MIRA
INFORM REPORT
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Report Date : |
22.07.2008 |
IDENTIFICATION
DETAILS
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Name : |
MODJO TANNERY SHARE COMPANY |
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Formerly Known as : |
DOFAN ETHIOPIA |
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Registered Office : |
P.O Box 3 Addis Ababa |
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Country : |
Ethiopia |
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Date of Incorporation : |
12.08.1964 |
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Com. Reg. No.: |
25130 Ethiopia |
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Legal Form : |
Limited Liability Company, Limited by Shares |
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Line of Business : |
Produce and Export of Tannery Products |
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 : |
USD 80,000 |
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Status : |
Satisfactory |
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Payment Behaviour : |
No Complaints |
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Litigation : |
Clear |
COMPANY REPORTED
MODJO TANNERY SHARE
COMPANY
Former Name: DOFAN ETHIOPIA
Principal Address
P.O Box 3 Addis Ababa, Ethiopia
Telephone: +251-11-5514856/514793
Email: modjan@ethionet.et
Established
12/08/1964
Registration
No. 25130 Ethiopia
VAT number
11/59.140.30/318/90
Legal Form
Limited Liability
Company, Limited by shares
Stock Listing
Not Listed
Workforce
2007
400
Office & Factories
Head offices Dire Tower Building Sebategna, Addis Ababa,
Ethiopia
Branches none
Company Profile
Paid in Capital ETB. 1,000,000
Subscribed Capital ETB. 1,000,000
Shareholders
Name Position Amount
Ratio
Mr. Tesfaye Begna CEO
Mrs. Emebet
Tafesse Director
Mr. S Miftah Director
Dofan int Company Holding co 100.00%
Total 100.00%
Credit Opinion
Our proposed credit amount of USD 80,000 is recommendable
Affiliated Companies
None Stated
Management/ Directors
President/ CEO (1)
Name Mr. Tesfaye Begna
Remarks Top
Decision Maker
President/ CEO (2)
Name Mrs.
Emebet Tafesse
Þ Top decision maker is the person who has the
ultimate authority or power to make important managerial decisions. He/She may
or may not be officially registered as a president or an executive director.
Business Activities
Produce and export
of tannery products
Terms of payment
Buying terms 20% in cash, 80% on credit
Selling terms 50% in cash, 50% on credit
Suppliers
Pastoralist, Distributors,
Public
Customers
Industries & Large
scale Distributors
Recent Sales
ETB. 74,000,000
(2007)
Exports
Europe & Asia
Export Ratio
90.0%
Import Ratio
0.0%
Domestic Market Share
30.0%
Banking relationship
Main Banks Nashen Bank
Credit Check of Subject,
President & CEO (as of report date)
Payment Morale: In the documents at our
disposal nothing adverse has been shown so far.
CREDIT RATING: Financial situation is
average.
COMMENTS
Maximum credit we recommend is USD 80,000 outstanding at any one time.
FOREIGN EXCHANGE RATES
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Currency |
Unit
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Indian Rupees |
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US Dollar |
1 |
Rs.41.96 |
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UK Pound |
1 |
Rs.83.78 |
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Euro |
1 |
Rs.65.82 |
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. |
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%)