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Report Date : |
05.02.2013 |
IDENTIFICATION DETAILS
|
Name : |
AIRBLUE LIMITED |
|
|
|
|
Registered Office : |
12th Floor, ISE Towers, 55-B Jinnah Avenue, Islamabad |
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|
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Country : |
Pakistan |
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|
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Year of Incorporation : |
2003 |
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Com. Reg. No.: |
0045398 |
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|
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Legal Form : |
Non-Listed Public Limited Company |
|
|
|
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Line of Business : |
Principal
activity of the Company is to provide air transport services |
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|
|
|
No. of Employees : |
More than 500 |
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) |
|
Pakistan |
B2 |
B2 |
|
Risk Category |
ECGC
Classification |
|
Insignificant |
A1 |
|
Low |
A2 |
|
Moderate |
B1 |
|
High |
B2 |
|
Very High |
C1 |
|
Restricted |
C2 |
|
Off-credit |
D |
PAKISTAN - ECONOMIC OVERVIEW
Decades of internal political disputes and low levels of foreign
investment have led to slow growth and underdevelopment in Pakistan.
Agriculture accounts for more than one-fifth of output and two-fifths of
employment. Textiles account for most of Pakistan's export earnings, and
Pakistan's failure to expand a viable export base for other manufactures has
left the country vulnerable to shifts in world demand. Official unemployment is
6%, but this fails to capture the true picture, because much of the economy is
informal and underemployment remains high. Over the past few years, low growth
and high inflation, led by a spurt in food prices, have increased the amount of
poverty - the UN Human Development Report estimated poverty in 2011 at almost
50% of the population. Inflation has worsened the situation, climbing from 7.7%
in 2007 to more than 13% for 2011, before declining to 9.3% at year-end. As a
result of political and economic instability, the Pakistani rupee has
depreciated more than 40% since 2007. The government agreed to an International
Monetary Fund Standby Arrangement in November 2008 in response to a balance of
payments crisis. Although the economy has stabilized since the crisis, it has
failed to recover. Foreign investment has not returned, due to investor
concerns related to governance, energy, security, and a slow-down in the global
economy. Remittances from overseas workers, averaging about $1 billion a month
since March 2011, remain a bright spot for Pakistan. However, after a small
current account surplus in fiscal year 2011 (July 2010/June 2011), Pakistan's
current account turned to deficit in the second half of 2011, spurred by higher
prices for imported oil and lower prices for exported cotton. Pakistan remains
stuck in a low-income, low-growth trap, with growth averaging 2.9% per year
from 2008 to 2011. Pakistan must address long standing issues related to
government revenues and energy production in order to spur the amount of
economic growth that will be necessary to employ its growing population. Other
long term challenges include expanding investment in education and healthcare,
and reducing dependence on foreign donors.
Source
: CIA
AIRBLUE LIMITED
|
Registered
Address |
|
12th Floor, ISE Towers, 55-B Jinnah Avenue, Islamabad, Pakistan |
|
Tel # |
92 (51) 111-247-258 |
|
Fax # |
92 (51) 5512771 |
|
a. |
Nature of Business |
Principal
activity of the Company is to provide air transport services |
|
b. |
Year Established |
2003 |
|
c. |
Registration # |
0045398 |
|
(1) Ground Floor,
ISE Towers, 55-B Jinnah Avenue, Islamabad, Pakistan. (2) Office #5, Rwp Club Building, Opp:
Standard Chartered Bank, Mall Road, Saddar, Rawalpindi, Pakistan. (3) Ground Floor
PIIA Building, Moulana Deen Mohammad Wafai Road, (4) Shop No 1
& 2, Ground Floor, Asad Center,71-E, Main Boulevard, Gulberg-2 (5) Kohinoor
Plaza 1, Shop # 14, Jaranwala Road, Faisalabad, Pakistan. (6) Shop No.
