MIRA INFORM REPORT

Report Date :

07.12.2007

IDENTIFICATION DETAILS

Name :	VARSHA DIAMONDS INC

Registered Office :	550 S Hill St Ste 1153, Los Angeles, Ca 90013-2434

Country :	United States

Date of Incorporation :	12/1994

Legal Form :	Institutions

Line of Business :	Durable Goods Wholesaling

RATING & COMMENTS

MIRA’s Rating :

RATING		STATUS	PROPOSED CREDIT LINE
41-55	Ba	Overall operation is considered normal. Capable to meet normal commitments.	Satisfactory

Status :	Satisfactory

Payment Behaviour :	Regular

Litigation :	Clear

Executive Summary

Intelliscore for VARSHA DIAMONDS INC

72.99

0-32.47

32.48-58.63

58.64-70.19

70.2-77.71

77.72-100

100

High risk

Low risk

LOW TO MEDIUM RISK
73% of businesses indicate a higher risk of becoming seriously delinquent than this business

Key score factors:

NUMBER OF ACTIVE ACCOUNTS

NUMBER OF TRADES WITH A HIGH BALANCE TO HIGH CREDIT RATIO

NUMBER OF CURRENT ACCOUNTS

RISK ASSOCIATED WITH THE COMPANY'S INDUSTRY

Current DBT range compared to all industries*

0 DBT
($78,500 Balance)

0-15

16-50

51+

80%

11%

% of US businesses falling within DBT range

DBT Norms:
All industries: 6 DBT Same industry: 4 DBT

Legal Filings and Collections

Bankruptcy filings:

Tax lien filings: details (FILED 12/05)

Judgment filings:

Total collections:

Sum of legal filings:

$77

UCC filings:

Cautionary UCC filings present?

Trade Information

Monthly average DBT:

Highest DBT previous 6 months:

Highest DBT previous 5 quarters:

Total continuous trades:

Current continuous trade balance:

$78,500

Trade balance of all trades (5):

$78,600

Average balance previous 5 quarters:

$120

Highest credit amount extended: details

$80,000

6 month balance range:

$0 - $78,600

* Days Beyond Terms (DBT) is a dollar weighted calculation of the average number of days that payment was made beyond the invoice due date based on trades on file that have been updated in the previous 3 months.

7 month DBT trends

90+

May07

Jun07

Jul07

Aug07

Sep07

Oct07

Current

Quarterly DBT trends (previous 5 quarters)

90+

3Q06

4Q06

1Q07

2Q07

3Q07

Performance Analysis

Predicted DBT for 01/30/2008: 1 DBT

Payment Trend Indication:
Are Stable

Industry payment comparison:
Has paid sooner than 50% of similar firms

Most Frequent Industry Purchasing Terms:
NET 30, CREDIT, and CONTRCT

Legal Filings and Collections

Tax Liens

File
Date

Filing
Type

Status

Amount

Filing
Number

Jurisdiction

12/01/2005

County Tax Lien

Filed

$77

052937625

LOS ANGELES COUNTY C

Trade Payment Information

Trade Payment Experiences
(Trade Lines With an (*) after date are newly reported)

