MIRA INFORM REPORT

 

 

Report Date :

22.11.2012

 

IDENTIFICATION DETAILS

 

Name :

THE INDUSTRIAL COMMERCIAL & AGRICULTURAL CO LTD (ICA)

 

 

Registered Office :

Real Estate Development Building, 5th Floor, Suite No. 145, Gardens Street, P O Box 6066, Amman 11118

 

 

Country :

Jordan

 

 

Financials (as on) :

31.12.2011

 

 

Date of Incorporation :

03.08.1964

 

 

Com. Reg. No.:

34

 

 

Legal Form :

Limited Liability Company

 

 

Line of Business :

Manufacturer of detergents, liquid gel, shampoo, toothpaste, window cleaner, and sulphuric acid

 

 

No. of Employees :

225 employees

 

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

(31.03.2012)

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                         : THE INDUSTRIAL COMMERCIAL & AGRICULTURAL CO LTD (ICA)

Country of Origin                                    : Jordan

Legal Form                                            : Limited Liability Company

Registration Date                                   : 3rd August 1964

Commercial Registration Number            : 34

Chamber Membership Number                : 58

Issued Capital                                        : JD 10,000,000

Paid up Capital                                      : JD 10,000,000

Total Workforce                                     : 225

Activities                                               : Manufacture of detergents, liquid gel, shampoo, toothpaste, window

                                                              cleaner, and sulphuric acid

Financial Condition                                 : Fair

Payments                                             : Nothing detrimental uncovered

Operating Trend                         : Steady

Person Interviewed                                 : Belal Omar, Financial Controller

 

 

 


COMPANY NAME

 

THE INDUSTRIAL COMMERCIAL & AGRICULTURAL CO LTD (ICA)

 

 

company ADDRESS

 

Registered & Physical Address

Building             : Real Estate Development Building, 5th Floor, Suite No. 145

Street               : Gardens Street

PO Box             : 6066

Town                 : Amman 11118

Country             : Jordan

Telephone         : (962-6) 4655446 / 4619823 / 6234586 / 5533201

Facsimile          : (962-6) 4619827 / 4733105 / 6234589 / 5548389

Email                : info@ica-jo.com

 

Premises

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

 

Branch Office (s)

 

     Location                                                                                          Description

 

·       Rusifah Area                                                                         Owned factory premises

Zarqa

     Tel: (962-5) 3741945

     Fax: (962-5) 3741198

 

 

KEY PRINCIPALS

 

     Name                                                                                              Position

·       Nour Mohamed Shaher Mahinini                                                         Chairman

·       Mashour Mutliq Abdul Jalil                                                                 Managing Director

·       Belal Omar                                                                                       Financial Controller

 

 

LEGAL FORM & OWNERS

 

Date of Establishment  : 3rd August 1964

 

Legal Form                  : Limited Liability Company

 

Commercial Reg. No.  : 34

 

Chamber Member No. : 58

 

Issued Capital              : JD 10,000,000

 

Paid up Capital            : JD 10,000,000

 

Name of Shareholder (s)

·       Nour Mohamed Shaher Mahinini

·       Mashour Mutliq Abdul Jalil

·       Jordanian businessmen & private investors

 

 

AFFILIATED COMPANIES

 

·       United Sulphochemical and Detergent Industries Co Ltd

 

·       Intaj Marketing and Distribution Co Ltd

 

·       Unified Soap Industry Co Ltd

 

 

OPERATIONS

 

Activities: Engaged in the manufacture of detergents, liquid gel, shampoo, toothpaste, window cleaner, and sulphuric acid.

 

Import Countries: United Kingdom, Italy and India

 

Operating Trend: Steady

 

Subject has a workforce of approximately 225 employees.

