saab automotive ab: modefinance credit report
DESCRIPTION
Saab Automotive AB: modeFinance Credit ReportTRANSCRIPT
If you want to know more, ASKMORE TM
modeFinance’s credit report.
Almost every day millions of peoplearound the world are wondering the realcreditworthiness of the companies withwhich they are in business. Every daythese questions remain unanswered.modeFinance
TM
now aims to answer thesequestions in a simple, complete andimmediate way.
ASKMORETM
is the modeFinanceTM
product which gives the chance toevaluate the credit risk for every companyfrom all around the world.
ASKMORETM plans 2 types of reports:
Basic Plus
ASKMORETM
Basic:This report includes modeFinance TM
’ sMORE Credit Ratings and MORE CreditLimit to help you in the decision making.It covers all essential information includingfinancial statements of the last three yearsand descriptive information including tradedescription and sector analysis.This report type is ideally suited fordecisions on transactions with each levelof credit risk.
modeFinanceTM HeadquarterBuilding A - AREA Science ParkPadriciano 99 - 34149 Trieste - ItalyPh.: +39 040 375 5337Fax: +39 040 375 [email protected]
askMORETM is a registered mark of modeFinanceTM
Saab Automobile ABWednesday, 07 September 2011
MORE Credit Rating
key
D C CC CCC B BB BBB A AA AAA
MORE Credit Rating
key
D C CC CCC B BB BBB A AA AAAnot
available
non return extremlypathological
pathological highdanger
weak sufficient adequate good very
strongextremely
strong
Company name Saab Automobile AB
Identification number SE5562588912
Country Sweden
ZIP code and city 46180 - Trollhattan
Address
+46 520 85000
www.saab.com
Legal form Limited liability company - AB
Account Unconsolidated
Incorporation date 1985
NACE 2 Sector 2910 - Manufacture of motor vehicles
Listed
Status Active
MORE Credit limit Not eligible for credit on the base of the available informations
31/12/2010 31/12/2009 31/12/2008
Turnover (th e) 757,124 1,509,554 1,442,961
Rating CC B D
Probability of default 36.00% 5.00% 100.00%
Confidence Level 100% 100% 100%
Solvency ratios
Leverage ratio 4.00 18.30 -3.79
Total asset/Total liabilties 1.25 1.05 0.74
Liquidity ratios
Current Ratio 0.69 0.72 0.34
Quick Ratio 0.43 0.54 0.16
Profitability and economic equili-
brium ratios
Return on investement ROI (%) -31.37 45.91 -41.75
Return on equity ROE (%) -149.48 878.97 -124.10
Asset turnover 0.67 1.79 1.57
Interest paid weight -0.02 0.02 -0.09
Gross Profit/Operating revenue -0.15 -0.27 -0.16
Interest Coverage ratios
EBIT interest coverage ratio -52.10 48.29 -11.36
Analysis and trend of financial
strength
Saab Automobile ABWednesday, 07 September 2011
MORE Credit Rating
key
D C CC CCC B BB BBB A AA AAA
modeFinance TM srlVAT number [email protected]
Area Science Park,Padriciano 99. 34149 Trieste, ItalyTel. +39 040 3755337Fax +39 040 3756741
Sector Analysis
Company Healthy Balanced Vulnerable Risky
Solvency ratios
Leverage ratio 4.00 0.53 1.82 3.62 -1.88
Total asset/Total liabilties 1.25 2.88 1.54 1.24 0.98
Liquidity ratios
Current Ratio 0.69 2.60 1.32 1.05 0.71
Quick Ratio 0.43 1.74 0.87 0.67 0.49
Profitability and economic equilibrium ratios
Return on investement ROI (%) -31.37 15.53 6.09 -0.41 -11.65
Return on equity ROE (%) -149.48 17.11 8.72 -8.33 -144.80
Asset turnover 0.67 1.52 1.43 1.16 1.00
Interest paid weight -0.02 0.01 0.15 0.00 -0.16
Gross Profit/Operating revenue -0.15 0.21 0.16 0.11 0.02
Interest Coverage ratios
EBIT interest coverage ratio -52.10 94.01 5.06 -0.43 -5.24
Cash Conversion Cycle (days)
Days Sales Of Inventory (DIO) 72 35 53 47 78
Days Sales Outstanding (DSO) 21 38 44 46 44
Days Payable Outstanding (DPO) 64 23 44 53 68
Cash Conversion Cycle (DIO + DSO - DPO) 29 50 57 46 53
Numer of analyzed companies - 83 288 270 119
(Average) Rating CC A BB B CC
The sector has been chosen according to:
international companies in the sector NACE 2 2910 with financial data of year 2009.
