MIRA INFORM REPORT

Report Date :

09.09.2008

IDENTIFICATION DETAILS

Name :	L. D. CREATIONS
Registered Office :	Room 802, 8/F, Guardforce Centre, 3 Hok Yuen Street East, Hunghom,, Kowloon
Country :	Hong Kong
Date of Incorporation :	2006
Com. Reg. No.:	36669282
Legal Form :	Sole Proprietorship
Line of Business :	Importer and Exporter of Diamond and other Diamond-Studded Jewelry

RATING & COMMENTS

MIRA’s Rating :

B

RATING		STATUS	PROPOSED CREDIT LINE
26-40	B	Unfavourable & favourable factors carry similar weight in credit consideration. Capability to overcome financial difficulties seems comparatively below average.	Small

Status :	Small Company
Payment Behaviour :	Regular
Litigation :	Clear

name of the company

L. D. CREATIONS

Business Address

Room 802, 8/F, Guardforce Centre
3 Hok Yuen Street East
Hunghom
Kowloon
Hong Kong
Tel: +852-23119628, +852-23119681
Fax: +852-23114498

SUMMARY

Founded:	2006
Legal form:	Sole Proprietorship
Registration date:	25.03.2006
ACTIVITY:	Importer & Exporter
Main Products:	Diamond and other diamond-studded jewelry
Staff:	8 (8 in Hong Kong)
Financial situation:	Modest but ordered
Payments:	Payments are made according to terms
Litigation:	clear

Registration status: 2006 - Registered company
Activity status: 2006 - Active company

IDENTIFICATION

Name:

L. D. Creations

Telephone:

+852-23119628

Fax:	+852-23114498

Business Address:

Room 802, 8/F, Guardforce Centre 3 Hok Yuen Street East Hunghom Kowloon Hong Kong Tel: +852-23119628, +852-23119681 Fax: +852-23114498

Registered Address:

Room 802, 8/F, Guardforce Centre 3 Hok Yuen Street East Hunghom Kowloon Hong Kong

HISTORY AND REGISTRATION

Founded:

2006

Legal form:

Sole Proprietorship

Registration date:

25.03.2006

BR Number:

36669282

Subject established by Popat Neelang Arvind as sole proprietor since 25th march 2006. Boghani Vipulkumar Kesubhai joined subject on 28th February 2007 and left subject on 19th June 2008. GAJERA Rakesh Girdharlal joined subject on 1st June 2008.

SHAREHOLDERS

GAJERA Rakesh Girdharlal
Flat 8C, 8/F, Tower 12A, Laguna Verde
8 Laguna Verde Avenue
Hunghom
Hong Kong

Proprietor
01.06.2008 - Present

MANAGEMENT

Mr. GAJERA Rakesh Girdharlal , Proprietor
Mr. GAJERA Rakesh Girdharlal is subject's proprietor who is actively engaged in subject's overall management and operation. Mr. GAJERA Rakesh Girdharlal joined subject on 1st June 2008.


Management Assessment
Subject is a relatively small entity. There is no clear division of management functions and responsibilities. One or two key figures are responsible for overall management.

ACTIVITY

NATURE OF BUSINESS:

Importer & Exporter

NACE:

3212 Manufacture of jewellery and related articles

Main products:

Diamond and other diamond-studded jewelry

Activity comment:

Subject is engaged in importing and exporting of diamond and other diamond-studded jewelry. Subject declined to provide any information about the company, yet, subject's manager revealed that subject is a related company of Laxmi Diamond (HK) Ltd, which is a diamond jewelry manufacturer and exporter based in India. Other sources also revealed that Laxmi Diamond group is one of the major players in the Indian diamond industry, which runs serveral diamond and jewelry cutting and manufacturing facilities in India. Subject's products are mainly imported from Thailand, USA, and Mainland China. These products are then exported to India, Belgium and Dubai. Basic traffic of phone calls, deliveries of documents, visitors indicates that subject is performing barely adequate level of daily business activities with little functional divisions and business structures. Operations are observed to be simply organized with minimal number of staff.

