American-Israel Chamber of Commerce

Southeast Region

September 15, 2009




AICC
AICC

American-Israel Chamber of Commerce, Southeast Region
400 Northridge Road, Suite 250, Atlanta, GA 30350
Tel: (404)843-9426 Fax: (404)843-1416 e-mail: aiccse@aiccse.org website: www.aiccse.org

  September 15, 2009
 From The Leadership
Tom Glaser, President

Charlie Harrison,
Chairman of the Board

 


The past 12 months have been challenging for all of us in the US and Israel.  Political changes and economic downturns created new conditions on the ground and caused “best laid plans” to be altered.  We at AICC have had our share of challenges this past year, and are proud of the strength of our organization to weather the storms and emerge even stronger.

The level of interest in and demand for our services — from both Southeast and Israeli companies — is higher than ever.  We have produced innovative and well-attended programs, events, and business missions.  But the reliable revenue models of the past are being challenged, and some paradigms are shifting.  This is why our Board has agreed to a strategic planning process this fall that will produce a new blueprint for 2010 and beyond.  And to address the air service issue discussed in last month’s newsletter, we have formed a task force to ensure a return after the off-peak season and beyond to daily non-stop service from Atlanta-Tel Aviv that has been so beneficial to our members and the cause of Southeast-Israel trade & investment.

At this season of Rosh Hashana, we express gratitude to our members and partners for their continued support.  And to all, we say Shana Tova and best wishes for health, happiness, and prosperity in 5770.

 Upcoming Calendar Events (click on event for details)

9/16/2009 8:00 AM New Member Orientation
9/16/2009 12:00 PM Investment Task Force Meeting
9/23/2009 7:45 AM Professional Committee Meeting
9/25/2009 8:00 AM Ambassador Committee Meeting
9/28/2009 8:30 AM Yom Kippur – Office Closed
10/6/2009 8:00 AM Medical Committee Meeting
10/20/2009 8:15 AM Security Committee Meeting
10/23/2009 8:00 AM Telecommunications Committee Meeting

 Sponsor Message

AICC offers an exclusive sponsorship for each e-Newsletter. For information on sponsoring future e-Newsletters, contact Shelley Samach, aiccse@aiccse.org.

 The Latest News
Developments & Transactions



Israel’s Minister of Industry, Trade & Labor Visits Atlanta

Ben-Eliezer Expresses his Support for AICC


 

 Minister and Delegation with Governor Perdue

Benjamin Ben-Eliezer, Israel’s Minister of Industry, Trade & Labor, visited Atlanta on September 9th.  His visit was coordinated by the American-Israel Chamber of Commerce, SE Region in cooperation with the Israel Economic Mission and Consulate General of Israel with support of the Metro Atlanta Chamber.

“We acknowledge and appreciate AICC’s many contributions to building business between the US and Israel over the last 18 years.  Your organization is a model to be emulated around the world,” said the Minister.

AICC arranged meetings for the Minister with top executives of major corporations in the area including GE, Mueller Water Products, The Coca-Cola Company, and AT&T.  He also met with Georgia Governor Sonny Perdue and Ken Stewart, Commissioner of the Georgia Department of Economic Development.

A highlight of the one-day visit was the Minister’s participation in a meeting of AICC’s Board of Directors and a special reception, attended by almost 150 chamber members that followed, hosted by The Coca-Cola Company.  Board members had the opportunity to have direct dialogue with the minister about economic development.  At the reception, Bilal Kaafarani, Coca-Cola’s Senior VP of Research & Innovation, shared exciting progress about their “incubator” project in Israel that is sourcing Israeli innovation in a number of sectors of importance to their company.

“It was an honor for us to host Minister Ben-Eliezer and his delegation and a unique opportunity for them to see our organization in action, better understand the strength of our region, and consider ways we can develop even more sophisticated cooperation with Israel,” said AICC Board Chairman Charlie Harrison.




Bank of America Merrill Lynch Chooses Fundtech
Charlotte, North Carolina-based Bank of America Merrill Lynch has selected the new Global PAYplus-SP solution of Israeli company Fundtech as the foundation for its next-generation on-line treasury management banking platform.  The Ramat Gan-based market leader in global transaction banking solutions maintains its regional office in Norcross, Georgia. 

