MIRA INFORM REPORT

 

 

Report Date :

24.11.2012

 

IDENTIFICATION DETAILS

 

Name :

JASSIM AL WAZZAN SONS GENERAL TRADING CO WLL

 

 

Formerly Known As :

Jassim Al Wazzan Est

 

 

Registered Office :

Al Wazzan Building, Block No. 2, Wholesale Street No. 167, Shuwaikh Industrial Area, P O Box 124, Safat 13002, 26226, Safat 13123, Safat Town

 

 

Country :

Kuwait

 

 

Financials (as on) :

31.12.2011

 

 

Year of Establishment :

1946

 

 

Com. Reg. No.:

16615, Safat

 

 

Legal Form :

With Limited Liability

 

 

Line of Business :

Subject operates through following divisions :-

l      Retail, Wholesale & Distribution Division

l      Farming & Agriculture Division

 

 

No. of Employees :

550 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 :

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 30th, 2012

 

Country Name

Previous Rating

(31.03.2012)

Current Rating

(30.06.2012)

Kuwait

A2

A2

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 

Kuwait - ECONOMIC OVERVIEW

 

Kuwait has a geographically small, but wealthy, relatively open economy with crude oil reserves of about 104 billion barrels - about 7% of world reserves. Petroleum accounts for nearly half of GDP, 95% of export revenues, and 95% of government income. Kuwaiti officials have committed to increasing oil production to 4 million barrels per day by 2020. The rise in global oil prices throughout 2011 is reviving government consumption and economic growth. Kuwait has experienced a 20% increase in government budget revenue, which has led to higher budget expenditures, particularly wage hikes for many public sector employees. Kuwait has done little to diversify its economy, in part, because of this positive fiscal situation, and, in part, due to the poor business climate and the acrimonious relationship between the National Assembly and the executive branch, which has stymied most movement on economic reforms. In 2010, Kuwait passed an economic development plan that pledges to spend up to $130 billion over five years to diversify the economy away from oil, attract more investment, and boost private sector participation in the economy.

 

Source : CIA

 

SUMMARY

 

Company Name                         : JASSIM AL WAZZAN SONS GENERAL TRADING CO WLL

Country of Origin                                    : Kuwait

Legal Form                                            : With Limited Liability - WLL

Start Date                                             : 1946

Registration Date                                   : 19th January 1960

Commercial Registration Number            : 16615, Safat

Trade Licence Number                            : 739/83

Chamber Membership Number                : 257

Issued Capital                                        : KD 2,000,000

Paid up Capital                                      : KD 2,000,000

Total Workforce                                     : 550

Activities                                               : Subject operates several divisions (see below for details)

Financial Condition                                 : Good

Payments                                             : Nothing detrimental uncovered

Operating Trend                         : Steady

Person Interviewed                                 : Isaac Abraham, Finance Manager

 

 

 


COMPANY NAME

 

JASSIM AL WAZZAN SONS GENERAL TRADING CO WLL

 

 

company ADDRESS

 

Registered & Physical Address

Building             : Al Wazzan Building, Block No. 2

Street               : Wholesale Street No. 167

Area                 : Shuwaikh Industrial Area

PO Box             : 124, Safat 13002

  26226, Safat 13123

Town                 : Safat

Country             : Kuwait

Telephone         : (965) 24338538 / 24846433 / 24815316 / 24843479 / 24848345

Facsimile          : (965) 24835362 / 24310839 / 24840067 / 24836162 / 24841575

Email                : jassim@wazzan.com / cbo.jassim@wazzan.com / mktg.jassim@wazzan.com

 

Please note that subject’s previous address was, Al Garabally Street, Al Mubarakia Area, Shuwaikh, Safat.

 

Premises

Subject operates from a large suite of offices, a warehouse and a showroom that are owned and located in the Industrial Area of Safat.

 

 

KEY PRINCIPALS

 

     Name                                                                                              Position

·       Khalid Jassim Al Wazzan                                                                  Managing Director

·       Abdul Rahman Jassim Al Wazzan                                                      Director

·       Mohamed Jassim Al Wazzan                                                 Director

·       Jassim Jassim Al Wazzan                                                                 Director

·       Moatamed Jassim Al Wazzan                                                            Director

·       Montasser Jassim Al Wazzan                                                            Director

·       Gary Walsh                                                                                      Chief Executive Officer

·       Monaf Yousef                                                                                    Chief Financial Officer

·       Tariq Al Ashi                                                                                     General Manager

·       Khalil Al Attar                                                                                   Commercial Manager

·       Isaac Abraham                                                                                  Finance Manager

·       Faisal Al Wazzan                                                                              Administration Manager

 

 

LEGAL FORM & OWNERS

 

Date of Establishment  : Subject’s operations date back to 1946, however it was registered on 19th January 1960

 

History                         : Subject was originally established in 1946 as a Sole Proprietorship of Mr Jassim Al Wazzan under the name of “Jassim Al Wazzan Est”.

 

  Following the demise of Mr Jassim Al Wazzan, the business was passed on to his legal

  heirs, namely Khalid, Abdul Rahman, Mohamed, Jassim, Moatamed and Montasser. On the 18th December 1989 subject was subsequently re-organised and re-registered as a With Limited Liability Company – WLL under the new name of “Jassim Al Wazzan Sons General Trading Co WLL”.

