MIRA INFORM REPORT

Report No. :	309503
Report Date :	27.02.2015

IDENTIFICATION DETAILS

Name :	JEAN ZAKKA FILS SAL

Registered Office :	Zakka Building Abou Halka Street Fanar Beirut

Country :	Lebanon

Date of Incorporation :	1942

Com. Reg. No.:	3431, Beirut

Legal Form :	Lebanese Joint Stock Company

Line of Business :	Engaged in the import and distribution of analogical equipment, machinery for wine, perfumery and aroma products.

No. of Employee :	12

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 – December 31, 2014

Country Name

Previous Rating

(30.09.2014)

Current Rating

(31.12.2014)

Lebanon

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

LEBANON ECONOMIC OVERVIEW

Lebanon has a free-market economy and a strong laissez-faire commercial tradition. The government does not restrict foreign investment; however, the investment climate suffers from red tape, corruption, arbitrary licensing decisions, complex customs procedures, high taxes, tariffs, and fees, archaic legislation, and weak intellectual property rights. The Lebanese economy is service-oriented; main growth sectors include banking and tourism. The 1975-90 civil war seriously damaged Lebanon's economic infrastructure, cut national output by half, and derailed Lebanon's position as a Middle Eastern entrepot and banking hub. Following the civil war, Lebanon rebuilt much of its war-torn physical and financial infrastructure by borrowing heavily, mostly from domestic banks, which saddled the government with a huge debt burden. Pledges of economic and financial reforms made at separate international donor conferences during the 2000s have mostly gone unfulfilled, including those made during the Paris III Donor Conference in 2007 following the July 2006 war. The collapse of the MIKATI government in early 2011 over its backing of the Special Tribunal for Lebanon and the conflict in neighboring Syria slowed economic growth to the 1-2% range in 2011-13, after four years of 8% average growth. In September 2011 the Cabinet endorsed a bill that would provide $1.2 billion in funding to improve Lebanon's downtrodden electricity sector, but fiscal limitations will test the government's ability to invest in other areas, such as water.

Source : CIA

SUMMARY

Company Name : JEAN ZAKKA FILS SAL

Country of Origin : Lebanon

Legal Form : Lebanese Joint Stock Company

Registration Date : 1942

Commercial Registration Number : 3431, Beirut

VAT Number : 601-4512

Issued Capital : LP 30,000,000

Paid up Capital : LP 30,000,000

Total Workforce : 12

Activities : Distributors of analogical equipment, machinery for wine, perfumery and

aroma products

Financial Condition : Fair

Payments : Nothing detrimental uncovered

Operating Trend : Steady

Person Interviewed : Jean Pierre Mardini, Administration Manager

COMPANY NAME

JEAN ZAKKA FILS SAL

ADDRESS

Registered & Physical Address

Building : Zakka Building

Street : Abou Halka Street

Area : Fanar

Town : Beirut

Country : Lebanon

Telephone : (961-1) 890654

Facsimile : (961-1) 895654

Mobile : (961-3) 925521

Email : info@zakkamultitec.com / sales@multirec.com

Premises

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

KEY PRINCIPALS

Name Position

· Jean Saeed Zakka Managing Director

· Jean Pierre Mardini Administration Manager

LEGAL FORM & OWNERS

Date of Establishment : 1942

Legal Form : Lebanese Joint Stock Company

Commercial Reg. No. : 3431, Beirut

VAT No. : 601-4512

Issued Capital : LP 30,000,000

Paid up Capital : LP 30,000,000

Name of Shareholder (s)

· Jean Saeed Zakka

· Heirs of Saeed Zakka (comprising his wife & two daughters)

AFFILIATED COMPANIES

· Zakka Multitec Sarl

Beirut

Tel: (961-1) 890654

Fax: (961-1) 895654

Email: info@zakkamultitec.com / sales@multirec.com

CR No. 35490

OPERATIONS

Activities: Engaged in the import and distribution of analogical equipment, machinery for wine, perfumery and aroma

products.

Import Countries: United Kingdom

International Suppliers:

· LOMA United Kingdom

· Allsill United Kingdom

· H B Fuller United Kingdom

Operating Trend: Steady

Subject has a workforce of 12 employees.

FINANCIAL DATA

Financial highlights provided by local sources are given below:

Currency: Lebanese Pounds (LP)

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

Total Sales LP 5,200,000,000 LP 5,475,000,000

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

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

BANKERS

· Banque Beyrouth pour le Commerce Sal

Al Mazraa Branch

Beirut

Tel: (961-1) 302406

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 company is considered to be a fair trade risk.

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.61.94
UK Pound	1	Rs.96.24
Euro	1	Rs.70.39

INFORMATION DETAILS

Analysis Done by :	KAR

Report Prepared by :	ANK

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.