Saab Automobile ABWednesday, 07 September 2011
MORE Credit Rating
key
D C CC CCC B BB BBB A AA AAA
modeFinance TM srlVAT number [email protected]
Area Science Park,Padriciano 99. 34149 Trieste, ItalyTel. +39 040 3755337Fax +39 040 3756741
Sector Analysis - Graphs
Saab Automobile ABWednesday, 07 September 2011
MORE Credit Rating
key
D C CC CCC B BB BBB A AA AAA
modeFinance TM srlVAT number [email protected]
Area Science Park,Padriciano 99. 34149 Trieste, ItalyTel. +39 040 3755337Fax +39 040 3756741
Balance Sheet
BALANCE SHEET (th e) 31/12/2010 31/12/2009 31/12/2008
Accounting practice Local GAAP Local GAAP Local GAAP
Exchange rate SEK - EUR 0.11154 0.09754 0.092
Total assets 1,122,079 841,589 919,779
Fixed assets 728,794 291,162 523,275
Intangible fixed assets 79,973 780 42,962
Tangible fixed assets 23,758 266,874 432,198
Other fixed assets 625,063 23,508 48,114
Current assets 393,285 550,427 396,504
Stocks 149,239 139,875 213,615
Debtors 42,831 14,144 21,527
Other current assets 201,216 396,409 161,361
Cash & cash equivalent 160,727 211,763 11,132
Shareholders funds 224,527 43,601 -329,439
Capital 70,492 61,646 58,142
Other shareholders funds 154,035 -18,045 -387,580
Total liabilities 897,552 797,988 1,249,218
Non current liabilities 331,270 32,676 95,492
Long term debt 268,920 0 0
Other non-current liabilities 62,350 32,676 95,492
Current liabilities 566,282 765,312 1,153,725
Loans 8,923 0 0
Creditors 133,512 53,745 146,090
Other current liabilities 423,847 711,566 1,007,635
Total shareh. funds & liab. 1,122,079 841,589 919,779
NET DEBT (th e) 31/12/2010 31/12/2009 31/12/2008
Short term debts 8,923 0 0
Long term debt 268,920 0 0
Cash & cash equivalent 160,727 211,763 11,132
Net debt 117,116 -211,763 -11,132
31/12/2010 31/12/2009 31/12/2008
Working capital 58,558 100,273 89,052
Net Current Assets -172,996 -214,884 -757,221
31/12/2010 31/12/2009 31/12/2008
Days Sales Of Inventory (DIO) 72 34 54
Days Sales Outstanding (DSO) 21 3 5
Days Payable Outstanding (DPO) 64 13 37
Cash Conversion Cycle (DIO + DSO - DPO) 29 24 22
Saab Automobile ABWednesday, 07 September 2011
MORE Credit Rating
key
D C CC CCC B BB BBB A AA AAA
modeFinance TM srlVAT number [email protected]
Area Science Park,Padriciano 99. 34149 Trieste, ItalyTel. +39 040 3755337Fax +39 040 3756741
Income Statement
INCOME STATEMENT (th e) 31/12/2010 31/12/2009 31/12/2008
Accounting practice Local GAAP Local GAAP Local GAAP
Exchange rate SEK - EUR 0.11154 0.09754 0.092
Sales 702,805 593,053 1,438,914
Revenues growth (%) 18.5 -58.8 -
Other revenues +/- variation in inventories and contract in progress + Fixed assets
own construction capitalized54,319 916,501 4,047
Operating revenue / turnover 757,124 1,509,554 1,442,961
Total operating costs 1,105,794 1,151,576 1,824,561
Costs growth (%) -4 -37 -
Service costs - - -
Material costs - - -
Costs of employees - - -