The bank expects the new system to provide its clients with new levels of convenience and control in cash management.  Bank of America Merrill Lynch is using the new Global PAYplus-SP solution to develop a hub that will enable a new online payment experience, providing faster payment processing at a lower cost, enhanced flexibility and improved response times to new opportunities, as well as allowing other advanced functions.

“The introduction of Global PAYplus-SP offers banks the most comprehensive approach to implementing SOA across their transaction banking enterprise.  It is a single platform that allows financial institutions to consolidate processing for all payment types; reduce costs by eliminating the waste and duplication of multiple payment silos; and offers consistent service regardless of the payment type anywhere on the globe.  We are delighted to support Bank of America Merrill Lynch’s goal of developing the industry’s most advanced payments platform,” said Fundtech president and COO Michael Sgroe.




AICC to Host Southeast-Israel Water Technology Business Exchange

Israeli Companies Coming to Atlanta for October 15th Event

With Israel’s reputation as the global leader in water technologies and the Southeast’s growing concerns about effective water supply and management, it seems natural to bring together these parties to explore solutions and business relationships.  The Chamber’s Cleantech Committee will do just that on October 15th when it welcomes almost a dozen Israeli companies for the Southeast-Israel Water Technology Business Exchange.  The event will feature presentations by the Israeli companies and one-on-one meetings with municipal operators, industries, integrators, engineering firms, and technology companies from throughout the region.

One of Israel’s largest areas of expertise is in the field of water – particularly drip irrigation, water reuse, recycling, reclamation technology, water security and monitoring.  Today there are about 250 companies working in the water sector in Israel, of which 50 are designated as start ups.  In 2008, Israeli water tech exports totaled $1.4 billion, an amount that has doubled since 2005.  Israel’s total water consumption has remained the same since the 1960′s despite a growing population, rising water requirements, and increasing agricultural production.

“There couldn’t be a more opportune time to organize this event.  We’re excited about the opportunity to expose governments and companies in the Southeast about these outstanding Israeli technologies and see how they can work together to achieve the kinds of results already being achieved in Israel,” said Gene Rubel (Center for Water Technologies), chairman of AICC’s Cleantech Committee.

The Business Exchange will be held at Arnall Golden Gregory, the Host Sponsor, in Atlantic Station.  There is no cost to participate, but registration for Southeast companies is required.  Additional sponsors include The Coca-Cola Company and Mueller Water Products.  Organizational Co-sponsors include Israel NEWTech, Government of Israel Economic Mission to the Southern US, Center for Water Technologies, Green Chamber of the South, and Consulate General of Israel to the Southeast.

Additional sponsorships are available.  For information, contact Tom Glaser (tom@aiccse.org). 




Business Mission to Israel – November 14-19, 2009

Even in these uncertain times, the Israeli economy is coming back strong, the technologies are extraordinary, and their companies are looking for business relationships with the United States.  This Mission is designed for participants to explore these opportunities for themselves, their companies and professional firms.

Don’t miss this unique venue to promote mutually beneficial economic development and build business relationships!
  • WATEC conference with international delegations in water and environmental technologies.
  • Focus on the Chamber’s priority areas including Real Estate, Medical, Cleantech, Security, Software, and Telecommunications.
  • One-on-one meetings with companies to pursue business and professional interests.
  • Visits to the Galilee and Negev.
  • Sessions with government and business leaders in Jerusalem.
  • Meeting with Israel’s Venture Capital community.

Non-stop flights from Atlanta to Tel Aviv, participants to make own flight arrangements.
Transfers to and from Ben-Gurion Airport
Most transportation, meals, and conference registrations included
6 nights at top hotel in Tel Aviv

For details, contact Tom Glaser at tom@aiccse.org or (404) 843-9426.




Mansour Named Dean of Consular Corps
Ambassador Reda Mansour, Consul General of Israel to the Southeast, has assumed the deanship of the Consular Corps in Atlanta.  This group consists of 23 career consuls general as well as 38 honorary consuls.  The Corps is also expecting five new consuls general to join shortly.