Account Status
Days Beyond Terms

Business
Category

Date
Reported

Last
Sale

Payment
Terms

Recent
High
Credit

Balance

Cur

1-30

31-60

61-90

91+

Comments

ADVERTISNG

11/2007

NET 30

CUST 4 YR

+AIR TRANS

10/2007*

03/2007

$100

100%

CUST 1 YR

+BANK

10/2007

CONTRCT

$80,000

$78,500

100%

FINCL SVCS

11/2007*

10/2007

CONTRCT

OFFC SUPPL

11/2007

05/2005

CREDIT

Trade Payment Totals

Trade Payment Experiences

Account Status
Days Beyond Terms

Type

Lines
Reported

Recent
High
Credit

Balance

Cur

1-30

31-60

61-90

91+

Comments

Continuously Reported

$80,000

$78,500

100%

DBT: 0

Newly Reported

$100

100%

DBT: 0

Trade Lines Totals

$80,100

$78,600

100%

DBT: 0

Monthly Payment Trends

Payment Trends Analysis
DURABLE GOODS, NEC, WHLSNG INDUSTRY SIC: 5099

Account Status
Days Beyond Terms

Date Reported

Industry

Cur

DBT

Business
DBT

Balance

Cur

1-30

31-60

61-90

91+

CURRENT

N/A

$78,500

100%

OCT07

88%

$78,500

100%

SEP07

87%

$78,500

100%

AUG07

87%

$78,200

100%

JUL07

87%

JUN07

87%

MAY07

86%

Quarterly Payment Trends

Payment History - Quarterly Averages

Account Status
Days Beyond Terms

Quarter

Months

DBT

Balance

Cur

1-30

31-60

61-90

91+

Q3 - 07

JUL-SEP

Q2 - 07

APR-JUN

Q1 - 07

JAN-MAR

<$100

100%

Q4 - 06

OCT-DEC

$500

100%

Q3 - 06

JUL-SEP

Company Background Information

Corporate Registration

THE FOLLOWING INFORMATION WAS PROVIDED BY THE STATE OF CALIFORNIA

State of Origin: CA

Date of Incorporation: 01/10/2003

Current Status: Active

Business Type: Institutions - Profit

Charter Number: 02455546

Agent: PANKAJ PRATAPRA MEHTA

Agent Address: 550 S HILL ST STE 1153 LOS ANGELES, CA

Additional Company Background Information

Operating Information

Business Type: Institutions

Primary SIC Code: DURABLE GOODS, NEC, WHLSNG - 5099

Secondary SIC Code: JEWELRY & PRECIOUS STONES WHLSNG - 5094

Additional SIC Code: 5944

Number of Employees: 7

RATING EXPLANATIONS

RATING		STATUS	PROPOSED CREDIT LINE
>86	Aaa	Possesses an extremely sound financial base with the strongest capability for timely payment of interest and principal sums	Unlimited
71-85	Aa	Possesses adequate working capital. No caution needed for credit transaction. It has above average (strong) capability for payment of interest and principal sums	Large
56-70	A	Financial & operational base are regarded healthy. General unfavourable factors will not cause fatal effect. Satisfactory capability for payment of interest and principal sums	Fairly Large
41-55	Ba	Overall operation is considered normal. Capable to meet normal commitments.	Satisfactory
26-40	B	Unfavourable & favourable factors carry similar weight in credit consideration. Capability to overcome financial difficulties seems comparatively below average.	Small
11-25	Ca	Adverse factors are apparent. Repayment of interest and principal sums in default or expected to be in default upon maturity	Limited with full security
<10	C	Absolute credit risk exists. Caution needed to be exercised	Credit not recommended
NR		In view of the lack of information, we have no basis upon which to recommend credit dealings	No Rating

This score serves as a reference to assess SC’s credit risk and to set the amount of credit to be extended. It is calculated from a composite of weighted scores obtained from each of the major sections of this report. The assessed factors and their relative weights (as indicated through %) are as follows:

Financial condition (40%) Ownership background (20%) Payment record (10%)

Credit history (10%) Market trend (10%) Operational size (10%)

PRIVATE & CONFIDENTIAL : This information is provided to you at your request, you having employed MIPL for such purpose. You will use the information as aid only in determining the propriety of giving credit and generally as an aid to your business and for no other purpose. You will hold the information in strict confidence, and shall not reveal it or make it known to the subject persons, firms or corporations or to any other. MIPL does not warrant the correctness of the information as you hold it free of any liability whatsoever. You will be liable to and indemnify MIPL for any loss, damage or expense, occasioned by your breach or non observance of any one, or more of these conditions

MIRA INFORM REPORT

Company Information

Executive Summary

Legal Filings and Collections

Trade Payment Information

Trade Payment Totals

Monthly Payment Trends

Quarterly Payment Trends

Company Background Information