MIRA INFORM REPORT

 

 

Report Date :

04.05.2013

 

IDENTIFICATION DETAILS

 

Name :

SHAMMAKH GENERAL TRADING CO

 

 

Registered Office :

Alhay Al Tejari, Al Mina Street, Commercial Area, P O Box 3402 & 3372, Hodeidah

 

 

Country :

Yemen

 

 

Financials (as on) :

31.12.2011

 

 

Year of Establishment :

2007

 

 

Com. Reg. No.:

1322, Hodeidah

 

 

Legal Form :

Limited Liability Partnership

 

 

Line of Business :

Distributors of general foodstuffs

 

 

No. of Employees :

65 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 – March 31st, 2013

 

Country Name

Previous Rating

(31.12.2012)

Current Rating

(31.03.2013)

Yemen

C1

C1

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 

 

Yemen - ECONOMIC OVERVIEW

 

Yemen is a low income country that is highly dependent on declining oil resources for revenue. Petroleum accounts for roughly 25% of GDP and 70% of government revenue. Yemen has tried to counter the effects of its declining oil resources by diversifying its economy through an economic reform program initiated in 2006 that is designed to bolster non-oil sectors of the economy and foreign investment. In October 2009, Yemen exported its first liquefied natural gas as part of this diversification effort. In January 2010, the international community established the Friends of Yemen group that aims to support Yemen's efforts toward economic and political reform. In 2012, the Friends of Yemen pledged over $7 billion in assistance to Yemen. The Yemeni government also endorsed a Mutual Accountability Framework to facilitate the efficient implementation of donor aid. The unrest that began in early 2011 caused GDP to plunge more than 15% in 2011, and about 2%in 2012. Availability of basic services, including electricity, water, and fuel, has improved since the transition, but progress toward achieving more sustainable economic stability has been slow and uneven. Yemen continues to face difficult long term challenges, including declining water resources, high unemployment, and a high population growth rate.

 

Source : CIA

 

 

SUMMARY

 

Company Name                                    : SHAMMAKH GENERAL TRADING CO

Country of Origin                                   : Yemen

Legal Form                                           : Limited Liability Partnership

Registration Date                                  : 2007

Commercial Registration Number           : 1322, Hodeidah

Issued Capital                                       : YR 2,000,000

Paid up Capital                                     : YR 2,000,000

Total Workforce                                     : 65

Activities                                               : Distributors of general foodstuffs.

Financial Condition                                : Fair

Payments                                             : Nothing detrimental uncovered

Operating Trend                                    : Steady

COMPANY NAME

 

SHAMMAKH GENERAL TRADING CO

 

 

company ADDRESS

 

Registered & Physical Address

Location           : Alhay Al Tejari

Street               : Al Mina Street

Area                 : Commercial Area

PO Box            : 3402 & 3372

Town                : Hodeidah

Country             : Yemen

Telephone         : (967-3) 225768 / 219622

Facsimile          : (967-3) 225770 / 219617

Mobile              : (967-77) 7716666

Email                : mohammed@shammakh.com

 

Premises

Subject operates from a medium sized suite of offices that are rented and located in the Central Business Area of Hodeidah.

 

 

KEY PRINCIPALS

 

     Name                                                                                               Position

·       Ahmed Salem Mohamed Shammakh                                                  Managing Partner

·       Abu Baker Salem Mohamed Shammakh                                             Partner

·       Maroof Salem Mohamed Shammakh                                                 Partner

·       Mohamed Ahmed Shammakh                                                            General Manager

 

 

LEGAL FORM & OWNERS

 

Date of Establishment  : 2007

 

Legal Form                  : Limited Liability Partnership

 

Commercial Reg. No.   : 1322, Hodeidah

 

Issued Capital              : YR 2,000,000

 

Paid up Capital            : YR 2,000,000

 

Name of Partners                                                     Percentage

·       Shammakh Group                                                     100%

     Hodeidah

 

 

AFFILIATED COMPANIES

 

·       Salem Mohamed Shammakh Co

Hodeidah

 

·       Shammakh Tanning and Leather Industry

Hodeidah

 

 

OPERATIONS

 

Activities: Engaged in the import and distribution of general foodstuffs, including dried foods, oil, sugar and spices.

 

Import Countries: Europe and the Far East.

 

Operating Trend: Steady

 

Subject has a workforce of 65 employees.

 

 

FINANCIAL DATA

 

Financial highlights provided by local sources are given below:

 

Currency: Yemeni Riyal (YR)

 

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

 

Total Sales                                YR 110,000,000             YR 116,000,000

 

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

 

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

 

 

BANKERS

 

·       International Bank of Yemen (IBY)

Al Meena Street

PO Box: 3377

Hodeidah

Tel: (967-3) 200929

Fax: (967-3) 204888

 

 

PAYMENT HISTORY

 

No complaints regarding subject’s payments have been reported.

 

 

GENERAL COMMENTS

 

Local sources report that subject meets its payments in a timely manner and is considered to be a fair trade risk.

 

 

FOREIGN EXCHANGE RATES

 

Currency
Unit

Indian Rupees

US Dollar

1

Rs.53.95

UK Pound

1

Rs.83.80

Euro

1

Rs.70.49

 

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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This report is issued at your request without any risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or its officials.