MIRA INFORM REPORT

 

 

Report No. :

304656

Report Date :

29.01.2015

 

IDENTIFICATION DETAILS

 

Correct Name :

MIRO FOODS INTERNATIONAL LTD.

 

 

Formerly Known as : 

MIRO FOOD TRADE LTD

 

 

Registered Office :

P.O. Box 12751, 22 Maskit Street, Herzliya Pituach, Herzliya 4673322      

 

 

Country :

Israel

 

 

Date of Incorporation :

07.08.1987

 

 

Com. Reg. No.:

51-121884-4

 

 

Legal Form :

Private Limited Company

 

 

Line of Business :

Importers, exporters and international traders of foodstuff, both Raw Materials for the Food Industry (i.e. concentrators and By Products for the Soft Drinks industry) and Consumer Products, e.g. Rice & Ready-Made Food

 

 

No of Employees :

10 employees serving subject and sister company (same as in previous years).

 

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 – September 30, 2014

 

Country Name

Previous Rating

(30.06.2014)

Current Rating

(30.09.2014)

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 & address

 

MIRO FOODS INTERNATIONAL LTD. (Correct name)

Telephone             972 9 956 21 88

Fax                       972 9 956 21 69

P.O. Box 12751

22 Maskit Street

Herzliya Pituach

HERZLIYA             4673322              ISRAEL

 

 

HISTORY & LEGAL FORMATION

 

A private limited company, incorporated as per file No. 51-121884-4 on the 07.08.1987.

 

Originally registered under the name LA CUCARACHA LTD., which changed to MIRO FOOD TRADE LTD. on 20.06.1989, which changed to present name on 14.09.1989.

 

 

SHARE CAPITAL

 

Authorized share capital NIS 2,640.00, divided into -

                2,640 ordinary shares of NIS 1.00 each,

of which 2 shares amounting to NIS 2.00 were issued.

 

 

SHAREHOLDERS

 

Subject is fully owned by Michael Lustig.

Mr. Lustig reached full control in year 2000 after acquiring 50% of the shares from Mr. Ron Dankner, subject’s former shareholder.

 

 

SOLE DIRECTOR & GENERAL MANAGER

 

Michael Lustig.

 

 

BUSINESS

 

Importers, exporters and international traders of foodstuff, both raw materials for the food industry (i.e. concentrators and by products for the soft drinks industry) and consumer products, e.g. rice & ready-made food.

 

Subject also exports, though to a relatively low extent.

 

Among local clients: SHUFERSAL, MEGA RETAIL (both latter are largest supermarket chains), JAFORA TABORI, GANIR, GAT GIVAT SHMUEL, YAD MORDECHAY APIARY, AM:PM, etc.

 

Among local suppliers: ZANLAKOL, GANIR, GAT GIVAT SHMUEL, SUNFROST, etc.

 

Sole representative of (main agencies):

RIVERSIDE, SUMMERPRIDE, LANGBERG, all of South Africa, and more.

 

Operating from owned premises, on an area of 250 sq. meters, in 22 Maskit Street, Herzliya Pituach Industrial & Hi-Tech Zone, Herzliya. Offices are shared with sister company D.L. MIRO TRADE LTD.

 

Having 10 employees serving subject and sister company (same as in previous years).

 

 

MEANS

 

Owned property in Herzliya (where subject is operating from) was valued at US$ 600,000 several years ago.

 

Holding no stock, work is based on orders.

 

Other financial data not forthcoming.

 

There are 6 charges for unlimited amounts, as well as 2 charges amounting to US$ 531,480 and NIS 50,000.00, registered on the company's assets (financial assets, fixed assets and vehicles), in favor of Bank Leumi Le'Israel and Bank Otsar Hahayal Ltd. (last 2 charges placed in June-December 2014 on vehicles).

 

 

sales

 

Consolidated sales for subject and sister company D.L. MIRO TRADE LTD.

2009 sales claimed to be between US$20 - US$30 million.

2010 sales claimed to be US$ 20 million.

2011, 2012 & 2013 sales not forthcoming.

2014 consolidated sales claimed to be NIS 50,000,000

 

 

OTHER COMPANIES

 

D.L. MIRO TRADE INTERNATIONAL LTD., sister company (100% owned by subject's shareholder), dealing in similar activities as subject, varies in products and customers.

 

BANKERS

 

Bank Leumi Le'Israel Ltd., Herzliya Business Branch (No. 744), Herzliya.

 

 

CHARACTER AND REPUTATION

 

Nothing unfavorable learned.

 

This is a veteran business.

 

According to survey from 2013, the local food market, manufacturing, import and trade, rolls NIS 80 billion per annum. There are some 1,700 food plants in Israel (some also import) and hundreds of importers in the food, beverage and consumer products, supplying raw materials and finished goods to the food market.

 

According to StoreNext Market Research survey, in 2014 sales in the FMCG bar-coded market noted 1.7% decrease in terms of price (despite the decrease in the prices index), representing a reverse in the rise trend in the last 3 years. The decrease in the quantity aspect was milder – by 0.6%.

 

Food products sale witnessed 1.5% drop in money terms and totaled NIS 29.09 billion, coping with slight quantity decrease of 0.4%.

 

The volume of FMCG bar-coded market totaled NIS 38.94 billion in 2014, and was divided into: 75% for food, 11% for beverages (-2.7% in money summing up at NIS 4.24 billion, -2.8% in quantity), and 7% for personal care goods (-3.8% in money summing up at NIS 2.72 billion, -1.7% in quantity), and 7% for home care goods (-1% summing up at NIS 2.88 billion, though rose 1.4% in quantity).

 

Sales for exports by the food products & beverages industries grew by 2.2% in 2013 from 2012, with sales reaching US$ 1,080 million (in $ terms, though fell 4.2% in NIS terms), after remaining stagnant in 2012 and 17% rise in export in 2011. A slight 1.5% rise in export was noted in the first 7 months of 2014, compared to the parallel period in 2013.

 

According to Central Bureau of Statistics (CBS), import of food and beverages to Israel in 2014 reached NIS 7,687 million, an impressive rise by 10.7% from 2013, continuing the upward growth trend in the last years (0.7% in 2013, 14% in 2012).

 

The Central Bureau of Statistics data shows that import of raw food products to Israel in 2013 summed up to NIS 8,172.2 million, 4.4 down from 2013 (in NIS terms, fell 3.2% in $ terms). That continues the downwards trend from 2013 and 2012 when it fell by 6.4% and 2.7%, respectively, whereas in both 2011 & 2010 import rose by around 20% each year. Over 50% of import is from the EU.

 

From the CBS preliminary National Accounts for 2014 on private consumption expenditure, it turns that the current local households expenditure grew by 3.9% from 2013, after rising by 3.3% in 2013 and by 3.2% in 2012. Expenditure on Food, Beverage & Tobacco increased in 2014 by 2.7% (after 3.7% rise in 2013, 3.2% in 2012).

 

SUMMARY

 

Good for trade engagements.


FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.61.41

UK Pound

1

Rs.93.18

Euro

1

Rs.69.82

 

INFORMATION DETAILS

 

Analysis Done by :

DIV

 

 

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%)

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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.