MIRA INFORM REPORT

 

 

Report Date :

18.01.2013

 

IDENTIFICATION DETAILS

 

Name :

KUWAIT UNITED POULTRY COMPANY KSC (KUPCO)

 

 

Registered Office :

Building No. 36, Office No. 11 Jamal Abdulnaser Street, Jahara Street Shuwaikh Industrial Area PO Box 1236 Safat 13013

 

 

Country :

Kuwait

 

 

Financials (as on) :

31.12.2011

 

 

Date of Incorporation :

30.11.1974

 

 

Legal Form :

Kuwaiti Shareholding Company - KSC

 

 

Line of Business :

Production of poultry and table eggs as well as operating a chain of restaurants.

 

 

No. of Employees :

700

 

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)

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                                     : KUWAIT UNITED POULTRY COMPANY KSC (KUPCO)

Country of Origin                                    : Kuwait

Legal Form                                            : Kuwaiti Shareholding Company - KSC

Registration Date                                   : 30th November 1974

Chamber Membership Number                : 4480

Issued Capital                                        : KD 11,540,000

Paid up Capital                                      : KD 11,540,000

Total Workforce                                     : 700

Activities                                               : Production of poultry and table eggs as well as operating a chain of

                                                              restaurants.

Financial Condition                                 : Fair

Payments                                             : Nothing detrimental uncovered

Operating Trend                         :           Steady

 

 

 


COMPANY NAME

 

KUWAIT UNITED POULTRY COMPANY KSC (KUPCO)

 

 

ADDRESS

 

Registered & Physical Address

 

Building                  : Building No. 36, Office No. 11

Street                 : Jamal Abdulnaser Street, Jahara Street

Area                 : Shuwaikh Industrial Area

 

PO Box             : 1236

 

Town                 : Safat 13013

Country             : Kuwait

 

Telephone         : (965) 24818860 / 24818861 / 24818862 / 24818863 / 24810033 / 24818890

Facsimile          : (965) 24818864 / 24849012

Email                : kupco@qualitynet.net / info@kupco.net

 

Premises

 

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

 

Branch Office (s)

 

Subject operates 2 farms located in the Al Shagaya District, near the border between Kuwait and Saudi Arabia.

 

 

KEY PRINCIPALS

 

     Name                                                                       Position

 

·       Khaled Sulaiman Ali Al Ali                                         Chairman

 

·       Mohamed Jamal Monther Al Neema                            Vice Chairman

 

·       Nasser Ahmed Fahad Al Ameer                                 Director

 

·       Azara Faleh Al Hussein                                             Director

 

·       Mazen Saad Ali Al Naheth                                         Director

 

·       Ahmad Ibraheem Ahmad Al Asfour                             Director

 

·       Talal Abdullah Ahmad Al Omaim                                Director

 

·       Mohamed Abdulreda Abdullah Khorshid                      Director

 

·       Hamed Taleb Al Nakeeb                                            Director

 

·       Rifaat Farraj                                                              Finance & Administration Manager

 

·       Tariq Mahmoud Abdul Salam                                      Production Manager

 

·       Duaijel Ali Al Hussein                                                Marketing Manager

 

 

LEGAL FORM & OWNERS

 

Date of Establishment  : 30th November 1974

 

Legal Form                  : Kuwaiti Shareholding Company - KSC

 

Chamber Member No. : 4480

 

Issued Capital              : KD 11,540,000

 

Paid up Capital            : KD 11,540,000

 

Name of Shareholder (s)                                                 Percentage

 

·       Kuwait Investment Authority                                                      44.68%

 

·       Kuwait Supplies Co                                                                    7.77%

 

·       The Financial Securities Co                                                         5.27%

 

·       Al Sharq Holding Co                                                                   5.27%

 

·       Members of the general public and private investors                     37.01%

 

 

AFFILIATED COMPANIES

 

·       Aloon International Trading Est

PO Box: 1236

Safat 13013

Tel: (965) 24818891

Fax: (965) 24818864

 

·       Mascan Company for Breeding Fisheries WLL

Safat

 

·       The National Kuwait Company for Poultry and Eggs WLL

Safat

 

 

OPERATIONS

 

Activities: Engaged in the production of poultry and table eggs with an annual production of 115 million table eggs and 12,000 tons of broiler meat.

