MIRA INFORM REPORT
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Report Date : |
22.09.2011 |
IDENTIFICATION DETAILS
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Name : |
BEN-AMI DIAMONDS |
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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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Year of Establishment : |
1998 |
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Legal Form : |
Sole Proprietorship |
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Line of Business : |
Importers, Traders, Processors, Exporters and
Marketers of diamonds |
RATING & COMMENTS
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MIRA’s Rating : |
B |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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26-40 |
B |
Capability to overcome financial difficulties seems comparatively below
average. |
Small |
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Status : |
Small Concern |
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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) |
|
Israel |
a2 |
a2 |
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Risk Category |
ECGC
Classification |
|
Insignificant |
A1 |
|
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
BEN-AMI DIAM
(Also known as BEN-AMI ITZHAK)
Telephone 972 3 613 17 51
Fax 972 3 575 41 60
1 Jabotinsky Street
Diamond Exchange, Maccabi Bldg.
RAMAT GAN 52520 ISRAEL
HISTORY
& LEGAL FORMATION
A sole
proprietorship, established in 1998.
Operating under
License Dealer No. 009984642.
Subject's owner, Mr. Ben-Ami, was a partner in another business for over 25
years and has been dealing with diamonds since 1970.
OWNERSHIP
Itzhak Ben-Ami.
GENERAL
MANAGER
Itzhak Ben-Ami,
born in 1946.
BUSINESS
Importers, traders, processors, exporters and marketers of diamonds.
In August 2010, Mr. Ben-Ami informed us that due to
health reasons, he significantly lowered subject's business activities, and
working on a very low volume (in current interview attempt we could not speak
with Itzhak
Ben-Ami, only with his son Nir Ben-Ami, who refused to
disclose data at all).
Operating from a
rented office, on an area of 50 sq. meters, in 1 Jabotinsky Street, Diamond
Exchange, Maccabi Building (17th floor, room #
47), Ramat Gan.
Employee data not
forthcoming. In August 2010 had very few employees.
MEANS
In August 2010 we were informed that subject holds a very low amount of
stock. Current volume of stock not forthcoming.
REVENUES
2006 sales claimed to be US$ 10,000,000, of which 50% for export.
2007 sales claimed to be US$ 10,000,000, of which 50% for export.
2008 sales claimed to be US$ 10,000,000, of which 50% for export.
We were informed that the first half of 2009 was a tough period, however
there has been an improvement and now business is better.
In August 2010 we were informed that subject significantly decreased its
business activity, and was working on very low scales.
Current level of activity or sales not
forthcoming.
BANKERS
The First International Bank of Israel Ltd.,
Diamond Exchange Branch (No. 026), Ramat Gan.
CHARACTER AND REPUTATION
Nothing
unfavorable learned.
Nir Ben Ami,
Itzhak Ben-Ami's son, refused categorically to update any details.
Itzhak Ben-Ami is veteran in the local
diamond field.
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
half of 2011, 34% increase was noted comparing to the parallel period in 2010
with net export of polished diamonds of US$3,400 million. Export of rough
diamonds also climbed almost 40%, reaching US$ 2,250 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 36.7% in 2011 1st half (compared
to 2010), summing up to US$2,500 million. Import of polished diamonds (net) saw
68% rise in 2010 reaching US$ 4,218 million (39% rise in karat terms), and
almost 50% rise in 2011 1st
half (US$ 2,800 million).
In terms of target
export (polished diamonds) countries, overall in 2010 the USA returned to be
main destination, with 41% of total export (48% in 2011 1st half).
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
Considering
subject's situation in 2010 (as informed), and the refusal to disclose any
data, dealings are recommended on secured basis.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.47.89 |
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UK Pound |
1 |
Rs.75.31 |
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Euro |
1 |
Rs.65.64 |
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 |
|
<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.