MIRA
INFORM REPORT
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Report Date : |
01.11.2007 |
IDENTIFICATION
DETAILS
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Name : |
ELECTRICAL MAINTENANCE (LUSAKA) LIMITED |
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Registered Office : |
Luanshya Road, Plot 195,
East
End (Off Great Northern Road),
P. O. Box 31189, Lusaka, 10101 |
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Country : |
Zambia |
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Date of Incorporation : |
1964 |
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Com. Reg. No.: |
4694 |
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Legal Form : |
Private Limited Liability Company |
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Line of Business : |
Manufacturers, importers and wholesalers of electrical appliances
such as hot-plates, electric stoves, lighting fittings and motor control
centres. |
RATING &
COMMENTS
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MIRA’s Rating : |
Ba |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
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Maximum Credit Limit : |
KWACHA 500,000,000 |
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Status : |
Satisfactory |
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Payment Behaviour : |
Regular |
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Litigation : |
Clear |
COmpany NAME
ELECTRICAL MAINTENANCE
(LUSAKA) LIMITED
ADDRESS
Street : Luanshya Road, Plot 195
Area : East End (Off Great Northern Road)
P.O. Box :
31189
Town : Lusaka
Post Code :
10101
Country : Zambia
Telephone :
(260 1) 227824 / 227825 / 227826 / 227827 / 227828 / 235366 / 2353670
Fax : (260 1) 226551 / 237014
E-Mail : mail@eml-eis.com ceo@eml-eis.com
Shortform Name
EML
SENIOR COMPANY
PERSONNEL
Name Position
1. George Narder Managing Director
2. Serafina Nives Narder
(Mrs) General Manager
3. Kiran Naik Commercial Manager
4. Pirira Modjat Financial Manager
Total Employees
600
PAYMENTS
No complaints have been
heard regarding payments from local suppliers or banks.
Subject is a well known
manufacturer of electrical appliances in the country, operating since 1964.
We consider it is
acceptable to deal with subject for MEDIUM amounts, although it is normal
accepted practice for international suppliers to deal on secured terms with
Zambian importers.
Opinion on maximum credit
: KWACHA 500,000,000
Trade risk assessment :
Normal
Opinion on the credit
figure of RAND 1,500,000:
The above figure is
higher than normally seen in one amount, however could prove admissible if
split into two transactions provided the total indebtedness is strictly
monitored.
TRADE REFERENCES
NAME : MK ELECTRIC LTD
Street : Shrubbery Road
Town : London N9
Country : UK
Telephone :
(44 20) 8803 3355
Fax : (44 20) 8807 5733
Contact : Peter Wood
NAME : SIEMENS AG
Street : Hofmannstrasse 51
P.O. Box : 700077
Town : 8000 Munich 70
Country : Germany
PRINCIPAL BANKERS
NAME :
STANDARD CHARTERED BANK (Z) LTD
Branch :
North End
P.O. Box : 31353
Town :
Lusaka
Telephone : (260 1) 228 514
Fax :
(260 1) 221 857
The Company also has an
account with Barclays Bank of Zambia Ltd.
FINANCIAL INFORMATION
Balance sheets are not
available. However, the subject interviewed offered the following information :
Sales Turnover : KWACHA 10,600,000,000 - 2002 - exact
: KWACHA 16,500,000,000 - 2003 - exact
: KWACHA 18,000,000,000
- 2004 - exact
: KWACHA 19,000,000,000 - 2005 - exact
: KWACHA 26,000,000,000 - 2006 - exact
Net Profit :
KWACHA 814,000,000 - 2002 - exact
: KWACHA 1,485,000,000 -
2003 - exact
: KWACHA 1,600,000,000 -
2004 - exact
: KWACHA 1,500,000,000 -
2005 - exact
: KWACHA 1,560,000,000 -
2006 - exact
Financial year ends 31
December.
LEGAL STATUS AND
HISTORY
Date Started : 1964
History : The subject was
established in 1964 and registered on 9 January 1968. This is a family-owned
business and George Narder, Italian by birth, is an engineer himself.
C.R. No. : 4694
Paid up Capital : KWACHA
350,000,000 (increased from KWACHA 42,000,000 in 2001; increased from
KWACHA 40,000,000 in 1995)
Private Limited Liability
Company with the following shareholders :
Percentage
1. George Narder 95 %
DRT 8 Twinpalm Road
Kabulonga
Lusaka
Tel : (1) 261096
2. Serafina Nives
Narder 5 %
(wife of the above)
Affiliated companies of
Electrical Maintenance (Lusaka) Ltd :
Associates
1. Electrical
Instrumentation Services Ltd
Kitwe
Tel: (2) 228077 / 228442 / 228843
Fax: (2) 52580
(assemblers of hospital equipment)
2. Watergreen Farms Ltd
address as per heading
Tel: (1) 223887 / 223888 / 230878
(suppliers of Shoprite stores since March
2003)
ACTIVITIES
The Company is involved
in the following activities :
Manufacturers, importers
and wholesalers of electrical appliances such as hot-plates, electric stoves, lighting
fittings and motor control centres.
Imports from UK, Germany, France, Japan, USA, Kenya,
Zimbabwe and South Africa.
Principal Agencies Held :
- Siemens AG, Teleprinter
machines
- Osram AG, Lighting
fittings
- Volex UK, Electrical
switches
- Custom Tooling
Equipment, South Africa
- CBI, South Africa
- Telemechanique, France
FACILITIES
The Company has the
following facilities :
Owned premises comprising
manufacturing plant, storage facilities and offices located at the heading
address.
Subject previously
operated from Lumumba Rd, Plot 5124, Light Industrial Area, Lusaka 10101.
RATING
EXPLANATIONS
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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>86 |
Aaa |
Possesses an extremely sound financial base with the strongest capability
for timely payment of interest and principal sums |
Unlimited |
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71-85 |
Aa |
Possesses adequate working capital. No caution needed for credit
transaction. It has above average (strong) capability for payment of interest
and principal sums |
Large |
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56-70 |
A |
Financial & operational base are regarded healthy. General
unfavourable factors will not cause fatal effect. Satisfactory capability for
payment of interest and principal sums |
Fairly Large |
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41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
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26-40 |
B |
Unfavourable & favourable factors carry similar weight in credit
consideration. Capability to overcome financial difficulties seems comparatively
below average/normal. |
Small |
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11-25 |
Ca |
Adverse factors are apparent. Repayment of interest and principal sums
in default or expected to be in default upon maturity |
Limited with
full security |
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<10 |
C |
Absolute credit risk exists. Caution needed to be exercised |
Credit not
recommended |
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NR |
In view of the lack of information, we have no basis upon which to
recommend credit dealings |
No Rating |
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This score serves as a reference to assess SC’s credit risk
and to set the amount of credit to be extended. It is calculated from a
composite of weighted scores obtained from each of the major sections of this
report. The assessed factors and their relative weights (as indicated through
%) are as follows:
Financial
condition (40%) Ownership
background (20%) Payment
record (10%)
Credit history
(10%) Market trend
(10%) Operational
size (10%)