(photo credit: Bloomberg)
Fischer names new deputy BoI head • By KOBY YESHAYAHOU
Bank of Israel Governor
Prof. Stanley Fischer announced on Sunday that he will recommend to the cabinet
to appoint Bank of Israel Research Department director Dr. Karnit Flug as deputy
She will replace Zvi Eckstein, who will return to academe in
July after five years in the post.
Under the new Bank of Israel Law, Flug
will serve as a member of the monetary committee and administrative council,
which will be set up in a few months.
Flug has worked at the Bank of
Israel for 23 years, including 10 as head of the Research Department.
joined the Bank of Israel as an economist at the Research Department in 1988,
after working for five years at the IMF.
Fischer has also appointed Bank
of Israel Market Operations Department director. Barry Topf as a senior advisor
to the governor for monetary affairs and member of the monetary committee. Topf
will continue to serve in his present post.
As a senior advisor to the
governor, he will help formulate decisions and responses to the challenges
facing current management of monetary policy.Sbarro woes threaten
• By ILANIT HAYUT
Sbarro Inc. is preparing to file for Chapter
11 bankruptcy protection on Monday in the US, due to $365 million in debt, which
places the Italian fast food chain’s Israeli franchises in doubt.
Israel is already operating under a stay of proceedings following the collapse
of Gold Brands Ltd., owned by Danny Werner, which owned the franchise through
subsidiary Tukdan Ltd. The company has since closed many of its outlets, and now
has around a dozen branches, mostly at mall fast food courts.
filed for the stay of proceedings against Tukdan, on the grounds that it had not
paid Sbarro royalties for several years. Tukdan signed the leases on the Sbarro
outlets at the malls, which will render it difficult for the outlet's
franchisees to stay in business.ILA markets land for new TA hotel
The Israel Land Administration has published a tender for a six-dunam
(1.5-acre) lot zoned a 40,000- square meter hotel and 2,000 square meters of
commercial space in the south Kirya area in Tel Aviv.
Administration’s minimum bid is NIS 24.3 million, not including VAT, plus an
additional NIS 20 million in development costs.
The Land Administration
said that the tender is limited to companies recommended by the Ministry of
Tourism. The deadline to submit bids is August 7.
A few months ago, the
Land Administration published a tender for lots zoned for 90,000 square meters
of office and commercial space in the south Kirya area, on Menachem Begin Road
near the Azrieli Towers.Tycoon Yuli Ofer to build luxury hotel
Inventech Central Hotels Ltd., controlled by Yuli Ofer and
Nimrod Rinat through Premium Holdings Ltd., is launching operations in
The company will buy, through a special project company in which
it owns a 50% stake, land on Herbert Samuel Street on Tel Aviv’s shorefront, on
which it plans to build a luxury hotel and residential high-rise. The price of
the land is NIS 56 million.
The Inventech subsidiary has signed an option
to buy the land. Inventech will provide a NIS 5 million loan for the initial
If the provisional conditions for exercising some of the options
for the lots are met during the 60-day loan period, and the negotiations to buy
the rights to the remaining lots are completed, the loan will be converted into
shares in the land, and the company will provide an additional owner's loan for
the project, amounting to half of its costs.
Premium currently operates
in Central and Eastern Europe in real estate through Central European Estates NV
and in hotels, through Inventech.TA-25 rises for sixth day
TA-25 Index advanced for a sixth day, climbing 0.8% to 1,331.82 at the 4:30 p.m.
close in Tel Aviv.
Investors traded about NIS 1.26 billion in shares and
Brainsway Ltd. gained to the highest level since
February 20, increasing 2% to NIS 9.054. The developer of devices for
neurological disorders said its Deep TMS device got marketing approval in Europe
for treating patients with Parkinsons and for those taking anti-depressants.