MIRA INFORM REPORT

Report Date :

28.10.2013

IDENTIFICATION DETAILS

Name :	URICH BUILDING MATERIALS LLC
Registered Office :	Building No. 2599, Way No. 6529, PO Box: 612 & 523, Ruwi 112, Muscat
Country :	Oman
Financials (as on) :	31.12.2012
Date of Incorporation :	22.02.1999
Com. Reg. No.:	1/61132/1
Legal Form :	Limited Liability Company
Line of Business :	Wholesalers and retailers of building materials
No. of Employees :	65

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)
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. However, increases in social welfare benefits, particularly since the Arab Spring, will challenge the government's ability to effectively balance its budget if oil revenues decline. 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. In 2012, continued surpluses resulting from sustained high oil prices and increased enhanced oil recovery allowed the government to maintain growth in social subsidies and public sector job creation. However, the Sultan made widely reported statements indicating this would not be sustainable, and called for expanded efforts to support SME development and entrepreneurship. Government agencies and large oligarchic group companies heeded his call, announcing new initiatives to spin off non-essential functions to entrepreneurs, incubate new businesses, train and mentor up and coming business people, and provide financing for start-ups. In response to fast growth in household indebtedness, the Central Bank reduced the ceiling on personal interest loans from 8 to 7%, lowered mortgage rates, capped the percentage of consumer loans at 50% of borrower's salaries for personal loans and 60% for housing loans, and limited maximum repayment terms to 10 and 25 years respectively. In 2012 the Central Bank also issued final regulations governing Islamic banking and two full-fledged Islamic banks held oversubscribed IPOs while four traditional banks opened sharia-compliant Islamic windows.

Source : CIA

SUMMARY

Company Name : URICH BUILDING MATERIALS LLC

Country of Origin : Oman

Legal Form : Limited Liability Company – LLC

Registration Date : 22^nd February 1999

Commercial Registration Number : 1/61132/1

Chamber Membership Number : 41492

Issued Capital : RO 20,000

Paid up Capital : RO 20,000

Total Workforce : 65

Activities : Wholesalers and retailers of building materials

Financial Condition : Fair

Payments : Nothing detrimental uncovered

Operating Trend : Steady

Person Interviewed : Abat Mahes Veari, General Manager

COMPANY NAME

URICH BUILDING MATERIALS LLC

ADDRESS

Registered & Physical Address

Building : Building No. 2599

Street : Way No. 6529

PO Box : 612 & 523, Ruwi 112

Town : Muscat

Country : Oman

Telephone : (968) 24829331

Facsimile : (968) 24813677

Mobile : (968) 92801055

Email : info@urichgroup.com

Premises

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

KEY PRINCIPALS

Name Position

Hassan Juma Backer Managing Director

Ahmed Hassan Juma Backer Director

Abat Mahes Veari General Manager

S G Satihatil Group Financial Manager

LEGAL FORM & OWNERS

Date of Establishment : 22^nd February 1999

Legal Form : Limited Liability Company – LLC

Commercial Reg. No. : 1/61132/1

Chamber Member No. : 41492

Issued Capital : RO 20,000

Paid up Capital : RO 20,000

Name of Shareholder (s)

Hassan Juma Backer

Ahmed Hassan Juma Backer

AFFILIATED COMPANIES

Urich Concrete Products LLC

Muscat

Urich Switchgear Manufacturing LLC

Muscat

Urich Asphalt LLC

Muscat

Urich Tours, Travel & Cargo LLC

Muscat

OPERATIONS

Activities: Engaged in the wholesale and retail of building materials, including metal manhole covers, drainage systems, wooden doors, shutters, cement, tiles, marble, granite, wire, fencing, irrigation materials, cables and electrical materials.

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: Riyal Omani (RO)

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

Total Sales RO 1,800,000 RO 2,000,000

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

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

BANKERS

Bank Dhofar Al Omani Al Fransi

Muttrah Business District

PO Box: 1507, Ruwi 112

Muscat

Tel: (968) 24790466

Fax: (968) 24797246

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.61.63
UK Pound	1	Rs.99.94
Euro	1	Rs.85.14

INFORMATION DETAILS

Report Prepared by :

SDA

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.