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Report Date : |
29.05.2014 |
IDENTIFICATION DETAILS
|
Name : |
KUWAIT FOOD
COMPANY SAK (AMERICANA) |
|
|
|
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Registered Office : |
Plot No. 198A, Street No. 71, Canada Dry Street, Shuwaikh Industrial Area No. 3, P O Box 5087, Safat 13051 |
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Country : |
Kuwait |
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Financials (as on) : |
31.12.2013 |
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|
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Date of Incorporation : |
23.02.1964 |
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Com. Reg. No.: |
4369 |
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Legal Form : |
Kuwaiti Joint Stock Company |
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Line of Business : |
Subject’s operations are performed through
the following primary divisions: · Americana Trading Division Manufacturing Division Restaurants Division |
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No of Employees : |
1,500
(Approximately) |
RATING & COMMENTS
|
MIRA’s Rating : |
A |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
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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Status : |
Good |
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Payment Behaviour : |
Regular |
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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 – March 31, 2014
|
Country Name |
Previous Rating (31.12.2013) |
Current Rating (31.03.2014) |
|
Kuwait |
A2 |
A2 |
|
Risk Category |
ECGC
Classification |
|
Insignificant |
A1 |
|
Low Risk |
A2 |
|
Moderate Low Risk |
B1 |
|
Moderate Risk |
B2 |
|
Moderate High Risk |
C1 |
|
High Risk |
C2 |
|
Very High Risk |
D |
Kuwait ECONOMIC OVERVIEW
Kuwait has a geographically small, but wealthy, relatively
open economy with crude oil reserves of about 102 billion barrels - more than 6%
of world reserves. Petroleum accounts for nearly half of GDP, 95% of export
revenues, and 95% of government income. Kuwaiti officials have committed to
increasing oil production to 4 million barrels per day by 2020. Budget
surpluses have stayed around 30% of GDP, which has led to higher budget
expenditures, particularly wage hikes for many public sector employees, as well
as increased allotments to Kuwait’s Future Generations Fund. Kuwait has done
little to diversify its economy, in part, because of this positive fiscal
situation, and, in part, due to the poor business climate and the historically
acrimonious relationship between the National Assembly and the executive
branch, which has stymied most movement on economic reforms. In 2010, Kuwait
passed an economic development plan that pledges to spend up to $130 billion
over five years to diversify the economy away from oil, attract more
investment, and boost private sector participation in the economy, though much
of these funds have yet to be allocated.
|
Source
: CIA |
Company Name : KUWAIT FOOD COMPANY SAK (AMERICANA)
Country of Origin : Kuwait
Legal Form : Kuwaiti Joint Stock Company
Registration Date : 23rd February 1964
Commercial Registration Number : 4369
Chamber Membership Number : 1743
Issued Capital : KD 40,200,207
Paid up Capital : KD 40,200,207
Total Workforce : 1,500
Activities : Subject operates several divisions (see below for details)
Financial Condition : Good
Payments : Nothing detrimental uncovered
Operating Trend : Steady
KUWAIT FOOD COMPANY
SAK (AMERICANA)
Registered &
Physical Address
Location : Plot No. 198A, Street No. 71
Street : Canada Dry Street
Area : Shuwaikh Industrial Area No.
3
PO Box : 5087
Town : Safat 13051
Country : Kuwait
Telephone : (965) 24815900 / 24735476 / 24749543
/ 24347938
Facsimile : (965) 24815914 / 24338464 / 24846925
/ 24340032
Email : info@americana-group.com
Premises
Subject operates
from a large suite of offices, a processing plant and warehousing facilities
that are owned and located in the Industrial Area of Safat.