EBITDA -338,520 524,774 -229,991
Depreciation 10,150 166,796 151,610
EBIT -348,670 357,978 -381,600
Financial P/L -10,038 20,971 -35,971
Financial revenue 11,488 29,067 29,715
Financial expenses 21,527 8,096 65,685
Interest paid 6,692 7,413 33,579
P/L before tax -358,708 378,949 -417,571
Extr. and other P/L - 0 0
Extr. and other revenue - 0 0
Extr. and other expenses - 0 0
P/L before tax + Extr. and other P/L - 378,949 -417,571
Taxation -23,089 -4,292 -8,740
P/L for period -335,620 383,241 -408,831
31/12/2010 31/12/2009 31/12/2008
Costs of Good Sold 813,675 1,003,996 1,665,408
Gross Profit -110,869 -410,943 -226,495
Other Operating Expenses -237,800 147,580 159,154
31/12/2010 31/12/2009 31/12/2008
Cash flow -325,470 550,037 -257,222
Added value - - -
31/12/2010 31/12/2009 31/12/2008
Number of employees - 3,743 3,867
Saab Automobile ABWednesday, 07 September 2011
MORE Credit Rating
key
D C CC CCC B BB BBB A AA AAA
modeFinance TM srlVAT number [email protected]
Area Science Park,Padriciano 99. 34149 Trieste, ItalyTel. +39 040 3755337Fax +39 040 3756741
Evolutions and trends
Saab Automobile ABWednesday, 07 September 2011
MORE Credit Rating
key
D C CC CCC B BB BBB A AA AAA
modeFinance TM srlVAT number [email protected]
Area Science Park,Padriciano 99. 34149 Trieste, ItalyTel. +39 040 3755337Fax +39 040 3756741
Qualitative information
Full overview Saab Automobile AB is a Swedish company that manufactures passenger automobiles in the premium sector of
the market. The company has a headquarters located in Trollhätten, Norway and was incorporated on September
1985. It was officially formed in 1990 when General Motors Corporation purchased 50 percent of Saab - Scania’s
passenger car business. Saab Automobile is an operating subsidiary of the world’s largest automobile manufacturer,
General Motors. The company, considered as a small automaker in the auto industry of the late 20th century, has
an annual production capacity of approximately 125,000 cars, which include models, namely, the 9 - 3 Sport
Sedan, 9 - 3 Convertible, 9 - 3 SportCombi, 9 - 5 Sedan, and the 9 - 5 SportCombi, mostly are built at its factory
in Trollhätten and are sold and marketed in more than 60 countries. The largest markets for Saab automobiles
are the United States, Western Europe, Australia, Japan, Canada, and Taiwan. Its automobile operations became
a division of Saab - Scania AB following the 1969 merger of Saab AB and Scania - Vabis AB, a maker of trucks,
buses, and diesel engines.
History Not available.
Primary business line Manufactures passenger automobiles in the premium sector of the market.
Secondary business line Not available.
Main activity Manufacturing.
Secondary activity Not available.
Main products and services Not available.
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 Sweden.
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.
