Al Sumood Mechanical Ind

# 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 Sumood State Company for Mechanical Industries Sector Engineering Brief Description Al Sumood State Company was established in 1995 and it has always been a state company. Al Summod is specialised in designing and manufacturing of steel structure and other heavy mechanical components for oil, electricity and other industrial purposes. It was part of Nassr Co until the mid 1990's when it was divested. Revenue in 2002 (Iraqi Dinars '000s) 10088754 # of Employees 1500 Annual Employee Salaries & Bonus 2496787 Headquarters Address Baghdad, Taji (35 miles N of Taji, on left) 2. Company Highlights Former Military Industrial Complex Company transferred to MIM in July 2003. Products in demand by various local industries, especially cement factories, oil and electrical industries. May receive ISO 9001 certification soon. Heavily subsidized, MOU subsidies of $8M USD exceeded revenues. Al Sumood and it's sister company Nassr can play important roles in rebuilding Iraqi infrastructure in different industrial field. Has contract with US Army for galvanized units and towers. Like all the other SOE manufacturing organizations in Iraq, Al Sumood in need of a complete reorganization and training on all levels. Marketing, sales and production teams need special attention in reorganization process. Allocated zero $ for 2H 2003 operating budget and provided with 2mw off of grid. 3. Facilities Name Province City Grid Damage % Power Needs Taji Headquarters - Heavy Foundary Shop, Free Forging, Closed Forging, OH Crane Factory, Towers and Steel Structure, Galvanisation Plant. Baghdad Taji 0 5 MW Minimum. 25 MW Maximum Value of All Plant & Equipment Before War, and Initial Purchase Dates and Prices for Major Items 1,440,830 ID (at unknown exchange rate before Dinar depreciated) for initial factory construction. There is a project which is not completed yet at a value of 30,000,000 ID. Separately, 59,815,796 ID spent in 1995 (Foundary, Forging Plant, Closed Die Forging) 4. Products Product Name Unit Measurement Design Capacity Available Capacity 2002 Production 2002 Revenue Free forged parts, 700,000 ID (Top) ton 0.32 Over head cranes, 550,000 ID (Second) Crane 0.25 Steel structure & towers, 350,000 ID (3rd) ton 0.16 Description of Importance of Products to Other Iraqi Industries Oil ministry to provide materials needed for various oil projects. Critical to Electricity Board for manufacturing towers and posts, Cranes of different sizes for industrial sectors. Warranty 3 Months - 12 Months 5. Customers Customer Name 2002 Revenue Subsidized (Y/N) Products Sold to Customer and Unit Pricing Cement Factories (Top) 559991 Spare parts, dies and welding parts SA'AD State Company (2nd) 281260 Telecommunications towers Electric Transmission (3rd) 217000 6. Suppliers Supplier Name 2002 Purchases Subsidized (Y/N) Products Purchased and Unit Pricing AL Mustafa Company 6,000,000 EURO Spare parts Al ANKA'a Company 3,700,000 EURO Steel sheet and steel materials Al Dawliya Corp 1,676,126 USD Metalurgical additives Current Payment Terms From Suppliers 100% of payment after receiving raw materials from supplier and after passing QC tests. 7. Imports & Exports 2002 Import Markets for Raw Materials Potential Import Markets in Free Market 2002 Export Markets for Finished Products None Potential Export Markets in Free Market Can export Cranes, Electric Towers and Posts, Steel Casting and Forged Steel to Middle East countries and Arab countries. 8. Competition Description of Competitive Situation Nassr State Company was the major competitor in the field of steel structure for construction, their market share of this product was 40%. Market Share Description For top 3 products Al Sumood claims to have satisfied on average 75% of Iraqi demand. 9. Summary of War Damage & Looting of Property & Equipment Description of Damage Current Operating Status Steel structuring plant operating since June 2003. Immediate Property & Equipment Needs To Restart Operations Total Cost to Return to Pre-War Condition 900,000 ID