|
Report Date : |
27.07.2013 |
IDENTIFICATION DETAILS
|
Name : |
MIDDLE EAST SPECIALIZED CABLE |
|
|
|
|
Formerly Known As : |
MESC |
|
|
|
|
Registered Office : |
Abdali Akarko Complex, 11th |
|
|
|
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Country : |
|
|
|
|
|
Financials (as on) : |
31.12.2011 |
|
|
|
|
Date of Incorporation : |
26.01.1992 |
|
|
|
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Com. Reg. No.: |
215 |
|
|
|
|
Legal Form : |
Public Shareholding Company |
|
|
|
|
Line of Business : |
Manufacturers of electric power cables and telephone wires |
|
|
|
|
No. of Employees : |
620 |
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 – March 31st, 2013
|
Country Name |
Previous Rating (31.12.2012) |
Current Rating (31.03.2013) |
|
Jordan |
B1 |
B1 |
|
Risk Category |
ECGC
Classification |
|
Insignificant |
A1 |
|
Low |
A2 |
|
Moderate |
B1 |
|
High |
B2 |
|
Very High |
C1 |
|
Restricted |
C2 |
|
Off-credit |
D |
JORDAN - ECONOMIC OVERVIEW
Jordan's economy is among the smallest in the Middle East, with insufficient supplies of water, oil, and other natural resources, underlying the government's heavy reliance on foreign assistance. Other economic challenges for the government include chronic high rates of poverty, unemployment, inflation, and a large budget deficit. Since assuming the throne in 1999, King ABDALLAH has implemented significant economic reforms, such as opening the trade regime, privatizing state-owned companies, and eliminating some fuel subsidies, which in the last decade spurred economic growth by attracting foreign investment and creating some jobs. The global economic slowdown and regional turmoil, however, have depressed Jordan''s GDP growth, impacting export-oriented sectors, construction, and tourism. In 2011 and 2012, the government approved two economic relief packages and a budgetary supplement, meant to improve the living conditions for the middle and poor classes. Jordan''s finances have also been strained by a series of natural gas pipeline attacks in Egypt, causing Jordan to substitute more expensive diesel imports, primarily from Saudi Arabia, to generate electricity. Jordan is currently exploring nuclear power generation in addition to the exploitation of abundant oil shale reserves and renewable technologies to forestall energy shortfalls. In 2012, to correct budgetary and balance of payments imbalances, Jordan entered into a $2.1 billion, multiple year International Monetary Fund Stand-By Arrangement. Jordan''s financial sector has been relatively isolated from the international financial crisis because of its limited exposure to overseas capital markets. Jordan will continue to depend heavily on foreign assistance to finance the deficit in 2013.
Source
: CIA
Company Name : MIDDLE EAST SPECIALIZED CABLE
Also Known As : MESC JORDAN PJSC
Country of Origin : Jordan
Legal Form : Public Shareholding Company
Registration Date : 26th January 1992
Commercial Registration Number : 215
National ID Number : 200021410
Issued Capital : JD 38,889,210
Paid up Capital : JD 38,889,210
Total Workforce : 620
Activities : Manufacturers of electric power cables and telephone wires
Financial Condition : Fair
Payments : Nothing detrimental uncovered
Operating Trend : Steady
MIDDLE EAST SPECIALIZED CABLE
ALSO KNOWN AS: MESC JORDAN PJSC
Building : Abdali
Akarko Complex, 11th Floor
Street : Hussein
Street
Area : Abdali
PO Box : 925611
Town : Amman 11190
Country : Jordan
Telephone : (962-6) 5606205
/ 5606203 / 6230601
Facsimile : (962-6) 5606221
/ 6230610
Email : hashem.mallah@mesccables.com
/ general@inccables.com
Subject operates from a large suite of offices that are rented and located
in the Central Business Area of Amman.
Name Position
· Abdul Raouf Al
Bitar Chairman
· Hashem Hunaidi Vice
Chairman
· Abdul Aziz Al
Mamlieh Director
· Saleh Swailem Director
· Ahmad Al Namleh Director
· Fathi Hasan Director
· Mansour Al Lozi Director
· Amr Al Belbaisi Director
· Issa Azar Director
· Ahmad A Sallakh General
Manager
· Talal Abulhawa Sales
& Marketing Manager
· Eba Assaf Financial
Controller
· Hashem Mallah Human
Resources Manager
Date of
Establishment : 26th
January 1992
Legal Form : Public
Shareholding Company
Commercial Reg.
No. : 215
National ID No. : 200021410
Issued Capital : JD 38,889,210
Paid up Capital : JD 38,889,210
· Middle East
Specialised Cables Company (MESC) 49.0%
Al Kharj Road
Second Industrial Area, Phase 2
PO Box: 585
Riyadh 11383
Saudi Arabia
Tel: (966-1) 2650555
Fax: (966-1) 2650712 / 2650015
· Amnco Inc 4.6%
British Virgin
Islands
· Hayaco Inc 0.7%
British Virgin
Islands
· Local businessmen
and private investors 45.7%
Activities: Engaged in the manufacture of electric power cables and telephone
wires.
Operating Trend: Steady
Subject has a workforce of approximately 620 employees.
