MIRA INFORM REPORT

 

 

Report Date :

11.01.2013

 

IDENTIFICATION DETAILS

 

Name :

UNIVERSAL PAINTS & CHEMICAL INDUSTRIES SARL

 

 

Registered Office :

Old Saida Road Industrial Area PO Box   135333 Beirut 1102203

 

 

Country :

Lebanon

 

 

Financials (as on) :

31.12.2011

 

 

Year of Incorporation :

1979

 

 

Com. Reg. No.:

40228, Beirut

 

 

Legal Form :

Limited Liability Company

 

 

Line of Business :

Manufacturers of paints and primers

 

 

No. of Employees :

150

 

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)

Lebanon

C1

C1

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 

 

LEBANON - ECONOMIC OVERVIEW

 

Lebanon has a free-market economy and a strong laissez-faire commercial tradition. The government does not restrict foreign investment; however, the investment climate suffers from red tape, corruption, arbitrary licensing decisions, complex customs procedures, high taxes, tariffs, and fees, archaic legislation, and weak intellectual property rights. The Lebanese economy is service-oriented; main growth sectors include banking and tourism. The 1975-90 civil war seriously damaged Lebanon's economic infrastructure, cut national output by half, and derailed Lebanon's position as a Middle Eastern entrepot and banking hub. Following the civil war Lebanon rebuilt much of its war-torn physical and financial infrastructure by borrowing heavily - mostly from domestic banks - saddling the government with a huge debt burden. Pledges of economic and financial reforms made at separate international donor conferences during the 2000s have mostly gone unfulfilled, including those made during the Paris III Donor Conference in 2007 following the July 2006 war. The collapse of the government in early 2011 over its backing of the Special Tribunal for Lebanon and unrest in neighboring Syria slowed economic growth to 1.5% after four years of 8% average growth. In September 2011 the Cabinet endorsed a bill that would provide $1.2 billion in funding to improve Lebanon's downtrodden electricity sector, but fiscal limitations will test the government's ability to invest in other areas, such as water.

Source : CIA


 

 

SUMMARY

 

Company Name                                     : UNIVERSAL PAINTS & CHEMICAL INDUSTRIES SARL

Trading As                                             : CHEMIPAINTS SARL

Country of Origin                                    : Lebanon

Legal Form                                            : Limited Liability Company

Registration Date                                   : 1979

Commercial Registration Number                        : 40228, Beirut

Issued Capital                                        : LP 3,600,000

Paid up Capital                                      : LP 3,600,000

Total Workforce                                     : 150

Activities                                               : Manufacturers of paints and primers

Financial Condition                                 : Fair

Payments                                             : Nothing detrimental uncovered

Operating Trend                                     : Steady

 

COMPANY NAME

 

UNIVERSAL PAINTS & CHEMICAL INDUSTRIES SARL

 

TRADING AS: CHEMIPAINTS SARL

 

 

ADDRESS

 

Registered & Physical Address

 

Street               : Old Saida Road

Area                 : Industrial Area

 

PO Box             : 135333

 

Town                 : Beirut 1102203

Country             : Lebanon

 

Telephone         : (961-5) 807020

Facsimile          : (961-5) 800915

Mobile               : (961-3) 653135 / 922211

Email                : chemipaint@inco.com.lb

 

Premises

 

Subject operates from a medium sized suite of offices and a factory that are owned and located in the Industrial Area of Beirut.

 

Branch Office (s)

 

     Location                                                                               Description

 

·       Mahmoud Bizri Building                                                         Owned office premises

Al Hussein Street

Hamra

Beirut

 

·       Dora Highway                                                                       Showroom premises

Bauchrieh

Tel: (961-1) 888203

 

·       Abdu Dhabi                                                                           Showroom premises

United Arab Emirates

Tel: (971-2) 2502099 

      

·       Erbil                                                                                     Showroom premises

Iraq

Tel: (964-66) 2568319

KEY PRINCIPALS

 

     Name                                                                                   Position

 

·       Osama Mahmoud Bizri                                                          Managing Director

 

·       Bassam Mahmoud Bizri                                                         Director

 

·       Wassim Mahmoud Bizri                                                         Director

 

·       Ghayath Mahmoud Bizri                                                        Director

 

 

LEGAL FORM & OWNERS

 

Date of Establishment  : 1979

 

Legal Form                  : Limited Liability Company

 

Commercial Reg. No.  : 40228, Beirut

 

Issued Capital              : LP 3,600,000

 

Paid up Capital            : LP 3,600,000

 

Name of Shareholder (s)                                    

 

·       Osama Mahmoud Bizri

 

·       Bassam Mahmoud Bizri

 

·       Wassim Mahmoud Bizri

 

·       Ghayath Mahmoud Bizri

 

 

OPERATIONS

 

Activities: Engaged in the manufacture of architectural paint and primers, decorative paint, epoxies, varnishes and high performance resins.

 

                 Subject is ISO 9001 accredited.

 

Import Countries: The Netherlands, Germany, France, United Kingdom and the United States of America.

 

International Suppliers:

 

·       John L Seaton & Co Ltd         United Kingdom

 

Agencies Held:

 

·         Hyde

·         Polyglass

 

Export Countries: Syria, Algeria, Egypt, Morocco, Africa and the Middle East.

 

Brand Names: PANDA, DUTCH BOY, MIAMI and CHEMIPAINT

 

Operating Trend: Steady

 

Subject has a workforce of 150 employees.

 

 

FINANCIAL DATA

 

Financial highlights provided by local sources are given below:

 

Currency: Lebanese Pounds (LP)

 

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

 

Total Sales                                LP 7,100,000,000                       LP 7,500,000,000

 

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

 

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

 

 

BANKERS

 

·       Bank of Lebanon & Kuwait

PO Box: 115566

Beirut

Tel: (961-1) 340270

 

·       Societe Nouvelle de la Banque de Syrie et du Liban

PO Box: 11957

Beirut

Tel: (961-1) 402420

Fax: (961-1) 405563 / 404561

 

·       Arab Bank Plc

PO Box: 111015

Beirut

Tel: (961-1) 370122 / 370155 / 862860

Fax: (961-1) 868130 / 602408

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 company is deemed a fair trade risk.

 


 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.54.63

UK Pound

1

Rs.87.50

Euro

1

Rs.71.32

 

 

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%)

 

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.