MIRA INFORM REPORT

Report Date :

17.01.2007

IDENTIFICATION DETAILS

Name :	PRIME GEMS (S) PTE LTD

Registered Office :	^{1 Sophia Road, #12-03}^{, Peace Centre, Singapore 228149}

Country :	Singapore

Date of Incorporation :	^12/10/1989

Com. Reg. No.:	198904472E

Legal Form :	^{Exempt Pte Ltd}

Line of Business :	Trading of Diamonds.

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 :	Usually correct

Litigation :	Clear

Subject Company

PRIME GEMS (S) PTE LTD

Line Of Business

THE TRADING OF DIAMONDS

Parent Company

Financial Elements

Sales : -

Networth : -

Paid-Up Capital : S$500,000

Net result : -

Net Margin(%) : -

Return on Equity(%) : -

Leverage Ratio : -

Rating

Credit Rating : Sing $ 300001 to Sing $ 600000

COMPANY IDENTIFICATION

^{Subject Company : PRIME GEMS (S) PTE LTD}

^{Former Name :
ALWAN TRADING (S) PTE LTD}

^{Business Address : 1
SOPHIA ROAD}

^#12-03

^{PEACE CENTRE}

^{Town :
SINGAPORE}

^{Postcode :
228149}

^{County :
-}

^{Country :
Singapore}

^{Telephone :
6333 8652}

^{Fax :
6333 8653}

^{ROC Number :
198904472E}

^Reg.^Town^:
-

PREVIOUS IDENTIFICATION

^{ALWAN TRADING (S) PTE LTD}

^{DATE OF CHANGE OF NAME: 27/04/1992}

SUMMARY

^{All amounts in this report are in : SGD unless otherwise
stated}

^{Legal Form :
Exempt Pte Ltd}

^{Date Inc. :
12/10/1989}

^{Previous Legal Form : -}

^{Summary year :
-}

^{Sales :
-}

^{Capital :
-}

^{Paid-Up Capital :
500,000}

^{Employees :
4}

^{Net result :
-}

^{Share value :
-}

^{AUDITOR :
RAMA & CO}

REFERENCES

^{Litigation :
No}

^{Company status : TRADING}

^{Started :
12/10/1989}

PRINCIPAL(S)

^{NARSHIBHAI HEMCHANDBHAI PATEL F1825024K Managing Director}

DIRECTOR(S)

^{NARSHIBHAI HEMCHANDBHAI PATEL F1825024K Director}

^{Appointed on : 04/09/1997}

^{Street : 1 SOPHIA ROAD}

^#12-03

^{PEACH CENTRE}

^{Town: SINGAPORE}

^{Postcode: 228149}

^{Country: Singapore}

^{BINDU NARSHIN VORA F2284539W Director}

^{Appointed on : 24/04/1992}

^{Street : 1 SOPHIA ROAD}

^#12-03

^{PEACH CENTRE}

^{Town: SINGAPORE}

^{Postcode: 228149}

^{Country: Singapore}

^{NARSHIBHAI HEMCHANDBHAI PATEL F1825024K Managing Director}

^{Appointed on : 20/11/2003}

^{Street : 1 SOPHIA ROAD}

^#12-03

^{PEACH CENTRE}

^{Town: SINGAPORE}

^{Postcode: 228149}

^{Country: Singapore}

^{SHTYA PRAKAS S/O KANHAIYA LAL S1502657Z Director}

^{Appointed on : 15/01/1993}

^{Street : 672B KLANG LANE}

^#05-81

^{Town: SINGAPORE}

^{Postcode: 212672}

^{Country: Singapore}

^{SHTYA PRAKAS S/O KANHAIYA LAL S1502657Z Company Secretary}

^{Appointed on : 30/04/2006}

^{Street : 672B KLANG LANE}

^#05-81

^{Town: SINGAPORE}

^{Postcode: 212672}

^{Country: Singapore}

FORMER DIRECTOR(S)

^{GOPALAKRISHNAN S/O VELLASAMY S2080350I}

^{ABDUL MAJEED S/O GULAM KADER S0414786C}

ACTIVITY(IES)

^{IMPORTERS And EXPORTERS Code:11760}

^{COMMISSION MERCHANTS Code:4990}

^{DIAMONDS - WHSLE Code:6450}

^{BASED ON ACRA'S RECORD AS AT
11/01/2007}

^{1) GENERAL WHOLESALE TRADE (INCLUDING
GENERAL IMPORTERS AND EXPORTERS)}

^{2) WHOLESALE ON A FEE OR CONTRACT BASIS (EG
COMMISSION AGENCIES)}

CHARGES

No Charges On Premises/Property In Our Database

PREMISES/PROPERTY INFORMATIONS

No Premises/Property Information In Our Databases

BANKERS

No Bankers Information In Our Database

SHAREHOLDERS(S)