Financial highlights provided by local sources are given below:
Currency: Jordanian Dinars (JD)
Balance Sheet 31/12/11 31/12/10 31/12/09
|
Cash on Hand & at Banks |
191,859 |
300,425 |
766,650 |
|
Accounts Receivable, Net |
10,535,475 |
17,650,421 |
31,022,236 |
|
Notes Receivable |
0 |
0 |
0 |
|
Post Dated Cheques |
4,654,724 |
5,579,886 |
10,009,019 |
|
Short Term Investments |
1,424,053 |
1,612,531 |
1,440,506 |
|
Inventory |
17,580,931 |
22,859,303 |
41,710,206 |
|
Spare Parts |
0 |
0 |
0 |
|
37,278,512 |
51,284,827 |
85,495,671 |
|
|
Long Term Investments |
5,932,072 |
9,332,773 |
8,779,587 |
|
Fixed Assets, Net |
24,061,166 |
24,396,601 |
26,215,034 |
|
Lands |
0 |
0 |
0 |
|
Projects in Progress |
0 |
7,148 |
0 |
|
Total Fixed Assets |
24,061,166 |
24,403,749 |
26,215,034 |
|
Other Assets |
102,442 |
102,442 |
421,942 |
|
67,374,192 |
85,123,791 |
120,912,234 |
|
Accounts and Notes Payable |
1,857,968 |
1,980,949 |
4,675,084 |
|
Credit Banks |
0 |
0 |
0 |
|
Short Term Loans |
20,332,553 |
34,288,226 |
48,372,202 |
|
Accrued Part of Long Term Loans |
3,866,539 |
9,300,205 |
8,974,315 |
|
Total Current Liabilities |
27,227,733 |
54,639,421 |
67,335,392 |
|
Long Term Loans & Notes Payable |
33,881,321 |
13,767,324 |
24,927,578 |
|
Corporate Bonds |
0 |
0 |
0 |
|
Other Liabilities |
561,537 |
444,535 |
0 |
|
61,670,591 |
68,851,280 |
92,262,970 |
|
Authorized Capital |
38,889,210 |
38,889,210 |
38,820,148 |
|
38,889,210 |
38,889,210 |
38,820,148 |
|
|
Paid in Capital |
38,889,210 |
38,889,210 |
38,820,148 |
|
Compulsory Reserves |
3,391,614 |
3,391,614 |
3,391,614 |
|
Voluntary Reserve |
756,445 |
756,445 |
756,445 |
|
Other Reserves |
0 |
0 |
0 |
|
Issuance Premium |
0 |
0 |
0 |
|
Issuance Discount |
0 |
0 |
0 |
|
Treasury Stocks |
0 |
0 |
0 |
|
0 |
0 |
0 |
|
|
Proposed Stock Dividends |
0 |
0 |
0 |
|
Accumulated Change in Fair Value |
-987,909 |
-2,059,673 |
-1,104,741 |
|
-36,345,759 |
-24,705,085 |
-13,214,202 |
|
|
5,703,601 |
16,272,511 |
28,649,264 |
|
|
Minority Interest |
0 |
0 |
0 |
|
67,374,192 |
85,123,791 |
120,912,234 |
Income Statement
|
Operating Revenues |
59,223,318 |
70,667,679 |
80,539,432 |
|
Operating Expenses |
61,351,909 |
68,798,809 |
71,923,760 |
|
Gross Profit |
-2,128,591 |
1,868,870 |
8,615,672 |
|
General and Administrative Expenses |
742,709 |
1,240,153 |
1,478,230 |
|
Selling and Distribution Expenses |
654,854 |
1,378,747 |
1,082,559 |
|
Depreciation (Period) |
2,184,437 |
2,692,991 |
2,295,157 |
|
Other Operating Expenses |
2,000,000 |
1,995,156 |
377,098 |
|
Net Operating Income |
-5,526,154 |
-2,745,186 |
5,677,785 |
|
Other Revenues |
-3,607,226 |
-3,597,219 |
-880,037 |
|
Other Expenses |
108,444 |
1,062,503 |
167,956 |
|
Income Before Interest & Tax |
-9,241,824 |
-7,404,908 |
4,629,792 |
|
Interest Expenses |
2,890,350 |
3,766,475 |
4,757,736 |
|
Net Income Before Tax |
-12,132,174 |
-11,171,383 |
-127,944 |
|
Income Tax (Period) |
0 |
319,500 |
2,342,267 |
|
Income Tax (Previous Years) |
0 |
0 |
0 |
|
Universities and Research Train Fees |
0 |
0 |
0 |
|
Board of Directors Remuneration |
0 |
0 |
0 |
|
Net Income |
-12,132,174 |
-11,490,883 |
-2,470,211 |
|
Minority Interest |
0 |
0 |
0 |
|
-12,132,174 |
-11,490,883 |
-2,470,211 |
Local sources consider subject’s financial condition to be Fair.
·
Union Bank for Saving & Investment (UBSI)
Chamber of
Commerce Building
Shmeisani
PO Box: 35104
Amman
Tel: (962-6)
5666148 / 5666170 / 5666171 / 5675558
Fax: (962-6)
5666149
No complaints regarding subject’s payments have been reported.
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.58.91 |
|
|
1 |
Rs.90.68 |
|
Euro |
1 |
Rs.78.22 |
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.