MIRA INFORM REPORT

 

 

Report Date :

10.03.2008

 

 

IDENTIFICATION DETAILS

 

Name :

AL SALEM CHEMICAL SERVICES & CONTRACTING CO WLL

 

 

Registered Office :

Abdullah Mohamed Building, 3rd Floor, Office No. 28, Al Qibla Area, PO Box 62, Safat 13001

 

 

Country :

Kuwait

 

 

Financials (as on) :

31.12.2007

 

 

Date of Incorporation :

18.05.1968

 

 

Com. Reg. No.:

14814, Safat

 

 

Legal Form :

With Limited Liability - WLL

 

 

Line of Business :

Import and Distribution of Chemicals and Laboratory Equipment and Supplies

 

 

RATING & COMMENTS

 

MIRA’s Rating :

Ba

 

RATING

STATUS

PROPOSED CREDIT LINE

41-55

Ba

Overall operation is considered normal. Capable to meet normal commitments.

Satisfactory

 

Maximum Credit Limit :

US$ 250,000

 

 

Status :

Good

 

 

Payment Behaviour :

Regular

 

 

Litigation :

Clear

 

 

 

 

 

 

SUMMARY

 

Company Name                         : AL SALEM CHEMICAL SERVICES & CONTRACTING CO WLL

Country of Origin                                    : Kuwait

Legal Form                                            : With Limited Liability - WLL

Registration Date                                   : 18th May 1968

Commercial Registration Number            : 14814, Safat

Trade Licence Number                            : 95/72

Membership Number                              : 1665

Issued Capital                                        : KD 100,000

Paid up Capital                                      : KD 100,000

Total Workforce                                     : 20

Line of Business                                    : Import and distribution of chemicals and laboratory

                                                              equipment and supplies

Financial Condition                                 : Fair

Payments                                             : Nothing detrimental uncovered

Operating Trend                         : Steady

 

 

 

 

 

COMPANY NAME

 

AL SALEM CHEMICAL SERVICES & CONTRACTING CO WLL

 

 

ADDRESS

 

Registered & Physical Address

 

Building             : Abdullah Mohamed Building, 3rd Floor, Office No. 28

Area                 : Al Qibla Area

PO Box             : 62

Town                 : Safat 13001

Country             : Kuwait

Telephone         : (965) 2443209 / 2429532

Facsimile          : (965) 2436827

Email                : alsalem@qualitynet.net

 

 

Premises

 

Subject operates from a medium sized suite of offices that are rented and located in the Suburban Business Area of Safat.

 

 

Branch Office (s)

 

     Location                                                                   Description

 

·       Canada Dry Street                                                     Owned laboratory & warehouse

Shuwaikh

     Tel: (965) 4817391

 

·       Sulaibiyah                                                                Sales Office

 

·       Ardiyah                                                                    Sales Office

 

 

KEY PRINCIPALS

 

·       Abbas Salem Mohamed                                             Managing Director

 

·       Abdullah Abbas Al Shatti                                           Director

 

·       Ali Abbas Al Shatti                                                    Director

 

·       Farooq Dalfi                                                              Commercial Manager

 

 

LEGAL FORM & OWNERS

 

Date of Establishment  : 18th May 1968

 

Legal Form                  : Sharikat Thet Massouliya Mahdoudeh (With Limited Liability - WLL)

 

Commercial Reg. No.  : 14814, Safat

 

Trade Licence No.       : 95/72

 

Membership No.          : 1665

 

Issued Capital              : KD 100,000

 

Paid up Capital            : KD 100,000

 

 

Name of Shareholder (s)

 

·       Abbas Salem Mohamed

 

·       Abdullah Abbas Al Shatti

 

·       Ali Abbas Al Shatti

 

Notes to the legal Form 

 

Limited Liability Companies, which are known in Kuwait as WLLs (“With Limited Liability”), are the most commonly used corporate entities in Kuwait. They are the equivalent of French SARLs, German GmbHs or private companies in the United Kingdom.

 

Under the Kuwaiti Commercial Companies Law a WLL may be formed by a minimum of 2 and a maximum of 30 natural or legal persons, whose liability is limited to their shares in the company’s capital. At least 51 percent of the capital must be owned by Kuwaitis. The minimum amount of capital required is KD 7,500. Contributions to capital may be made in cash of kind. Capital may not be increased by public subscription. The full amount of the share value must be paid in on subscription. Shares may not be assigned to a non-member, unless the other existing members are granted a pre-emptive right to purchase the shares. WLLs may not engage in banking, insurance or investment activities on behalf of others.

 

 

LINE OF BUSINESS

 

Operations : Engaged in the import and distribution of chemicals for laboratories, water

treatment chemicals, water and oil testing equipment as well as laboratory glassware.

 

Import Countries : United States of America, Germany, France, United Kingdom and

      Thailand.

 

International Suppliers :

 

·       Hach Co                                           United States of America

·       Hach Lange                                      Germany

·       Brand GmbH & Co                            Germany

·       Abiss S.A                                         France

·       Tintometer Ltd                                   United Kingdom

·       Johnson Mathey Ltd                          United Kingdom

·       Thai Sulphites & Chemicals Co          Thailand

 

Operating Trend : Steady

 

Subject has a workforce of 20 employees.

 

 

FINANCIAL HIGHLIGHTS

 

Financial highlights provided by outside sources are given below :

 

Currency : Kuwaiti Dinars (KD)

 

                                                Year Ending 31/12/06:                Year Ending 31/12/07:

 

Sales                                        KD 2,190,000                            KD 2,350,000

 

Local sources consider subject’s financial condition to be Fair.

 

 

BANKERS

 

·       Bank of Kuwait & the Middle East KSC

Abdullah Al Salem Street

Darwaza Abdul Razzak

PO Box : 71

Safat 13001

Tel : (965) 2459771

Fax : (965) 2461430

 

 

PAYMENT HISTORY

 

No complaints regarding subject’s payments have been reported.

 

 

GENERAL COMMENTS

 

Opinion on the credit figure of US$ 150,000:

 

During the course of this investigation nothing detrimental was uncovered regarding subject’s operating history or the manner in which payments are fulfilled. As such the company is considered to be a fair trade risk and the above credit figure is within subject’s financial means.

 

Maximum suggested credit figure: US$ 250,000

 

 

 

 

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