^{NARSHIBHAI HEMCHANDBHAI PATEL 250,000 Private Person}

^{Street : 1 SOPHIA ROAD}

^#12-03

^{PEACH CENTRE}

^{Town: SINGAPORE}

^{Postcode: 228149}

^{Country: Singapore}

^{BINDU NARSHIN VORA 200,000 Private Person}

^{Street : 1 SOPHIA ROAD}

^#12-03

^{PEACH CENTRE}

^{Town: SINGAPORE}

^{Postcode: 228149}

^{Country: Singapore}

^{SHTYA PRAKAS S/O KANHAIYA LAL 50,000 Private Person}

^{Street : 672B KLANG LANE}

^#05-81

^{Town: SINGAPORE}

^{Postcode: 212672}

^{Country: Singapore}

SUBSIDIARY(IES)

No Participation In Our Database

PAYMENT HISTORY AND EXPERIENCES

Trade Morality: AVERAGE

Liquidity : UNKNOWN

Payments : UNKNOWN

Trend : UNKNOWN

Financial Situation: UNKNOWN

LITIGATION(S)

No Litigation In Our Database

FINANCIAL COMMENTS

^{LIMITED EXEMPT PRIVATE COMPANY:}

^{WHERE THE SHARES OF A PRIVATE COMPANY ARE
NOT OWNED BY ANY CORPORATE BODY AND THERE ARE NO MORE THAN 20 MEMBERS, THE
PRIVATE COMPANY IS KNOWN AS AN EXEMPT PRIVATE COMPANY.}

^{AN EXEMPT PRIVATE COMPANY ENJOYS A GREATER
AMOUNT OF PRIVACY THAN A PRIVATE COMPANY. IT IS NOT REQUIRED TO FILE ACCOUNTS
WITH THE REGISTRAR IF IT CAN PRODUCE A CERTIFICATE SIGNED BY ONE OF ITS DIRECTORS,
SECRETARY AND AUDITOR CONFIRMING THE FOLLOWING POINTS:}

^{1. THE COMPANY IS AN EXEMPT PRIVATE COMPANY.}

^{2. THE AUDITED ACCOUNTS HAVE BEEN TABLED
BEFORE THE SHAREHOLDERS AT THE}

^{ANNUAL
GENERAL MEETING.}

^{3. THE COMPANY IS ABLE TO MEET ITS
LIABILITIES.}

^{THERE IS THEREFORE NO DISCLOSURE TO THE
PUBLIC OF THE ACCOUNTS OF THE COMPANY ALTHOUGH THE ACCOUNTS STILL HAVE TO BE
AUDITED EVERY YEAR AND APPROVED AT AN ANNUAL GENERAL MEETING OF THE COMPANY.}

^{A PRIVATE COMPANY THAT IS WHOLLY OWNED BY
THE GOVERNMENT MAY BECOME AN EXEMPT PRIVATE COMPANY IF THE MINISTER FOR
FINANCE, IN THE NATIONAL INTEREST, DECLARES IT TO BE SUCH BY A GAZETTE
NOTIFICATION.}

^{EXEMPT FROM
AUDIT}

^{AN EXEMPT PRIVATE COMPANY IS EXEMPT FROM
AUDIT REQUIREMENTS IF THE STARTING DATE OF ITS FINANCIAL YEAR IS BETWEEN 15 MAY
2003 AND 31 MAY 2004 AND ITS TURNOVER FOR THAT FINANCIAL YEAR DOES NOT EXCEED
$2.5 MILLION. FOR FINANCIAL YEARS STARTING 1 JUNE 2004, THE AMOUNT OF THE TURNOVER
HAS BEEN RAISED TO $5 MILLION. THESE COMPANIES ARE STILL REQUIRED TO MAINTAIN
PROPER ACCOUNTING.}

BACKGROUND/OPERATION

^{THE COMPANY WAS INCORPORATED IN THE REPUBLIC OF SINGAPORE ON 12/10/1989 AS A LIMITED
EXEMPT PRIVATE COMPANY AND IS TRADING UNDER ITS NAMESTYLE AS “ALWAN TRADING (S)
PTE LTD”.}

