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Report Date : |
02.09.2014 |
IDENTIFICATION DETAILS
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Name : |
LOTUS FOR EXPORT IMPORT SAE |
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Registered Office : |
Port Said Free
Zone
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Country : |
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Financials (as on) : |
31.12.2013 |
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Date of Incorporation : |
26.11.1994 |
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Com. Reg. No.: |
37014, |
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Legal Form : |
Egyptian Joint Stock Company |
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Line of Business : |
Subject is engaged in the manufacture of clothing items, including jackets,
shirts, trousers, denim wear, skirts and
shorts |
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No. of Employees |
6,300 |
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 : |
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 – June 1, 2014
|
Country Name |
Previous Rating (31.03.2014) |
Current Rating (01.06.2014) |
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Egypt |
B1 |
B1 |
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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 |
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 |
Company Name : LOTUS FOR EXPORT IMPORT SAE
Also Known As : LOTUS GARMENTS CO
Country of Origin : Egypt
Legal Form : Egyptian Joint Stock Company
Registration Date : 26th November 1994
Commercial Registration Number : 37014, Port Said
Issued Capital : £E 17,000,000
Paid up Capital : £E 17,000,000
Total Workforce : 6,300
Activities : Manufacture of clothing items
Financial Condition : Good
Payments : Nothing detrimental uncovered
Operating Trend : Steady
Person Interviewed : Ahmed Al Ashdy, Finance Manager
LOTUS FOR EXPORT IMPORT SAE
LOTUS
GARMENTS CO
Location : Port Said
Free Zone
PO Box : 20
Town : Port Said
Country : Egypt
Telephone : (20-66) 3734252 / 3735551
Facsimile : (20-66) 3735552
Mobile :
(20-122) 3516555
Email : lotus@lotusgarments.com
Subject operates from a large suite of offices and a factory that are
rented and located in the Port Said Free Zone.
Branch Office (s)
Location Description
· Victor Amanwail
Street Rented
office premises
Semouha
Alexandria
Name Position
· Hossam El Din
Hassan Gabar Managing
Director
· Hamed Hassan Gabar Director
· Ahmed Al Ashdy Finance
Manager
· Sayed Sharf Export
Manager
Date of
Establishment : 26th
November 1994
Legal Form : Egyptian Joint
Stock Company
Commercial Reg.
No. : 37014, Port Said
Issued Capital : £E 17,000,000
Paid up Capital : £E 17,000,000
· Hossam El Din
Hassan Gabar
· Hamed Hassan Gabar
· Lotus High Fashion
Co
Port Said
· Lotus High Tech Co
Port Said
Activities: Engaged in the manufacture of clothing items, including jackets, shirts, trousers, denim wear, skirts and shorts. Production began in 1997.
Subject
has the following certificates: ISO 9001:2000 and ISO 4001:2000.
Clients include Levi's, Lee, Calvin Klein, Wrangler, Polo, Jessica Simpson Dresses and Jones Apparel Group.
Production Capacity: 35,000 pieces per day
Import Countries: Saudi Arabia, Sudan and Morocco
Operating Trend: Steady
Subject has a workforce of approximately 6,300 employees.
Financial highlights provided by local sources are given below:
Currency: United States Dollars (US$)
Year
Ending 31/12/12: Year
Ending 31/12/13:
Total Sales US$
126,200,000 US$
130,000,000
Local sources consider subject’s financial condition to be Good.
The above figures were provided by Mr Ahmed Al Ashdy, Finance Manager
·
Commercial International Bank (CIB)
El Gomhouria Street
Port Said Free Zone
Port Said
Tel: (20-66) 336801
Fax: (20-66) 325956
·
National Bank of Egypt
52 El Gomhouria
Street
Port Said
Tel: (20-66)
224816 / 226637
According to local sources payment delays were experienced by a number
of the subject’s suppliers during late 1999 and early 2000. However, this was
resolved and no complaints regarding subject’s payments have been reported
since this.
Credit amount 100,000
Amount overdue 0
Payment terms 60
days
Payment Method Letters
of Credit
Paying record No
Complaints
Currency US
Dollars
Established in 1994, subject is involved in the manufacture of clothing
items, including jackets, shirts, trousers, skirts and shorts.
The company is deemed good for normal business relations and is considered
to be a fair trade risk. The financial situation is described as healthy and
profitable and the above credit figure is deemed admissible.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.60.47 |
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|
1 |
Rs.100.42 |
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Euro |
1 |
Rs.79.39 |
INFORMATION DETAILS
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Analysis Done by
: |
DIV |
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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 |
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<10 |
C |
Absolute credit risk exists. Caution needed to be exercised |
Credit not
recommended |
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-- |
NB |
New Business |
-- |
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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.