Name Position
·
Marzouq
Naser Mohamed Al Kharafi Chairman
·
Bader
Mohamed Abdul Wahab Al Jouan Vice
Chairman
·
Abdullah
Mohamed Al Saad Director
·
Sheikh
Abdullah Salem Al Sabah Director
·
Mohanad
Mohamed Abdul Mohsen Al Khorafi Director
·
Faisal
Nasser Al Kharafi Director
·
Faisal
Nezar Ahmed Al Nesf Director
·
Al
Moataz Adel Al Alfi Chief
Executive
·
Amgad
Al Mofti President
·
Sayed
Deyab Finance
Manager
·
Borhan
El Kilany Marketing
Manager
·
Mohamed
Farouk Hafeez Human
Resources Manager
·
Saeed
Nayel Meat
Division Manager
·
Abdel
Rahman Al Zayat Cake
Division Manager
·
Nabil
Abu El Naga Distribution
Division Manager
Date of Establishment : 23rd
February 1964
Legal Form :
Kuwaiti Joint Stock Company
Commercial Reg. No. : 4369
Chamber Member No. : 1743
Issued Capital : KD 40,200,207
Paid up Capital : KD 40,200,207
Name of Shareholder
(s) Percentage
·
Al
Khair National for Stocks & Real Estate Co 66.80%
·
Naser
Mohamed Abdul Mohsin Al Kharafi -
·
Bader
Mohamed Abdul Wahab Al Jouan -
·
Marzouq
Naser Al Khorafi -
·
Abdullah
Mohamed Al Saad -
·
Sheikh
Abdullah Salem Al Sabah -
·
Mohanad
Mohamed Abdul Mohsen Al Khorafi -
·
Loay
Jasem Al Khorafi -
·
Kuwaiti
businessmen and private investors -
Subject is a member of the Americana Group of companies, which consists
of the following concerns:
Name Percentage Held
·
Qatar
Foodstuff Co 100%
PO Box: 4548
Doha
Qatar
Tel: (974) 44423102
Fax: (974) 44425982
·
Kuwait
Food Co (Americana) 100%
PO Box: 6844
Sharjah
United Arab Emirates
Tel: (971-6) 5593614
Fax: (971-6) 5594302
·
Gulf
Food Industries Co (California Garden) 100%
Sheikh Zayed Road
Jebel Ali Free Zone
PO Box: 17100
Dubai
United Arab Emirates
Tel: (971-4) 8815633
Fax: (971-4) 8815544
·
Al
Ahlia Restaurant Co 99.96%
PO Box: 8030
Jeddah 21482
Saudi Arabia
Tel: (966-2) 6520073
Fax: (966-2) 6520148
·
Bahrain
& Kuwait Restaurant Co 40.00%
PO Box: 20464
Manama
Bahrain
Tel: (973-17) 262998
Fax: (973-17) 272883
·
Cairo
Poultry Co 51.97%
23 Mourad Street
Giza
Cairo
Egypt
Tel: (20-2) 35730859 /
35715905
Fax: (20-2) 35738548
·
Gulf
Mineral Water & Processing Industries Co Ltd 92.37%
PO Box: 929
Ajman
United Arab Emirates
Tel: (971-6) 7421800
Fax: (971-6) 7446394
·
Tourist
Projects & International Restaurants Co Ltd 63.60%
PO Box: 950584
Amman 11195
Jordan
Tel: (962-6) 5693759
Fax: (962-6) 5681110
·
Arab
Gulf Co for Food & Supermarkets 99.25%
Fawamiah
PO Box: 23828
Safat
Kuwait
Tel: (965) 24340048
Fax: (965) 24338933
·
International
Fashion Co 100%
Souk El Souf
Jeddah 21463
Saudi Arabia
Tel: (966-2) 6613108
·
Egyptian
Co for International Touristic Projects 90.32%
47 El Batal Ahmed Abdelaziz Street
Mohandessin
Cairo
Egypt
Tel: (20-2) 33469719
Fax: (20-2) 33011578
·
Kuwait
Food Co 100%
Cairo
Egypt
·
Al
Americana International Company (Safeway) 89.55%
Kuwait
·
Al
Ahlia National Food Industries Co 99.96%
Saudi Arabia
·
International
Cosmetics Co 100%
Saudi Arabia
·
United
Food Co 98.00%
Saudi Arabia
·
Americana
International Company 97.40%
United Arab Emirates
·
International
Tourism Restaurants Co 99.00%
Oman
·
International
Touristic Projects Lebanese Co 98.00%
Lebanon
·
Gulf
and Arab World Restaurants Co 94.00%
Bahrain
·
The
Caspian International Restaurants Co 100%
Kazakhstan
·
Americana
