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Report Date : |
13.03.2014 |
IDENTIFICATION DETAILS
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Name : |
FAIR TRADE LLC |
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Registered Office : |
Fairtrade House Bank Al Markazi Street Ruwi PO Box 2636 Muscat 112 |
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Country : |
Oman |
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Financials (as on) : |
31.12.2013 |
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Date of Incorporation : |
01.02.1976 |
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Com. Reg. No.: |
1/02561/9 |
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Legal Form : |
Limited Liability Company – LLC |
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Line of Business : |
Engaged in the wholesale and retail of general foodstuffs, household
goods and consumer products |
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No. of Employees : |
400 |
RATING & COMMENTS
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MIRA’s Rating : |
Ba |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
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Status : |
Satisfactory |
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Payment Behaviour : |
No complaints |
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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 – September 30, 2013
|
Country Name |
Previous Rating (30.06.2013) |
Current Rating (30.09.2013) |
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Oman |
A2 |
A2 |
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Risk Category |
ECGC
Classification |
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Insignificant |
A1 |
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Low |
A2 |
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Moderate |
B1 |
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High |
B2 |
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Very High |
C1 |
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Restricted |
C2 |
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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
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Source
: CIA |
Company Name : FAIR TRADE LLC
Country of Origin : Oman
Legal Form : Limited Liability Company – LLC
Registration Date : 1st February 1976
Commercial Registration Number : 1/02561/9
Issued Capital : RO 2,650,000
Paid up Capital : RO 2,650,000
Total Workforce : 400
Activities : Wholesalers and retailers of general foodstuffs, household goods and
consumer products.
Financial Condition : Fair
Payments : Nothing detrimental uncovered
Operating Trend : Steady
FAIR TRADE LLC
Building : Fairtrade
House
Street : Bank Al
Markazi Street
Area : Ruwi
PO Box : 2636
Town : Muscat 112
Country : Oman
Telephone : (968) 24701767
/ 24703036
Facsimile : (968) 24705738
/ 24701787
Email : info@fairtradellc.com
Subject operates from a large suite of offices that are owned and
located in the Central Business Area of Muscat.
Branch Office (s)
Location Description
· Nizwa Showroom
premises
Tel:
(968) 25411309
· Ibri Showroom
premises
Tel:
(968) 23689339
· Burka Showroom
premises
Tel:
(968) 26893991
· Sohar Showroom
premises
Tel:
(968) 26840876
· Kamel Showroom
premises
Tel:
(968) 25557037
· Salalah Showroom
premises
Tel:
(968) 23291985
Name Position
· Emad Kamal Abdul
Redha Sultan Managing
Director
· Faisal Murtadha
Hussain Al Lawati Director
· Glyton Gonslvez General
Manager
· Ajay Mathur Commercial
Manager
· Ajay Yadavlli Finance
Manager
· Vinish Tataria Sales
Manager
Date of
Establishment : 1st
February 1976
Legal Form : Limited Liability
Company – LLC
Commercial Reg.
No. : 1/02561/9
Issued Capital : RO 2,650,000
Paid up Capital : RO 2,650,000
· T W Towell Co 80%
Muscat
· Fait Trade Group
Holding Co 20%
· General Electric
& Trading Co LLC (Genetco)
· Socat LLC
Activities: Engaged in the wholesale and retail of general foodstuffs, household
goods and consumer products.
Import Countries: Europe, Asia and the United States of America
Brand Names: AMERICANA
QUALITY, BAHL SEN, COROLI, DOUX, EMBORG, ENERGIZER, KRAFT, TANG and VILEDA
Operating Trend: Steady
Subject has a workforce of approximately 400 employees.
Financial highlights provided by local sources are given below:
Currency: Riyal Omani (RO)
Year
Ending 31/12/12: Year
Ending 31/12/13:
Total Sales RO
15,600,000 RO
16,000,000
Local sources consider subject’s financial condition to be Fair.
The above financial figures are based on estimations by our local
sources.
·
Bank of Oman, Bahrain & Kuwait
BOBK
House
Al Burj
Street
PO Box:
4708, Ruwi 112
Muscat
Tel:
(968) 24701528 / 24701532 / 24701788
Fax:
(968) 24705607 / 24793536
No complaints regarding subject’s payments have been reported.
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.61.09 |
|
|
1 |
Rs.101.59 |
|
Euro |
1 |
Rs.84.65 |
INFORMATION DETAILS
|
Report Prepared
by : |
NIS |
RATING EXPLANATIONS
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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>86 |
Aaa |
Possesses an extremely sound financial base with the strongest
capability for timely payment of interest and principal sums |
Unlimited |
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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 |
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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 |
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41-55 |
Ba |
Overall
operation is considered normal. Capable to meet normal commitments. |
Satisfactory |
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26-40 |
B |
Capability to overcome financial difficulties seems comparatively below
average. |
Small |
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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 |
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-- |
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.