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ISRAEL GOVERNMENT COINS & MEDALS

CORPORATION

ISRAEL GOVERNMENT COINS & MEDALS

CORPORATION

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BACKGROUND

The Israel Government Coins & Medals Corporation (IGCMC) was established in 1961 by David Ben Gurion, the first Prime Minister. The Corporation has remained under the full ownership of the State of Israel.

The corporation is active in several spheres of activity: coins, medals, ancient coins, judaica and decorative items, jewelry and art items.

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GOALS OF THE CORPORATION

The Goals of the Corporation stated in the Articles of Association are:

To commemorate historic and national events, achievements of the State of Israel, important personalities and leaders, historic sites, meaningful personal and family milestones; to advance Israeli and Jewish art; the purchase and sale of ancient and modern Israeli coins.

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COMMEMORATIVE COINS AND SPECIAL ISSUES

SPHERES OF ACTIVITY:SPHERES OF ACTIVITY:

Commemorative coins and special coins are

Issued by the Bank of Israel .

The Israel Government Coins and Medals Corporation is the exclusive certified distributor of these coins in Israel and worldwide.

Five coins are generally struck each year, including an Independence Day coin and a set of Hanukka coins.

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COMMEMORATIVE COINS AND SPECIAL ISSUES

-Continued-

SPHERES OF ACTIVITY:SPHERES OF ACTIVITY:

Some of the coins are issued as part of series, for example the “Biblical Art” series, “Israel Independence Day Coins” series, and “Israeli Nobel Prize Winners” series.

Other coins are issued individually, for example, the “Judo” coin and “Saluting Reserve Soldiers”.

The Corporation markets two sets of circulation coins annually:

Uncirculated Coin Set Hanukka Mint Set (Contains special coins with the

word Hanukka and a tiny Menorah Mint Mark.)

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ולמטבעות למדליות

SPHERES OF ACTIVITY:SPHERES OF ACTIVITY:

ANCIENT COINS

The IGCMC markets authentic ancient coins and other antiquities, such as oil lamps and jewelry set with ancient

Roman Glass .

All items are chosen with the assistance of experts. They are sold under license from the Antiquities Authority and are accompanied by certification of authenticity and historical

explanations .

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ולמטבעות למדליות MEDALS

SPHERES OF ACTIVITY:SPHERES OF ACTIVITY:

The Corporation strikes and markets medals in Gold, Silver ,Bronze, Copper-nickel, and occasionally Platinum. The design ,production, determination of metal content, quantities, and prices are the responsibility of the IGCMC .

There are three categories of medals:

Official or State Medals

Official Award Medals

Official Award Medals ordered by a specific institution

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The IGCMC markets gift and decorative items designed by Israeli artists. These products are produced for the IGCMC in limited, numbered editions with the artist’s signature. Many items incorporate in the design medals sold by the Corporation. Most items are sold on consignment. 

The Corporation also markets Judaica items such as: Hanukka lamps, Mezuzah cases, Bibles, Passover Haggadot, Kiddush cups, etc.

JUDAICA AND GIFT ITEMS

SPHERES OF ACTIVITY:SPHERES OF ACTIVITY:

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The Corporation markets a variety of jewelry items and watches, frequently embellished with a medal. “Adillion”, a registered trademark of the IGCMC, is a coin or medal mounted in a gold or silver frame. Jewelry items are supplied with a Certificate of Authenticity certifying the design, metal content, and quality of the stones.

JEWELRY AND WATCHES

SPHERES OF ACTIVITY:SPHERES OF ACTIVITY:

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The IGCMC offers its subscribers art items including lithographs, serigraphs, sculptures, wall rugs, and other art objects.  The art items, chosen with the assistance of the Corporation’s art consultant, include works by artists of world renown such as Chagall, Rubin, Castel, Gutman, and Modigliani, as well as works by promising Israeli artists.