Group for Food and Touristic Projects 99.97%
Egypt
·
International
Co for Agricultural Development 61.36%
Egypt
·
Al
Mohandas National Co 94.06%
Egypt
·
Egyptian
Canning Co 99.97%
Egypt
·
Americana
Egypt for Cold Storage 50.99%
Egypt
·
Americana
Marketing and Distributing Co 98.93%
Egypt
·
Greenland
Group for Food Industries Co 80.48%
Egypt
·
International
Co for Agriculture Production & Processing 99.92%
Egypt
·
Egyptian
Company for Starch and Glucose 73.65%
Egypt
·
Senyorita
Group for Food Industries Co 90.37%
Egypt
·
Development
Agriculture Co 99.97%
Egypt
·
Al
Hashimya Co 99.97%
Egypt
·
International
for Food Industry Co 99.59%
Egypt
·
Americana
for Land Reclamation Cultivation Co 99.49%
Egypt
·
Al
Musharaka Company for Touristic Restaurant Services 90.00%
Iraq
Activities: Subject’s operations are performed through
the following primary divisions:
· Americana Trading Division
The Americana Trading Division was
established in 1985 and is responsible for the distribution of consumer
products in all GCC countries. It deals mainly in the categories of food,
confectionary, and tobacco, including chocolates, tomato products, cheese,
non-alcoholic beer, canned food, baby food and juices and kitchenware.
· Manufacturing Division
The
manufacturing division specialises in the production and processing of meat,
cakes, French fries, and poultry.
Americana
Meat plants are producing a wide variety of high quality processed Beef, Mutton
and Chicken products, such as, minced products, Burgers, Nuggets, Frankfurters,
Mortadellas, Shesh Kababs and Kofta. Americana Meat is an acknowledged market
leader for its high quality products in the region and was the first company in
the Middle East to be accredited with the prestigious ISO 9001 certification.
The strong leadership position enjoyed by Americana Meat is reflected in almost
50% of the market share in the main GCC markets.
Americana
set-up its first plant in 1974 for the processing of Cake and other flour-based
products in Kuwait. Americana Cake products range includes variety of Pound
cakes, Swiss Rolls, Sponge cakes, Chocolate coated rolls, Biscuits, Cookies,
Croissants, Rusk and Pastries. Americana cakes hold a dominant market share of
around 50 % in the key GCC markets.
· Restaurants Division
Under this division subject operates a number of restaurants, cafeterias
and burger bars throughout Kuwait including Hardee’s, Chicken Tikka, Kentucky
Fried Chicken, Wimpy's, Pizza Hut, Sbarro, Baskin Robbins & TGI Fridays and
Grand Café.
1991 1996 2001 2006 2011 2013
Number of outlets 169
376 543
769 1,301 1,462
Number of chains 8
11 13 17 21 23
Number of countries 8 9 11
13 13 13
Number of cities 17
32 54 66 91 100
Number of meals (million) 16 35 55
98 195 230
Import
Countries: Europe, the
United States of America and the Far East.
International
Agencies Held:
·
Cadbury
International United Kingdom
·
Rupp
Cheese Austria
·
Joyco Spain
·
Nordex Denmark
·
Elledi
Confectionery Italy
·
La
Belle Vache Cheese France
·
Nakhla
Tobacco Egypt
·
Americana
Tuna Thailand
·
Dilmah
Tea Sri
Lanka
·
Baskin
Robbin Candies United
States of America
·
California
Garden United
States of America
Brand Names: AMERICANA
Operating Trend: Steady
Subject has a
workforce of approximately 1,500 employees.
