MIRA INFORM REPORT

Report No. :	339339
Report Date :	05.09.2015

IDENTIFICATION DETAILS

Name :	EGYPT GAS CO SAE

Registered Office :	Egypt Gas Building, 2 Geziret Mohamed Street, Corniche El Nil, El Warrak, Embaba, Giza, PO Box : 1438, Cairo

Country :	Egypt

Financials (as on) :	31.12.2014

Year of Establishment :	1983

Com. Reg. No.:	160611

Legal Form :	Egyptian Joint Stock Company

Line of Business :	Subject is engaged in the provision of natural gas as well as all activities related to natural gas resources. Subject also imports natural gas equipment and pipes.

No. of Employee :	6,500

RATING & COMMENTS

MIRA’s Rating :

RATING		STATUS	PROPOSED CREDIT LINE
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

Status :	Good

Payment Behaviour :	Regular

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

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 : EGYPT GAS CO SAE

Country of Origin : Egypt

Legal Form : Egyptian Joint Stock Company

Registration Date : 1983

Commercial Registration Number : 160611

Tax Card Number : 760-400-100

Authorised Capital : £E 500,000,000

Issued Capital : £E 60,000,000

Paid up Capital : £E 60,000,000

Total Workforce : 6,500

Activities : Providers of natural gas

Financial Condition : Fair

Payments : Nothing detrimental uncovered

Operating Trend : Steady

COMPANY NAME

EGYPT GAS CO SAE

ADDRESS

Registered & Physical Address

Building : Egypt Gas Building

Street : 2 Geziret Mohamed Street

Area : Corniche El Nil, El Warrak, Embaba, Giza

PO Box : 1438

Town : Cairo

Country : Egypt

Telephone : (20-2) 35403570 / 35407674 / 35406531 / 35405078

Facsimile : (20-2) 35406081 / 35408882 / 35405305

Email : cairo@egyptgas.com.eg

Premises

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

Branch Office (s)

Location Description

· 30 El Mofateshin Street Office premises

Almaza

Heliopolis

Cairo

Tel: (20-2) 22902339

Fax: (20-2) 27033987

· 1-4 Complex Office premises

24 El Laselki Street

New Maadi

Cairo

Tel: (20-2) 25195273

Fax: (20-2) 27033987

· Villa 6 Office premises

El Khattib Street

Dokki

Cairo

Tel: (20-2) 33375726

Fax: (20-2) 33375724

· 4 Dr El Nabawy El Mohandes Street Office premises

El Alam City

Agouza

Mohandessin

Cairo

Tel: (20-2) 33465994

Fax: (20-2) 33465114

KEY PRINCIPALS

Name Position

· Moustafa Mohamed Ismail Abd El Wahab Chairman

· Mohamed Fathi Mahmoud Director

· Abd El Hady Abo Zad Director

· Atiah Salah Director

· Mohamed Darwish Director

· Hassan Raaf Director

· Samiha Ibrahim Youssef Director

· Fawzy Mohamed Ashour Director

· Ibrahim Tawfik Investor Relations Manager

· Adel Moursi Marketing Manager

· Mohamed Abd El Aziz Administration Manager

LEGAL FORM & OWNERS

Date of Establishment : 1983

Legal Form : Egyptian Joint Stock Company

Commercial Reg. No. : 160611

Tax Card Number : 760-400-100

Authorised Capital : £E 500,000,000

Issued Capital : £E 60,000,000

Paid up Capital : £E 60,000,000

Name of Shareholder (s) Percentage

· Egyptian General Petroleum Corporation 80%

Cairo

· Local businessmen and private investors 20%

OPERATIONS

Activities: Engaged in the provision of natural gas as well as all activities related to natural gas resources. Subject also imports natural gas equipment and pipes.

Import Countries: China and the United Kingdom

Operating Trend: Steady

Subject has a workforce of approximately 6,500 employees.

