Car Manufacturing 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: State Company for Car Manufacturing Sector Engineering Brief Description Started in 1970. Bus body builder and semi trailer assembly (not manufacturing, as name suggests). Also rents trailers, reconditions earth moving machinery and produces "non-standard equipment". 100% of sales to government, 15% of which was to the military. MOU subsidies almost equalled revenues in 2002. Revenue in 2002 (Iraqi Dinars '000s) 8000000 # of Employees 2167 (In Al Askandaria ) + 500 (In the other branches inside Baghdad) Annual Employee Salaries & Bonus 4400000 Headquarters Address Iskandaria (MB39304102) 2. Company Highlights Company did not reply to questionnaire. Therefore, detailed financials and other data are missing. Heavily subsidized. Raw material costs without MOUs are greater than revenues. Mgmt admits can not re-start without additional MOUs to purchase raw materials. Needs new contracts as well. Can not get customers without protection from imports. This Company appears not to be viable as it is structured today. Company also has $700K USD worth of finished tractor trailer trucks it recently accembled just before the war. Company has $5M USD property in Baghdad (350,000 square meters) which is underutilized. Also has $1.75M property unused in Escanderia. Facilities are little more than big welding and painting shops. Company should be liquidated and assets reallocated. Allocated $425K USD for 2H 2003 operating budget (G Corliss strongly opposed any allocation to this Co) and provided with zero mw off of grid. 3. Facilities Name Province City Grid Damage % Power Needs Deisel Engine Plant Baghdad 0.9 Earth Moving Reconditioning Factory Baghdad/Abu Ghreb 0.9 Transportation & After Sales Service Branch Baghdad 0.7 Truck Assembly Plant Askandaria 0 Non Standard Equipment Production Plant Askandaria 0 Bus Manufacturing Plant Askandaria 0 Value of All Plant & Equipment Before War, and Initial Purchase Dates and Prices for Major Items 4. Products Product Name Unit Measurement Design Capacity Available Capacity 2002 Production 2002 Revenue Transportation - Needs Clarification (rental?) Truck/day 7500 0 6981 5% of total Site Dumper - 1 Ton Capacity Pieces 0 500 0 10% of total Miscellaneous Products Ton 0 1000 3300 15% of total Deisel engines - 12 to 16 hp Pieces 1800 1000 68 15% of total Busses Pieces 1500 500 33 30% of total Bodies & Semi-Trailers Pieces 1000 500 0 25% of total Description of Importance of Products to Other Iraqi Industries 5. Customers Customer Name 2002 Revenue Subsidized (Y/N) Products Sold to Customer and Unit Pricing Government, non Military 85% of total N Iraqi Military 15% of total N 6. Suppliers Supplier Name 2002 Purchases Subsidized (Y/N) Products Purchased and Unit Pricing ALBA House - Jordan 11,000,000 Euro Components for building buses IRIS BUS - Spain 7,000,00 Euro Chasis SMVI - Algeria Trucks and Semi Trailor Mafeks - Turkey Ready to drive trucks Before 1990: Skania, Renult, Mercdes, Karuas Current Payment Terms From Suppliers 7. Imports & Exports 2002 Import Markets for Raw Materials Germany, Sweden, Jordan, Spain, Algeria, others for chassis and other parts. Turkey (Mafeks) for finished trucks. Potential Import Markets in Free Market 2002 Export Markets for Finished Products None. Potential Export Markets in Free Market None, not competitive. 8. Competition Description of Competitive Situation General Company for Machines and Car Trading is biggest competitor. It imports trucks for resale. Market Share Description 20% of Iraqi local market 9. Summary of War Damage & Looting of Property & Equipment Description of Damage See Section 3: Facilities for details. Bus and Truck assembly plants not damaged. Engine plant, repair shop and vehicle rental facilities all extensively damaged Current Operating Status Not operating. Need raw material imports to restart. Immediate Property & Equipment Needs To Restart Operations Total Cost to Return to Pre-War Condition 1,000,000 USD for the next 6 months