MIRA INFORM REPORT

Report Date :

13.11.2013

IDENTIFICATION DETAILS

Name :	AL KHALEEJ SUGAR CO LLC
Registered Office :	Al Fajir Business Centre Building, 3^rd Floor Airport Road Al Garhoud Area PO Box 14415 & 15988 Dubai
Country :	United Arab Emirates
Date of Incorporation :	08.02.2000
Com. Reg. No.:	53836, Dubai
Legal Form :	Limited Liability Company - LLC
Line of Business :	Subject is engaged in the refining and marketing of sugar
No. of Employees :	800

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 31^st, 2013

Country Name	Previous Rating (31.12.2012)	Current Rating (31.03.2013)
UAE	A2	A2

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

UAE - ECONOMIC OVERVIEW

The UAE has an open economy with a high per capita income and a sizable annual trade surplus. Successful efforts at economic diversification have reduced the portion of GDP based on oil and gas output to 25%. Since the discovery of oil in the UAE more than 30 years ago, the country has undergone a profound transformation from an impoverished region of small desert principalities to a modern state with a high standard of living. The government has increased spending on job creation and infrastructure expansion and is opening up utilities to greater private sector involvement. In April 2004, the UAE signed a Trade and Investment Framework Agreement with Washington and in November 2004 agreed to undertake negotiations toward a Free Trade Agreement with the US; however, those talks have not moved forward. The country's Free Trade Zones - offering 100% foreign ownership and zero taxes - are helping to attract foreign investors. The global financial crisis, tight international credit, and deflated asset prices constricted the economy in 2009. UAE authorities tried to blunt the crisis by increasing spending and boosting liquidity in the banking sector. The crisis hit Dubai hardest, as it was heavily exposed to depressed real estate prices. Dubai lacked sufficient cash to meet its debt obligations, prompting global concern about its solvency. The UAE Central Bank and Abu Dhabi-based banks bought the largest shares. In December 2009 Dubai received an additional $10 billion loan from the emirate of Abu Dhabi. Dependence on oil, a large expatriate workforce, and growing inflation pressures are significant long-term challenges. The UAE's strategic plan for the next few years focuses on diversification and creating more opportunities for nationals through improved education and increased private sector employment

Source : CIA

SUMMARY

Company Name : AL KHALEEJ SUGAR CO LLC

Country of Origin : Dubai, United Arab Emirates

Legal Form : Limited Liability Company - LLC

Start Date : 1992

Registration Date : 8^th February 2000

Commercial Registration Number : 53836, Dubai

Trade Licence Number : 515821

Chamber Membership Number : 57897

Issued Capital : UAE Dh 50,000,000

Paid up Capital : UAE Dh 50,000,000

Total Workforce : 800

Activities : Refining and marketing of sugar

Financial Condition : Undetermined

Payments : Nothing detrimental uncovered

Person Interviewed : Refaat Medhat, Administration Manager

COMPANY NAME

AL KHALEEJ SUGAR CO LLC

ADDRESS

Registered & Physical Address

Building : Al Fajir Business Centre Building, 3^rd Floor

Street : Airport Road

Area : Al Garhoud Area

PO Box : 14415 & 15988

Town : Dubai

Country : United Arab Emirates

Telephone : (971-4) 2957777 / 2952226 / 2927000

Facsimile : (971-4) 2956677

Email : info@aksugar.ae / fazaljs@aksugar.com / fazaljs@aksugar.ae

Please note that subject’s previous address was, Abu Dhabi Commercial Bank Building, 5^th & 7^th Floors, Al Rigga Street, Al Bateen, Dubai. Subject moved to the above address in June 2013.

Premises

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

Branch Office (s)

Location Description

· Jebel Ali Free Zone Sugar Refinery

PO Box: 17077

Dubai

Tel: (971-4) 8817057 / 8818705

Fax: (971-4) 8815935

KEY PRINCIPALS

Name Nationality Position

· Jamal Majid Ahmad Al Ghurair Emirati Managing Director

· Majid Saif Ahmad Al Ghurair Emirati Director

· Saif Ahmad Al Ghurair Emirati Director

· Abdullah Majid Ahmad Al Ghurair Emirati Director

· Ali Majid Ahmad Al Ghurair Emirati Director

· Hamed Majid Ahmad Al Ghurair Emirati Director

· Mohamed Saif Ahmad Al Ghurair Emirati Director

· Omar Majid Ahmad Al Ghurair Emirati Director

· Taleb Majid Ahmad Al Ghurair Emirati Director

· Abhijit Roy Chowdhury - Assistant General Manager

· J S Fazal Urhman - Finance Manager

· Refaat Medhat - Administration Manager

· Sabrie Aweira - Refinery Manager

· Shabbir Bahernwala - Commercial Manager

LEGAL FORM & OWNERS

Date of Establishment : Subject’s operations date back to 1992, however it was registered on 8^th February 2000

