MIRA INFORM REPORT

Report Date :

01.10.2014

IDENTIFICATION DETAILS

Name :	EGYPTIAN PHARMACEUTICAL & FOOD CHEMICALS CO

Registered Office :	95D El Merghany Street, Heliopolis, Cairo

Country :	Egypt

Financials (as on) :	31.12.2013

Date of Incorporation :	2004

Com. Reg. No.:	5

Legal Form :	Egyptian Joint Stock Company

Line of Business :	Subject is engaged in the import and distribution of chemicals for the pharmaceutical and food industries.

No of Employees :	30

RATING & COMMENTS

MIRA’s Rating :

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)

Egypt

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

EGYPT - ECONOMIC OVERVIEW

Occupying the northeast corner of the African continent, Egypt is bisected by the highly fertile Nile valley, where most economic activity takes place. Egypt's economy was highly centralized during the rule of former President Gamal Abdel NASSER but opened up considerably under former Presidents Anwar EL-SADAT and Mohamed Hosni MUBARAK. Cairo from 2004 to 2008 aggressively pursued economic reforms to attract foreign investment and facilitate growth. Poor living conditions combined with limited job opportunities for the average Egyptian contribute to public discontent. After unrest erupted in January 2011, the Egyptian Government backtracked on economic reforms, drastically increasing social spending to address public dissatisfaction, but political uncertainty at the same time caused economic growth to slow significantly, reducing the government's revenues. Tourism, manufacturing, and construction were among the hardest hit sectors of the Egyptian economy, pushing up unemployment levels, and economic growth remains slow amid political uncertainty, government transitions, unrest, and cycles of violence. Cairo since 2011 has drawn down foreign exchange reserves and depended on foreign assistance, particularly from Gulf countries, to finance imports and energy products and prevent further devaluation of the Egyptian pound, fearing higher inflation from a weaker currency.

Source : CIA

SUMMARY

Company Name : EGYPTIAN PHARMACEUTICAL & FOOD CHEMICALS CO

Country of Origin : Egypt

Legal Form : Egyptian Joint Stock Company

Registration Date : 2004

Commercial Registration Number : 5, Amreya

Tax Card Number : 232-669-538

Issued Capital : £E 4,300,000

Paid up Capital : £E 4,300,000

Total Workforce : 30

Activities : Distributors of chemicals for the pharmaceutical and food industries.

Financial Condition : Fair

Payments : Nothing detrimental uncovered

Operating Trend : Steady

Person Interviewed : Nader Najeeb, Finance Manager

COMPANY NAME

EGYPTIAN PHARMACEUTICAL & FOOD CHEMICALS CO

ADDRESS

Registered & Physical Address

Street : 95D El Merghany Street

Area : Heliopolis

Town : Cairo

Country : Egypt

Telephone : (20-2) 22907065 / 24148381 / 24195488

Facsimile : (20-2) 24173688

Email : pea@peagroup.net

Premises

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

Branch Office (s)

Location Description

Street No. 8, Amreya Free Zone Rented warehouse

Alexandria

KEY PRINCIPALS

Name Position

Dr Hany William Chairman

Dr William Ishaq Vice Chairman

Josephine Amin Yousef Director

Nader Najeeb Finance Manager

Mariam Samir Purchasing Manager

Amir Moheb Commercial Manager

LEGAL FORM & OWNERS

Date of Establishment : 2004

Legal Form : Egyptian Joint Stock Company

Commercial Reg. No. : 5, Amreya

Tax Card No. : 232-669-538

Issued Capital : £E 4,300,000

Paid up Capital : £E 4,300,000

Name of Shareholder (s) Percentage

Dr Hany William 60%

Dr William Ishaq 25%

Josephine Amin Yousef 15%

OPERATIONS

Activities: Engaged in the import and distribution of chemicals for the pharmaceutical and food industries.

Import Countries: China, India, Brazil, Japan, South Korea and the United States of America.

International Suppliers:

India Swift India

Dallas Biotech India

Operating Trend: Steady

Subject has a workforce of 30 employees.

FINANCIAL DATA

Financial highlights provided by local sources are given below:

Currency: Egyptian Pounds (£E)

Year Ending 31/12/12: Year Ending 31/12/13:

Total Sales £E 7,100,000 £E 7,500,000

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

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

BANKERS

Arab Banking Corporation

PO Box: 781

Cairo

Tel: (20-2) 35745488 / 35780417

Fax: (20-2) 35780416

Arab African International Bank

5 El Saraya El Kobira Square

PO Box: 60, Magles El Shaab

Cairo

Tel: (20-2) 33545094

Fax: (20-2) 33558493

PAYMENT HISTORY

No complaints regarding subject’s payments have been reported.

Date of transaction September 2006 August 2008

Credit amount 100,000 100,000

Amount overdue 0 0

Payment terms 60 days 60 days

Payment Method Letters of Credit Letters of Credit

Paying record No Complaints No Complaints

Currency US Dollars US Dollars

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.61.61
UK Pound	1	Rs.100.27
Euro	1	Rs.78.21

INFORMATION DETAILS

Analysis Done by :	KAR

Report Prepared by :	TPT

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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