FINANCIAL DATA

Financial highlights provided by local sources are given below:

Currency: Egyptian Pounds (£E 000,000’s)

Balance Sheet 31/12/14 31/12/13 31/12/12 31/12/11

Total Current Assets

1387.17

1384.03

1333

1341.92

Cash and Short Term Investments	202	358.75	130.25	101.99
Cash	34.59	36.1	32.76	-
Cash & Equivalents	109.63	108.49	57.77	101.99
Short Term Investments	57.78	214.17	39.72	-
Total Receivables, Net	496.69	478.7	793.37	789.49
Accounts Receivables - Trade, Net	478.27	468.07	777.66	774.82
Total Inventory	563.06	425.45	346.54	355.85
Prepaid Expenses	-	-	-	-
Other Current Assets, Total	125.42	121.13	62.85	94.59

Total Assets

1769.09

1755.33

1672.29

1671.38

Property/Plant/Equipment, Total - Net	116.1	110.59	84.91	80.52
Property/Plant/Equipment, Total - Gross	311.76	299.24	264.97	251.44
Accumulated Depreciation, Total	-195.66	-188.65	-180.06	-170.92
Goodwill, Net	-	-	-	-
Intangibles, Net	-	-	-	-
Long Term Investments	247.71	243.9	241.9	238.26
Note Receivable - Long Term	-	-	-	-
Other Long Term Assets, Total	18.11	16.81	12.48	10.67
Other Assets, Total	-	-	-	-

Total Current Liabilities

798.37

661.64

676.97

549.19

Accounts Payable	747.15	611.99	443.8	366.21
Payable/Accrued	-	-	-	-
Accrued Expenses	-	-	-	-
Notes Payable/Short Term Debt	-	-	-	-
Current Port. of LT Debt/Capital Leases	-	-	-	-
Other Current liabilities, Total	51.22	49.65	233.17	182.98

Total Liabilities

802.94

665.17

678.71

550.45

Total Long Term Debt	-	-	-	-
Long Term Debt	-	-	-	-
Capital Lease Obligations	-	-	-	-
Total Debt	-	-	-	-
Deferred Income Tax	4.57	3.53	1.74	1.26
Minority Interest	-	-	-	-
Other Liabilities, Total	-	-	-	-

Total Equity

966.15

1090.16

993.58

1120.93

Redeemable Preferred Stock, Total	-	-	-	-
Preferred Stock - Non Redeemable, Net	-	-	-	-
Common Stock, Total	120	120	120	120
Additional Paid-In Capital	-	-	-	-
Retained Earnings (Accumulated Deficit)	846.15	970.16	873.58	1000.93
Treasury Stock - Common	-	-	-	-
ESOP Debt Guarantee	-	-	-	-
Unrealized Gain (Loss)	-	-	-	-
Other Equity, Total	-	-	-	-

Total Liabilities & Shareholders' Equity

1769.09

1755.33

1672.29

1671.38

Income Statement

Total Revenue

1037.11

950.11

861.13

776.2

Revenue	1037.11		950.11	861.13	776.2
Other Revenue, Total		-	-	-	-

Cost of Revenue, Total

1054.66

918.75

800.53

714.08

Gross Profit

-17.55

31.36

60.6

62.11

Total Operating Expenses

1171.88

984.42

861.12

756.01

Selling/General/Admin. Expenses, Total	76.51	65.22	57	50.16
Research & Development	-	-	-	-
Depreciation / Amortization	0.7	0.45	0.35	0.35
Interest Expense (Income) - Net Operating	-	-	-	-
Unusual Expense (Income)	-	-	0.74	-
Other Operating Expenses, Total	40	-	2.5	-8.58

Operating Income

-134.76

-34.31

20.19

Interest Income (Expense), Net Non-Operating

133.09

130.39

114.33

110.69

Gain (Loss) on Sale of Assets

2.26

0.07

0.17

Other, Net

4.17

3.45

3.36

3.79

Net Income Before Taxes

4.76

99.61

117.7

134.83

Provision for Income Taxes

1.3

3.03

5.48

9.24

Net Income After Taxes

3.46

96.58

112.22

125.59

Minority Interest

Equity In Affiliates

U.S GAAP Adjustment

Net Income Before Extraordinary Items

3.46

96.58

112.22

125.59

Total Extraordinary Items

Net Income

3.46

96.58

112.22

125.59

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

BANKERS

· National Bank of Egypt

24 Sherif Street

Cairo

Tel: (20-2) 33924175

Fax: (20-2) 33924143

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.66.40
UK Pound	1	Rs.101.19
Euro	1	Rs.73.89

INFORMATION DETAILS

Analysis Done by :	TRI

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