MIRA INFORM REPORT

Report Date :

04.12.2014

IDENTIFICATION DETAILS

Name :	588 AL HILALIYAH REAL ESTATE SAL
Formerly Known As :	QUEEN STATIONS
Registered Office :	Abou Merhi Street, Main Street Al Hilaliyah Saida
Country :	Lebanon
Date of Incorporation :	29.05.2011
Com. Reg. No.:	51508, Saida
Legal Form :	Lebanese Joint Stock Company
Line of Business :	Subjects operations are performed through the following divisions: Supermarkets Division, Gas Stations
No. of Employees :	80

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

Maximum Credit Limit :	US$ 200,000
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 1, 2014

Country Name	Previous Rating (31.03.2014)	Current Rating (01.06.2014)
Lebanon	B2	B2

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

LEBANON - ECONOMIC OVERVIEW

Lebanon has a free-market economy and a strong laissez-faire commercial tradition. The government does not restrict foreign investment; however, the investment climate suffers from red tape, corruption, arbitrary licensing decisions, complex customs procedures, high taxes, tariffs, and fees, archaic legislation, and weak intellectual property rights. The Lebanese economy is service-oriented; main growth sectors include banking and tourism. The 1975-90 civil war seriously damaged Lebanon's economic infrastructure, cut national output by half, and derailed Lebanon's position as a Middle Eastern entrepot and banking hub. Following the civil war, Lebanon rebuilt much of its war-torn physical and financial infrastructure by borrowing heavily, mostly from domestic banks, which saddled the government with a huge debt burden. Pledges of economic and financial reforms made at separate international donor conferences during the 2000s have mostly gone unfulfilled, including those made during the Paris III Donor Conference in 2007 following the July 2006 war. The collapse of the MIKATI government in early 2011 over its backing of the Special Tribunal for Lebanon and the conflict in neighboring Syria slowed economic growth to the 1-2% range in 2011-13, after four years of 8% average growth. In September 2011 the Cabinet endorsed a bill that would provide $1.2 billion in funding to improve Lebanon's downtrodden electricity sector, but fiscal limitations will test the government's ability to invest in other areas, such as water.

Source : CIA

SUMMARY

Company Name : 588 AL HILALIYAH REAL ESTATE SAL

Also Known As : QUEEN STATIONS

Country of Origin : Lebanon

Legal Form : Lebanese Joint Stock Company

Registration Date : 29^th May 2011

Commercial Registration Number : 51508, Saida

Issued Capital : LP 30,000,000

Paid up Capital : LP 30,000,000

Total Workforce : 80

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

Financial Condition : Undetermined

Payments : Nothing detrimental uncovered

Recommended Credit Limit : US$ 200,000

COMPANY NAME

588 AL HILALIYAH REAL ESTATE SAL

ALSO KNOWN AS

QUEEN STATIONS

ADDRESS

Registered & Physical Address

Street : Abou Merhi Street, Main Street

Area : Al Hilaliyah

Town : Saida

Country : Lebanon

Telephone : (961-7) 734888

Facsimile : (961-7) 734888

Email : aiman.majed@queenstations.com

Premises

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

KEY PRINCIPALS

Name Position

Merhi Abou Merhi Chairman

Atif Merhi Abou Merhi Director

Hana Merhi Abou Merhi Director

Huwaida Abou Merhi Director

Aiman Majed General Manager

Amina Abu Zainab Financial Controller

LEGAL FORM & OWNERS

Date of Establishment : 29^th May 2011

Legal Form : Lebanese Joint Stock Company

Commercial Reg. No. : 51508, Saida

Issued Capital : LP 30,000,000

Paid up Capital : LP 30,000,000

Name of Shareholder (s)

Merhi Abou Merhi

Atif Merhi Abou Merhi

Hana Merhi Abou Merhi

Huwaida Abou Merhi

AFFILIATED COMPANIES

Abou Merhi Lines Sal

Lebanon

Abou Merhi Hospitality Sal

Lebanon

Abou Merhi Cruises (AMC) Sal

Le Mall

Intercontinental Bank Lebanon

Abou Merhi Charity

Abou Merhi Travel

OPERATIONS

Activities: Subjects operations are performed through the following divisions:

Supermarkets Division

Engaged in the operation of supermarkets

Gas Stations

Engaged in the operation of 8 gas filling stations

Import Countries: Europe and the Far East

Subject has a workforce of 80 employees.

FINANCIAL DATA

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

BANKERS

Banque Audi Sal

Ashrafieh Branch

PO Box: 112560

Beirut

Tel: (961-1) 200250 / 200251

Fax: (961-1) 200955

Intercontinental Bank of Lebanon Sal

PO Box: 115292

Ashrafieh

Beirut

Tel: (961-1) 200352

Fax: (961-1) 204505

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.61.87
UK Pound	1	Rs.96.83
Euro	1	Rs.76.57

INFORMATION DETAILS

Analysis Done by :	SUB
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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