 

Legal Form                  : With Limited Liability - WLL

 

Commercial Reg. No.  : 16615, Safat

 

Trade Licence No.       : 739/83

 

Chamber Member No. : 257

 

Issued Capital              : KD 2,000,000

 

Paid up Capital            : KD 2,000,000

 

Name of Shareholder (s)                                         Percentage

 

·       Al Wazzan Holding                                                    98%

Safat

Tel: (965) 24818120

Fax: (965) 24841575

 

·       Widian Real Estate Co                                                2%

Safat

 

 

AFFILIATED COMPANIES

 

·       Conserved Foodstuffs Distributing Co WLL

PO Box: 26226

Safat 13123

Tel: (965) 24812901

Fax: (965) 24722142

 

·       Al Monsouriya Consumable Goods Co

PO Box: 124

Safat 13002

Tel: (965) 24846433

Fax: (965) 24841575

 

·       Fruits Island Center

PO Box: 124

Safat 13002

Tel: (965) 24846433

Fax: (965) 24836162

 

·       Al Montasser Shampoo Factory

PO Box: 124

Safat 13002

Tel: (965) 24846433

Fax: (965) 24730808

 

·       Khazan Meat Factory

PO Box: 124

Safat 13002

Tel: (965) 24846433

Fax: (965) 24836162

 

·       Kuwait Mepha Pharmaceutical Co

PO Box: 124

Safat 13002

Tel: (965) 24846433

Fax: (965) 24836162

 

·       Al Najat Al Oula General Trading Est

PO Box: 124

Safat 13002

Tel: (965) 24839184

Fax: (965) 24836162

 

·       Mezzan Al Qabida Company

PO Box: 124

Safat 13002

Tel: (965) 24846433

Fax: (965) 24836162

 

·       Wadyan Real Estate Co

PO Box: 124

Safat 13002

Tel: (965) 24846433

Fax: (965) 24836162

 

·       National Canned Food Production & Trading Co WLL

     Sabhan Industrial Area, Area No 10, Plot 144

     PO Box: 25452

     Safat 13115

     Tel: (965) 24748484 / 24761295 / 24737754 / 24748866

     Fax: (965) 24766540

     Email: national@wazzan.com

 

 

OPERATIONS

 

Activities: Subject’s operations are performed through the following divisions:

 

  • Retail, Wholesale & Distribution Division

 

This division is engaged in the retail, wholesale and distribution of a wide range of consumer products, including many internationally renowned brands. The product range includes foodstuff, office machinery, telecommunications equipment, computers and computer software, pharmaceuticals, perfumes, cosmetics, baby requisites, toiletries as well as a wide range of luxury consumer products.

 

  • Farming & Agriculture Division

 

Under this division, subject operates a total of 6 farms specialising in dairy herds, together with feed stock & vegetable production.

 

Import Countries: United Kingdom and the United States of America

 

Agencies Held:

 

·       A. H. Robins

·       Bairds Vinegar

·       British Cod Liver Oil

·       Capilano Honey

·       Coroli Oil

·       Crystal Hot Sauce

·       Dr. G. Mann

·       Dr. Maudus

·       Happycow Cheese

·       Intercare Products Ltd

·       Johnson & Johnson

·       Kimball Ketchup

·       Kimberley Clark

·       Knoll

·       Lurpak Butter

·       Mepha

·       Milo Sardines

·       Mundi Pharma

·       Pillsbury Cakemix

·       Plumrose Sausages

·       Reckitt & Colman

·       Sara Lee Cakes

·       Sunwhite Rice

·       Volvic Water

 

Operating Trend: Steady

 

Subject has a workforce of approximately 550 employees.

 

FINANCIAL DATA

 

Financial highlights provided by local sources are given below:

 

Currency: Kuwaiti Dinars (KD)

 

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

 

Total Sales                                KD 17,000,000                           KD 22,190,931

 

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

 

The above figures were provided by Mr Isaac Abraham, Finance Manager

 

 

BANKERS

 

·       Kuwait Finance House (KFH)

Safat Square

Abdullah Al Mubarak Street

PO Box: 24989

Safat 13110

Tel: (965) 22445050

Fax: (965) 22455135

 

·       The Gulf Bank KSC

Mubarak Al Kabir Street

PO Box: 3200

Safat 13033

Tel: (965) 22449501

Fax: (965) 22445212

 

·       National Bank of Kuwait

Ali Awadi Tower

Ahmed Al Jaber Street

PO Box: 95

Safat 13001

Tel: (965) 23981188 / 23981189

Fax: (965) 23985643

 

·       Commercial Bank of Kuwait SAK

     Mubarak Al Kabir Street

     PO Box: 2861

     Safat 13029

     Tel: (965) 22411001

     Fax: (965) 22450150

 

 

PAYMENT HISTORY

 

No complaints regarding subject’s payments have been reported.

 

Date of transaction                  May 1999                                  June 2001

Amount overdue             0                                              0

Payment terms                          60 days                                     60 days

Payment Method                       Letters of Credit                         Letters of Credit

Paying record                            Prompt                                      Prompt

Currency                                   Pounds Sterling                         US Dollars

 

 

GENERAL COMMENTS

 

Originally established in 1946, subject is owned and managed by the heirs of Mr Jassim Al Wazzan who was a very well respected businessman in the Middle East.

 

Subject’s operations are performed through its various divisions and it holds a number of agencies for reputable international companies.

 

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.55.34

UK Pound

1

Rs.88.30

Euro

1

Rs.71.37

 

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.