MIRA INFORM REPORT

Report Date :

08.12.2012

IDENTIFICATION DETAILS

Name :	EL OBOUR PAINTS & CHEMICAL INDUSTRIES SAE
Registered Office :	Cairo - Ismailia Road 1^st Industrial Zone, Obour City 1 Cairo
Country :	Egypt
Financials (as on) :	31.12.2011
Date of Incorporation :	1999
Reg. No.:	1063
Legal Form :	Egyptian Joint Stock Company
Line of Business :	Manufacture and distribution of paints, printing inks, wrapping and metals.
No. of Employees :	800

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

Status :	Good
Payment Behaviour :	Regular
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 – June 30^th, 2012

Country Name	Previous Rating (31.03.2011)	Current Rating (30.06.2012)
Egypt	A2	A2

Risk Category	ECGC Classification
Insignificant	A1
Low	A2
Moderate	B1
High	B2
Very High	C1
Restricted	C2
Off-credit	D

Egypt - ECONOMIC OVERVIEW

Occupying the northeast corner of the African continent, Egypt is bisected by the highly fertile Nile valley, where most economic activity takes place. Egypt's economy was highly centralized during the rule of former President Gamal Abdel NASSER but opened up considerably under former Presidents Anwar EL-SADAT and Mohamed Hosni MUBARAK. Cairo from 2004 to 2008 aggressively pursued economic reforms to attract foreign investment and facilitate GDP growth. Despite the relatively high levels of economic growth in recent years, living conditions for the average Egyptian remained poor and contributed to public discontent. After unrest erupted in January 2011, the Egyptian Government drastically increased social spending to address public dissatisfaction, but political uncertainty at the same time caused economic growth to slow significantly, reducing the government's revenues. Tourism, manufacturing, and construction are among the hardest hit sectors of the Egyptian economy, and economic growth is likely to remain slow at least through 2012. The government is utilizing foreign exchange reserves to support the Egyptian pound and Egypt may seek a loan from the International Monetary Fund.

Source : CIA

SUMMARY

Company Name : EL OBOUR PAINTS & CHEMICAL INDUSTRIES SAE

Country of Origin : Egypt

Legal Form : Egyptian Joint Stock Company

Registration Date : 1999

Commercial Registration Number : 1063

Industrial Registration Number : 28315

Tax Card Number : 205-034-586

Issued Capital : £E 200,000,000

Paid up Capital : £E 200,000,000

Total Workforce : 800

Activities : Manufacture and distribution of paints, printing inks, wrapping and metals.

Financial Condition : Good

Payments : Nothing detrimental uncovered

Operating Trend : Steady

COMPANY NAME

EL OBOUR PAINTS & CHEMICAL INDUSTRIES SAE

ADDRESS

Registered & Physical Address

Street : Cairo - Ismailia Road

Area : 1^st Industrial Zone, Obour City

PO Box : 1

Town : Cairo

Country : Egypt

Telephone : (20-2) 46100260 / 46100261 / 46100263

Facsimile : (20-2) 46100555

Email : shawkatm@intouch.com

Premises

Subject operates from a large suite of offices and a factory that are owned and located in the Industrial Area of Cairo.

Branch Office (s)

Location Description

1 Massanaa El Ameryia Street Rented office premises

El Matariya

Cairo

Tel: (20-2) 22574047 / 24546731 / 22586938 / 22825642

Fax: (20-2) 22574473 / 24539953

110 El Fostat Street Owned factory premises

Misr El Qadima

Cairo

Tel: (20-2) 33639609 / 33639549

27 Victor Emanuael City Rented office premises

Smouha

Alexandria

Tel: (20-3) 4274466

Fax: (20-3) 4274466

KEY PRINCIPALS

Name Position

Sherif Mahmoud Ahmed Shawki Director

Ayman Fouad Director

Dr Naglaa Saad Nasar Director

Adel Fatouh Hamad Director

Mohamed Saleh Youness Director

Magdy Kamel Director

Mohi El Din Abd El Razek General Manager

Ashraf El Khaky Finance Manager

Moustafa Abd El Rahman Marketing Manager

Heyam Mohamed Sedik Sales Manager

LEGAL FORM & OWNERS

Date of Establishment : 1999

Legal Form : Egyptian Joint Stock Company

Commercial Reg. No. : 1063

Industrial Reg. No. : 28315

Tax Card No. : 205-034-586

Issued Capital : £E 200,000,000

Paid up Capital : £E 200,000,000

Name of Shareholder (s) Percentage

Pachin Paints & Chemicals Co 99.93%

Employee’s Association of Pachin 0.05%

Insurance Fund of Pachin Employees 0.02%

OPERATIONS

Activities: Engaged in the manufacture and distribution of all kinds of paint, printing inks wrapping and metals.

Subject is ISO 9000 and 9002 accredited.

Production Capacity : 50,000 tonnes per annum

Import Countries: India, Belgium, Denmark and Saudi Arabia.

Export Countries: Tunisia, Kenya, Sudan and Libya.

Operating Trend: Steady

Subject has a workforce of approximately 800 employees.

FINANCIAL DATA

Financial highlights provided by local sources are given below:

Currency: Egyptian Pounds (£E)

Year Ending 31/12/10: Year Ending 31/12/11:

Total Sales £E 643,000,000 £E 542,000,000

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

The above financial figures are based on estimations by our local sources.

BANKERS

Export Development Bank of Egypt

71 Messadak Street

Dokki

Cairo

Tel: (20-2) 33386810 / 33386811

Fax: (20-2) 33386814 / 33386813

Societe Arabe Internationale de Banque

PO Box: 124

Cairo

Tel: (20-2) 33499464 / 33603489

Fax: (20-2) 33603497 / 33603487

PAYMENT HISTORY

No complaints regarding subject’s payments have been reported.

GENERAL COMMENTS

Local sources report that the subject’s operating history is clear with payment obligations met in a generally timely manner. The financial position is satisfactory and the business is deemed a fair trade risk.

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.54.20
UK Pound	1	Rs.86.99
Euro	1	Rs.70.22

INFORMATION DETAILS

Report Prepared by :

SDA

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	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
--	NB	New Business	--

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

This report is issued at your request without any risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or its officials.