MIRA INFORM REPORT

 

 

 

Report Date :

13.12.2008

 

IDENTIFICATION DETAILS

 

Name :

MADINA TANNERY

 

 

Registered Office :

Hathazari Road, P.O. Jalabad, Chittagong

 

 

Country :

Bangladesh

 

 

Financials (as on) :

2007

 

 

Year of Establishment :

1983

 

 

Legal Form :

Proprietorship

 

 

Line of Business :

Manufacturing and Exporting of various types of Leathers.

 

RATING & COMMENTS

 

MIRA’s Rating :

B

 

RATING

STATUS

PROPOSED CREDIT LINE

26-40

B

Unfavourable & favourable factors carry similar weight in credit consideration. Capability to overcome financial difficulties seems comparatively below average.

Small

 

Status :

Small Concern

 

 

Payment Behaviour :

No Complaints

 

 

Litigation :

Clear

 

 

 

COMPANY DETAILS

 

Name:                                       Madina Tannery

 

Address:                                   Hathazari Road,

                                                P.O. Jalabad,

                                                Chittagong,

 

Country:                                    Bangladesh      

 

Tel No:                                      880-31-613916

 

Fax No:                                     880-31-617605

 

E-Mail:                                      NIL

 

Established:                              1983

 

Incorporation No:                        N/A

 

Incorporation Date:                     N/A

 

Legal Structure:                         The subject is a proprietorship Concern

 

 

Business Type:                          Manufacturer and Exporter

 

Status:                                      Satisfactory

 

Payments:                                No complaints have been heard regarding payments 

                                                from local suppliers or banks.

 

Litigation:                                  NIL

 

 

LOCATIONS

 

Head Office:                              114, Poet Nazrul Islam Road,
Sadarghat,
Chittagong,
Bangladesh.

           

Tel No:                                     880-31-613916  

 

Fax No:                                    880-31-617605

 

E-Mail:                                     NIL

 

Branch:                                    NIL

 

Factory:                                    Hathazari Road,

                                                P.O. Jalabad,

                                                Chittagong.

 

Factory Tel No.:                         880-31-682685

 

Warehouse:                               Hathazari Road,

                                                P.O. Jalabad,

                                                Chittagong.

 

 

PROPRIETOR & CEO

 

Name:                                       Mr.Abu Mohammad

Designation:                             Proprietor         

 

 

BUSINESS DETAILS

 

Line of Business:                       Manufacturer and Exporter

 

Items Dealing In:                        Crust and Finished Leather

 

Terms of Sale:                           1 Against L/C

 

Production Capacity:                  8 million square feet per year

           

Last Year Production:                 8 million square feet

 

 

BANKERS

 

Name:                                       Pubali Bank Limited

Branch:                                     Laldighi Corporate Branch

 

Address:                                   Laldighi,

                                                Chittagong

 

Name:                                       Janata Bank Limited

Branch:                                     Agrabad Foreign Exchange Branch

 

Address:                                   Agrabad Commercial Area,

                                                Chittagong

 

 

FINANCIAL INFORMATION*

 

 

 

2007

 

2006

 

2005

 

Capital Investment

Tk.50 million

Tk.50 million

Tk.49.5 million

Turnover

Tk.350 million

Tk.348 million

Tk.348.7million

Liability

Tk.15 million

Tk.14.6 million

Tk.14 million

Fixed Assets

Tk.65 million

Tk.65 million

Tk.65 million

 

 The subject has flatly refused to reveal any financial information. Whatever shown here are collected unofficially and as such its authenticity could not be verified.

 

CAPITAL STRUCTURE

 

Authorized Capital

:

N/A

Paid Up Capital

:

N/A

Each Share Value

:

N/A

 

EXCHANGE RATE

 

CURRENCY

UNIT

BANGLADESHI TAKA

GB Pound

1

137.1626

U.S Dollar

1

  69.4000

European Euro

1

108.8231

Japanese Yen

1

   0.6729

Australian Dollar

1

 65.7102

 

 

 

 

 

 

 

 

 

GENERAL INFORMATION

 

No of Employees:                      180

Executives-------------------01 

Junior Executives----------05

Engineers--------------------03

Tanners----------------------20

Quality Control-------------15

Supervisory Staffs- ------05

Support Staffs- -----------10                                                          

General Staffs-------------08

Technicians- --------------04

Workers-------------------109

                                               

Office Area:                               1,250 sq.ft (rented)

 

Factory Area:                            25,000 sq.ft (rented)

 

Warehouse Area:                       5,000  sq.ft.(rented)

 

Range of Products:                    1 Footwear – Upper leather

                                                1 Footwear – Lining leather

1 Upholstery leather

1 Gloving leather

 

Exported To:*                            1  USA,

1  Hong Kong

1  Taiwan

1  Australia

1  Spain

1  India

1  France

1  Mexico

1  Portugal

1  Italy

 

* The subject refused to reveal the names of their buyers

 

Major Clients:                            1  Bangladesh Finished Leather, Leather Goods Exporters

                                               Association, Dhaka

1      Chittagong Chamber of Commerce & Industries,

     Chittagong.

 

Name of the Group:                    Madina Group

 

Subsidiaries:                             1 Madina Shoe Manufacturing Company

                                                1 Madina Leather & Allied Products

                                                1 Rasar Garments

                                                1 Chittagong Trade House

 

           

COMMENTS

 

The subject is a proprietorship concern engaged in manufacturing and exporting of various types of leathers. The major portions of the subject’s products are exported to foreign countries and only a small part is sold in the domestic market. The subject is well reputed among its clients as a reliable supplier of leather and is one of the oldest tanneries of the country.

 

The proprietor is well conversant in their line of trade and he is also experienced businessman. He is financially solvent and good at his business commitments, it is reported.

 

The concern is good for normal business engagements.

 

 

FOREIGN EXCHANGE RATES

 

Currency
Unit

Indian Rupees

US Dollar

1

Rs.48.71

UK Pound

1

Rs.72.85

Euro

1

Rs.64.70

 

 

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