Legal Form : Limited Liability Company - LLC

Commercial Reg. No. : 53836, Dubai

Trade Licence No. : 515821 (Expires 19/12/2016)

Chamber Member No. : 57897

Issued Capital : UAE Dh 50,000,000

Paid up Capital : UAE Dh 50,000,000

Name of Shareholder (s) Percentage

· Mohamed Saif Ahmad Al Ghurair 53.10%

· Jamal Majid Ahmad Al Ghurair 43.88%

· Majid Saif Ahmad Al Ghurair 2.91%

· Al Ghurair Al Oula Co LLC 0.11%

AFFILIATED COMPANIES

Subject is a member of the Al Ghurair Group, which has a turnover over in excess of UAE Dh 3 billion (US$ 850 million). The group has a diversified range of interests spanning real estate, finance and industry, with specialist operations in banking, trading and shipping.

Some of the very successful industries it operates today in the United Arab Emirates, include the National Flour Mills Co Ltd, National Cement Company, Gulf Extrusions at Jebel Ali, Masafi Mineral Water Co LLC, National Mosaic Tiles, Arabian Packaging Co and Al Ghurair Publishing and Printing. In the banking sector, the Ghurairs are owners of the UAE’s largest private bank, the Dubai-based Mashreq Bank, which is one of the Group’s most successful ventures and operates from branches both within and outside the UAE.

The Al Ghurair Group is active in London, New York, Cairo, Khartoum, Istanbul, Bombay, Doha, Colombo, Karachi and Lahore.

The Al Ghurair Group comprises the following concerns:

· Al Ghurair Holdings (Private) Ltd

· Gulf Extrusions Ltd

· Arabian Aluminium Company

· Al Ghurair Publishing & Printing House

· Union Mosaic & Marble Company

· Emirates Trading Agency LLC (ETA)

· Arabian Mix

· Porcellan Company LLC

· National Cement Company Ltd

· Arabian Packing Company

· Gulf Utensils

· Gulf Import & Export Co

· House of Perfume

· Computer Intelligence and Communications Ltd

· Gulf Confectionery & Biscuit Company

· Oman Insurance Co Limited

· Mashreq Bank

· Al Ghurair Enterprises

· Al Ghurair Exchange

· National Flour Mills Company Ltd

· National Concrete Company Ltd

· Masafi Mineral Water Co LLC

· Associated Construction & Investment Co LLC (ASCON)

· Al Ghurair Fieness Perry & Partners

· Pak Arab Traders

· Al Ghurair Real Estate

· Al Ghurair Centre LLC

· Central Electric Equipment Co LLC (CEEC)

· National Oman Marble Company

· Rawda Quarries Ltd

· Ghurair Tarmac

· Oman Finance Company

· Ghurair Crown (Engineering) Ltd

· Al Ghurair Industries (Pvt) Ltd

OPERATIONS

Activities: Engaged in the refining and marketing of sugar in the UAE and throughout the Gulf Region. Subject

exports its products to over 50 countries worldwide.

In January 1998 subject received ISO 9002 accreditation and ISO9001:2000 in April 2004.

Plans are afoot to increase the capacity of the refinery to 7,000 tons per day to meet the growing global

demand of refined sugar, which was achieved in July 2013 with a new set record of 7,270 tons in one day.

In 2011, the refinery set another record in terms of highest ever-annual production of refined sugar at 1.5

million tons.

Production Capacity: 6,000 tonnes of refined sugar per day.

Import Countries: Australia, Thailand, Brazil, India and South Africa

Subject has a workforce of approximately 800 employees.

FINANCIAL DATA

Companies registered in Dubai, United Arab Emirates are not legally required to make their accounts public and no financial information was released by the company or submitted by outside sources.

BANKERS

· Mashreq Bank Plc

Deira Branch

PO Box: 1250

Dubai

Tel: (971-4) 2229131 / 2221134

Fax: (971-4) 2233784

· Dubai Islamic Bank

PO Box: 1080

Dubai

Tel: (971-4) 2953000

Fax: (971-4) 2954111

· Abu Dhabi Commercial Bank

Al Rigga Road

PO Box: 5550

Dubai

Tel: (971-4) 2958888 / 3228141

Fax: (971-4) 2959310 / 3279632

· Commercial Bank of Dubai

Mankhool Street

PO Box: 2668

Dubai

Tel: (971-4) 3523355

Fax: (971-4) 3527655 / 2524796

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.63.59
UK Pound	1	Rs.101.56
Euro	1	Rs.85.15

INFORMATION DETAILS

Report Prepared by :

NIS

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.