MIRA INFORM REPORT

 

 

Report Date :

06.09.2014

 

IDENTIFICATION DETAILS

 

Name :

SADOVSKY LTD.

 

 

Registered Office :

5 Hutzot Hayotzer Street Southern Industrial Zone Ashkelon 7878528       

 

 

Country :

Israel

 

 

Date of Incorporation :

24.04.1994

 

 

Legal Form :

Private Limited Company

 

 

Line of Business :

Manufacturers, exporters and marketers of home cleaning materials, including scourers (Scotch Bright), kitchen and bath sponges, kitchen towels and cloths, mops, and other household goods

 

 

No. of Employees

45

 

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 – June 1, 2014

 

Country Name

Previous Rating

(31.03.2014)

Current Rating

(01.06.2014)

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. Cut diamonds, high-technology equipment, and pharmaceuticals are among the leading exports. Its major imports include crude oil, grains, raw materials, and military equipment. Israel usually posts sizable trade deficits, which are covered by tourism and other service exports, as well as significant foreign investment inflows. Between 2004 and 2011, growth averaged nearly 5% per year, led by exports. 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. 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. The economy has recovered better than most advanced, comparably sized economies, but slowing demand domestically and internationally, and a strong shekel, have reduced forecasts for the next decade to the 3% level. Natural gas fields discovered off Israel's coast since 2009 have brightened Israel's energy security outlook. The Tamar and Leviathan fields were some of the world's largest offshore natural gas finds this past decade. The massive Leviathan field is not due to come online until 2018, but production from Tamar provided a one percentage point boost to Israel's GDP in 2013 and is expected to contribute 0.5% growth in 2014. In mid-2011, public protests arose around income inequality and rising housing and commodity prices. Israel's income inequality and poverty rates are among the highest of OECD countries and there is a broad perception among the public that a small number of "tycoons" have a cartel-like grip over the major parts of the economy. 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. In May 2013 the Israeli government, in a politically difficult process, passed an austerity budget to reign in the deficit and restore confidence in the government's fiscal position. Over the long term, Israel faces structural issues, including low labor participation rates for its fastest growing social segments - the ultra-orthodox and Arab-Israeli communities. Also, Israel's progressive, globally competitive, knowledge-based technology sector employs only 9% of the workforce, with the rest employed in manufacturing and services - sectors which face downward wage pressures from global competition

 

Source : CIA

 

 

 


Company name and address

 

SADOVSKY LTD.

 

Telephone         972 8 856 10 21

Fax                   972 3 852 10 14

Email:               sadovsky@bezeqint.net

 

5 Hutzot Hayotzer Street

Southern Industrial Zone

ASHKELON      7878528            ISRAEL

 

 

HISTORY & LEGAL FORMATION

 

Originally established in 1967 as a non-registered business operating under a non-registered style “VELTEX”.

 

Converted into a private limited company and registered as such as per file
No. 51-196585-7 on the 24.04.1994.

 

 

SHARE CAPITAL

 

Authorized share capital NIS 1,023,800.00, divided into -

10 management shares (1 share issued),

1,023,790 ordinary shares (469,660 shares issued), all of NIS 1.00 each,

of which shares amounting to NIS 469,661.00 were issued.

 

 

SHAREHOLDERS

 

Shmuel Sadovsky, 50% (and holding the 1 single management share issued,

Mrs. Dorit Sadovsky, wife of Shmuel, 50%.

 

 

DIRECTORS

 

Shmuel Sadovsky, General Manager,

Mrs. Dorit Sadovsky.


 

BUSINESS

 

Manufacturers, exporters and marketers of home cleaning materials, including scourers (Scotch Bright), kitchen and bath sponges, kitchen towels and cloths, mops, and other household goods.

 

40% of sales are for export.

 

Among local clients: HANAMAL PACKAGING & MARKETING, SANO, etc.

Among foreign clientele: 3M, LIBMAN, COOP, SAFEWAY, WENKO, THE HOME DEPOT, HERZBI, DELHAIZE.

 

Among local suppliers: FLEXO PRINT, etc.

 

Operating from rented premises (offices, plant and warehouse), on an area of 1,300 sq. meters, in 5 Hutzot Hayotzer Street, Southern Industrial Zone, Ashkelon, and from another sponge factory, on rented area of 1,700 sq. meters, in Kibbutz Carmia.

 

Having 45 employees.

 

 

MEANS

 

Financial data not forthcoming.

 

Subject is an “Approved Enterprise” and as such entitled for State support, grants and tax relief.

 

In November 2008 the Israeli Investment Centre (IIC) approved a NIS 975,000 investment plan for the expansion of subject’s plant.

 

There are 18 charges for unlimited amounts, as well as 2 charges for the total sum of NIS 165,000 registered on the company's assets (financial assets, fixed assets, equipment and vehicles), in favor of The State of Israel, Bank Hapoalim Ltd., Bank Leumi Le’Israel Ltd., The First International Bank of Israel Ltd. and Mercantile Discount Bank Ltd. (last charge placed March 2014).

 

 

REVENUES

 

2013 sales claimed to be NIS 20,000,000, 40% for export.

We are informed that 2014 sales are at a similar pace as of 2013

 


 

OTHER COMPANIES

 

M. MOSSES INDUSTRIES (1999) LTD., owned by Shmuel and Dorit Sadovsky, manufacturers of fabrics and cloths, mainly for subject, operating knitting and weaving factory in Bat Yam.

 

 

BANKERS

 

Bank Hapoalim Ltd., Ramat Hanassi Branch (No. 516), Bat Yam, account

No. 577778.

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

 

The First International Bank of Israel Ltd., Rishon Le-Zion West Branch
(No. 119), Rishon Le-Zion.

 

 

CHARACTER AND REPUTATION

 

Nothing unfavorable learned.

 

Subject’s General Manager refused to disclose financial data besides sales figures.

 

This is a veteran business.

 

The local cleaning and detergents market is estimated at NIS 350 million. The market is mainly combined from toilet cleaning products (over 30%), floor cleaning products (over 20%) and bleaching products (around 20%). Most of the market (80-85%) is controlled by local manufacturers (large part by international brands such as subject) and the rest from import. Some 65% of sales are to the large marketing chains.

 

 

SUMMARY

 

Good for trade engagements.

 


 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.60.44

UK Pound

1

Rs.98.64

Euro

1

Rs.78.20

 

INFORMATION DETAILS

 

Analysis Done by :

DIV

 

 

Report Prepared by :

NIS

 

               

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.