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Report Date : |
02.02.2013 |
IDENTIFICATION DETAILS
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Name : |
HIRBAWI INVESTMENT AND INTERNATIONAL TRADING CO. LTD. |
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Registered Office : |
P.O. Box 526 Al Jaladeh Zone Hitco Building Hebron West Banz Palestinian Authority |
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Country : |
Israel |
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Year of Incorporation : |
1996 |
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Legal Form : |
Private Limited Company |
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Line of Business : |
Importers, marketers and retailers of stationery, paper products, school and office supplies. |
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No. of Employees : |
25 |
RATING & COMMENTS
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MIRA’s Rating : |
Ba |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
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Status : |
Satisfactory |
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Payment Behaviour : |
No Complaints |
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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 – June 30th, 2012
|
Country Name |
Previous Rating (31.03.2011) |
Current Rating (30.06.2012) |
|
Israel |
A2 |
A2 |
|
Risk Category |
ECGC
Classification |
|
Insignificant |
A1 |
|
Low |
A2 |
|
Moderate |
B1 |
|
High |
B2 |
|
Very High |
C1 |
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Restricted |
C2 |
|
Off-credit |
D |
ISRAEL - ECONOMIC OVERVIEW
Israel has a technologically advanced market economy. It depends on
imports of crude oil, grains, raw materials, and military equipment. Cut
diamonds, high-technology equipment, and agricultural products (fruits and
vegetables) are the leading exports. Israel usually posts sizable trade
deficits, which are covered by tourism and other service exports, as well as
significant foreign investment inflows. The global financial crisis of 2008-09
spurred a brief recession in Israel, but the country entered the crisis with solid
fundamentals - following years of prudent fiscal policy and a resilient banking
sector. The economy has recovered better than most advanced, comparably sized
economies. In 2010, Israel formally acceded to the OECD. Natural gasfields
discovered off Israel's coast during the past two years have brightened
Israel's energy security outlook. The Leviathan field was one of the world's
largest offshore natural gas finds this past decade. In mid-2011, public
protests arose around income inequality and rising housing and commodity
prices. The government formed committees to address some of the grievances but
has maintained that it will not engage in deficit spending to satisfy populist
demands.
Source
: CIA
HIRBAWI INVESTMENT
AND INT. TRADING
Correct Name: HIRBAWI INVESTMENT AND INTERNATIONAL
TRADING CO. LTD.
(Also
trading as HITCO CO., where HITCO is the initials)
Telephone
972 2 222 84 45
Fax
972 2 222 01 22
P.O.
Box 526
Al
Jaladeh Zone
Hitco
Building
HEBRON WEST BANK PALESTINIAN AUTHORITY
A foreign private
limited company, registered in the Palestinian Authority as per file No.
56-242777-3 in 1996.
Share capital data
not forthcoming.
Subject is owned by
Hirbawi Family, by 8 shareholders, all brothers, 6 of them are:
1. Majed Hirbawi,
2. Nafed Hirbawi,
3. Iman Hirbawi,
4. Maruan Hirbawi,
5. Taufiq Hirbawi,
6. Mohamed Nafiz Hirbawi.
Majed Hirbawi
Importers, marketers
and retailers of stationery, paper products, school and office supplies.
Subject is operating a retail chain store,
with 3 branches.
All sales are in
the Palestinian territories
Sole local
representative of (among others):
SKREBBA,
SCHNEIDER, both of Germany.
Operating
from premises (offices and warehouses), owned by the shareholders, on an area
of 5,000 sq. meters (built, on a plot of 10,000 sq. meters), in the Al Jaladeh
Zone, Hitco Building, Hebron, West Bank, Palestinian Authority. Also operating
from stores in:
1. Wadi Al-Tuffah, Downtown
Hebron,
2. Al-Qazzazeen, Old City,
Hebron,
3. Beer Nabalah, Beer Nabalah
(near Ramallah), operated mainly as show room for customers.
Having in 25
employees.
Current stock is
valued at NIS 4,500,000
Other financial
data not forthcoming.
2011 sales claim
to be NIS 25,000,000.
2012 sales claim
to be NIS 25,000,000.
Sister companies,
also part of subject's Group:
PAPER INDUSTRIES CO.