Mansour was appointed to his current post in August 2006.  Previously, he served as the Ambassador of Israel to Ecuador, Deputy Ambassador at the Israeli Embassy in Portugal, and Deputy Consul General of Israel to the Pacific Northwest based in San Francisco.  He holds a masters degree from Harvard University’s Kennedy School of Government and is a Ph.D. candidate in Haifa University’s Middle Eastern History department, with his research focusing on Syria.  He speaks five languages.  In addition to his position as a diplomat, Ambassador Mansour is an accomplished author, having published three books of poetry as well as a number of short stories and poems.  Of the Druse minority, Ambassador Mansour is a long time activist in the promotion of dialogue between Arabs and Jews in Israel.

“We’re very proud of Reda’s ascension to the leadership of the diplomatic community in the Southeast.  He brings great credit to Israel and our Chamber on whose board he actively serves,” said AICC President Tom Glaser.




Professional Seminar Explores US-Israel Business Trends
   

 Paul McHale

Spirocor Panelists

Over 90 members and guests learned of the effects on US-Israel business of recent economic and political changes at the August 27th Professional Seminar at the Selig Center in Atlanta.  Organized by AICC’s Professional Committee, the seminar was geared for legal, accounting, financial, and real estate professionals to better serve their client companies pursuing business interests in the Southeast and Israel.

The Seminar featured a presentation by Israel-based medical device company Spirocor, the case study of 2009 Eagle Star “Deal of the Year” winner EMS Technologies / Starling Advanced Communications, an Israeli Executive Roundtable, Israel Tax and Economic Perspectives by Israeli CPA Dan Margalit, and special presentation by noted technology investor Anil Khatod on the value of Investing in Israeli Companies Now.

A highlight was the luncheon keynote address by former US congressman and assistant secretary of defense Paul McHale who shared his insights into the strategic defense alliance between the United States and Israel and the exciting opportunities for commercial development of Israeli technologies through partnerships with American companies in areas such as Homeland Security, Energy, and Healthcare.

“We’re pleased with the strong turn out and very positive evaluations for this annual event our committee has produced for the past 12 years.  We thank all of the presenters and our corporate and organizational sponsors who helped make the seminar such a great success,” said Professional Committee Chairman Ben Fink (Berman Fink Van Horn).

Israeli Companies Contacting Us


Remote Service – Kadima-based provider of advanced software over mobile devices that empowers service providers and device manufacturers to remotely support, guide, and sell to device end-users through a complete interactive device replica.  Reduces operating costs, provides effective and superior service, and enables the understanding of customers to maximize revenues.  Seeking introduction to Tier 1 service providers, and looking for partnerships with professional services support resellers such as VARs and OEMs.

Tire Recycling – Tel Aviv-based company is seeking to establish a tire recycling plant in the US to produce ultra-fine reclaimed rubber powders, reclaimed steel, and textile fluff.  This plant will supply manufacturers with a steady source of product at cost savings of approximately 50% of the cost of new rubber, expects to process 25,000 tons of tires annually, and have the capacity to produce revenues of over $15 million a year.  Seeking investment.

Mobile Search – Netanya-based application and service provider delivers multimedia content to mobile phone users, leveraging the cameraphone as the search input device to offer visual search services.  User can take a photo, forward a visual query to the Internet, and retrieve the relevant answer by leveraging the company’s advanced proprietary computer vision analysis technologies.  Seeking introduction to publishers, advertisers, gaming, marketeers, and mobile operators.

Power Flow – Kidron-based developer of a platform that provides unprecedented circuit level power flow visibility at low cost using simple and non-intrusive means to dramatically increase organizational awareness to power use and enable the customer to efficiently manage, predict and save power in real time.  The multi-disciplinary system is comprised of innovative hardware and software.  Seeking introduction to electric utilities, demand control aggregators, IT and electricity system integrators.

Economic News From Israel

Can the Bank of Israel Control the Shekel/$ Exchange Rate?

Shekel/$ exchange rate, July 2008 to September 2009
(shekels)

 

Source: Bank of Israel

Over the past 12 months, while concern over the effect of the global crisis on the Israeli economy has changed to the question as to whether the Israeli recession is over and if so, what type of recovery will there be, the shekel/US$ exchange rate has been behaving very erratically.

