MIRA INFORM REPORT

 

 

Report Date :

13.01.2011

 

IDENTIFICATION DETAILS

 

Name :

ROMANTEX LTD.

 

 

Registered Office :

26 Hapeled Street, Industrial Zone, Holon 58816  

 

 

Country :

Israel

 

 

Year of Establishment :

1974

 

 

Legal Form :

Private Limited Company

 

 

Line of Business :

Importers, marketers and Distributors of home textile goods

 

RATING & COMMENTS

 

MIRA’s Rating :

Ba

 

RATING

STATUS

PROPOSED CREDIT LINE

41-55

Ba

Overall operation is considered normal. Capable to meet normal commitments.

Satisfactory

 

Maximum Credit Limit :

US$ 100,000

 

 

Status :

Satisfactory

 

 

Payment Behaviour :

No Complaints

 

 

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 – June 30, 2010

 

Country Name

Previous Rating

                   (01.04.2010)                  

Current Rating

(30.06.2010)

Israel

a2

a2

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 

 

Company name & address 

 

ROMANTEX LTD.

Telephone    972 3 559 32 36

Fax             972 3 556 85 11

26 Hapeled Street

Industrial Zone

HOLON        58816-ISRAEL

 

 

HISTORY & LEGAL FORMATION

 

Originally established as a sole proprietary business in 1974.

Converted into a private limited company and registered as such as per file No. 51-122395-0 on the 03.09.1987.

 

 

SHARE CAPITAL

 

Authorized share capital NIS 10,000.00, divided into - 

          10,000.00 ordinary shares of NIS 1.00 each,

of which 7,300 shares amounting to NIS 7,300.00 were issued.

 

 

SHAREHOLDERS

 

1.    Roman Berg, 90%,

2.    Alexander Berg, 10%, father of Roman,

3.    Ms. Elvira Berg, holding one single share.

 

 

SOLE DIRECTOR AND GENERAL MANAGER

 

Roman Berg.

 

 

BUSINESS

 

Importers, marketers and distributors of home textile goods, e.g. table cloths, beddings, towels, etc.

 

All purchasing is from import.

All sales are local.

 

Among major clients are: SHUFERSAL, CO-OP ISRAEL (both latter are local leading supermarket chains), HOME CENTER (a leading local DIY Chain), KITTAN, and many small private clients.

       

Operating from premises (offices, warehouse), mostly owned by subject, on an area of 1,100 sq. meters, in 26, Hapeled Street, Industrial Zone, Holon. In addition, operates from further warehouses (locations and details were not provided).

 

Having 40 employees.

 

 

MEANS

 

Financial data not forthcoming.

 

Owned property in Hapeled Street, Holon Industrial Zone (where subject is operating from) is worth several US$ millions.

 

There are 9 charges for unlimited amounts and a further 4 charges for total of

NIS 898,000.00 registered on the company's assets (mainly on fixed assets), in favor of Bank Leumi Le’Israel Ltd.

 

 

ANNUAL SALES

 

2008 sales claimed to be NIS 24,000,000.

2009 sales claimed to be NIS 24,000,000.

Sales for the first 9 months of 2010 claimed to be NIS 18,000,000.

 

 

BANKERS

 

Bank Leumi Le’Israel Ltd., Hanassi Branch (No. 866), Bat Yam.

 

 

CHARACTER AND REPUTATION

 

In 2005 complaints were submitted by consumers that tens of thousands bed sheets sets made in China were sold by subject as pure satin cotton, while in checks they were 100% polyester. The Ministry of Trade & Industry said they will check into the matter. Subject’s officials said it probably concerns a mistake by the manufacturer which they are going to handle, including ship the stock back.

 

We did not find any later data on this regard.

 

In the past there was also couple of reports regarding violation of intellectual properties by subject in its products sold, but we did not learn on any results (and the matters are old, over 5 years, anyway).

 

Apart of the above, nothing unfavourable learned.

 

Subject’s officials refused to disclose financial data, besides sales figures.

 

Subject is a respectable long established business.

 

The local household products market is considered highly competitive after reaching market saturation. It includes household textile, tableware and kitchenware and utensils, bath accessories and ornaments, ceramic and glass ware, etc. According to estimations, the local household products market volume reaches NIS 2.5 – 3 billons annually, including retail, wholesale, institutional markets (Retail chains capture 30% of the market share, specialization stores 20%, while the institutional and workers unions sector has 50% share).

 

The "Home Textile" market alone rolls, according to estimations in the branch, somewhere below NIS 1 billion annually.

 

According to the Central Bureau of Statistics (CBS), the current spending for private consumption in 2009 on equipment and items for domestic use decreased by 3.5% from 2008, after a 2% fall from 2007 (after several years of constant rise). That was part of the general trend in the market due to the slow down in local markets, mainly during the 1st half 2009. Private consumption per capita kept the rising trend from previous years, yet in a much slower pace – it rose by less than 2% in 2009 from 2008 (when it rose 6.5% from 2007).

 

 

SUMMARY

 

Good for trade engagements.

Maximum unsecured credit recommended US$ 100,000.

 

FOREIGN EXCHANGE RATES

 

Currency
Unit

Indian Rupees

US Dollar

1

Rs.45.16

UK Pound

1

Rs.70.64

Euro

1

Rs.58.68

 

RATING EXPLANATIONS

 

RATING

STATUS

 

 

PROPOSED CREDIT LINE

>86

Aaa

Possesses an extremely sound financial base with the strongest capability for timely payment of interest and principal sums

 

Unlimited

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

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

41-55

Ba

Overall operation is considered normal. Capable to meet normal commitments.

 

Satisfactory

26-40

B

Capability to overcome financial difficulties seems comparatively below average.

 

Small

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

<10

C

Absolute credit risk exists. Caution needed to be exercised

 

 

Credit not recommended

----

NB

New Business

----

 

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%)

 

 

 

 

 

PRIVATE & CONFIDENTIAL : This information is provided to you at your request, you having employed MIPL for such purpose. You will use the information as aid only in determining the propriety of giving credit and generally as an aid to your business and for no other purpose. You will hold the information in strict confidence, and shall not reveal it or make it known to the subject persons, firms or corporations or to any other. MIPL does not warrant the correctness of the information as you hold it free of any liability whatsoever. You will be liable to and indemnify MIPL for any loss, damage or expense, occasioned by your breach or non observance of any one, or more of these conditions

This report is issued at your request without any risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or its officials.