^{SUBSEQUENTLY, ON 27/04/1992, THE COMPANY
CHANGED TO ITS PRESENT NAMESTYLE AS "PRIME GEMS (S) PTE LTD".}

^{AS AT 11/01/2007, THE COMPANY HAS ISSUED AND
PAID-UP CAPITAL OF 500,000 SHARES OF A VALUE OF S$500,000.}

^{PRINCIPAL ACTIVITIES:}

^{SUBJECT IS REGISTERED WITH THE ACCOUNTING
& CORPORATE REGULATORY AUTHORITY (ACRA) TO BE PRINCIPALLY ENGAGED IN THE
BUSINESS OF:}

^{1) GENERAL WHOLESALE TRADE (INCLUDING
GENERAL IMPORTERS AND EXPORTERS)}

^{2) WHOLESALE ON A FEE OR CONTRACT BASIS (EG
COMMISSION AGENCIES)}

^{FROM THE TELE-INTERVIEW CONDUCTED ON
17/01/2007, THE FOLLOWING WAS GATHERED:}

^{SUBJECT ENGAGES IN THE FOLLOWING ACTIVITIES:}

^{* THE TRADING OF DIAMONDS}

^{IMPORT COUNTRIES:}

^{* INDIA}

^{* NEW
YORK, UNITED STATES OF AMERICA}

^{EXPORT COUNTRIES:}

^{* WORLDWIDE}

^{* MALAYSIA}

^{* HONG KONG}

^{NUMBER OF EMPLOYEES:}

^{* COMPANY - 2007: 4}

^{NO OTHER TRADE INFORMATION IS AVAILABLE ON
17/01/2007.}

^{REGISTERED AND BUSINESS ADDRESS:}

^{1 SOPHIA
ROAD}

^{#12-03 PEACE CENTRE}

^SINGAPORE²²⁸¹⁴⁹

^{- DATE OF CHANGE OF ADDRESS: 20/11/2003}

^{YOUR PROVIDED ADDRESS:}

^{545 ORCHARD
ROAD}

^{#12-02 FAR EAST SHOPPING CENTRE}

^SINGAPORE²³⁸⁸⁸²

^{- FORMER ADDRESS AS CONFIRMED VIA TELE-INTERVIEW.}

^WEBSITE:

^EMAIL:

^{primegem@starhub.net.sg}

MANAGEMENT

^{THE DIRECTORS AT THE TIME OF THE REPORT ARE:}

^{1) NARSHIBHAI HEMCHANDBHAI PATEL, AN INDIAN}

^{-
BASED IN SINGAPORE.}

^{2) BINDU NARSHIN VORA, AN INDIAN}

^{-
BASED IN SINGAPORE.}

^{3) SHTYA PRAKAS S/O KANHAIYA LAL, A
SINGAPOREAN}

^{- HOLDS NO OTHER DIRECTORSHIP IN OUR
DATABASE.}

ADVERSE ON DIRECTORS

^{DIRECTOR'S NAME: SHTYA PRAKAS S/O KANHAIYA
LAL}

^{ADVERSE REPORT AGAINST OWNER: NIL}

^{PROPERTY OWNERSHIP: CAN'T BE CONFIRMED}

^{* ANNUAL VALUE IS THE ESTIMATED ANNUAL RENT
THE PROPERTY CAN FETCH IF IT WERE RENTED OUT. THE ANNUAL VALUE IS DETERMINED IN
THE SAME MANNER REGARDLESS OF WHETHER THE PROPERTY IS LET-OUT, OWNER-OCCUPIED
OR VACANT.}

Singapore’s Country Rating 2006

Investment Grade

IN SINGAPORE, THE POLITICAL SITUATION APPEARS TO BE VERY STABLE.

ECONOMIC GROWTH IS BECOMING MORE MODERATE AS INVESTMENT HAS BEEN FLAT DUE TO INCREASING OIL PRICES AND LESS BUOYANT DEMAND FOR ELECTRONIC PRODUCTS.

ECONOMIC PERFORMANCE HAS REMAINED STRONG, UNDERPINNED BY PHARMACEUTICALS AND SERVICES. EXPORTS HAS BENEFITED FROM THE STEADINESS OF DEMAND FROM ITS MAIN TRADING PARTNERS, MALAYSIA, THE UNITED STATES, CHINA AND HONG KONG. OTHER THAN ITS BALANCED PUBLIC SECTOR ACCOUNTS, LIMITED FOREIGN DEBT AND COMFORTABLE FOREIGN CURRENCY RESERVES HAVE CONTRIBUTED TO SINGAPORE’S STRONG FINANCIAL CONDITION.