LTD., 35% owned by Hirbawi Family (a majority shareholder), incorporated in
1993 in the Palstinian Authority, manufacturers and marketers of paper products
(such as ring files, notebooks, box files, etc.); 95 employees, 2011 sales NIS
50 million.
AL-AHLIA BOXES
INDUSTRIES CO. LTD., 52.5% owned by Mohamed Nafiz Al Hirbawi, established 1991,
manufacturers of cardboard.
K.A.R FOR MACARONI
AND FOODSTUFF MFG. CO. (KHALIL AL-RACHMAN LTD.), manufacturers and marketers of
foodstuff (mainly variant kinds of pasta).
Bank of Palestine
Plc., Hebron Branch, Hebron (Al Salam St., P.O. Box 471), West Bank,
Palestinian Authority.
Arab Bank Plc.,
Hebron Branch, Hebron (Al Salam St., P.O. Box 601), West Bank, Palestinian
Authority.
Nothing
unfavorable learned.
Hirbawi family is
well-known and wealthy family in Hebron. Besides the above-mentioned companies
and property they hold, they also own 2 more real estate properties (buildings)
in Hebron.
Subject's General Manager,
Mr. Majed Hirbawi, is a member at Hebron Businessmen Forum and the Arab
Businessmen Council. He is a founding member and a director of the Palestinian
Shipper Council.
The Palestinian
Authority is presently in a state of crisis, with a dire shortage in cash, in
fact on the verge of bankruptcy, where the authorities are unable to pay
salaries, delay in payment of US$ 500,000 to the private and public sectors,
and fear it will be unable to redeem loans in volume of US$ 1.2 billion. The
Palestinian economy, which grew by an average of 9% in the years 2008-2010 (was
nearly zero in 2007), show clear signs of slow-down in the macro aspect, with
6% growth in 2011 (figures for 2012 are ambiguous).
Much of the growth
was attributed to the foreign aid received, though over the last period there
has been much delays in the transfer of the promised donation - as of mid 2011
only less than half of the US$ 1 billion donation scheduled was received.
It should be noted
that according to reports, on the private business level, the crisis is less
felt at this stage in the Palestinian city's streets, though if the
governmental/public sector collapses – as such warnings exists – that may drag
the banking and financial sector down and eventually reach the private sector.
Other current
indicators are still alarming, mainly in the Gaza Strip, such as high
unemployment rates (17% in the West Bank, over 30% in Gaza), and poverty (70%
in Gaza).
According to World
Bank and Palestinian Investment Promotion Agency, total GDP of the Palestinian
Economy in 2008 was US$ 4.6 billion, and GDP per capita is US$ 1,290 (was
US$1,272 in 2006). These figures include the West Bank and Gaza Strip, whose
economy has been in different condition. GDP per capita (or average annual
income per capita) in the West bank has climbed to US$ 2,800 by 2009 and around
US$ 3,000 in 2010/11, while remains low in Gaza – around US$ 1,000 per capita
In terms of
foreign trade, Total Import in 2007 summed up to US$ 3,141 million (up from US$
2,760 million in 2006), while Total Export reached US$ 513 million (up from US$
367 million in 2006). 80% of imported goods to the Palestinian Territories are
carried out via Israel.
The Palestinian
economy suffered a set-back in recent years, following the rising of the Hamas
government in Gaza Strip in 2007, which led to internal conflict and clashes
between the Hamas supporters and those of the Phatah movement.
While the
political situation has been stable in the West Bank (controlled by Phatah)
leading to economic growth in recent years, the condition in the Gaza Strip
deteriorated drastically, also due to the blockage on goods movement in and out
the Strip for long period. The situation in Gaza Strip improved drastically
since 2010, with overseas donation and the partial lifting of goods blockage –
Gaza Strip economy grew by 16% in 2010 (1% in 2009) according to the
International Monitory Fund (IMF), though situation is still critical.
Good for trade engagement.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.53.32 |
|
|
1 |
Rs.84.60 |
|
Euro |
1 |
Rs.72.63 |
INFORMATION DETAILS
|
Report
Prepared by : |
SDA |
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%)
This report is issued at your request without any
risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL)
or its officials.