MIRA INFORM REPORT

 

 

Report Date :

06.12.2013

 

IDENTIFICATION DETAILS

 

Name :

SAUDI ELECTRODES FACTORY (SAUDI ROD)

 

 

Registered Office :

Jeddah Industrial Area, Phase 5, Plot No. E-4, P O Box 259, Jeddah 21411

 

 

Country :

Saudi Arabia

 

 

Financials (as on) :

31.12.2012

 

 

Date of Incorporation :

01.12.1991

 

 

Com. Reg. No.:

4030083606, Jeddah

 

 

Legal Form :

Sole Proprietorship

 

 

Line of Business :

manufacturer of welding rods.

 

 

No. of Employees :

35

 

RATING & COMMENTS

 

MIRA’s Rating :

Ba

 

RATING

TATUS

PROPOSED CREDIT LINE

41-55

Ba

Overall operation is considered normal. Capable to meet normal commitments.

Satisfactory

 

Status :

Satisfactory 

 

 

Payment Behaviour :

No Complaints 

 

 

Litigation :

---

 

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 30th, 2013

 

Country Name

Previous Rating

(30.06.2013)

Current Rating

(30.09.2013)

Saudi Arabia

A2

A2

 

Risk Category

ECGC Classification

 

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 

 

Saudi Arabia ECONOMIC OVERVIEW

 

Saudi Arabia has an oil-based economy with strong government controls over major economic activities. It possesses about 17% of the world's proven petroleum reserves, ranks as the largest exporter of petroleum, and plays a leading role in OPEC. The petroleum sector accounts for roughly 80% of budget revenues, 45% of GDP, and 90% of export earnings. Saudi Arabia is encouraging the growth of the private sector in order to diversify its economy and to employ more Saudi nationals. Diversification efforts are focusing on power generation, telecommunications, natural gas exploration, and petrochemical sectors. Over 5 million foreign workers play an important role in the Saudi economy, particularly in the oil and service sectors, while Riyadh is struggling to reduce unemployment among its own nationals. Saudi officials are particularly focused on employing its large youth population, which generally lacks the education and technical skills the private sector needs. Riyadh has substantially boosted spending on job training and education, most recently with the opening of the King Abdallah University of Science and Technology - Saudi Arabia's first co-educational university. As part of its effort to attract foreign investment, Saudi Arabia acceded to the WTO in 2005. The government has begun establishing six "economic cities" in different regions of the country to promote foreign investment and plans to spend $373 billion between 2010 and 2014 on social development and infrastructure projects to advance Saudi Arabia''s economic development.

 

Source : CIA

 

 

 

 

 

 

 

SUMMARY

 

Company Name                                     : SAUDI ELECTRODES FACTORY (SAUDI ROD)

Country of Origin                                    : Saudi Arabia

Legal Form                                            : Sole Proprietorship

Registration Date                                   : 1st December 1991

Commercial Registration Number            : 4030083606, Jeddah

Chamber Membership Number                : 45418

Invested Capital                                     : SR 250,000

Total Workforce                                     : 35

Activities                                               : Manufacturers of welding rods

Financial Condition                                 : Fair

Payments                                             : Nothing detrimental uncovered

Operating Trend                                     : Steady

COMPANY NAME

 

SAUDI ELECTRODES FACTORY (SAUDI ROD)

 

 

company ADDRESS

 

Registered & Physical Address

Location            : Jeddah Industrial Area, Phase 5, Plot No. E-4

PO Box             : 259

Town                 : Jeddah 21411

Country             : Saudi Arabia

Telephone         : (966-2) 6617282 / 6615701 / 6233655 / 6238595

Facsimile          : (966-2) 6617262 / 6928115 / 6238227

Email                : saudirod@yahoo.com / info@saudirod.com / jalakeel@yahoo.com

 

Premises

Subject operates from a suite of offices and a factory covering 3,575 m2 that are rented and located in the Industrial Area of Jeddah.

 

 

KEY PRINCIPALS

 

     Name                                                                                              Position

 

·       Jamal Nasser Al Akeel                                                                      Proprietor

 

 

LEGAL FORM & OWNERS

 

Date of Establishment  : 24/05/1412 Hijri (corresponding to 1st December 1991)

 

Legal Form                  : Sole Proprietorship

 

Commercial Reg. No.  : 4030083606, Jeddah

 

Chamber Member No. : 45418

 

Invested Capital           : SR 250,000

 

Mr Jamal Nasser Al Akeel is the sole proprietor of the business.

 

 

AFFILIATED COMPANIES

 

·       Jefco Contracting

Jeddah

 

 

OPERATIONS

 

Activities: Engaged in the manufacture of welding rods.

 

                 Subject is ISO 9002 accredited.

 

Import Countries: Europe and the Far East

 

Operating Trend: Steady

 

Subject has a workforce of 35 employees.

 

 

FINANCIAL DATA

 

Financial highlights provided by local sources are given below:

 

Currency: Saudi Riyals (SR)

 

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

 

Total Revenue                            SR 10,900,000                           SR 11,025,000

 

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

 

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

 

 

BANKERS

 

·       Arab National Bank

Madinah Road

PO Box: 9463

Jeddah 21413

Tel: (966-2) 6600272

Fax: (966-2) 6650202

 

 

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.61.69

UK Pound

1

Rs.101.08

Euro

1

Rs.84.07

 

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%)

 

 

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