AS THE ELECTRONICS SECTOR FACES COMPETITION FROM THE ASIAN ECONOMIES, SINGAPORE HAS BEEN PURSUING DIVERSIFICATION STRATEGY THAT HAS BEEN CONSOLIDATING ITS POSITION. PHARMACEUTICALS ALREADY REPRESENT 10% OF EXPORTS IN COMPARATIVE TO ITS INSIGNIFICANT CONTRIBUTION IN YEAR 1995. ELECTRONICS SECTOR SECTOR’S SHARE HAS DECLINED FROM 80% TO 60% DURING THE SAME PERIOD. THERE IS HIGH RELIANCE ON DEVELOPMENT OF PETROCHEMICAL PRODUCTS, HIGH VALUE-ADDED SERVICES AND BIOTECHNOLOGIES.

ASSETS

ONE OF THE MOST OPEN ECONOMIES IN THE WORLD WITH EXPORTS PLAYING A MAJOR ROLE IN ITS PERFORMANCE.
ONE OF ASIA’S MOST ADVANCED COUNTRIES IN QUALITY COMPETITIVENESS TERMS.
WORKFORCE’S EDUCATION AND SKILL LEVEL IS VERY HIGH.
A MAJOR EXPORT OF CAPITAL IN ASIA, PARTICULARLY THE STATE-OWNED HOLDING COMPANY, TEMASEK.
THE BUSINESS ENVIRONMENT HAS BEEN VERY FAVOURABLE.
GREAT POLITICAL STABILITY.

WEAKNESSES

ECONOMY REMAINED OVERSPECIALISED IN THE ELECTRONICS SECTOR.
MUST ACCELERATE DIVERSIFICATION IN SERVICES TO MAINTAIN ITS LEAD OVER OTHER ASIAN ECONOMIES
REFORMS ARE STILL NEEDED TO FOSTER INNOVATION AND EDUCATION-SYSTEM MODERNIZATION.
AGING POPULATION COULD ULTIMATELY AFFECT ECONOMIC PERFORMANCE.

WHOLESALE AND RETAIL TRADE SECTOR

PAST PERFORMANCE

WITH THE GROWTH IN NON-OIL RE-EXPORTS AND THE RISE IN RETAIL SALES, THE WHOLESALE AND RETAIL TRADE SECTOR GREW BY A ROBUST 15% IN 1Q2006, UP FROM THE 12% GAIN IN 4Q2005.

WHOLESALE TRADE

FOREIGN WHOLESALE TRADE INDEX

AS COMPARED TO 1Q2005, THE OVERALL FOREIGN WHOLESALE TRADE IN 1Q2006 ROSE BY 15.4%. EXCLUDING PETROLUEM, THE INDEX EXPANDED BY 11.5%.

SHIP CHANDLERS & BUNKERING MAINTAINED THEIR GROWTH MOMENTUM OF 63.5% IN THE FIRST QUARTER OF 2006, IN COMPARISON TO THE HIGHER 81.7% GROWTH IN 4Q2005. ON A YEAR-ON-YEAR BASIS, ELECTRONIC COMPONENTS GREW BY 22.8%, PETROLEUM & PETROLEUM PRODUCTS ROSE BY 20.3%, AND GENERAL WHOLESALE TRADE GREW BY 18.7% IN 1Q2006.

IN CONTRAST, HOUSEHOLD EQUIPMENT & FURNITURE, FOOD, BEVERAGES & TOBACCO, PAINTS & CONSTRUCTION MATERIALS, WHOLESALERS OF TIMEBR REPORTED SLOWER FOREIGN BUSINESS OVER THE SAME PERIOD LAST YEAR.

AT CONSTANT PRICES, THE OVERALL INDEX ROSE MARGINALLY BY 0.9% IN 1Q2006 OVER A YEAR AGO. EXCLUDING PETROLEUM, IT WAS UP BY 7.6%.

ON A QUARTER-ON-QUARTER BASIS, THE OVERALL INDEX POSTED A DECLINE OF 9.4% FOLLOWING GROWTH FOR THREE CONSECUTIVE QUARTERS. EXCLUDING PETROLEUM, THE INDEX WERE LOWER BY 8.6%.

THE MAJOR SECTORS MOSTLY POSTED LOWER FOREIGN SALES WITH THE EXCEPTION OF TELECOMMUNICATIONS & COMPUTERS SECTOR IN 1Q2006. THE HOUSEHOLD EQUIPMENT & FURNITURE, FOOD, BEVERAGES & TOBACCO SECTOR ALL REPORTED DECLINE IN TURNOVER OF MORE THAN 17% IN THE FIRST QUARTER OF 2006 OVER 4Q2005.

