MIRA INFORM REPORT

 

 

Report Date :

13.12.2012

 

IDENTIFICATION DETAILS

 

Name :

HAMMOUDEH FOOD INDUSTRIES CO LTD

 

 

Registered Office :

Awad Bin Mukhaimer Street,  Marka North Industrial Area, PO Box           : 330488, Amman 11133

 

 

Country :

Jordan

 

 

Financials (as on) :

31.12.2011

 

 

Date of Incorporation :

1987

 

 

Reg. No.:

2809

 

 

Legal Form :

Limited Liability Company

 

 

Line of Business :

Manufacture of dairy products and fruit juices.

 

 

No. of Employees :

380

 

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 :

Satisfactory

Payment Behaviour :

No Complaints

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 30th, 2012

 

Country Name

Previous Rating

(31.03.2011)

Current Rating

(30.06.2012)

Jordan

B1

B1

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 

 

Jordan - ECONOMIC OVERVIEW

 

Jordan's economy is among the smallest in the Middle East, with insufficient supplies of water, oil, and other natural resources, underlying the government''s heavy reliance on foreign assistance. Other economic challenges for the government include chronic high rates of poverty, unemployment, inflation, and a large budget deficit. Since assuming the throne in 1999, King ABDALLAH has implemented significant economic reforms, such as opening the trade regime, privatizing state-owned companies, and eliminating some fuel subsidies, which in the last decade spurred economic growth by attracting foreign investment and creating some jobs. The global economic slowdown and regional turmoil, however, have depressed Jordan''s GDP growth, impacting export-oriented sectors, construction, and tourism. In 2011 the government approved two economic relief packages and a budgetary supplement, largely to improve the living conditions for the middle and poor classes. Jordan''s finances have also been strained by a series of natural gas pipeline attacks in Egypt, causing Jordan to substitute more expensive heavy fuel oils to generate electricity. An influx of foreign aid, especially from Gulf countries, has helped to somewhat offset these extrabudgetary expenditures, but the budget deficit is likely to remain high, at nearly 10% of GDP excluding grants. Amman likely will continue to depend heavily on foreign assistance to finance the deficit in 2012. Jordan''s financial sector has been relatively isolated from the international financial crisis because of its limited exposure to overseas capital markets. Jordan is currently exploring nuclear power generation to forestall energy shortfalls.

 

Source : CIA

SUMMARY

 

Company Name                                    : HAMMOUDEH FOOD INDUSTRIES CO LTD

Country of Origin                                   : Jordan

Legal Form                                           : Limited Liability Company

Registration Date                                  : 1987

Commercial Registration Number           : 2809, Amman

Chamber Membership Number               : 6018

Issued Capital                                       : JD 4,000,000

Paid up Capital                                     : JD 4,000,000

Total Workforce                         : 380

Activities                                               : Manufacturers of dairy products and fruit juices.

Financial Condition                                : Fair

Payments                                             : Nothing detrimental uncovered

Operating Trend                                    : Steady

Person Interviewed                                : Hussein Murad, Finance Manager

COMPANY NAME

 

HAMMOUDEH FOOD INDUSTRIES CO LTD

 

 

ADDRESS

 

Registered & Physical Address

 

Street               : Awad Bin Mukhaimer Street

Area                 : Marka North Industrial Area

PO Box                        : 330488

Town                : Amman 11133

Country : Jordan

 

Telephone         : (962-6) 4875301 / 4889488 / 4886261

Facsimile          : (962-6) 4889584

Email                : info@hammoudehdairy.com.jo

 

Premises

 

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

 

 

KEY PRINCIPALS

 

            Name                                                                                       Position

 

Mohamed Nabeel Abdul Hadi Hammoudeh                                             Chairman

 

Samir Abdul Hadi Hammoudeh                                                              Director

           

Sami Abdul Hadi Hammoudeh                                                               Director

 

Maher Abdul Hadi Hammoudeh                                                              Director

 

Nabeel Deeb Ghanem                                                                            Director

 

Hussein Murad                                                                                      Finance Manager

 

Ali Al Atout                                                                                           Commercial Manager

 

Walid Huwaidi                                                                                       Administration Manager

 

Mahmoud Samdi                                                                                   Production Manager

 

 

LEGAL FORM & OWNERS

 

Date of Establishment  : Subject’s operations date back to 1987, however it was registered on 18th May 1992

 

Legal Form                  : Limited Liability Company

 

Commercial Reg. No.   : 2809, Amman

 

Chamber Member No.  : 6018

 

National ID No.             : 200001663

 

Issued Capital              : JD 4,000,000

 

Paid up Capital            : JD 4,000,000

 

Name of Shareholder (s)                                                                       Percentage

 

Jordan Chemical Company                                                                    67%

 

Nabeel Deeb Ghanem                                                                            13%

 

Mohamed Nabeel Abdul Hadi Hammoudeh                                             5%

 

Samir Abdul Hadi Hammoudeh                                                              5%

 

Sami Abdul Hadi Hammoudeh                                                               5%

 

Maher Abdul Hadi Hammoudeh                                                              5%

 

 

AFFILIATED COMPANIES

 

Provimi Jordan Feed Concentrate Manufacturing Co Ltd

 

National Hatcheries Co Ltd

 

Modern Paints & Chemicals Industries

 

Jordan Feed Company Ltd

 

Jordan Valley for Animal Development Co Ltd

 

Hammoudeh Bros Trading & Investment Co

 

 

 

OPERATIONS

 

Activities: Engaged in the manufacture of dairy products and fruit juices.

 

Core products include:

1. Yoghurt

2. Labaneh

3. White cheese

4. Processed cheese

5. Shaneeneh (drinking yoghurt)

6. Sterilized milk

7. Flavoured milk  (banana, strawberry, chocolate, cookies, hazelnut)

8. Dairy desserts and fruit yoghurt

9. Pro-biotic yoghurt (aids in the digestion process)

 

Import Countries: Europe and Australia

 

The company exports its products to various Arab markets, including Iraq, Bahrain, Syria and the West Bank.

 

Operating Trend: Steady

 

Subject has a workforce of approximately 380 employees.

 

 

FINANCIAL DATA

 

Financial highlights provided by local sources are given below:

 

Currency: Jordanian Dinars (JD)

 

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

 

Total Sales                                JD 24,000,000                           JD 25,000,000

 

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

 

The above figures were provided by Mr Hussein Murad, Finance Manager

 

 

BANKERS

 

ANZ Grindlays Bank

Shmeisani Branch

PO Box: 9997

Amman

Tel: (962-6) 4660201

Fax: (962-6) 4679115

 

 

PAYMENT HISTORY

 

No complaints regarding subject’s payments have been reported.

 

Date of transaction                                July 2007

Credit amount                                       202,000

Amount overdue                                    0

Payment terms                                      60 days

Payment Method                                   Letters of Credit

Paying record                                       No Complaints

Currency                                               Pounds Sterling

 

 

GENERAL COMMENTS

 

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.

 

 

 

 

FOREIGN EXCHANGE RATES

 

Currency
Unit

Indian Rupees

US Dollar

1

Rs.54.27

UK Pound

1

Rs.87.43

Euro

1

Rs.70.55

 

 

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%)

 

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