|
Report Date : |
12.07.2013 |
IDENTIFICATION DETAILS
|
Name : |
G.R.A.S. DESIGN AND COMBINATIONS LTD. |
|
|
|
|
Formerly Known As : |
G.R.A.S. DESIGNING & CONNECTING LTD |
|
|
|
|
Registered Office : |
50 Bar Yehuda Road, Nesher 3666017
|
|
|
|
|
Country : |
Israel |
|
|
|
|
Date of Incorporation : |
06.05.1991 |
|
|
|
|
Legal Form : |
Private Limited Company |
|
|
|
|
Line of Business : |
Designers, manufacturers (via subcontractors abroad), importers and
marketers of gold and silver jewelry (93% of activity), as well as ornaments
(7% of activity) |
|
|
|
|
No. of Employees : |
400 employees. |
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 |
|
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 – March 31st 2013
|
Country Name |
Previous Rating (31.12.2012) |
Current Rating (31.03.2013) |
|
Israel |
A2 |
A2 |
|
Risk Category |
ECGC
Classification |
|
Insignificant |
A1 |
|
Low |
A2 |
|
Moderate |
B1 |
|
High |
B2 |
|
Very High |
C1 |
|
Restricted |
C2 |
|
Off-credit |
D |
israel - ECONOMIC OVERVIEW
Israel has a
technologically advanced market economy. Its major imports include crude oil, grains,
raw materials, and military equipment. Cut diamonds, high-technology equipment,
and pharmaceuticals are among 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.
Israel's economy also has weathered the Arab Spring because strong trade ties
outside the Middle East have insulated the economy from spillover effects.
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, and production
from the Tama field is expected to meet all of Israel's natural gas demand
beginning mid-2013. 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 |
G.R.A.S. DESIGN AND COMBINATIONS LTD.
Telephone 972
4 821 02 10
Fax 972 4 821 37 30
50 Bar Yehuda Road
NESHER 3666017-ISRAEL
A private limited company incorporated as
per file No. 51-156705-9 on the 06.05.1991.
Originally registered under the name
G.R.A.S. DESIGNING & CONNECTING LTD., which changed to the present name on
the 07.01.2004.
Authorized share capital NIS 669,900.00,
divided into -
669,900
ordinary shares of NIS 1.00 each,
of which 593,000 shares amounting to NIS
593,000.00 were issued.
Subject is fully owned by Arthur Boxer (directly
- 75%, and via fully owned G.R.A.S. LTD. – 25%).
Arthur Boxer.
1. Arthur Boxer,
2. Ms. Gili Raanan.
Designers, manufacturers (via subcontractors
abroad), importers and marketers of gold and silver jewelry (93% of activity),
as well as ornaments (7% of activity).
Also operating a retail chain under the name
'G.R.A.S.' of 75 branches, all owned (no concessionaires), in which all a/m goods
are sold, as well as coins, medals, Judaica, art and gifts manufactured by
subsidiary THE ISRAEL COINS AND MEDALS CORP.
All purchase is import.
Operating from owned premises, on an area of
3,000 sq. meters, in 50 Bar Yehuda Road, Nesher, and from subject's 75 branches
countrywide.
Having 400 employees.
Current stock is valued at NIS 20,000,000.
Other financial data not forthcoming.
There are 9 charges for unlimited amounts
registered on the company’s assets (financial assets and vehicles) in favor of
Bank Leumi Le'Israel Ltd., Bank Hapoalim Ltd., Mizrahi Tefahot Bank Ltd., Bank
of Jerusalem Ltd. and a leasing company (last charge placed December 2012).
2011 sales claimed to be NIS 100,000,000.
2012 sales claimed to be NIS 100,000,000.
Sales for the first 6 months of 2013 claimed
to be NIS 50,000,000.
THE ISRAEL COINS AND MEDALS CORPORATION
LTD., 100%, established 1961, the official markets of Israel's national issued coins
(gold, silver, bronze), having 40 employees, annual sales claimed to be NIS
100,000,000.
Bank Hapoalim Ltd., Hamifratz Business
Branch (No. 169), Haifa – main account.
Nothing unfavorable learned.
Subject is a veteran business, among the
leading in its field.
Subject's presents some 52 designed jewelry
collections per year.
Subject has a member club of some 130,000
active members.
In 2008 subject purchased from the
Government of Israel THE ISRAEL COINS AND MEDALS CORP.
Good for trade engagements.
DIAMOND INDUSTRY – INDIA
-
From time immemorial, India is well known in the world as the birthplace
for diamonds. It is difficult to trace the origin of diamonds but history
says that in the remote past, diamonds were mined only in India. Diamond
production in India can be traced back to almost 8th Century B.C.
India, in fact, remained undisputed leader till 18th Century
when Brazilian fields were discovered in 1725 followed by emergence of S.
Africa, Russia and Australia.
-
The achievement of the Indian diamond industry was possible only due to
combination of the manufacturing skills of the Indian workforce and the
untiring and unflagging efforts of the Indian diamantaires, supported by
progressive Government policies.
-
The area of study of family owned diamond businesses derives its
importance from the huge conglomerate of family run organizations which operate
in the diamond industry since many generations.
-
Some of the basic traits of family run business enterprises include
spirit of entrepreneurship, mutual trust lowers transaction costs, small,
nimble and quick to react, information as a source of advantage and
philanthropy.
-
Family owned diamond businesses need to improve on many fronts including
higher standard of corporate governance, long-term performance – focused
strategies, modern management and technology.
-
Utmost caution is to be exercised while dealing with some medium and
large diamond traders which are usually engaged in fictitious import – export,
inter-company transactions, financially assisted by banks. In the process,
several public sector banks lost several hundred million rupees. They mostly
diverted borrowed money for diamond business into real estate and capital
markets.
-
Excerpts from Times of India dated 30th October 2010 is as
under –
-
Gem & Jewellery Export Promotion Council in its statistical data has
shown the export of polished diamonds to have increase by 28 % in February
2013. Compared to $ 1.4 bn worth of polished diamond export in February, 2012,
India exported $ 1.84 billion worth of polished diamonds in February 2013. A
senior executive of GJEPC said, “Export of cut and polished diamonds started
falling month-wise after the imposition of 2 % of import duty on the polished
diamonds. But February, 2013 has given a new ray of hope to the industry as the
export of polished diamonds has actually increased by 28 %. It means the
industry is on the track of recovery and round tripping of diamonds has stopped
completely.” Demand has started coming from the US, the UK, Japan and China.
India’s polished diamond export is expected to cross $ 21 bn in 2013-14.
-
The banking sector has started exercising restraint while following
prudent risk management norms when lending money to gems and jewellery sector.
This follows the implementation of Basel III accord – a global voluntary
regulatory standard on bank capital adequacy, stress testing and market
liquidity.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.59.64 |
|
UK Pound |
1 |
Rs.90.14 |
|
Euro |
1 |
Rs.77.99 |
INFORMATION DETAILS
|
Report Prepared
by : |
MNL |
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.