Al Faris Co

# Template State Owned Enterprises- Company Overviews OCPA - Ministry of Industry & Minerals Note: All currency figures are in 000's of Iraqi Dinars unless otherwise noted. 1. General Information Company Name: Al Faris State Company Sector Engineering Brief Description Manufacturer of water purification units, storage tanks for oil, steel structures, pressure vessels and heat exchangers. Critical supplier to various Iraqi industries. Revenue in 2002 (Iraqi Dinars '000s) 11800000 # of Employees 1222 Annual Employee Salaries & Bonus 2300000 Headquarters Address Abu Graib Kanthary (near Cement Co.) 2. Company Highlights Significant local demand for water purification units, steel structures and storage tanks for oil industry and equipment for cement factories. One factory sustained heavy damages from war, but other two factories are close to restarting (may restart in August). Strong balance sheet before CPA policy to cancel all intergovernmental obigations. Oil Ministry has asked that this Company receive priority attention. Storage tanks needed. Company was working close to full capacity before war. Potential issue: raw material costs and subsidies are unknown. May not be competitive without subsidies. Received $120K USD contract from Housing Ministry in July, 2003. Allocated $1.725M USD for 2H 2003 operating budget and provided with 1mw off of grid. 3. Facilities Name Province City Grid Damage % Power Needs Water Purification Unit Plant Baghdad 0.3 2.5 mw Heavy Equipment Plant Baghdad 0.2 2.5 mw Steel Structure Plant Al Musayib 44 15', 32 46' 0 3 mw Administrative Offices 0.35 Value of All Plant & Equipment Before War, and Initial Purchase Dates and Prices for Major Items Vaule before war: 139B ID. Most equipment was built in 1997. 4. Products Product Name Unit Measurement Design Capacity Available Capacity 2002 Production 2002 Revenue Water Purification Units Unit 100 70 70 Storage Tanks for Oil Tons 6000 4000 3000 Steel structures Tons 3000 2000 1200 Pressure Vessels Tons 2000 1200 1200 Boiler Heat Exchangers Tons 1000 750 500 Description of Importance of Products to Other Iraqi Industries Critical supplier of equipment to various Iraqi industries, including water, oil and cement. 5. Customers Customer Name 2002 Revenue Subsidized (Y/N) Products Sold to Customer and Unit Pricing Water Authority Purification units, avg price 75M ID for 50M3/day unit. Oil Ministry State Cement Companies Public Sector Companies 11880000 6. Suppliers Supplier Name 2002 Purchases Subsidized (Y/N) Products Purchased and Unit Pricing Various European Public Sector Companies #3 Current Payment Terms From Suppliers 7. Imports & Exports 2002 Import Markets for Raw Materials Various European suppliers. Potential Import Markets in Free Market 2002 Export Markets for Finished Products None Potential Export Markets in Free Market 8. Competition Description of Competitive Situation Private sector competitors. Market Share Description 30% of Iraqi market. 9. Summary of War Damage & Looting of Property & Equipment Description of Damage Numerous company stores been vandalized and looted. One factory heavily damaged (which one?), other two only suffered minor looting. Headquarters looted of furniture, fixtures, etc. Current Operating Status Recently received $120K USD contract with Housing Ministry. 2 factories will be operating by late August. Erection and installation of "m/c" by August. Replacement of stolen components by November. Immediate Property & Equipment Needs To Restart Operations Diesel generator (1 MW). Total Cost to Return to Pre-War Condition $1.1M to $2.0M USD.