Saab Automobile ABWednesday, 07 September 2011
MORE Credit Rating
key
D C CC CCC B BB BBB A AA AAA
modeFinance TM srlVAT number [email protected]
Area Science Park,Padriciano 99. 34149 Trieste, ItalyTel. +39 040 3755337Fax +39 040 3756741
Auditor/Advisor/Bank
name type address
Enlund Sven ’Bertel’ Auditor -
Siberg ’Helene’ Marie Auditor -
Board
name date of birth nationality function
Mr Victor Roberto Muller 13/09/1959 - MD and Regular member
Sharehoders (the first twenty shareholders ordered by Direct %))
SWEDISH AUTOMOBILE N.V. Rating: C
Country ISO code NL Operating revenue (MIL $) 1,140
NACE Rev. 2, Core code - Total Assets (MIL $) 1,440
Direct % 100.00 Number of Employees 3,888
Total % 100.00 Information date 2010/12
Address: Not available
Subsidiaries (the first twenty subsidiaries ordered by Direct %)
GENERAL MOTORS NORDISKA AB Rating: AA
Country ISO code SE Operating revenue (MIL $) 126
NACE Rev. 2, Core code - Total Assets (MIL $) 1
Direct % 100.00 Number of Employees -
Total % 100.00 Information date 2011/01
GOLDCUP 6300 AB Rating: -
Country ISO code SE Operating revenue (MIL $) -
NACE Rev. 2, Core code - Total Assets (MIL $) -
Direct % 100.00 Number of Employees -
Total % 100.00 Information date 2011/08
Saab Automobile ABWednesday, 07 September 2011
MORE Credit Rating
key
D C CC CCC B BB BBB A AA AAA
modeFinance TM srlVAT number [email protected]
Area Science Park,Padriciano 99. 34149 Trieste, ItalyTel. +39 040 3755337Fax +39 040 3756741
SAAB AUTOMOBILE SPAIN SL. Rating: -
Country ISO code ES Operating revenue (MIL $) -
NACE Rev. 2, Core code - Total Assets (MIL $) -
Direct % 100.00 Number of Employees -
Total % 100.00 Information date 2011/08
SAAB CANADA INC (CANADA) Rating: -
Country ISO code CA Operating revenue (MIL $) -
NACE Rev. 2, Core code - Total Assets (MIL $) -
Direct % 100.00 Number of Employees -
Total % 100.00 Information date 2010/12
SAAB DEUTSCHLAND GESELLSCHAFT MIT BESCHRÄNKTER HAFTUNG Rating: B
Country ISO code DE Operating revenue (MIL $) 144
NACE Rev. 2, Core code - Total Assets (MIL $) 61
Direct % 100.00 Number of Employees -
Total % 100.00 Information date 2010/12
SAAB AUTOMOBILE ITALY Rating: -
Country ISO code IT Operating revenue (MIL $) -
NACE Rev. 2, Core code - Total Assets (MIL $) -
Direct % 100.00 Number of Employees -
Total % 100.00 Information date 2011/08
SAAB AUTOMOBILE PARTS AB Rating: B
Country ISO code SE Operating revenue (MIL $) 0
NACE Rev. 2, Core code - Total Assets (MIL $) 0
Direct % 100.00 Number of Employees 105
Total % 100.00 Information date 2011/03
SAAB AUTOMOBILE POWERTRAIN AB Rating: BBB
Country ISO code SE Operating revenue (MIL $) 205
NACE Rev. 2, Core code - Total Assets (MIL $) 89
Direct % 100.00 Number of Employees 439
Total % 100.00 Information date 2011/03
SAAB AUTOMOBILE TOOLS AB Rating: -
Country ISO code SE Operating revenue (MIL $) 45
NACE Rev. 2, Core code - Total Assets (MIL $) -
Direct % 100.00 Number of Employees -
Total % 100.00 Information date 2011/03
SAAB CARS AUSTRALIA PTY LTD Rating: -
Country ISO code AU Operating revenue (MIL $) -
NACE Rev. 2, Core code - Total Assets (MIL $) -
Direct % 100.00 Number of Employees -
Total % 100.00 Information date 2011/08
SAAB CARS NORTH AMERICA INC Rating: -
Country ISO code US Operating revenue (MIL $) -
NACE Rev. 2, Core code - Total Assets (MIL $) -
Direct % 100.00 Number of Employees -
Total % 100.00 Information date 2011/08
Saab Automobile ABWednesday, 07 September 2011
MORE Credit Rating
key
D C CC CCC B BB BBB A AA AAA
modeFinance TM srlVAT number [email protected]
Area Science Park,Padriciano 99. 34149 Trieste, ItalyTel. +39 040 3755337Fax +39 040 3756741
SAAB RIVE GAUGE Rating: -
Country ISO code FR Operating revenue (MIL $) -
NACE Rev. 2, Core code - Total Assets (MIL $) -
Direct % 100.00 Number of Employees -
Total % 100.00 Information date 2011/08
SAAB JAPAN INC. Rating: -
Country ISO code JP Operating revenue (MIL $) -
NACE Rev. 2, Core code - Total Assets (MIL $) -
Direct % MO Number of Employees -
Total % - Information date 2010/04
Saab Automobile ABWednesday, 07 September 2011
MORE Credit Rating
key
D C CC CCC B BB BBB A AA AAA
modeFinance TM srlVAT number [email protected]
Area Science Park,Padriciano 99. 34149 Trieste, ItalyTel. +39 040 3755337Fax +39 040 3756741
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.
