. 2, Core code Direct % Total % Address : Not available

7.14

Total Assets (MIL $) Number of Employees Information date

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

US 4.60

Operating Revenue (MIL $) Total Assets (MIL $) Number of Employees

Total % Address : Not available

-

75 2012/06

Rating:

BENNETT RESTRUCTURING FUND LP

Information date

0 2012/12

Rating:

ALYESKA INVESTMENT GROUP, L.P. via its funds Country ISO code NACE Rev. 2, Core code Direct % Total % Address : Not available

11.8

US 4.26

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 $)

Direct % Total % Address : Not available

3.23

2.8 25 2012/06

Rating:

TCS CAPITAL MANAGEMENT LLC via its funds

Number of Employees Information date

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0.9 10 2012/06

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


DEX ONE CORPORATION

Tuesday, 19 March 2013 MORE Credit Rating

D

C

CC CCC

B

BB BBB

A

AA AAA

key

Rating:

AA

US 3.19

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

9337 179896 10100 2012/06

DE

Operating Revenue (MIL $)

89665.98

3.13

Total Assets (MIL $) Number of Employees Information date

813342.96 141938 2012/06

US 2.95

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

BLACKROCK, INC. via its funds Country ISO code NACE Rev. 2, Core code Direct % Total % Address : Not available

Rating:

ALLIANZ SE via its funds Country ISO code NACE Rev. 2, Core code Direct % Total % Address : Not available

Rating:

VANGUARD GROUP, INC. THE via its funds Country ISO code NACE Rev. 2, Core code Direct % Total %

2017.7 1830.07 9500 2012/06

Address : Not available

BRIDGEWAY CAPITAL MANAGEMENT INC via its funds

Rating:

Country ISO code

Operating Revenue (MIL $)

NACE Rev. 2, Core code Direct % Total % Address : Not available

US 1.92

Total Assets (MIL $) Number of Employees Information date

Rating:

MITTLEMAN BROTHERS LLC via its funds Country ISO code NACE Rev. 2, Core code Direct %

US -

Total % Address : Not available

1.79

Information date

Operating Revenue (MIL $) Total Assets (MIL $) Number of Employees

US 1.79

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 $)

Direct % Total % Address : Not available

1.57

0.16 3 2012/06

Rating:

RENAISSANCE TECHNOLOGIES LLC via its funds Country ISO code NACE Rev. 2, Core code Direct % Total % Address : Not available

0 2012/06

1245.2 947.51 42 2012/06

Rating:

STATE OF CALIFORNIA via its funds

Number of Employees Information date

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2012/06

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


DEX ONE CORPORATION

Tuesday, 19 March 2013 MORE Credit Rating

D

C

CC CCC

B

BB BBB

A

AA AAA

key

Rating:

DEUTSCHE BANK AG via its funds Country ISO code NACE Rev. 2, Core code Direct % Total % Address : Not available

DE 0.98

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

US

Operating Revenue (MIL $)

Rating:

ALGERT COLDIRON INVESTORS, LLC via its funds Country ISO code NACE Rev. 2, Core code Direct % Total % Address : Not available

0.96

Total Assets (MIL $) Number of Employees Information date

US 0.85

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

2.1 20 2012/06

Rating:

PRUDENTIAL FINANCIAL INC via its funds Country ISO code NACE Rev. 2, Core code Direct % Total %

43152.86 2800132.9 100996 2012/06

15787 709298 0 2012/06

Address : Not available

WELLINGTON MANAGEMENT COMPANY, LLP via its funds

Rating:

Country ISO code

Operating Revenue (MIL $)

NACE Rev. 2, Core code Direct % Total % Address : Not available

US 0.73

Total Assets (MIL $) Number of Employees Information date

85.5 741 2012/06

Subsidiaries (the first twenty subsidiaries ordered by Direct %) Rating:

DEX MEDIA EAST LLC Country ISO code NACE Rev. 2, Core code Direct % Total %

US MO -

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

US MO -

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

Rating:

DEX ONE SERVICE, INC. Country ISO code NACE Rev. 2, Core code Direct % Total %

2012/07

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

0.04 1 2012/08


DEX ONE CORPORATION

Tuesday, 19 March 2013 MORE Credit Rating

D

C

CC CCC

B

BB BBB

A

AA AAA

key

Rating:

R.H. DONNELLEY INC. Country ISO code NACE Rev. 2, Core code Direct % Total %

US MO -

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

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

88.1 1300 2012/11


DEX ONE CORPORATION

Tuesday, 19 March 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.

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


DEX ONE CORPORATION

Tuesday, 19 March 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.

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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


DEX ONE CORPORATION

Tuesday, 19 March 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

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


DEX ONE CORPORATION

Tuesday, 19 March 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


DEX ONE CORPORATION

Tuesday, 19 March 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


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