MARKETS:

United Arab Emirates, India, Belgium Payment terms: T/T L/C (letter of credit)

PURCHASES:

Thailand, United States, China Payment terms: T/T L/C (letter of credit)

PREMISES

Address:	Room 802, 8/F, Guardforce Centre 3 Hok Yuen Street East Hunghom Hong Kong
Type of premises:	office premises
Size:	2000 sq ft
Type of ownership:	Premises at business address are rented
Area:	Commercial - Industrial
Condition:	Normal
Equipment:	Properly equipped and maintained
Note:	premises are shared with related concern

The premises are shared with subject's related companies, Laxmi Diamond Hong Kong Limtied and Komal Germs.

There are adequate office equipment and facilities in the location. The condition of the premises is satisfactory. The working and operation environment is good and tidy. The transportation networks are good.

STAFF:

Total staff: 8

Staff in Hong Kong: 8 (Shared with related concerns)

IMPORTANCE:

Small Company

FINANCE

Financial situation:

Modest but ordered

Status of company:

Properly run

Business trends:

Stagnant

Direct interview:

Mr. Hiren, subject's related company director

Financial data source:

Declined to disclose any financial data

Subject declined to disclose any financial information on the ground of unknown inquiring party. Formal written request has been sent to subject for further information, however, we have received no reply up till the submission of this report.

Under Hong Kong Companies Law, private companies are not obligated to release its financial information to public.

Subject is considered small-size in line locally and its track record comparatively limited. Subject’s capability to overcome financial difficulties is deemed limited and not demonstrated with concrete evidence

Bankers

Wing Lung Bank Limited
HK Island, Wing Lung Bank Bldg 45 Des Voeux Road,

Payments:

Payments are made according to terms

Litigation records:

clear on subject: clear on GAJERA Rakesh Girdharlal : clear

Insolvency Information:

According to available information sources the company is not in a insolvency/Preliminary/debt regulation proceeding.

Negative file check:

clear

Company comment:

Secure terms are recommended. Small business is deemed carried out with limited resources for regular financial commitments. Capability to overcome financial difficulties is not demonstrated with concrete evidence. Business should be done on a secured basis with close monitoring.

Macro Economic Indicator - Hong Kong

(USD billions)	2003	2004	2005	2006	2007 (f)	2008 (f)
Economic growth (%)	3.2	8.6	7.5	6.9	5.6	5.3
Inflation (%)	-1.9	0.3	1.4	2.3	3.0	3.1
Public sector balance (%GDP)	-3.3	1.7	1.0	2.7	2.7	3.0
Exports	224.7	260.3	289.5	317.6	343.3	381.9
Imports	230.4	269.6	297.2	331.7	362.6	400.2
Trade balance	-5.8	-9.3	-7.6	-1.4	-2.0	-1.8
Current account balance	16.5	15.7	20.2	20.2	20.1	24.6
Current account balance (%GDP)	10.4%	9.5%	11.4%	10.6%	9.9%	11.1%
Foreign debt	37.8%	41.0%	40.7%	38.0%	36.3%	35.4%
Debt service (%Exports)	1.8%	2.1%	2.2%	2.3%	2.1%	2.0%
Currency reserves (import months)	4.8	4.2	3.7	3.4	3.2	3.0

(e)estimate (f)forecast

COUNTRY RATING (Hong Kong)

Rating : A1

The steady political and economic environment has positive effects on an
already good payment record of companies.Very weak default probability.

For further information of country rating and payment experience such as
Assets – weaknesses – risk outlook; Industries overview; Insolvency trend;
Means of payment and collection methods; and Non payment index,
please visit our group’s official homepage at www.cofacerating.com or go
directly to your interest at www.cofacerating.com/anglais/home/Country.html

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.44.89
UK Pound	1	Rs.78.86
Euro	1	Rs.63.33

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