MIRA INFORM REPORT

 

 

Report No. :

337415

Report Date :

26.08.2015

 

IDENTIFICATION DETAILS

 

Name :

KUWAIT DANISH DAIRY COMPANY KSCC (KDD)

 

 

Registered Office :

KDD Building, Street No. 104, Sabhan Industrial Area, Plot No. 143, PO Box 835, Safat 13009

 

 

Country :

Kuwait

 

 

Financials (as on) :

31.12.2014

 

 

Date of Incorporation :

16.12.1962

 

 

Com. Reg. No.:

9377

 

 

Legal Form :

Kuwaiti Shareholding Company Closed – KSCC

 

 

Line of Business :

Engaged in the production, processing, distribution and export of dairy products including, fresh and long life milk, yoghurts, ice creams, fruit juices, fruit drinks and tomato pastes.

 

 

No. of Employees :

1,800

 

 

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)

Kuwait

A1

A1

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

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. Kuwaiti officials plan to increase oil production to 4 million barrels per day by 2020. Petroleum accounts for over half of GDP, 94% of export revenues, and 89% of government income. For the last decade, high oil prices have generated budget surpluses despite increasing budget expenditures, particularly on wage hikes for public sector employees. Despite Kuwait’s dependence on oil, the government has cushioned itself against the impact of lower oil prices by continuous saving of at least 10% of government revenue in the Fund for Future Generations. Kuwait has done little to diversify its economy, in part, due to a poor business climate and an acrimonious relationship between the National Assembly and the executive branch that has stymied most economic reforms. In 2010, Kuwait passed its first long-term economic development plan in almost twenty-five years. While the government planned to spend up $104 billion over four years to diversify the economy away from oil, attract more investment, and boost private sector participation in the economy, many of the projects did not materialize because of the uncertain political situation.

 

Source : CIA


SUMMARY

 

Company Name                                    : KUWAIT DANISH DAIRY COMPANY KSCC (KDD)

Country of Origin                                   : Kuwait

Legal Form                                           : Kuwaiti Shareholding Company Closed - KSCC

Registration Date                                  : 16th December 1962

Commercial Registration Number           : 9377, Safat

Trade Licence Number                           : 699/2001

Chamber Membership Number               : 1502

Issued Capital                                       : KD 13,000,000

Paid up Capital                                     : KD 13,000,000

Total Workforce                                     : 1,800

Activities                                               : Production, processing, distribution and export of dairy products.

Financial Condition                                : Good

Payments                                             : Nothing detrimental uncovered

Operating Trend                                    : Steady


COMPANY NAME

 

KUWAIT DANISH DAIRY COMPANY KSCC (KDD)

 

 

ADDRESS

 

Registered & Physical Address

 

Building            : KDD Building

Street               : Street No. 104

Area                 : Sabhan Industrial Area, Plot No. 143

PO Box            : 835

Town                : Safat 13009

Country             : Kuwait

Telephone         : (965) 24735423 / 24767301 / 24832001 / 24717911 / 1888100 / 1802277

Facsimile          : (965) 24747029 / 24833270

Email                : sales@kddc.net / support@kddc.net / kdaher@kddc.com / info@kddc.com / 

                          mattalla@kddc.com

 

Premises

 

Subject operates from a large suite of offices, a factory and storage facilities covering an area of 34,000 square metres that are owned and located in the Industrial Area of Safat.

 

 

KEY PRINCIPALS

 

Name                                                                           Position

 

Mohamed Izzat Jaffer                                                    Managing Director

 

Bahiya Izzat Jaffer                                                         Director

 

Ahmed Yousef Behbehani                                             Director

 

Abdullah Abdul Latif Al Thuwainy                                   Director

 

Abdul Wahab Suliaman Al Fawzan                                  Director

 

Musaed Saleh Al Abdali                                                 Director

 

Khalid Daher                                                                 General Manager

 

Wael Aboud                                                                  Commercial Manager

 

Ghalib Al Kadi                                                               Finance Manager

 

Sobra Manian                                                                Marketing Manager

 

Emad Chadid                                                                Financial Controller

 

Iman Yousef                                                                 IT Manager

 

Beaty Chadid                                                                Purchasing Manager

 

Najaw Al Nimer                                                              Export Manager

 

Merry Attala                                                                  Executive Secretary

 

 

LEGAL FORM & OWNERS

 

Date of Establishment  : 16th December 1962

 

History : Subject was originally incorporated in 1962 as a With Limited Liability Company – WLL under the name of “Kuwait Danish Dairy Company WLL (KDD)”.

 

  However, in September 2001 subject’s legal status was converted into a Kuwaiti

  Shareholding Company Closed – KSCC and it was registered under the current style of

  “Kuwait Danish Dairy Company KSCC (KDD)”.

 

Legal Form                  : Kuwaiti Shareholding Company Closed - KSCC

 

Commercial Reg. No.   : 9377, Safat

 

Trade Licence No.        : 699/2001

 

Chamber Member No.  : 1502

 

Issued Capital              : KD 13,000,000

 

Paid up Capital            : KD 13,000,000

 

Name of Shareholder (s)

 

Mohamed Izzat Jaffer

 

Bahiya Izzat Jaffer

 

Abdullah Abdul Latif Al Thuwainy

 

Abdul Wahab Suliaman Al Fawzan

 

Musaed Saleh Al Abdali

 

OPERATIONS

 

Activities: Engaged in the production, processing, distribution and export of dairy products including, fresh and long life milk, yoghurts, ice creams, fruit juices, fruit drinks and tomato pastes.

 

The company operates two well-equipped processing plants and has a dedicated fleet of refrigerated vehicles to distribute its products throughout the country.

 

KDD is the market leader in Kuwait, producing and distributing 24 different types of dairy products, 75 different varieties of ice cream, 27 types of natural fruit juices and fruit drinks, as well as tomato paste and Kuwaiti Dakkus.

 

Import Countries: The United Kingdom and Denmark

 

Brand Names: KDD, GUAVA, DAKKUS and COCKTAIL

 

Operating Trend: Steady

 

Subject has a workforce of approximately 1,800 employees.

 

 

FINANCIAL DATA

 

Financial highlights provided by local sources are given below:

 

Currency: Kuwaiti Dinars (KD)

 

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

 

Total Sales                                KD 42,380,000                          KD 43,000,000

 

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

 

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

 

 

BANKERS

 

Al Ahli Bank of Kuwait KSC

Mubarak Al Kabir Street

PO Box: 1387

Safat 13033

Tel: (965) 22411101 / 22411102

 

National Bank of Kuwait

Ali Awadi Tower

Ahmed Al Jaber Street

PO Box: 95

Safat 13001

Tel: (965) 23981188 / 23981189

Fax: (965) 23985643

Acc No. 000 517933 0101

 

 

PAYMENT HISTORY

 

Subject’s payment record is reported to be met in a generally prompt manner.

 

 

GENERAL COMMENTS

 

Subject is the largest producer and supplier of dairy products and fruit juices in Kuwait, dominating the market, and is one of the leading dairy processing companies in the Middle East.

 

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.66.71

UK Pound

1

Rs.105.10

Euro

1

Rs.77.11

 

 

INFORMATION DETAILS

 

Analysis Done by :

KAS

 

 

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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This report is issued at your request without any risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or its officials.