IDF Order Saves Israeli Shoe Company
An Israeli shoe company recently received a tall order that will save its factory. Israel’s Ministry of Defense has requested a whopping 63,000 pairs of combat boots for the IDF, to be delivered next year at the total price of NIS 25 million. The purchase will likely save Brill Shoe Industries Ltd. (TASE: BRIL), and thwart a potential loss of up to 120 jobs, reported Globes.
On Wednesday Israel’s Ministry of Defense Director General Uri Shani informed MK Moshe Gafni, chairman of the Knesset’s Finance Committee, that the ministry would increase its orders for Brill army boots, costing NIS 400 per pair. The recent order follows an agreement between the ministry and the company that included NIS 70 million in orders over the past two years for 170,000 pairs of boots.
Due to budget cuts, the Ministry of Defense had initially resolved to reduce its orders from Brill for 2013 and to purchase combat boots from the US instead. Without the IDF orders however, Brill’s management notified the ministry that it would be forced to close its factory in Rishon Letzion and fire workers, including many who are older and whose options in acquiring new work are few and limited.
According to the company’s website, Brill is “Israel’s largest shoe company.” In addition to manufacturing its own shoes, Brill also imports and distributes shoes from Italy and the US.