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Report No. : |
346732 |
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Report Date : |
26.10.2015 |
IDENTIFICATION DETAILS
|
Name : |
CENTURY PAPER & BOARD MILLS LIMITED |
|
|
|
|
Registered Office : |
Lakson Square Building No. 2, Sarwar Shaheed Road, Karachi-74200 |
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|
|
|
Country : |
Pakistan |
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|
|
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Financials (as on) : |
30.06.2015 |
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|
|
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Date of Incorporation : |
1984 |
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|
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Com. Reg. No.: |
0012021 |
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|
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Legal Form : |
Public Limited Company |
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|
|
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Line of Business : |
Subject
is engaged in manufacture, sale and marketing of paper, board and related
products |
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|
|
|
No. of Employees : |
1,543 |
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 |
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|
|
|
Payment Behaviour : |
Slow but correct |
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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 – March 31, 2015
|
Country Name |
Previous Rating (31.12.2014) |
Current Rating (31.03.2015) |
|
Pakistan |
B1 |
B1 |
|
Risk Category |
ECGC
Classification |
|
Insignificant |
A1 |
|
Low |
A2 |
|
Moderate |
B1 |
|
High |
B2 |
|
Very High |
C1 |
|
Restricted |
C2 |
|
Off-credit |
D |
|
Business
Name |
CENTURY
PAPER & BOARD MILLS LIMITED |
|
Registered
Address |
|
Lakson Square Building No. 2, Sarwar Shaheed
Road, Karachi-74200, Pakistan |
|
Tel # |
92 (21) 35698000 |
|
Fax # |
92 (21) 35681163, 35683410 |
|
Email |
|
a. |
Nature of Business |
The
principal activity of the Company is the manufacture, sale and marketing of
paper, board and related products |
|
b. |
Year Established |
1984 |
|
c. |
Registration # |
0012021 |
14-Ali Block, New Garden Town,
Lahore, Pakistan
62 K.M., Lahore Multan Highway,
N-5, District Kasur, Pakistan
|
BDO Ebrahim & Co. (Chartered Accountants) |
|
Subject Company was established as a Public Limited Company in
1984 |
|
Names |
Designation |
|
Mr. Iqbal Ali Lakhani Mr. Aftab Ahmad Mr. Zulfiqar Ali Lakhani Mr. Amin Mohammed Lakhani Mr. Tasleemuddin Ahmed Batlay Mr. Shahid Ahmed Khan Mr. Kemal Shoaib Mr. Muhammad Imran Rafiq |
Chairman Chief
Executive Director Director Director Director Director Director |
|
Names |
Shareholding (%) |
|
Directors, CEO, Their Spouses & Minor Children Associated Companies, Undertakings and related parties NIT & ICP Public Sector Companies & Corporations Banks, Development Financial Institutions, Non Banking Financial
Institutions Modaraba & Mutual Funds Insurance Companies General Public Others |
0.04 68.13 5.52 2.21 1.08 2.25 0.25 12.08 8.43 |
A. Subsidiary
None
B. Associated
Companies
(1) Lakson Tobacco Company Limited, Pakistan.
(2) Colgate Palmolive Pakistan Limited, Pakistan.
(3) Cyber Internet Services (Pvt) Limited, Pakistan.
(4) Century Insurance Company Limited, Pakistan.
(5) Tritex Cotton Mills Limited, Pakistan.
(6) Clover Foods Pakistan Limited, Pakistan.
(7) Merit Packaging Limited, Pakistan.
(8) Siza Foods (Pvt) Limited, Pakistan.
(9) Reliance Chemicals Limited, Pakistan.
(10) Century Power Generation Limited, Pakistan.
(11) Accuray Surgicals Ltd, Pakistan.
(12) Siza (Pvt) Limited, Pakistan.
(13) Siza Services (Pvt) Limited, Pakistan.
(14) Siza Commodities (Pvt) Limited, Pakistan.
(15) Premier Fashions (Pvt) Limited, Pakistan.
The principal
activity of the Company is the manufacture, sale and marketing of paper, board
and related products.
1,543
2015 2014
Actual
Annual Capacity Actual Annual Production
On Three Shifts Production Capacity
On three
Shifts
Paper & paper board produced 240,000 157,646 240,000
175,461
Paper and paper board conversion 30,000 22,081 30,000 26,011
|
Years |
In Pak Rupees |
|
2014 2015 |
14,667,669,000/- 13,186,182,000/- |
|
Mainly exist at major cities of
Pakistan |
(1) Allied Bank Limited, Pakistan.
(2) Al Baraka Bank (Pakistan) Limited, Pakistan.
(3) Bank Alfalah Limited, Pakistan.
(4) Barclays Bank PLC.
(5) Faysal Bank Limited, Pakistan.
(6) Habib Bank Limited, Pakistan.
(7) Habib Metropolitan Bank Limited, Pakistan.
(8) HSBC Bank Middle East Limited.
(9) JS Bank Limited, Pakistan.
(10) MCB Bank Limited, Pakistan.
(11) Meezan Bank Limited, Pakistan.
(12) National Bank of Pakistan.
(13) NIB Bank Limited, Pakistan.
(14) Soneri Bank Limited, Pakistan.
(15) Standard Chartered Bank, Pakistan.
Market
demand for various Paper & Paperboard products during the year under review
was stable throughout the year. However, Company could not maintain market
share due to the massive influx of imports. Further, the cost of production
remained high due to higher cost of producing energy to supplement Shortages on
the national grid. In the Face of these high costs of production and depressed
prices due to dumping, the Company was forced to sacrifice some market share by
limiting production to what could be sold at prices that could offset product
costs. This nevertheless resulted in limiting the losses. The Company continued
to lobby the Government to prevent international dumping on behalf of the
paperboard sector and is still doing it.
The severe internal and external
market environment which prevailed during the year led to the decline in sales,
both in terms of quantity and value. The Company sold 157 thousand tons of
products for the year under review as compared to last year sales of 170
thousand tons. The rupee value of the net sales for the year under review stood
at Rs. 13,186 million.
Federation Pakistan Chamber of Commerce
& Industry.(FPCCI)
Karachi Chamber of Commerce &
Industry.(KCCI)
|
Currency |
Unit |
Pakistani Rupee |
|
US Dollar |
1 |
Rs. 104.40 |
|
UK Pound |
1 |
Rs. 158.75 |
|
Euro |
1 |
Rs. 118.00 |
Lakson Group of Companies is engaged in diversified activities,
which includes Chemical, Food & Allied, Tobacco, Fuel & Energy, Information
Technology, Paper & Board, Surgical and Insurance. The group is well known
and directors are resourceful and experienced businessmen. Their trade
relations are reported as fair. Payments
to creditors are reported as normal. The company can be considered for normal
business dealings at usual trade terms and conditions.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.64.88 |
|
UK Pound |
1 |
Rs.99.89 |
|
Euro |
1 |
Rs.72.06 |
INFORMATION DETAILS
|
Analysis Done by
: |
TRI |
|
|
|
|
Report Prepared
by : |
TRU |
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%)
This report is issued at your request without any
risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL)
or its officials.