MIRA INFORM REPORT

 

 

Report Date :

25.11.2014

 

IDENTIFICATION DETAILS

 

Name :

WHITE PEARL RICE MILLS LIMITED

 

 

Registered Office :

White Pearl House, 29-Bridge Colony, Lahore Cantt

 

 

Country :

Pakistan

 

 

Year of Establishment :

1994

 

 

Com. Reg. No.:

0032594

 

 

Legal Form :

Public Limited Company

 

 

Line of Business :

Subject is engaged in processing and export of Rice

 

 

No. of Employees :

360

 

 

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 – June 1, 2014

 

Country Name

Previous Rating

(31.03.2014)

Current Rating

(01.06.2014)

Pakistan

B2

B1

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 

 

PAKISTAN - ECONOMIC OVERVIEW

 

Decades of internal political disputes and low levels of foreign investment have led to slow growth and underdevelopment in Pakistan. Agriculture accounts for more than one-fifth of output and two-fifths of employment. Textiles account for most of Pakistan's export earnings, and Pakistan's failure to expand a viable export base for other manufactures has left the country vulnerable to shifts in world demand. Official unemployment was 6.6% in 2013, but this fails to capture the true picture, because much of the economy is informal and underemployment remains high. Over the past few years, low growth and high inflation, led by a spurt in food prices, have increased the amount of poverty. As a result of political and economic instability, the Pakistani rupee has depreciated more than 40% since 2007. The government agreed to an International Monetary Fund Standby Arrangement in November 2008 in response to a balance of payments crisis. Although the economy has stabilized since the crisis, it has failed to recover. Foreign investment has not returned, due to investor concerns related to governance, energy, security, and a slow-down in the global economy. Remittances from overseas workers, averaging about $1 billion a month since March 2011, remain a bright spot for Pakistan. However, after a small current account surplus in fiscal year 2011 (July 2010/June 2011), Pakistan's current account turned to deficit in the following two years, spurred by higher prices for imported oil and lower prices for exported cotton. Pakistan remains stuck in a low-income, low-growth trap, with growth averaging about 3.5% per year from 2008 to 2013. Pakistan must address long standing issues related to government revenues and energy production in order to spur the amount of economic growth that will be necessary to Employ its growing and rapidly urbanizing population, more than half of which is under 22. Other long term challenges include expanding investment in education and healthcare, adapting to the effects of climate change and natural disasters, and reducing dependence on foreign donors.

 

Source : CIA

Business Name

                                   

WHITE PEARL RICE MILLS LIMITED

 

 

Full Address       

 

Registered Address

White Pearl House, 29-Bridge Colony, Lahore Cantt, Pakistan

                       

Tel #

92 (42) 36604722, 33, 44

Fax #

92 (42) 36604755, 66

Email

wprml@magic.net.pk

 

 

Short Description Of Business

 

a.

Nature of Business      

Engaged in processing & export of Rice

b.

Year Established

1994

c.

Registration #

0032594

 

 

Branches

 

Address

Plot No. C. Opposite New Truck Stand, Main Hawksbay Road, Karachi, Pakistan

Tel #

92 (21) 32350022, 33, 44

Fax #

92 (21) 32350055, 66

 

 

Factory Location

 

Address

Solgin Kharl, Hafizabad, Punjab, Pakistan

Tel #

92 (547) 500022, 33, 44

Fax #

92 (547) 500055, 66

 

 

Auditors

 

Qadeer & Co.

(Chartered Accountants)

89-F, Jail Road, Lahore, Pakistan

 

 

Legal Status

 

Subject Company was established as a Public Limited Company in 1994

 

 

Capital

           

Authorized Capital

Rs. 30,000,000/- divided into 3,000,000 shares of Rs. 10/- each

Issued & Paid up Capital

Rs. 23,236,140/- divided into 2,323,614 shares of Rs. 10/- each

 

 

Details of Directors

 

Names

 

Designation

Mr. Malik Muhammad Jahangir Khan

 

Mr. Malik Muhammad Asif Khan

 

Mrs. Farah Jahangir

 

Mr. Bilal Asif

 

Mr. Asad Ullah Asif

 

Mr. Faisal Jahangir

Chief Executive

 

Director

 

Director

 

Director

 

Director

 

Director

 

 

Shareholders                

 

Names

 

No. of Shares

Mr. Malik Muhammad Asif Khan

 

Mr. Malik Muhammad Jahangir Khan

 

Mr. Muhammad Irfan

 

Mrs. Robina Asif

 

Mr. Muhammad Nazir

 

Mrs. Farah Jahangir

 

Mr. Faisal Jahangir

 

Mr. Asad-Ullah Asif

 

Mr. Bilal Asif

743,584

 

944,583

 

183,333

 

109,150

 

52,084

 

150,000

 

134,880

 

1,000

 

5,000

 

 

Associates                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     

 

A.                  Subsidiary

None                                            

           

B.         Associated Companies

 

(1)     Indus Jute Mills Limited, Pakistan.

(2)     White Pearl Jute Mills Limited, Pakistan.

(3)     White Pearl Textile Mills Limited, Pakistan.

(4)     Indus Housing Scheme, Pakistan.

 

 

Business Activities

 

Subject Company is engaged in the business as processing & export of Rice.

 

It sells against cash / credit term basis to its local customers.

 

It’s mainly export to European Countries, Far East Countries & Middle East Countries.

 

Its major customers are Traders, Buying Agencies, Distributors etc.

 

Subject operates from caption leased factory premises of area measuring 2 Acres of land which is situated in industrial area.

 

Subject employs about 360 persons in its set up.

 

 

Annual Production Volume

 

Basis - Processing of Rice 50,000 Tons Per Annum         

 

 

Annual Sales Volume

 

Year

In Pak Rupees

2012

650,000,000/- (Estimated)

 

 

Trade Suppliers (Foreign)

 

Various international belongs to China, India, Canada, Australia, Burma & Singapore

 

 

Bankers

 

(1)     Askari Bank Limited, Pakistan

(2)     Faysal Bank Limited, Pakistan.

(3)     Soneri Bank Limited, Pakistan.

(4)     Allied Bank Limited, Pakistan.

(5)     MCB Bank Limited, Pakistan.

 

 

Memberships

 

·         Lahore Chamber of Commerce & Industry.(LCCI)

·         Rice Exporters Association of Pakistan.(REAP)

 

 

Foreign Exchange Rates

 

Currency

 

Unit

Pakistani Rupee

US Dollar

1

           Rs. 102.25

UK Pound

1

           Rs. 160.00

Euro

1

           Rs. 127.75

 

 

Comments

 

Subject Company was established in 1994 and is engaged in processing & export of Rice. Market reputation is good. Trade relations are reported as fair. Subject can be considered for normal business dealings at usual trade terms and conditions.

 

 

FOREIGN EXCHANGE RATES

 

Currency
Unit

Indian Rupees

US Dollar

1

Rs.61.78

UK Pound

1

Rs.96.78

Euro

1

Rs.76.59

 

INFORMATION DETAILS

 

Analysis Done by :

KAR

 

 

Report Prepared by :

NIT

 

               

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.