MIRA INFORM REPORT

Report Date :

25.01.2013

IDENTIFICATION DETAILS

Name :	SHARIKAT FANNIYA OMANIYA (SALALAH) LLC
Registered Office :	Al Salam Street, PO Box 127, Salalah 211
Country :	Oman
Financials (as on) :	31.12.2012
Date of Incorporation :	13.11.1975
Com. Reg. No.:	2/00416/0
Legal Form :	Limited Liability Company – LLC
Line of Business :	Subject Operates Several Divisions Electro-Mechanical Division, Trading/Merchandising Division, Air Conditioning Division
No. of Employees :	225 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 :	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 30^th, 2012

Country Name	Previous Rating (31.03.2012)	Current Rating (30.06.2012)
Oman	A2	A2

Risk Category	ECGC Classification
Insignificant	A1
Low	A2
Moderate	B1
High	B2
Very High	C1
Restricted	C2
Off-credit	D

oman - ECONOMIC OVERVIEW

Oman is a middle-income economy that is heavily dependent on dwindling oil resources. Because of declining reserves and a rapidly growing labor force, Muscat has actively pursued a development plan that focuses on diversification, industrialization, and privatization, with the objective of reducing the oil sector's contribution to GDP to 9% by 2020 and creating more jobs to employ the rising numbers of Omanis entering the workforce. Tourism and gas-based industries are key components of the government's diversification strategy. By using enhanced oil recovery techniques, Oman succeeded in increasing oil production, giving the country more time to diversify, and the increase in global oil prices through 2011 provided the government greater financial resources to invest in non-oil sectors.

Source : CIA

SUMMARY

Company Name : SHARIKAT FANNIYA OMANIYA (SALALAH) LLC

Country of Origin : Oman

Legal Form : Limited Liability Company – LLC

Registration Date : 13^th November 1975

Commercial Registration Number : 2/00416/0

Chamber Membership Number : 79

Issued Capital : RO 350,000

Paid up Capital : RO 350,000

Total Workforce : 225

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

Financial Condition : Good

Payments : Nothing detrimental uncovered

Operating Trend : Steady

Person Interviewed : Kumran Subramaniyan, Finance Manager

COMPANY NAME

SHARIKAT FANNIYA OMANIYA (SALALAH) LLC

COMPANY ADDRESS

Registered & Physical Address

Location : Al Salam Street

PO Box : 127

Town : Salalah 211

Country : Oman

Telephone : (968) 23292204 / 23292510 / 23290566

Facsimile : (968) 23294676

Mobile : (968) 99023931 / 92853385

Email : fanniya@omantel.net.om / sfeeman@gmail.com

Premises

Subject operates from a large suite of offices that are rented and located in the Central Business Area of Salalah.

Branch Offices

Location Description

· Ruwi Office premises

Muscat

Tel: (968) 24785223

KEY PRINCIPALS

Name Position

· Sayed Ahmed Al Shanfari Managing Director

· Sayed Abdulaziz Saba Al Rawas Director

· Ahmed Abdullah Mahfouz Al Sheikh Director

· S Srihar Chief Executive Officer

· B M Thomas Commercial Manager

· Kumran Subramaniyan Finance Manager

LEGAL FORM & OWNERS

Date of Establishment : 13^th November 1975

Legal Form : Limited Liability Company – LLC

Commercial Reg. No. : 2/00416/0

Chamber Member No. : 79

Issued Capital : RO 350,000

Paid up Capital : RO 350,000

Name of Shareholder (s)

· Sayed Ahmed Al Shanfari

· Sayed Abdulaziz Saba Al Rawas

· Ahmed Abdullah Mahfouz Al Sheikh

AFFILIATED COMPANIES

· Al Shanfari & Partner LLC

Muscat

OPERATIONS

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

· Electro-Mechanical Division

Electro-mechanical Division is the major Division in SFO and is operating for more than 20 years. This Division undertakes contracts for all types of Electrical, Mechanical, Plumbing/Sanitary jobs including installation, operation and maintenance of such projects. Some of the Activities & Services include:

• Construction of Turnkey Projects covering Power Stations including SCADA Control System.
• Operation & Maintenance of Power Stations
• Electrification of multi-storey building structures.
• Overhead Electrical power distribution networks up to 132KV.
• Underground Electrical cable laying works, HV & LV.
• Construction of Sub-Stations.
• Landscape lighting and controls.
• Undertaking road lighting contracts including traffic signals.
• Design, Supply & installation of Reverse Osmosis Plants & Desalination Plants.
• Operation & maintenance of water treatment plants.
• Electro-mechanical works for pumping stations.
• Supply & installation of irrigation systems.
• Installation of water distribution networks and plumbing/sanitary and drainage system.

· Trading/Merchandising Division

Trading Division activities include distribution of well-known consumer products such as milk, tea, detergents, food products, electrical appliances, kitchen equipment and domestic appliances of world renowned brands.

· Air Conditioning Division

This Division’s activities include the following:

• Providing air-conditioning equipment
• Installation of all types of Central Air Conditioning & Controls, including ducting & ventilation.
• Installation of Split & Window Air Conditioners.
• Providing air conditioning related services to valued clients at all levels including several prestigious sites like the Palaces, Ministerial Buildings, Banks, Hotels and Commercial Establishments.
• Regular maintenance of air-conditioning of large and small buildings & villas on contract basis

Import Countries: India, Europe and Australia

Operating Trend: Steady

Subject has a workforce of approximately 225 employees.

FINANCIAL DATA

Financial highlights provided by local sources are given below:

Currency: Riyal Omani (RO)

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

Total Sales RO 12,508,000 RO 12,000,000

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

The above figures were provided by Mr Kumran Subramaniyan, Finance Manager

BANKERS

· HSBC Bank Middle East

Mutrah Business District

PO Box: 240, Ruwi 112

Muscat

Tel: (968) 24700810 / 24799920 / 24799927

Fax: (968) 24704241

PAYMENT HISTORY

No complaints regarding subject’s payments have been reported.

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.53.85
UK Pound	1	Rs.85.25
Euro	1	Rs.71.72

INFORMATION DETAILS

Report Prepared by :

NLM

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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