Art Lovers club

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The IGCMC has a subscriber base of about 40,000 people in Israel and abroad. Six times annually subscribers receive a brochure describing new products offered by the Corporation. Orders are received at the Corporation’s office in Jerusalem where the products are packed and shipped by mail, within Israel and abroad. Orders can also be placed via the online shop on the IGCMC website.

MARKETING

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The IGCMC has six shops in Israel: Operated directly – in Tel Aviv, Haifa and Ben Gurion Airport 

Operated via concession – in Jerusalem, Raanana abd Beersheva 

MARKETING -Continued-

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Issuing Commemorative Coins of the State of Israel is the exclusive responsibility of the Bank of Israel.

In certain cases, the IGCMC is authorized by the Bank of Israel to produce the coins that the Corporation markets.

In 2004 the IGCMC set up a mint near Jerusalem.

Recent Commemorative Coins issued by the Bank of Israel were struck by the Corporation at quality levels comparable to those abroad. final authorization by the Bank of Israel before they are released.

PRODUCTION OF COINS

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The Corporation strikes most gold, silver, and bronze medals up to 50mm (5cm) diameter in the IGCMC mint. The remaining medals are produced in Israel and abroad (mostly in Europe and the U.S.)

PRODUCTION OF MEDALS

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PERSONNELThe Corporation employs 40 people.

15 employees are covered by a collective agreement, and 25 work according to private

contracts.

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BOARD OF DIRECTORSBOARD OF DIRECTORS

ACCOUNTANTLEGAL COUNSELCOMPTROLLER

ACCOUNTANTLEGAL COUNSELCOMPTROLLER

PRODUCTION AND PROPERTY DEPARTMENT

PRODUCTION AND PROPERTY DEPARTMENT

FINANCE DEPARTMENT

Computer System

FINANCE DEPARTMENT

Computer System

HAIFA SHOPHAIFA SHOP

DUTY-FREE SHOP TERMINAL 3,

BEN-GURION AIRPORT

DUTY-FREE SHOP TERMINAL 3,

BEN-GURION AIRPORT

TEL AVIV SHOP

TEL AVIV SHOP

JERUSALEM SHOP

)concession(

JERUSALEM SHOP

)concession(

RAANANA SHOP

)concession(

RAANANA SHOP

)concession(

LOGISTICS AND VAULTLOGISTICS AND VAULTIGCMC MintIGCMC Mint

MARKETING AND ADVERTISING DEPARTMENT

MARKETING AND ADVERTISING DEPARTMENT

CUSTOMER SERVICE DEPARTMENT

Mailing in Israel and Abroad

CUSTOMER SERVICE DEPARTMENT

Mailing in Israel and Abroad

MANAGING DIRECTORMANAGING DIRECTOR

BEERSHEVA SHOP

(concession)

BEERSHEVA SHOP

(concession)

ORGANIZATION STRUCTURE

ORGANIZATION STRUCTURE

DEPUTY MANAGING DIRECTORDEPUTY MANAGING DIRECTOR

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20052006

30,61238,387

25,81126,395214225

4,58711,767

A. Balance SheetTotal

Shareholders’ Equity and LiabilitiesShareholders’ EquityLong Term Liabilities Current Liabilities

Data from the Financial ReportIn thousands of shekels

FINANCIAL INFORMATION

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FINANCIAL INFORMATION

ASSETS 20052006

Fixed Assets 1,2441,101

Investments 2,0342,958

Current Assets 27,33434,328

Data from the Financial ReportIn thousands of shekels

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Data from the Financial ReportIn thousands of shekels

B. Statement of Income

Annual Revenue 18,32117,571

Profit (loss) from operations 22(125)

Profit (loss) before taxes 779584

2005 2006

FINANCIAL INFORMATION

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C. Statement of Cash Flow

Cash Flows from (to) Operating Activities1,247(1,615)

Net Cash Flow from (to) Investing Activities(17)8,699Increase (Decrease) in Cash and Cash Equivalent1,2307,084

2005 2006

Data from the Financial ReportIn thousands of shekels

FINANCIAL INFORMATION