MIRA INFORM REPORT
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Report Date : |
02.12.2011 |
IDENTIFICATION DETAILS
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Correct Name : |
SRI LANKA RAILWAYS |
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Registered Office : |
Sir Henry Olcott Mawatha, Colombo 10 |
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Country : |
Sri Lanka |
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Year of Establishment : |
1864 |
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Com. Reg. No.: |
Not applicable as it is a Govt. Department |
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Legal Form : |
A Department of the Government of Sri Lanka under the Ministry of Transport |
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Line of Business : |
Construct, Maintain, Operate & Improve Railways and Transportation of passengers and goods by trains |
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No. of Employees
: |
Approx. 14,400 Persons |
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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Status : |
Satisfactory |
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Payment
Behaviour : |
No Complaints |
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Litigation : |
Clear |
NOTES :
Any query related to this report can be made
on e-mail : infodept@mirainform.com
while quoting report number, name and date.
ECGC Country Risk Classification List – September 30th, 2011
|
Country Name |
Previous Rating (30.06.2011) |
Current Rating (30.09.2011) |
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Sri Lanka |
b1 |
b1 |
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Risk Category |
ECGC
Classification |
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Insignificant |
A1 |
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Low |
A2 |
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Moderate |
B1 |
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High |
B2 |
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Very High |
C1 |
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Restricted |
C2 |
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Off-credit |
D |
GENERAL- Basic information at a glance
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Name of Subject of Inquiry |
: |
SRI
LANKA RAILWAYS
(Correct
name of the org. is “Department of Sri Lanka Govt. Railways”
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|
Legal Form & Status |
: |
A Department of the Government of Sri Lanka under
the Ministry of Transport |
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General Manager |
: |
B.A.P. Ariyaratne |
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Primary Line of Business |
: |
Construct,
Maintain, Operate & Improve Railways and Transportation of passengers and
goods by trains |
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Head Office
& Place of Business |
: |
Department of Government Railways, Sir Henry Olcott Mawatha, Colombo 10. P.O. box 1347. Sri Lanka Tel.
No: (00 94 11) 242 1280 - 89 (General) Fax No: (00 94 11) 244 6490 E
Mail: gmrslr@sltnet.lk |
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No. of
Employees |
: |
Approx.
14,400 |
COMPANY DETAILS- Registration and Shareholder Details
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Registration No |
: |
Not applicable as it is a Govt. Department |
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Date of Registration |
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Established in 1864 (Under the then British Administration) |
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Registered Office |
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Sir Henry Olcott Mawatha, Colombo 10. Sri
Lanka |
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Top Management Team As At 28th
November, 2011 |
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Hon. Kumara Welgama, MP |
Hon. Minister of Transport |
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Hon. Rohana Kumara Dissanayake, MP |
Hon.Deputy Minister |
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Mr. Dhammika Perera |
Secretary to the Ministry |
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Mr. B.A.P. Ariyaratne |
General Manager, Railways |
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Auditors |
: |
Auditor General,
Govt. of Sri Lanka |
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CURRENT INVESTIGATION
·
History.
The Subject Government Organisation, Sri Lanka Government Railways or the Sri Lanka Railways is a Department of the Government of Sri Lanka established in 1864 by the British and continue to function as a govt. institution under the Ministry of Transport. It is commonly known as by its original name, CGR (Ceylon Govt. Railways) or Sri Lanka Railways
Funds are allocated by the Annual Budget
passed in the Parliament.
·
Location.
The Head Office of
the subject Govt. Department is located at the client given address.
·
Operations
Details.
General
The primary line of
business the Sri Lanka Railways is to construct, maintain , improve and operate Railways and transportation of
passengers and goods by railroads. Sri Lanka Railways (CGR) operates 5 main
rail routes linking Colombo with other cities, such as:
Main Line –
Colombo to Badulla
Northern Line – Colombo to
Jaffna and Batticaloa (city in the eastern coast)
Southern line – Colombo to
Matara
Mannar Line – Colombo Mannar
(North West coast)
Keleni-valley line – Colombo
to Avissawella
Total distance covered is Approx.1500 kilo meters.
Types of Trains/engines – Class M ; Class W; Class S; Class N & P;
Class Y.
Rolling Stock:
Diesel Electric Locos - 60 nos;
Diesel HYDROLIC Locos -10; Diesel Multiple Units- 55
Carriages- 900; Goods wagons- 600; Oil Tankers- 152
No. of Stations – 164; Sub stations- 162; Train Control Centres- 03
SLR owns and maintains 1420 km of rail tracks, 175
locomotives, 900 carriages and the signalling network. At present, it has a
workforce of 14,400.
Sri Lanka Railway operates approximately 310 trains which
include 45 Long-Distance and 12 Intercity trains and carries about 0.29 Million
passengers daily.
It is estimated that the Railway carries 105 million passengers and 1.6
million metric tonnes of goods per year.
Accordingly, it performs 4.4 bn. passengers kilo meters and 138 million
freight tonne kilometres annually.
Products /
Services
Long distance and intercity Express Service
Parcel Service is offered between all sections. Intercity night trains
carry the Mail for the Postal Dept.
Freight Services are offered by goods Trains running between Colombo
and major outstations cities.
Special charter services are offered using Air – Conditioned Train sets and
Special Train sets for large groups
Station Accommodation available in Kandy, Polonnaruwa, Betticaloa,
Anuradhapura, Mihintalaya, Trincomalee, and Galle
Colombo Commuter Trains offer slow and semi express service for
commuters travelling to and from Colombo
Railway
Network
Future Plans
Following are the
future plans to be implemented as stated by the Sri Lanka Railways:
Short term
Improve
cleanliness quality of coachers / Station
Reduce
train delays by 25 % & accidents/ derailment 50%
Remove
all speed restrictions less than 8 Km Ph
Establish
management structure based on performance evaluation and monitoring process
Medium term
Revival
of Freight Service
Petroleum
Products: 20% ->60%
Petroleum
Products: 20% ->60%
Attracting
more passengers and Freight through image building
Special
Value Added train Services
Long term
Expansion
of the network
Technology
improvements - Faster trains and speedy tracks, Communication and
Information technology,
Electrification
Commercialization
- Making SLR financially viable.
Import Country
Locomotives - China, France and India
Carriages etc.
– China, India
Employees
The total strength of
employees is estimated as approx.14, 400.
·
Financial Data
As reported by the Sri Lanka
Railway the income for 2010/11 of the Sri Lanka Railways as
follows:
* By passenger transport –
US$. 32.0 millions
* By goods transport - US$ 5.3 million
(US$ 1.0 = Rs. 115.85)
No detailed
report is available with regard to finances.
·
Credit
Recommendations
Since no financial
information has been forthcoming from the organisation, it is not possible to
comment on the merits or otherwise.
Sri Lanka Railways is a
fully government owned department and is mainly service oriented, and funds to
run the dept. are allocated by the Annual Budget passed by the Parliament and
all transactions are guaranteed by the government and are governed by State Financial Regulations and
Administration Regulations.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.51.65 |
|
UK Pound |
1 |
Rs.81.06 |
|
Euro |
1 |
Rs.69.51 |
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 |
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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NB |
New Business |
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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%)
This report is issued at your request without any risk
and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or its
officials.