APPLICATION FOR OPIC FINANCE: MIDDLE EAST FROZEN

UNCLAS SECTION 01 OF 02 AMMAN 006143 SIPDIS SENSITIVE PASS TO OPIC FOR S. LEMPRES E.O. 12958: N/A TAGS: EINV IZ JO SUBJECT: APPLICATION FOR OPIC FINANCE: MIDDLE EAST FROZEN FOODS - JORDAN REF: STATE 136058 SENSITIVE BUT UNCLASSIFIED. PROTECT PROPRIETARY INFORMATION. ¶1. (SBU) As requested reftel, Embassy Amman provides the following information on H. Mahmood J. Al-Bunnia & Sons Co. (HMBS): HMBS is active in Jordan and throughout the region. Mustafa Bunnia, who we understand will be running the frozen food operation being considered by OPIC, is based in Jordan. HMBS is one of the largest private companies in Iraq. Haj Mahmood Al-Bunnia established the company in 1910. Today, HMBS employs more than 6500 employees working in 29 different companies. The main office of the company is in Baghdad with two regional offices, one in Jordan, which is the operating office for the group now, and the other in Dubai, U.A.E. HMBS is the exclusive agent in Iraq for Procter and Gamble, Rockwell Automation and NewHoland Tractors. HMBS and the Turkish company EFES recently signed an exclusive agreement with Coca Cola to manufacture and distribute inside Iraq. HMBS has two joint ventures: - Levant Food and Grain Co. with Rice Land from the U.S. and Al-Bushra Investment and Trade Co. from Jordan - Middle East Frozen Foods Co. with Al-Bushra Investment and Trade Co. from Jordan and with U.S. and U.K. companies. Contact information in Jordan: Mustafa Al-Bunnia - Managing Director P.O. Box 962395 Amman 11196 Tel: +962 6 593-8850 Fax: +962 6 593-8860 E-mail: Mustafa.al-bunnia@al-bunnia.com www.al-bunnia.com ¶2. (SBU) Embassy has received no derogatory financial information on H. Mahmood J. Al-Bunnia & Sons Co. (COMMENT: The Bunnia family has a reputation for bringing their own people from outside to service contracts in Iraqi localities, rather than employing local subcontractors. An American business source in Jordan told us that he canceled an Iraq-based contract with the Bunnias due to what he termed was "local resentment" of the Bunnia's business practices. To the extent possible, it would be helpful if financing mechanisms could require that Middle East Frozen Foods show use of local subcontractors and a local development component in Iraq. END COMMENT.) ¶3. (SBU) Following is information on Al-Bushra Investment and Trade Co.: Al-Bushra Investment and Trade Co. was established in 1995 with capital of 30,000 JD and is registered at the Ministry of Industry and Trade (registration number 3843) and Amman Chamber of Commerce. The owners are Mohammad Abu-Hassan (90%) and his daughter (10%). The Abu-Hassans are a prominent business family in Jordan. The company does the following: - Handles the investment profile of Mohammad Abu-Hassan - Deals in the stock market - Agent for the U.S. company Lindsay Agricultural Sprinklers - Partner in Levant Food and Grain Co. with 33%. Other partners are H. Mahmood J. Al-Bunnia & Sons Co. from Iraq and Rice Land from the U.S. - Partner in Middle East Frozen Foods Co. with 5%. Other partners are H. Mahmood J. Al-Bunnia & Sons Co. and companies from the U.S. and U.K. Mohammad Abu-Hassan is the chairman and CEO of ICA Holding Group (www.ica-jo.com),which consists of the following companies: - Al-Intaj Organic and Agricultural Products (under formation) - Al-Intaj Marketing and Distribution - Al-Hussein Industrial Complex: o Consolidated Sulphochemical Industries o Al-Intaj Personal Care Products Manufacturing o Al-Intaj Plastic Manufacturing o Al-Intaj Household Products Manufacturing o Al-Intaj Packing and Printing o United Soap Industry. - Al-Intaj Chemical Production, Storage and Distribution (under formation) - Al-Intaj Property Development (under formation) Contact information: Mohammad Abu-Hassan - Chairman and CEO P.O. Box 182024 Amman - Jordan Tel: +962 6 461-6271/461-6248 Fax: +962 6 461-6748 E-mail: albushra@go.com.jo Their bankers are: a) Arab Bank, and b) Jordan Investment and Finance Bank. Both banks attest to the company's financial bona fides in its dealings with them. ¶4. SBU) Embassy has received no derogatory information on al- Bushra Investment and Trade Co. HALE