MIRA INFORM REPORT

 

 

Report No. :

356605

Report Date :

25.12.2015

 

IDENTIFICATION DETAILS

 

Name :

HAMOUD KHARAT AL KHAIRAT EST

 

 

Registered Office :

Southern Central Market, Office No. 40, 1st Floor, Al Balad, Souk Al Junbia, PO Box 16055, Jeddah 21464

 

 

Country :

Saudi Arabia

 

 

Financials (as on) :

31.12.2014

 

 

Date of Incorporation :

30.04.1980

 

 

Com. Reg. No.:

4030024479

 

 

Legal Form :

Sole Proprietorship

 

 

Line of Business :

Engaged in the wholesale and retail of woollen and Kashmiri shawls.

 

 

No. of Employees :

18

 

 

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)

Saudi Arabia

A2

A2

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 

 

SAUDI ARABIA - ECONOMIC OVERVIEW

 

Saudi Arabia has an oil-based economy with strong government controls over major economic activities. It possesses about 16% of the world's proven petroleum reserves, ranks as the largest exporter of petroleum, and plays a leading role in OPEC. The petroleum sector accounts for roughly 80% of budget revenues, 45% of GDP, and 90% of export earnings. Saudi Arabia is encouraging the growth of the private sector in order to diversify its economy and to employ more Saudi nationals. Diversification efforts are focusing on power generation, telecommunications, natural gas exploration, and petrochemical sectors. Over 6 million foreign workers play an important role in the Saudi economy, particularly in the oil and service sectors, while Riyadh is struggling to reduce unemployment among its own nationals. Saudi officials are particularly focused on employing its large youth population, which generally lacks the education and technical skills the private sector needs. In 2014 the Kingdom ran its first budget deficit since 2009, and faces budget deficits for the foreseeable future because it requires an oil price greater than $100 per barrel to balance its budget. Although the Kingdom can finance high deficits for several years by drawing down its considerable foreign assets or borrowing, it probably will begin to reduce capital spending if oil prices stay low through the next year.

 

Source : CIA

SUMMARY

 

Company Name                                    : HAMOUD KHARAT AL KHAIRAT EST

Also Known As                                     : KASHMIR WOOLLEN SHAWLS EXHIBITION

Country of Origin                                   : Saudi Arabia

Legal Form                                           : Sole Proprietorship

Registration Date                                  : 30th April 1980

Commercial Registration Number           : 4030024479, Jeddah

Membership Number                             : 6472

Invested Capital                                    : SR 100,000

Total Workforce                                     : 18

Activities                                               : Wholesalers and retailers of woollen and Kashmiri shawls

Financial Condition                                : Fair

Payments                                             : Nothing detrimental uncovered

Person Interviewed                                : Mostafa Karwala, Sales Manager

 

 

COMPANY NAME

 

HAMOUD KHARAT AL KHAIRAT EST

 

 

ALSO KNOWN AS

 

KASHMIR WOOLLEN SHAWLS EXHIBITION

 

 

ADDRESS

 

Registered & Physical Address

 

Location           : Southern Central Market, Office No. 40, 1st Floor

Area                 : Al Balad, Souk Al Junbia

PO Box            : 16055

Town                : Jeddah 21464

Country             : Saudi Arabia

Telephone         : (966-12) 6480561 / 6470578

Facsimile          : (966-12) 6485904

Mobile              : (966-56) 9356049

Email                : info@wani.com / Kashmir.shawl@gmail.com

 

Premises

 

Subject operates from a small suite of offices that are rented and located in the Central Business Area of Jeddah.

 

Branch Offices

 

Location                                                                                   Distribution

 

Al Balad District                                                                        Showroom premises

Jeddah

 

Riyadh                                                                                      Showroom premises

 

 

KEY PRINCIPALS

 

Name                                                                                                   Position

 

Hamoud Kharat Al Khairat                                                                      Proprietor & General Manager

 

Mostafa Karwala                                                                                   Sales Manager

 

LEGAL FORM & OWNERS

 

Date of Establishment  : 15/06/1400 Hijri (corresponding to 30th April 1980)

 

Legal Form                  : Sole Proprietorship

 

Commercial Reg. No.   : 4030024479, Jeddah

 

Membership No.           : 6472

 

Invested Capital           : SR 100,000

 

Mr Hamoud Kharat Al Khairat is the sole proprietor of the business.

 

 

OPERATIONS

 

Activities: Engaged in the wholesale and retail of woollen and Kashmiri shawls.

 

Import Countries: India

 

International Suppliers:

 

Haj Wali & Sons Co                   India

T K Shawls                                India

 

Operating Trend: Steady

 

Subject has a workforce of 18 employees.

 

 

FINANCIAL DATA

 

Financial highlights provided by local sources are given below:

 

Currency: Saudi Riyals (SR)

 

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

 

Total Sales                                SR 14,600,000                           SR 14,925,000

 

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

 

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

 

 

BANKERS

 

National Commercial Bank

King Abdul Aziz Street

PO Box: 3555

Jeddah 21481

Tel: (966-12) 6446644

Fax: (966-12) 6446644

 

 

PAYMENT HISTORY

 

No complaints regarding subject’s payments have been reported.

 

 

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 business is considered to be a fair trade risk.

 

FOREIGN EXCHANGE RATES

 

Currency
Unit

Indian Rupees

US Dollar

1

Rs.66.20

UK Pound

1

Rs.98.30

Euro

1

Rs.72.41

SR

1

Rs.17.58

 

Note : Above are approximate rates obtained from sources believed to be correct

 

 

INFORMATION DETAILS

 

Analysis Done by :

DIV

 

 

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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