The Government Companies Authority has submitted its report for 2010 to the Minister of Finance

STATE OF ISRAEL MINISTRY OF FINANCE Government Companies Authority Publishes 2010 Report

Increase of approximately NIS 3 billion recorded in revenues in comparison with 2009

 The Government Companies Authority has submitted its report for 2010 to the Minister of Finance,

 Dr. Yuval Steinitz

. The report details the state of the companies’ business and assets and the results of their operation. Revenues amounted to approximately NIS 58 billion in 2010, an increase of approximately NIS 3 billion compared with revenues in 2009. Revenues from exports amounted to approximately NIS 14.6 billion. The government companies’ gross profit amounted to approximately NIS 9 billion and their net profit approximately NIS 1 billion.

Most of the government companies’ revenues stemmed from the Israel Electric Corporation (approximately NIS 19 billion), Israel Aerospace Industries (approximately NIS 12 billion), Rafael (approximately NIS 7 billion), Mekorot (approximately NIS 4.5 billion) and the PWD (approximately NIS 4 billion). Most of the companies’ net profit stems from the defense industries, and amounts to approximately NIS 800 million, along with approximately NIS 550 million from the ports. The companies’ losses stem mainly from the Agriculture Bank, Israel Railways and Israel Military Industries.

 According to the report, development investments by means of the government companies totaled approximately NIS 7.9 billion. The investments were made mainly by means of the Israel Electric Corporation, Israel Railways and Mekorot. It should be noted that the development investments made by the PWD, in the sum of approximately NIS 3.5 billion, are not included in the report, since they are not recorded in the PWD’s financial statements.

 The State of Israel operates 96 government companies and NPOs, employing approximately 57,600 employees, operating mainly in infrastructure industries, including the electricity, gas and fuel infrastructures, the transportation, road, railway and port infrastructures and the defense industries.

 Government Companies Authority Director,

 Mr. Doron Cohen

said, “We are submitting the report in its new format today for the first time, in order to help the ministers in making decisions with regard to government companies. The updated report is part of the Government Companies Authority’s overall policy to reinforce corporate governance at the companies and their transparency for the public.”