RETAIL TRADE

RETAIL SALES CHALKED UP 8.0% GROWTH IN 1Q2006, FELLING MARGINALLY FROM THE 8.2% GROWTH IN 4Q2005. SALES OF MOTOR VEHICLES ROSE BY 10% IN 1Q2006, HIGHER THAN THE 8.5% GAIN IN THE LAST QUARTER. EXCLUDING MOTOR VEHICLES, RETAIL SALES MODERATED TO 5.2% GROWTH, SLOWER THAN THE 7.8% RISE IN 4Q2005.

ALL THE MAJOR SEGMENTS RECORDED GROWTH IN 1Q2006 OVER 1Q2005, WITH GROWTH RANGING FROM 1.6% TO 18%. THE SEGMENTS WERE TELECOMMUNICATIONS AND COMPUTERS, FOOD AND BEVERAGES, WEARING APPAREL AND FOOTWEAR, OPTICAL GOODS AND BOOKS, PROVISION AND SUNDRY SHOPS, DEPARTMENT STORES, SUPERMARKETS, MEDICAL GOODS AND TOILETRIES, RECREATIONAL GOODS, FURNITURE AND HOUSEHOLD EQUIPMENT, WATCHES AND JEWELLERY, AND PETROL SERVICE STATIONS.

A ROSY OUTLOOK FOR RETAILERS

RETAIL SALES IN SINGAPORE ROSE IN JUNE FOR THE 16TH STRAIGHT MONTH AS AN IMPROVING JOB MARKET AND A RISE IN TOURIST ARRIVALS INCREASED CONSUMER SPENDING.

THE RETAIL SALES INDEX GREW BY 5.1% FROM A YEAR EARLIER AFTER EXPANDING BY 13.1% IN MAY. EXCLUDING MOTOR VEHICLES, RETAIL SALES GREW BY 7.8%.

ON A MONTH-ON-MONTH BASIS, ADJUSTED FOR SEASONAL FACTORS, RETAIL SALES IN JUNE DECLINED BY 3.7% OVER MAY. EXCLUDING MOTOR VEHICLES, RETAIL SALES CONTRACTED BY 1.2% FROM MAY.

APPAREL AND FOOTWEAR BUSINESS GREW BY 4.9% WHILE THOSE OF WATCHES AND JEWELLERY ROXE BY 9.5%.

JUNE’S MOTOR VEHICLES SALES GREW BY 2.5% COMPARED WITH JUNE 2005. IT PALE IN COMPARISON WITH A 16.4% GROWTH IN MAY. THE MOTOR VEHICLE SALES GREW BY A MARGINAL 0.4% OVER MAY.

AHEAD

WHOLESALERS PREDICTS POSITIVE BUSINESS CONDITIONS FOR THE PERIOD ENDING DECEMBER 2006. THOSE DEALING IN FURNITURE & FURNISHINGS, COSMETICS & TOILETRIES, JEWELLERY & WATCHES, HOUSEHOLD ELECTRICAL APPLIANCES & EQUIPMENT, ELECTRONIC COMPONENTS, SCIENITIFIC & PRECISION EQUIPMENT, ARE AMONG THOSE WHO ARE OPTIMISTIC ABOUT THE BUSINESS OUTLOOK AHEAD.

RETAILERS ALSO FORECAST BETTER BUSINESS SENTIMENTS FOR THE COMING MONTHS ENDING DECEMBER 2006, WITH A NET BALANCE OF 22%, ESPECIALLY DEPARTMENT STORES AND RETAILERS OF WEARING APPAREL AND FURNITURE & FURNISHINGS EXPECTING A POSITIVE BUSINESS OUTLOOK FROM THE YEAR-END FESTIVE SHOPPING.

IN ADDITION, RETAILERS ARE EXPECTING A BOOST FROM THE INTERNATONAL MONETARY FUND AND WORLD BANK ANNUAL MEETING IN SEPTEMBER WHICH WILL BE HELD IN SINGAPORE

AS THE GATHERING IS EXPECTED TO DRAW 16,000 OVERSEAS DELEGATES.

EXTRACTED FROM : MINISTRY OF TRADE AND INDUSTRY, SINGAPORE

SINGAPORE DEPARTMENT OF STATISTICS

TODAY

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/normal.	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

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