Saab Automobile ABWednesday, 07 September 2011
MORE Credit Rating
key
D C CC CCC B BB BBB A AA AAA
modeFinance TM srlVAT number [email protected]
Area Science Park,Padriciano 99. 34149 Trieste, ItalyTel. +39 040 3755337Fax +39 040 3756741
Rating scale
Rating class Rating macro class Assessment
AAA
Healthy
The company’s capacity to meet its financial commitments is extremely strong. The company shows an excellent
economic and financial flow and fund equilibrium.
AAThe company has very strong creditworthiness. It also has a good capital structure and economic and financial
equilibrium. Difference from AAA is slight.
AThe company has a high solvency. The company is however more susceptible to the adverse effects of changes in
circumstances and economic conditions than companies in higher rated categories.
BBB
Balanced
Capital structure and economic equilibrium are considered adequate. The company’s capacity to meet its financial
commitments could be affected by serious unfavourable events.
BBA 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.
B
Vulnerable
The company presents vulnerable signals with regards to its fundamentals. Adverse business, financial, or economic
conditions will be likely to impair the company’s capacity or willingness to meet its financial commitments.
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
Risky
The company shows signals of high vulnerability. In the event of adverse market and economic conditions, the
company’s strong disequilibrium could increase.
CThe company shows considerable pathological situations. The company’s capacity to meet its financial
commitments is very low.
D The company has not any longer the capacity to meet its financial commitments.
Saab Automobile ABWednesday, 07 September 2011
MORE Credit Rating
key
D C CC CCC B BB BBB A AA AAA
modeFinance TM srlVAT number [email protected]
Area Science Park,Padriciano 99. 34149 Trieste, ItalyTel. +39 040 3755337Fax +39 040 3756741
Fundamental Credit Rating Ratios
Analysis area Ratio Assessment
Solvency ratios
Leverage ratioThis measures the level of total liabilities of the company in comparison
with equity.
Assets to debtThis indicates company’s solvency. The company shows a level of deficit
when the value of this ratio is under one unit.
Financial ratios Fixed Assets coverage ratioThis is calculated only for holdings. It measures the capital structure i.e.
whether a company covers the fixed assets with long term capital.
Liquidity ratios
Current ratioThis measures whether a company has sufficient short-term assets to cover
its short-term liabilities.
Quick ratioThis compares current liabilities only to those assets that can be readily
turned into cash.
Profitability and economic ratios
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 coverage ratio 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.
Saab Automobile ABWednesday, 07 September 2011
MORE Credit Rating
key
D C CC CCC B BB BBB A AA AAA
modeFinance TM srlVAT number [email protected]
Area Science Park,Padriciano 99. 34149 Trieste, ItalyTel. +39 040 3755337Fax +39 040 3756741
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 =
∑Available Information∑
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.
Saab Automobile ABWednesday, 07 September 2011
MORE Credit Rating
key
D C CC CCC B BB BBB A AA AAA
modeFinance TM srlVAT number [email protected]
Area Science Park,Padriciano 99. 34149 Trieste, ItalyTel. +39 040 3755337Fax +39 040 3756741
Notes and disclaimer
NOTES The present analysis was based on the company available financial statements as provided by Bureau Van Dijk
Electronic Publishing - ORBIS database (lack of both Notes to financial statements and Report on operations).
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
Company modeFinance
Products MORE rating
Where AREA Science Park
34149 Trieste, via Padriciano 99 - ITALY
Info [email protected]
web www.modefinance.com
Phone +39 040 3755337