From its high point in early July 2008 (3.23 shekels to the dollar on 9 July 2008), the shekel weakened against the dollar by more than 31% through early March 2009 (4.245 shekels to the dollar on 9 March 2009), but then strengthened again by almost 12% through early August (3.743 shekels to the dollar on 3 August 2009).  Since then through mid-September 2009, the rate has kept fairly constant at around a mid-point of 3.8 shekels to the dollar.

The Bank of Israel is especially concerned when the shekel strengthens because this makes Israeli exports more expensive in world markets.  This concern increased considerably with the worsening of the global crisis in September 2008, because the crisis was expected to reduce the demand for exports in general and for Israeli exports in particular (which in fact it did).  If Israeli exports were becoming more expensive because of a stronger shekel, this would only make matters worse for Israeli exporters.

So during the 2nd half of 2008, the Bank of Israel decided to intervene in the foreign exchange market: the central bank began purchasing dollars on a daily basis, thereby hoping to weaken the shekel.  Was this intervention a factor behind the significant weakening of the shekel through March 2009?  The answer is almost certainly no: during this period, the dollar was strengthening against other major currencies in international foreign exchange markets, and also strengthened against the shekel as part of this trend.

Most analysts will tell you that in general, changes in the shekel/dollar exchange rate are mostly a function of movements of the dollar against other major currencies and are not determined by domestic foreign exchange policy.  But it is not clear that the Governor of the Bank of Israel sees the situation like this.

In recent months, the shekel has again strengthened quite significantly against the dollar (as the graph shows) and most recently, the central bank Governor has again decided to intervene in the market by purchasing dollars in order to bring this trend to an end.

Analysts cannot understand this re-entry of the central bank into the market.  Firstly, the foreign exchange market is generally a free market, without intervention.  Secondly, the market tends to right itself automatically as a result of market forces: if the shekel is strengthening, demand for Israeli exports will decline (causing a decline in the supply of foreign currency), while the demand for imports will increase (causing an increase in the demand for foreign currency) with the outcome – a market-dictated weakening of the shekel.  So why is intervention necessary?  Thirdly, the analysts argue, the Governor cannot possibly believe that his limited purchases of dollars are a determinant of the shekel exchange rate when international markets are also involved in buying and selling dollars.

Many analysts conclude that the shekel/US$ exchange rate is going to remain below 4 in the long term.  It is quite likely that both the Governor and Israeli exporters are going to have to get used to this possibility.

Provided as an information service by I-Biz – Israel Business Information Services Ltd.  For more information on I-Biz Information Services, visit www.i-biz.co.il or contact info@i-biz.co.il.

I-Biz is offering its widely-subscribed-to monthly electronic macro-report — The Israeli Economy: Current Highlights - to AICC members at a special price of $240 (33% off the regular price) for an annual subscription (12 monthly reports).  Contact Yaacov Fisher at fisherya@i-biz-co.il to receive the most recent issue of the report (for August 2009) as a sample.

