MIRA INFORM REPORT

Report Date :

09.05.2011

IDENTIFICATION DETAILS

Correct Name :	JOSEPH LEVY - FOOD ENTERPRISES LTD.

Formerly Known As :	JOSEPH LEVY - FOOD BUSINESS LTD.,

Registered Office :	P.O. Box 5154, Tel Aviv (61051), 65 Matalon Street, Tel Aviv 66856

Country :	Israel

Year of Establishment :	1952

Legal Form :	Private Limited Company

Line of Business :	Importers and marketers of foodstuffs

RATING & COMMENTS

MIRA’s Rating :

RATING		STATUS	PROPOSED CREDIT LINE
26-40	B	Capability to overcome financial difficulties seems comparatively below average.	Small

Maximum Credit Limit :	US$ 400,000.
Status :	Moderate
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 – December 31, 2010

Country Name

Previous Rating

(30.09.2010)

Current Rating

(31.12.2010)

Israel

Risk Category	ECGC Classification
Insignificant	A1
Low	A2
Moderate	B1
High	B2
Very High	C1
Restricted	C2
Off-credit	D

Company name & address

JOSEPH LEVY - FOOD ENTERPRISES LTD.

Telephone 972 3 687 95 44

Fax 972 3 687 01 66

P.O. Box 5154, Tel Aviv (61051)

65 Matalon Street

TEL AVIV 66856 -ISRAEL

HISTORY & LEGAL FORMATION

Originally established as a sole proprietary business in 1952, by Joseph Levy.

Converted into a private limited company and registered as such as per file No. 51-053262-5 on the 13.1.1970, under the name JOSEPH LEVY - FOOD BUSINESS LTD., which changed to the present one on the 14.6.1990.

SHARE CAPITAL

Authorized share capital NIS 2,000,000.00, divided into -

1,000 management shares (200 shares issued),

1,999,000 ordinary shares (951,916 shares issued), all of NIS 1.00 each,

of which shares amounting to NIS 952,116.00 were issued.

SHAREHOLDERS

1. Menashe Levy, 75% of ordinary shares and 81% of management shares issued,

2. Ms. Anat Geva, 25% of ordinary shares and 19% of management shares issued.

DIRECTORS & JOINT GENERAL MANAGERS

1. Menashe Levy,

2. Ms. Anat Geva.

BUSINESS

Importers and marketers of foodstuffs (e.g. canned food, dried fruit, herbs and spices, legumes & pulses, nuts, etc.).

All purchases are imports.

Amongst subject’s clients are supermarket chains, including leading SHUFERSAL and CO-OP BLUE SQUARE, as well as KATIF, etc.

Sales are also to companies in the Palestinian Authority. Among clientele: SHAREKAT MASNA ZATAR WA BHARAT ALAQSA, HANI SHAHROURI.

Operating from rented offices, on an area of 400 sq. meters, in 65 Matalon Street, Tel Aviv, and from owned warehouse, on a built area of 3,000 sq. meters, in the Industrial Zone, Ariel.

Had 22 employees in 2008 (had 17 employees in 2007). Current number not forthcoming, believed to be similar.

MEANS

Stock was valued at NIS 5,000,000 in mid 2008 (was valued at NIS 4,000,000 in 2007).

Later financial data not forthcoming.

There are 5 charges for unlimited amounts registered on the company's assets (fixed assets, financial assets and vehicles), in favor of Israel Discount Bank Ltd. and Bank Hapoalim Ltd. (last charge placed in July 2007).

ANNUAL SALES

2005 sales claimed to be NIS 90,000,000.

2006 sales claimed to be NIS 100,000,000.

2007 sales claimed to be NIS 110,000,000.

2008 sales are known to exceed NIS 100,000,000.

2009 sales are known to exceed NIS 100,000,000.

Later sales figures not forthcoming.

BANKERS

Israel Discount Bank Ltd, Kikar Hamoshavot Branch (No. 014), Tel Aviv, account No. 258253.

Bank Hapoalim Ltd., Haaliya Branch (No. 503), Tel Aviv, account No. 77755.

A check with the Central Banks' database did not reveal any negative information regarding subject's a/m accounts.

CHARACTER AND REPUTATION

Nothing unfavorable learned.

Subject's officials refused to update data.

Subject is a long established business, showing constant growth in sales.

The local market for current consumption of consumer products grew in 2010 in money terms by 3.7% from 2009, while in the food & beverage market 3.9% growth was noted (summing up to NIS 33.3 billion). These numbers reflect the improvement in the local economy after the slow-down in 2009.

Imports of raw food products to Israel in 2010 summed up to US$ 1,666 million, 22.5% increase from 2009, after in that year there was a 20% decrease from 2008, reflecting the slow-down trend in the local economy. Over 50% of import is from the EU.

SUMMARY

Notwithstanding the refusal to update data, considered good trade engagements.

Maximum unsecured credit recommended US$ 400,000.

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.44.78
UK Pound	1	Rs.73.43
Euro	1	Rs.65.27

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%)

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