MIRA INFORM REPORT

 

Report Date :

13.02.2012

 

IDENTIFICATION DETAILS

 

Name :

MOHAMED OBEID AL GUTHMI SONS CO LTD

 

 

Registered Office :

Prince Sultan Street Al Mohamadiah District PO Box 858 & 367 Jeddah 21421

 

 

Country :

Saudi Arabia

 

 

Financials (as on) :

31.12.2011

 

 

Year of Establishment :

1970

 

 

Com. Reg. No.:

4030044421, Jeddah

 

 

Legal Form :

Limited Liability Partnership

 

 

Line of Business :

Distribution and retail of textiles, fabrics, upholstery, soft furnishing materials, curtains and carpets.

 

 

No. of Employees :

600

 

RATING & COMMENTS

 

MIRA’s Rating :

A

 

RATING

STATUS

PROPOSED CREDIT LINE

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

 

Maximum Credit Limit :

US$ 4,000,000

Status :

Good

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 – September 30, 2011

 

Country Name

Previous Rating

(30.06.2011)

Current Rating

(30.09.2011)

Saudi Arabia

A2

A2

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 

SUMMARY

 

Company Name                                     : MOHAMED OBEID AL GUTHMI SONS CO LTD

Country of Origin                                    : Saudi Arabia

Legal Form                                            : Limited Liability Partnership

Registration Date                                   : 1970

Commercial Registration Number            : 4030044421, Jeddah

Chamber Membership Number                : 400

Issued Capital                                        : SR 6,000,000

Paid up Capital                                      : SR 6,000,000

Total Workforce                                     : 600

Activities                                               : Distribution and retail of textiles, fabrics, upholstery, soft furnishing

                                                              materials, curtains and carpets.

Financial Condition                                 : Good

Payments                                             : Nothing detrimental uncovered

Operating Trend                                     : Steady

Recommended Credit Limit                     : US$ 4,000,000

Person Interviewed                                 : Omer S Al Almoudi, Operations Manager

 

COMPANY NAME

 

MOHAMED OBEID AL GUTHMI SONS CO LTD

 

 

ADDRESS

 

Registered & Physical Address

 

Street               : Prince Sultan Street

Area                 : Al Mohamadiah District

 

PO Box             : 858 & 367

 

Town                 : Jeddah 21421

Country             : Saudi Arabia

 

Telephone         : (966-2) 6991555 / 4202225

Facsimile          : (966-2) 6223991

Email                : alguthmi@alguthmi.com / alguthmi@anet.net.sa

 

Premises

 

Subject operates from a large suite of offices that are rented and located in the Central Business Area of Jeddah.

 

Branch Office (s)

 

Subject has over 25 showrooms located in all the major cities of the Kingdom, including the following:

 

     Location                                                                                           Description

 

·       Ali Reza Building                                                                               Rented showroom premises

Bab Makkah

PO Box: 858

Jeddah 21421

Tel: (966-2) 6447526

Fax: (966-2) 6421477

 

·       Dabel Building                                                                                   Rented showroom premises

Dhahran Street

PO Box: 6316

Dammam

Tel: (966-3) 8262909 / 8264305

Fax: (966-3) 8263210

 

·       Makkah                                                                                            Rented showroom premises

Tel: (966-2) 5342388

Fax: (966-2) 5342352

 

·       Hail                                                                                                  Rented showroom premises

Tel: (966-6) 5332930

Fax: (966-6) 5320342

 

·       Al Olaya                                                                                           Rented showroom premises

Riyadh

Tel: (966-1) 4043334

 

·       Mohamed Obeid Al Guthmi Building                                                    Owned office premises

Ibn Khaloud Street

Al Sharafiah

Jeddah 21421

Tel: (966-2) 6519716 / 6500888 / 6500818 / 6876130

Fax: (966-2) 6511520 / 6524085

 

Subject also has branches located in Dubai, Lebanon and Yemen.