  • Yokneam-based Given Imaging has obtained the CE mark for the sale of its Pillcam COLON 2 in Europe, and announced positive clinical trial results validating new features of this second-generation video capsule system.  The company maintains its North American headquarters in Atlanta.
  • A delegation of six US and Canadian airport executives arrived in Israel this week as guests of the Israel Export & International Cooperation Institute and Ministry of Foreign Affairs in order to examine Israeli airport security.  They will be meeting with several Israeli companies including Verint Systems and BriefCam.  The delegation included executives from airports in Canada, Ohio, and Alabama as well as the undersecretary of Homeland Security for Science & Technology.
  • Ness Ziona-based BiondVax Pharmaceuticals has announced indications of possible success in a trial of the effectiveness of its universal influenza vaccine on H1-N1/A swine flu.   Antibodies specific to swine flu were found in blood samples from lab rats injected with the universal flu vaccine. 
  • British daily The Guardian has announced five Israeli companies in its Top 100 Cleantech list — solar energy systems manufacturers Solel Solar Systems and Bright Source Energy, electric car venture Better Place, sewage treatment solutions developer Aqwise, and wind turbine gearbox manufacturer IQwind
  • Israel’s exports of goods (excluding diamonds) rose by an annualized 25.6% in June-August after falling by an annualized 0.4% in March-May, according to the Central Bureau of Statistics.  Israel’s trade deficit narrowed to a monthly average of $500 million in January-August from $1.1 billion in the corresponding months of 2008.
  • Despite the global economic crisis, Israeli-Palestinian trade has been steadily growing and reached NIS 20 billion in 2008 that included NIS 14.6 billion in domestic trade and NIS 4.6 billion in Palestinian imports and exports through Israeli ports, according to the Israel Tax Authority.  
  • Israel’s unemployment rate is close to 8% of the civilian labor force during the second quarter of 2009 from 7.6% in the preceding quarter according to the Central Bureau of Statistics.  The Bank of Israel predicts that the unemployment rate will rise to 9% by the end of the year, while the Ministry of Finance predicts 8.5% unemployment.
  • The Israel Airports Authority reported that 1.42 million passengers passed through Ben Gurion International Airport in August 2009, up 6% from August 2008.  This was an all-time record for one month.

 Events

      

Bring together water technology companies from Israel with Southeast organizations
to provide:

  • Exposure to unique, cutting-edge technologies from Israel in a very concise and productive setting.
  • Pre-arranged one-on-one meetings in order to foster joint venture R&D, investment, marketing alliances, and other forms of cooperation.
  • A forum for greater understanding of water challenges and innovative approaches from Israel.

Hosted by:


171 17th Street NW, Suite 2100
Atlanta, Georgia 30363-1031

www.usisraelexchange.net

There is no charge to participate but registration is required.

 Presenting Israeli Companies

      

         

    

         

 

        

 Sponsors to Date

 Membership
AICC Welcomes New Members!

AICC Thanks Members for Renewing!

Yaacov Fisher – I-Biz – Israel Business Information Services Ltd.

 Other
AICC copyright 2006

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    Rehovot-based developer of diagnostic tools for ADHD condition in order to help professionals improve their patient’s everyday functioning, well-being, and academic performance and achievement. Enables clinicians to better diagnose and evaluate the on-going treatment in order to monitor its efficiency. Offers real-time assessment of the patient’s condition narrowed down to cognitive core elements as Hyperactivity, Impulsiveness, and Attention Deficit with diagnostic accuracy of 95% compared to less than 70% with the current market leaders. Research validation was conducted at Hadassah Hospital, and the validity was recognized by Leumit & Maccabi HMOs. Seeking assistance in entering the US market and introductions to clinics.


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  • Water Storage

    Savyon-Ganey Yehuda-based developer of unique proprietary solutions for water storage, preservation and mobility with products aimed to the emergency, disaster relief, remote locations, temporary projects, military and outdoor markets. Already approved by the Israeli Water Authority for water distribution in emergency situation, and supplying to various municipalities in Israel. Advantages include keeping water in drinking condition for long time – food-rated material; reusable – easily restored to full functionality after use; easy to use – fill, mobilize, deliver and assemble; easy to store – small foot-print carrying bag; and low life-time costs – long shelf life with no maintenance. Seeking introductions to marketing & sales outfits in the targeted market sectors.


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  • Treatment Adherance

    Jerusalem-based firm specializes in assisting health-related entities that offer medical solutions to achieve better adherence of their clients, users and patients. Developing innovative solutions such as smart phone apps, network tools and educational kits based on a unique Understand-Decide-Act mechanism that is a turnkey solution for HMOs, hospitals, medical centers, drug makers, and distributors to insure better medical treatment and a reduction of expenses. Seeking introductions in the Southeast.


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  • Wellness Management

    Tel Aviv-based company offers health plans cost-effective and engaging member outreach technology to assist their members in adopting and maintaining a healthy lifestyle through patient self-management.  Pay-as-you-use enabling technology platform lets health promotion providers focus on what’s important: reducing employer costs, and directly engaging employees and patients to better manage their health and wellness.  Seeking introduction to health plans, onsite medical clinic companies, wellness service coaching providers, and hospital systems in the Southeast.


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