MIRA INFORM REPORT

Report Date :

10.04.2008

IDENTIFICATION DETAILS

Name :	CITY STEEL MILLS (PRIVATE) LIMITED

Registered Office :	4-Rajput Street, Badami Bagh, Lahore

Country :	Pakistan

Date of Incorporation :	1983

Com. Reg. No.:	0010615

Legal Form :	Private Limited Company

Line of Business :	Manufacture and Marketing of Steel Products

RATING & COMMENTS

MIRA’s Rating :

RATING		STATUS	PROPOSED CREDIT LINE
41-55	Ba	Overall operation is considered normal. Capable to meet normal commitments.	Satisfactory

Status :	Satisfactory

Payment Behaviour :	No Complaints

Litigation :	Clear

Business Name

CITY STEEL MILLS (PRIVATE) LIMITED

Full Address

Registered Address

4-Rajput Street, Badami Bagh, Lahore, Pakistan

Tel	92 (42) 7285381, 7287233
Fax	92 (42) 7603412
Email	citysteel2000@hotmail.com

Short Description Of Business

Nature of Business	Manufacture & Marketing of Steel Products
Year Established	1983
Registration #	0010615

Branches

In Karachi & Rawalpindi

Auditors

Maqbool Haroon & Co.

(Chartered Accountants)

47-C-3, Gulberg III, Lahore, Pakistan

Legal Status

Subject Company was established as a Private Limited Company in 1983

Authorized Capital	Rs. 5,000,000/- divided into 50,000 shares of Rs. 100/- each
Issued & Paid up Capital	Rs. 1,660,000/- divided into 16,000 shares of Rs. 100/- each

Details of Chief Executive/ Directors

Names

Nationality

Address

Occupation

Designation

Mr. Muhammad Arshad

Mst. Asmat Begum

Mrs. Samina Asad

Pakistani

93-B, Model Town, Lahore

Business

Chief Executive

Director

Shareholders

Names

Mr. Muhammad Arshad

Mst. Asmat Begum

Mrs. Samina Asad

Associates

A. Subsidiary

None

B. Associated Companies

(1) City Steel Uae Mills Pvt Ltd, Pakistan.

Products / Services

Manufacture & marketing of Steel Products including Angles & Bars, Steel, Steel Plain Bars, Cold Twister Bars, Seformed Steel Bars, Special Alloy Steel, Carbon Steel Bars, Tmt Bars

Number of Employees

150

Trade Suppliers (Foreign)

ELECTROTHER M (INDIA) LIMITED, INDIA.

SUMI-BELL CORPORATION PTE LIMITED, SINGAPORE.

SIMS GROUP UK LIMITED, U.K.

Annual Production Volume

Approximately 50,000 - 100,000 Tons per annum

Annual Sales Volume

Year	In Pak Rupees
2006	200,000,000/- (Estimated)

Customers

Mainly Traders, Dealers, Government Enterprises, Private Steel Manufacturing Companies etc

Bankers

Habib Bank Limited, Pakistan.

MCB Bank Limited, Pakistan.

Bank Alfalah Limited, Pakistan.

The Bank of Punjab, Pakistan.

Memberships

· Lahore Chamber of Commerce & Industry. (LCCI)

Foreign Exchange Rates

Currency	Unit	Pakistani Rupee
US Dollar	1	Rs. 63.60
UK Pound	1	Rs. 125.45
Euro	1	Rs. 100.10

Comments

Subject Company was established in 1983 and is engaged in manufacture of Steel Products. Market reputation is good. Trade relations are reported as fair. The Company can be considered for normal business dealings at usual trade terms and conditions.

RATING EXPLANATIONS

RATING		STATUS	PROPOSED CREDIT LINE
>86	Aaa	Possesses an extremely sound financial base with the strongest capability for timely payment of interest and principal sums	Unlimited
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
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
41-55	Ba	Overall operation is considered normal. Capable to meet normal commitments.	Satisfactory
26-40	B	Unfavourable & favourable factors carry similar weight in credit consideration. Capability to overcome financial difficulties seems comparatively below average.	Small
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
<10	C	Absolute credit risk exists. Caution needed to be exercised	Credit not recommended
NR		In view of the lack of information, we have no basis upon which to recommend credit dealings	No Rating

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%)

PRIVATE & CONFIDENTIAL : This information is provided to you at your request, you having employed MIPL for such purpose. You will use the information as aid only in determining the propriety of giving credit and generally as an aid to your business and for no other purpose. You will hold the information in strict confidence, and shall not reveal it or make it known to the subject persons, firms or corporations or to any other. MIPL does not warrant the correctness of the information as you hold it free of any liability whatsoever. You will be liable to and indemnify MIPL for any loss, damage or expense, occasioned by your breach or non observance of any one, or more of these conditions