MIRA INFORM REPORT

 

 

Report No. :

337895

Report Date :

25.08.2015

           

IDENTIFICATION DETAILS

 

Name :

FOWATY TEX FOR INDUSTRIAL TEXTILES

 

 

Registered Office :

15 Al Thawara Street, Agga, Mansoura

 

 

Country :

Egypt

 

 

Year of Establishment :

2003

 

 

Com. Reg. No.:

20168558

 

 

Legal Form :

Sole Proprietorship

 

 

Line of Business :

Subject is engaged in the manufacture and distribution of all towels, including household, beach, terry and kitchen towels.

 

 

No. of Employee :

65

 

 

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 – March 31, 2015

 

Country Name

Previous Rating

(31.12.2014)

Current Rating

(31.03.2015)

Egypt

B2

B2

 

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 pursued business climate reforms to attract foreign investment and facilitate growth. Poor living conditions and limited job opportunities for the average Egyptian contribute to public discontent, a major factor leading to the January 2011 revolution that ousted Mubarak. The uncertain political, security, and policy environment since 2011 caused economic growth to slow significantly, hurting tourism, manufacturing, and other sectors and pushing up unemployment. Weak growth and limited foreign exchange earnings have made public finances unsustainable, leaving authorities dependent on expensive borrowing for deficit finance and on Gulf allies to help cover the import bill. Egypt's current Constitution passed in a referendum that took place in January 2014.

 

Source : CIA

 

 

SUMMARY

 

Company Name                                    : FOWATY TEX FOR INDUSTRIAL TEXTILES

Country of Origin                                   : Egypt

Legal Form                                           : Sole Proprietorship

Registration Date                                  : 2003

Commercial Registration Number           : 20168558

Invested Capital                                    : £E 200,000

Total Workforce                         : 65

Activities                                               : Manufacture and distribution of all kinds of towels.

Financial Condition                                : Fair

Payments                                             : Nothing detrimental uncovered

Operating Trend                                    : Steady

 

 

 

COMPANY NAME

 

FOWATY TEX FOR INDUSTRIAL TEXTILES

 

 

ADDRESS

 

Registered & Physical Address

 

Street               : 15 Al Thawara Street

Area                 : Agga

Town                : Mansoura

Country : Egypt

 

Telephone         : (20-50) 6440544

Facsimile          : (20-50) 6444450

Mobile              : (20-122) 2309118

Email                : mohamed@fowatytex.net

 

Premises

 

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

 

 

KEY PRINCIPALS

 

     Name                                                                                               Position

 

·       Mahmoud Mohamed El Fowaty                                                         Proprietor & General Manager

 

·       Mohamed Mahmoud Mohamed El Fowaty                                         Assistant General Manager

 

·       Karima Abdullah                                                                               Financial Controller

 

 

LEGAL FORM & OWNERS

 

Date of Establishment  : 2003

 

Legal Form                  : Sole Proprietorship

 

Commercial Reg. No.   : 20168558

 

Invested Capital           : £E 200,000

 

Mr Mahmoud Mohamed El Fowaty is the sole proprietor of the business.

 

 

OPERATIONS

 

Activities: Engaged in the manufacture and distribution of all towels, including household, beach, terry and kitchen towels.

 

Export Countries: Germany, United Kingdom, Belgium, France, Italy, Hungary, Canada, Greece and GCC countries.

 

Operating Trend: Steady

 

Subject has a workforce of 65 employees.

 

 

FINANCIAL DATA

 

Financial highlights provided by local sources are given below:

Currency: Egyptian Pound (£E)

 

                                                            Year Ending 31/12/13:              Year Ending 31/12/14:

 

Total Sales                                            £E 14,280,000                           £E 14,600,000

 

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

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

 

 

BANKERS

 

·       Alexandria Kuwait International Bank

Main Branch

Cairo

Tel: (20-2) 22779766 / 22764644 / 22762733

Fax: (20-2) 22764844

 

 

PAYMENT HISTORY

 

No complaints regarding subject’s payments have been reported.

 

 

GENERAL COMMENTS

 

Local sources report that the subject’s operating history is clear with payment obligations met in a generally timely manner. The financial position is satisfactory and the business is deemed a fair trade risk.

 

 

FOREIGN EXCHANGE RATES

 

Currency
Unit

Indian Rupees

US Dollar

1

Rs.66.51

UK Pound

1

Rs.104.01

Euro

1

Rs.76.27

 

INFORMATION DETAILS

 

Analysis Done by :

KAR

 

 

Report Prepared by :

ASH

 

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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