Financial
highlights provided by local sources are given below:
Currency: Kuwaiti
Dinars (KD 000’s)
Balance Sheet 31/12/13 31/12/12
Assets
Non-current assets
Property, plant
and equipment 220,301
230,569
Investment
properties 17,021
-
Intangible assets
12,949
11,735
Available for
sale investments 96,826
114,136
Other assets 2,385
2,355
349,482 358,795
Current assets
Inventories 104,957
99,092
Trade receivables
56,474
53,780
Other receivables
40,800
39,043
Cash and cash
equivalents 94,382
52,270
296,613 244,185
Total assets 646,095
602,980
Equity and liabilities
Equity attributable to shareholders of the Company
Share capital 40,200
40,200
Share premium 25,687
25,687
Treasury shares (1,080)
(1,080)
Statutory reserve
20,100
20,100
Voluntary reserve
3,010
3,010
Foreign currency
translation reserve (32,819)
(24,786)
Change in fair
value reserve
(1,335) (6,383)
Retained earnings
281,780
256,607
335,543 313,355
Non-controlling interests 40,799
37,528
Total equity 376,342
350,883
Non-current liabilities
Borrowings and
bank facilities 25,904
29,164
End of service
indemnity 33,429
30,690
59,333 59,854
Current liabilities
Borrowings and
bank facilities 56,723
61,673
Trade and other
payables 153,697
130,570
210,420 192,243
Total liabilities 269,753
252,097
Total equity and liabilities 646,095
602,980
Income Statement
Sales 866,904
809,639
Cost of sales (704,770)
(662,906)
Gross profit 162,134
146,733
Selling and
marketing expenses (70,622)
(65,224)
General and administrative
expenses (6,001)
(5,904)
Other operating
expenses (1,342)
(764)
Investment
properties income 6,731
-
losses from
available for sale investments (16,290)
(6,763)
Finance costs (8,479)
(9,509)
Profit before income tax of subsidiaries 66,131
58,569
Income tax of
subsidiaries (6,025)
(6,528)
Profit before other deductions 60,106
52,041
Contribution to
Kuwait Foundation for Advancement of Science (489)
(476)
National Labour
Support Tax (856)
(1,065)
Zakat (353)
(464)
Board of
Directors’ remuneration (72)
(72)
Net profit for the year 58,336
49,964
Local sources
consider subject’s financial condition to be Good.
·
National
Bank of Kuwait
Ali Awadi Tower
Ahmed Al Jaber Street
PO Box: 95
Safat 13001
Tel: (965) 23981188 / 23981189
Fax: (965) 23985643
·
The
Gulf Bank KSC
Mubarak Al Kabir Street
PO Box: 3200
Safat 13033
Tel: (965) 22449501
Fax: (965) 22445212
·
Burgan
Bank
Shuwaikh
PO Box: 5389
Safat 13054
Tel: (965) 24830433
Fax: (965) 24830690
·
Bank of
Kuwait & the Middle East KSC
Abdullah Al Salem Street
Darwaza Abdul Razzak
PO Box: 71
Safat 13001
Tel: (965) 22459771
Fax: (965) 22461430
No complaints regarding
subject’s payments have been reported.
Kuwait Food Company
SAK (Americana) has been operating for over 45 years and has grown to be a
regional leader in the food industry. It comprises 3 main divisions engaged in
the distribution of foodstuff and consumer items, a food manufacturing and
processing division, and a restaurant division that holds franchise and
licensing agreement with several well-known international fast food restaurant
chains.
Local sources
report that payment obligations are met in a generally timely manner and the
operating history is clear. As such the company is deemed a fair trade risk.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.59.08 |
|
|
1 |
Rs.99.20 |
|
Euro |
1 |
Rs.80.53 |
INFORMATION DETAILS
|
Analysis Done by
: |
RAS |
|
|
|
|
Report Prepared
by : |
MNL |
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%)
This report is issued at your request without any
risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL)
or its officials.