UG43, Deans Trade Center, Islamia Road, Peshawar Cantt Peshawar, Pakistan. (7) Shop# 5,
Ground Floor, Dubai Shopping Centre (Behind Deira City Centre) (8) Sheikha
Hamada Building, Al Zahra Street, Sharjah, UAE. (9) Unit F1,
Ground Floor, One Piccadilly Gardens, Manchester, UK. |
|
KPMG Taseer Hadi & Co. (Chartered Accountants) |
|
Subject Company was established as a Non-Listed Public Limited Company
in 2003 |
|
Authorized Capital |
Rs. 800,000,000/-
divided into 80,000,000 shares of Rs. 10/- each |
|
Issued & Paid up Capital |
Rs. 501,309,450/-
divided into 50,130,945 shares of Rs. 10/- each |
|
Names |
Designation |
|
Mr. Tariq Mehmood Chaudhary Mr. Chaudhary Muhammad Aslam Dr. Yasmeen Mehmooda Mrs. Uzma Tariq Mr. Shahid Khaqan Abbasi Mr. Junaid Iqbal Mr. Ali Jahangir Siddiqui |
|
Names |
No. of Shares |
|
Mr. Tariq Mehmood Chaudhary Mr. Chaudhary Muhammad Aslam Mrs. Uzma Tariq Mrs. Anam Tariq Chaudhary Mrs. Zahra Tariq Chaudhary Mr. Ali Tariq Chaudhary Mr. Umar Tariq Chaudhary Mr. Chaudhary Family Trust Dr. Yasmeen Mehmooda Mr. Nasir Javed |
28,844,800 100 100 240,000 240,000 240,000 240,000 6,431,795 100 143,750 |
A. Subsidiary
None
B. Associated
Companies
- Do -
Principal activity of the Company is to
provide air transport services (Domestic & International)
More than 500
|
Year |
In Pak Rupees |
|
2009 |
9,949,216,000/- |
Subject mainly import from Companies belongs
to U.S.A., U.K., & European Countries
CURRENT FLEET
|
|
The Airline has ordered ten brand new Airbus long haul and short haul
aircraft to facilitate international
expansion to the UK and strengthen
the domestic routes. The US $ 790 million order includes eight aircraft with
deliveries commencing in 2008. Airbus A320 for the Gulf and domestic routes
and two Airbus A330 for the European routes aircraft with deliveries
commencing in 2008.
|
(1) MCB Bank Limited, Pakistan.
(2)
Habib
Bank Limited, Pakistan.
(3)
Bank
Al Habib Limited, Pakistan.
(4) Citibank N.A.
(5) Faysal Bank Limited, Pakistan.
(6)
National
Bank of Pakistan.
(7)
Standard
Chartered Bank, Pakistan.
|
The airline was established in
2003 and started operations on 18 June 2004 with 3 A320-200 aircraft serving Karachi-Lahore and
Karachi-Islamabad with three daily flights in each direction. The airline was
inaugurated by the current prime minister of Pakistan, Shaukat Aziz who
expressed great potential in Airblue. During the first year the airline
became very popular, which allowed the airline to compete directly with the
flag carrier PIA and the two other private carriers. This allowed the airline
to expand into more cities in Pakistan including Peshawar, Quetta and
Nawabshah. On August 14, 2005 (Pakistan's Independence Day) Airblue launched
its first international flight from Karachi to Dubia and recently added
Faisalabad to its network. Further expansion plans are already in the
pipeline with permission to start flights to Manchester awaiting clearance
whilst an application to start flights to Jordan has been submitted. Other
destinations that feature in their long term plans include further cities in
the UK and to cities in USA, India
and Saudi Arabia. |
·
Karachi Chamber of
Commerce & Industry.
·
Islamabad Chamber of
Commerce & Industry.
|
Currency |
Unit |
Pakistani Rupee |
|
US Dollar |
1 |
Rs. 99.20 |
|
UK Pound |
1 |
Rs. 155.00 |
|
Euro |
1 |
Rs. 134.00 |
Airblue is a private Pakistani Airline based at
Jinnah International Airport Karachi. It was the first private carrier of Pakistan
to operate the Airbus A320 when it initially started. Airblue has been
expanding even after experiencing competition from the other three airline
operators in Pakistan. Currently Subject Company enjoys good reputation in
Pakistan related to its better services comparing with PIA.
Subject can be considered for normal
business dealings at usual trade terms and conditions.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.53.97 |
|
|
1 |
Rs.83.17 |
|
Euro |
1 |
Rs.72.20 |
INFORMATION DETAILS
|
Report
Prepared by : |
PRL |
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%)
This report is issued at your request without any
risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL)
or its officials.