Industry prepares for war-related problems

Given Imaging shifts inventory overseas in light of conflict.

July 21, 2006 08:10
1 minute read.


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Given Imaging, which develops a tiny camera in a pill that is used to diagnose digestive ailments, has emerged as one of the first companies to disclose alternative plans should the violence in the North impact business. "We have a back-up production facility in Ireland that can be utilized immediately for full production if necessary," Given said. Given, which has headquarters, manufacturing, and R&D facilities that are based in Yokne'am, said it has shifted inventory of its Pillcam capsule endoscopes to the US and Europe in light of the current situation. Given has direct sales and marketing operations in the US, Germany and France and local offices in Japan, Spain and Australia. Other companies with manufacturing facilities in Israel are continuing their operations and production as long as possible while preparing for alternative channels in case of further escalation. "Audiocodes and Radware currently manufacture in northern Israel and, while they are yet to feel any impact, are at high risk of disruptions," said Haim Israel, research analyst at Merrill Lynch. Israel noted that Audiocodes was using Flextronics' facility in Migdal-Ha'emek, a few miles away from the areas under attack, while Radware partially manufactures in Karmiel. "Our main production facilities are in Jerusalem and if need be we can fully move our Karmiel outsourcing operations to Jerusalem," Meir Moshe, CFO of Radware told The Jerusalem Post. "In case of further continued escalation of over 60 days, we could resort to our facilities in the United States and Europe. But I don't see that happening." Meanwhile, Amdocs Israel has said the Ra'anana-based company remained unaffected by the recent escalations and that it had plans in place to ensure continued services for its customers. Intel, which has an R&D facility in Haifa confirmed to the Post that all efforts were in place to enable the continuation of production and services in Israel. "We are doing everything for work to continue - if it is working from home or elsewhere."

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