 

 

FINANCIAL DATA

 

Financial highlights provided by local sources are given below:

 

Currency: Jordanian Dinars (JD)

 

Balance Sheet                                     31/12/11            31/12/10     31/12/09

 

Cash on Hand & at Banks

1,486,908

1,881,181

339,418

Accounts Receivable, Net

1,255,588

1,824,285

394,316

Notes Receivable

0

0

0

Post Dated Cheques

0

0

0

Short Term Investments

0

0

0

Inventory

5,271,974

5,034,716

4,072,476

Spare Parts

0

0

0

Total Current Assets

8,245,346

10,022,184

5,983,789

Long Term Investments

375

540

540

Fixed Assets, Net

5,239,963

5,588,797

5,527,250

Lands

0

0

0

Projects in Progress

0

0

0

Total Fixed Assets

5,239,963

5,588,797

5,527,250

Other Assets

0

0

0

Total Assets

13,485,684

15,611,521

11,511,579

 

Accounts and Notes Payable

2,367,665

2,289,586

2,588,136

Credit Banks

20,872

3,546

7,763

Short Term Loans

0

695,564

0

Accrued Part of Long Term Loans

0

0

0

Total Current Liabilities

2,934,693

3,540,326

3,511,768

Long Term Loans & Notes Payable

0

3,674,853

0

Corporate Bonds

0

0

0

Other Liabilities

1,369,910

0

0

Total Liabilities

4,304,603

7,215,179

3,511,768

 

Authorized Capital

10,000,000

10,000,000

10,000,000

Subscribed Capital

10,000,000

10,000,000

10,000,000

Paid in Capital

10,000,000

10,000,000

10,000,000

Compulsory Reserves

2,249,339

2,123,902

2,123,902

Voluntary Reserve

0

0

0

Other Reserves

0

0

0

Issuance Premium

-1,751,441

0

0

Issuance Discount

0

1,751,441

1,751,441

Treasury Stocks

0

0

0

Proposed Cash Dividends

0

0

0

Proposed Stock Dividends

0

0

0

Accumulated Change in Fair Value

0

0

0

Retained Earnings

-1,316,817

-1,976,119

-2,372,650

Total Shareholders’ Equity

9,181,081

8,396,342

7,999,811

Minority Interest

0

0

0

Total Liabilities & Shareholders’ Equity

13,485,684

15,611,521

11,511,579

 

Income Statement

 

Operating Revenues

28,080,532

18,112,847

2,482,284

Operating Expenses

25,709,947

16,710,673

2,985,720

Gross Profit

2,370,585

1,402,174

-503,436

General and Administrative Expenses

648,024

486,016

636,841

Selling and Distribution Expenses

903,771

534,386

237,464

Depreciation (Period)

460,196

535,874

640,376

Other Operating Expenses

0

0

0

Net Operating Income

818,790

381,772

-1,377,741

Other Revenues

49,081

31,836

371,406

Other Expenses

0

0

0

Income Before Interest & Tax

867,871

413,608

-1,006,335

Interest Expenses

30,122

17,077

17,815

Net Income Before Tax

837,749

396,531

-1,024,150

Income Tax (Period)

28,010

0

0

Income Tax (Previous Years)

0

0

0

Universities and Research Train Fees

0

0

0

Board of Directors Remuneration

25,000

0

0

Net Income

784,739

396,531

-1,024,150

Minority Interest

0

0

0

Net Income Pertains to Shareholders

784,739

396,531

-1,024,150

 

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

 

 

BANKERS

 

·       Jordan Islamic Bank for Finance and Investment

Shmeisani Branch

PO Box: 926225

Amman

Tel: (962-6) 5677377

 

·       Arab Bank Plc

Rusifah Branch

Zarqa

Tel: (962-5) 3997481

 

 

PAYMENT HISTORY

 

No complaints regarding subject’s payments have been reported.

 

 

GENERAL COMMENTS

 

Local sources report that payment obligations are met in a generally timely manner and the operating history is clear. As such the company is deemed a fair trade risk.


 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.55.20

UK Pound

1

Rs.87.79

Euro

1

Rs.70.43

 

INFORMATION DETAILS

 

Report Prepared by :

MNL

 

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.