 

 

KEY PRINCIPALS

 

     Name                                                                                               Position

 

·       Mubarak Mohamed Obeid Al Guthmi                                                   Managing Partner

 

·       Ahmed Mohamed Obeid Al Guthmi                                                     Partner

 

·       Abdullah Mohamed Obeid Al Guthmi                                                   Partner

 

·       Salim Mohamed Obeid Al Guthmi                                                       Partner

 

·       Omar Al Obaisani                                                                              General Manager

 

·       Joseph Kassis                                                                                  Finance Manager

 

·       Alexis Kounitsos                                                                               Marketing Manager

 

·       Omar Al Oubathani                                                                            Purchasing Manager

 

·       Omer S Al Almoudi                                                                           Operations Manager

 

·       Ahmed Saeed                                                                                   Sales Manager

 

·       Yasser Abu Sahloul                                                                           Regional Manager

 

·       Fahd Al Guthmi                                                                                 Human Resources Manager

 

 

LEGAL FORM & OWNERS

 

Date of Establishment  : 1970

 

History                         : Subject was established in 1970 as a Sole Proprietorship of Mr Mohamed Obeid Al Guthmi, trading under the name of “Al Guthmi Establishment”.

 

Following the demise of Mr Mohamed Obeid Al Guthmi in 1978 the business was passed on to his legal heirs. On 29/10/1404 Hijri (corresponding to 1984) subject was re-organised and registered as a Limited Liability Partnership under the current style of “Mohamed Obeid Al Guthmi Sons Co Ltd”

 

Legal Form                  : Limited Liability Partnership

 

Commercial Reg. No.  : 4030044421, Jeddah

 

Chamber Member No. : 400

 

Issued Capital              : SR 6,000,000

 

Paid up Capital            : SR 6,000,000

 

Name of Partner (s)                                                       Percentage

 

·       Mubarak Mohamed Obeid Al Guthmi                                25%

 

·       Ahmed Mohamed Obeid Al Guthmi                                  25%

 

·       Abdullah Mohamed Obeid Al Guthmi                                25%

 

·       Salim Mohamed Obeid Al Guthmi                                    25%

 

 

AFFILIATED COMPANIES

 

·       Decor Class Co

     Decor Class Building

     Tahlia Street

     PO Box: 42177 & 858

     Jeddah 21541

     Tel: (966-2) 6612855 / 6695000

     Fax: (966-2) 6601050 / 6601798

     Email: info@decorclasse.com

 

 

OPERATIONS

 

Activities: Engaged in the distribution and retail of textiles, fabrics, upholstery, soft furnishing materials, curtains and carpets.

 

Import Countries: United States of America, United Kingdom, Italy, Japan, India and Morocco

 

International Suppliers:

 

·       Varasi                                  Italy

·       Culp Inc                                United States of America

·       American Silks Inc                United States of America

 

Operating Trend: Steady

 

Subject has a workforce of approximately 600 employees.

 

 

FINANCIAL DATA

 

Financial highlights provided by local sources are given below:

 

Currency: Saudi Riyals (SR)

 

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

 

Total Sales                                SR 205,500,000             SR 208,000,000

 

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

 

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

 

 

BANKERS

 

·       Riyad Bank

Prince Fahad Street

PO Box: 9324

Jeddah 21413

Tel: (966-2) 6513333

 

·       Bank Al Jazira

Al Amir Fahad Street

PO Box: 6277

Jeddah 21442

Tel: (966-2) 6670230

 

·       Saudi American Bank

Andalous Street

PO Box: 490

Jeddah 21411

Tel: (966-2) 6533555

 

 

PAYMENT HISTORY

 

No complaints regarding subject’s payments have been reported.

 

 

GENERAL COMMENTS

 

Mohamed Obeid Al Guthmi Sons Co Ltd has operations dating back to 1970 and is very well established in the local market with showrooms located throughout the Kingdom, as well as neighbouring Arab States. Subject is engaged in the distribution and retail of textiles, fabrics, upholstery, soft furnishing materials, curtains and carpets, enjoying a good reputation for the quality of its products.

 

The company is run in a professional manner and is owned by members of the wealthy and respected Guthmi family.

 

According to local sources nothing detrimental has been uncovered regarding the manner in which payment obligations are met and the financial position is satisfactory. As such the company is considered to be a fair trade risk.

 

FOREIGN EXCHANGE RATES

 

Currency
Unit

Indian Rupees

US Dollar

1

Rs.49.64

UK Pound

1

Rs.78.35

Euro

1

Rs.65.79

 

 

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.