MIRA INFORM
REPORT
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Report Date : |
29.08.2011 |
IDENTIFICATION DETAILS
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Name : |
S. SCHNITZER DIAMONDS LTD. |
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Registered Office : |
1 Jabotinsky Street, Diamond Exchange, Maccabi Bldg., Ramat Gan 52520 |
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Country : |
Israel |
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Date of Incorporation : |
15.12.2010 |
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Legal Form : |
Private Limited Company |
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Line of Business : |
Dealers,
Importers, Exporters and Marketers of diamonds. |
RATING & COMMENTS
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MIRA’s Rating : |
NB |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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---- |
NB |
New Business |
---- |
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Status : |
New Company |
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Payment
Behaviour : |
Unknown |
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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 31st, 2011
|
Country Name |
Previous Rating (31.12.2010) |
Current Rating (31.03.2011) |
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Israel |
a2 |
a2 |
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Risk Category |
ECGC
Classification |
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Insignificant |
A1 |
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Low |
A2 |
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Moderate |
B1 |
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High |
B2 |
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Very High |
C1 |
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Restricted |
C2 |
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Off-credit |
D |
Company name & address
S. SCHNITZER DIAMONDS LTD.
Telephone 972 3 575 66 00
Fax 972 3 575 66 01
1 Jabotinsky Street
Diamond Exchange,
Maccabi Bldg.
RAMAT GAN 52520 ISRAEL
HISTORY & LEGAL FORMATION
A private limited
company, incorporated as per file No. 51-453316-5 on the 15.12.2010.
SHARE CAPITAL
Authorized share
capital of NIS 1,000,000.00, divided into:-
5 management shares (4 shares
issued)
999,995 ordinary shares (100
shares issued), all of NIS 1.00 each,
of which shares amounting to NIS 104.00
were issued.
SHAREHOLDERS
1. Shmuel Schnitzer, 75% of management shares
and 80% of ordinary shares,
2. Shay Schnitzer, 25% of management shares and
20% of ordinary shares.
DIRECTORS & JOINT GENERAL
MANAGERS
1. Shmuel Schnitzer,
2. Shay Schnitzer.
BUSINESS
Dealers,
importers, exporters and marketers of diamonds.
Operating from
office premises in 1 Jabotinsky Street, Diamond Exchange, Maccabi Building (18th
floor), Ramat Gan.
Number of employees
not forthcoming.
MEANS
Financial data
not forthcoming.
There are 3
charges for unlimited amounts registered on the company's assets (financial
assets), in favor of Bank Leumi Le'Israel Ltd. (all charges placed in March 2011).
ANNUAL SALES
Sales figures not forthcoming.
OTHER COMPANIES
MOSHE SCHNITZER & CO. DIAMONDS, 50% owned by Shmuel
Schnitzer, originally established in 1952 by the Late Moshe Schnitzer (father of Shmuel
Schnitzer),
SHAY SCHNITZER DIAMONDS LTD., owned by Shay Schnitzer,
BANKERS
Bank Leumi Le'Israel Ltd., Diamond Exchange Branch (No. 629), Ramat Gan,
CHARACTER AND REPUTATION
Nothing
unfavorable learned.
All of subject's
officials are currently at a convention, and due back in about 2 weeks time. We
shall contact them upon their return and update you accordingly.
MOSHE SCHNITZER
& CO. DIAMONDS is a veteran well-known diamond firm, enjoying world
reputation and among Israel’s leading diamonds manufacturers and exporters. Its
founder Moshe Schnitzer passed away in 2007. He was one of the most veteran
diamond dealers in Israel, among the founders of the local diamond industry. He
served as the President of the Israeli Diamond Exchange (leading the huge
expansion of the local diamond industry) and of the World Federation of Diamond
Bourses (WFDB), as well as achieving many awards and recognitions. His son and
subject's partner Shmuel Schnitzer also served as the President of the Israeli
Diamond Exchange President between 1998-2005, and the WFDB President between
2002-2006.
Shmuel Schnitzer
serves as Honorary President of the Israel Diamond Exchange, and WFDB for the
rest of his life.
During 2010 and
2011 local diamond companies have been recovering from one of the worst
depressions in the global diamond sector due to the severe economic crisis in
global markets that erupted in September 2008. The diamond sector experienced
almost an entire freeze and collapse in sales of about 70% in the peak of the
crisis and 2009 export diamonds shrank by some 40%. Only since mid
According to the
President of the Israeli Diamonds Association, local diamond sector in general
managed to cross the crisis, despite the sheer difficulties, including the fact
that local banks contracted credit given to local diamond firms. The President
said that trade in the sector rolls annual turnover of US$ 25 billion while
total debt to the banks stands on US$ 1.5 billion, down from US$ 2.4 billion in
the eve of the crisis. The Ministry for Industry & Trade also assisted the
local diamond exporters by providing bank guarantees in total scope of NIS 1
billion.
Overall in 2010,
export (net) of polished diamonds was US$ 5,832 million, representing 48%
increase from 2009 (when it noted 37% decrease from 2008, also much less than
In the 1st
quarter of 2011, 45.7% increase was noted comparing to the parallel period in
2010 with export of polished diamonds of US$2,123 million. Export of rough
diamonds also noted 39.6% rise, reaching US$ 1,158 million.
Import of rough
diamonds (net) in 2010 grew by 51% to US$ 3,755 million (30% rise in karat
terms) compared with 2009, and by 24.9% in 2011 1stQ (compared to
2010 1stQ), summing up to US$1,144 million. Import of polished diamonds (net)
saw 68% rise in 2010 reaching US$ 4,218 million (39% rise in karat terms), and
48.5% rise in 2011 1stQ (US$
1,234 million).
In terms of
target export (polished diamonds) countries, overall in 2010 the USA returned
to be main destination, with 41% of total export (45% in 2011 1stQ). This comes
after earlier in 2010, for the first time Far East markets became Israel’s
diamond industry’s main target, with sales to Hong Kong being close to these of
the USA, to whom sales decreased dramatically in view of the severe economic
crisis (traditionally sales to the USA comprised some 60%-65% of total export).
In 2010 and early 2011, export to Hong Kong comprised around 26% of sales.
Other main target countries include Belgium, India, Switzerland and China.
In February 2009,
Israel was ranked as the world’s largest exporter of cut diamonds, followed by
India, Belgium and South Africa.
SUMMARY
Notwithstanding
the lack of updated data from subject's officials, as well being a relatively
new company, considered good for trade engagements.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.46.05 |
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UK Pound |
1 |
Rs.75.19 |
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Euro |
1 |
Rs.66.47 |
RATING EXPLANATIONS
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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>86 |
Aaa |
Possesses an extremely sound financial base with the strongest
capability for timely payment of interest and principal sums |
Unlimited |
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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 |
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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 |
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41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal commitments. |
Satisfactory |
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26-40 |
B |
Capability to overcome financial difficulties seems comparatively
below average. |
Small |
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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 |
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<10 |
C |
Absolute credit risk exists. Caution needed to be exercised |
Credit not
recommended |
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---- |
NB |
New Business |
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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%)
This report is issued at your request without any
risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL)
or its officials.