 

Subject is authorized agents for Columbus eggs.

 

The company has a contract worth KD 470,000 with Ministry of Defence for supply of frozen chicken and

fresh eggs for 1 year. It also has other prestigious clients such as the National Guard, Public Authority for

Applied Education & Training, Kuwait Aviation Co., Al Wazzan Co, Hilton Al Mangaf, Palms Beach Hotel,

Kuwait Food Co and Lali Al Kuwait Catering Co.

 

The Company also operates a chain of restaurants under the name "Fresh 'N' Tasty".

 

Import Countries : The United States of America, Italy and the United Kingdom.

 

Brand Names : KUPCO, FRESH N TASTY and AL GHADEER

 

Subject has a workforce of approximately 700 employees.

 

 

FINANCIAL DATA

 

Financial highlights provided by local sources are given below:

 

Currency: Kuwaiti Dinars (KD 000’s)

 

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

 

ASSETS

 

 

CURRENT ASSETS

4.223

5.209

INVESTMENTS

0

0

FIXED ASSETS

10.070

11.616

OTHER ASSETS

790

819

TOTAL ASSETS

15.083

17.644

 

 

 

LIABILITIES

 

 

CURRENT LIABILITIES

2.048

2.261

LONG TERM LIABILITIES

1.285

1.024

TOTAL LIABILITIES

3.332

3.285

 

 

 

SHAREHOLDER'S EQUITY

 

 

PAID-UP CAPITAL

11.540

11.540

PROPOSED STOCK DIVIDENDS

0

0

PROPOSED CASH DIVIDENDS

0

560

RESERVES

2.741

2.817

FAIR VALUE RESERVES

0

0

RETAINED EARNINGS (LOSSES)

-1.947

25

TREASURY STOCK

-584

-584

TOTAL SHAREHOLDER'S EQUITY

11.750

14.359

MINORITY INTEREST

0

0

TOTAL LIABILITIES & SHAREHOLDER'S EQUITY

15.083

17.644

 

 

 

Income Statement

 

Operating Revenues

13.385

16.038

GROSS PROFIT

2.450

3.862

INCOME FROM INVESTMENTS

0

0

UNREALIZED GAIN (LOSS) ON INVESTMENTS

0

0

OTHER INCOME

90

139

TOTAL INCOME

13.475

16.177

NET PROFIT (LOSS)

1.144

2.609

 

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

 

 

BANKERS

 

·       National Bank of Kuwait

Ali Awadi Tower

Ahmed Al Jaber Street

PO Box: 95

Safat 13001

Tel: (965) 23981188 / 23981189

Fax: (965) 23985643

 

·       Al Ahli Bank of Kuwait KSC

Mubarak Al Kabir Street

PO Box: 1387

Safat 13033

Tel: (965) 2411101 / 2411102

 

·       Commercial Bank of Kuwait

     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                  June 2002                                June 2006

Credit amount                            26,000                                      150,000

Amount overdue             0                                              0

Payment terms                          60 days                                     60 days

Payment Method                       Letters of Credit                         Letters of Credit

Paying record                            No Complaints                           No Complaints

Currency                                   US dollars                                 US dollars

 

 

GENERAL COMMENTS

 

During the course of this investigation nothing detrimental was uncovered regarding subject’s operating history or the manner in which payments are fulfilled. As such the company is considered to be a fair trade risk.

 

 


 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.54.64

UK Pound

1

Rs.87.45

Euro

1

Rs.72.65

 

 

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.