MIRA INFORM REPORT

Report Date :

12.03.2011

IDENTIFICATION DETAILS

Name :	ROSY BLUE (INDIA) PRIVATE LIMITED (w.e.f. 18.10.2002)

Formerly Known As :	EVEREST GEMS PRIVATE LIMITED

Registered Office :	1608/ 1609, Prasad Chambers, Opera House, Mumbai – 400004, Maharashtra

Country :	India

Financials (as on) :	31.03.2010

Date of Incorporation :	01.04.1998

Com. Reg. No.:	11-114312

CIN No.: [Company Identification No.]	U36911MH1998PTC114312

TAN No.: [Tax Deduction & Collection Account No.]	MUMR10677C/ MUMR13201G

Legal Form :	Private Limited Liability Company

Line of Business :	Manufacturer of Cut and Polished Diamonds.

RATING & COMMENTS

MIRA’s Rating :

Ba (45)

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

Maximum Credit Limit :	USD 17481000

Status :	Good

Payment Behaviour :	Regular

Litigation :	Clear

Comments :	Subject is an established company having fine track. General financial position of the company is good. Trade relations are reported as fair. Business is active. Payments are reported to be regular and as per commitments. The company can be considered normal for business dealings at usual trade terms and conditions.

NOTES :

Any query related to this report can be made on e-mail : infodept@mirainform.com while quoting report number, name and date.

ECGC Country Risk Classification List – April 1, 2010

Country Name

Previous Rating

(31.12.2009)

Current Rating

(01.04.2010)

India

Risk Category	ECGC Classification
Insignificant	A1
Low	A2
Moderate	B1
High	B2
Very High	C1
Restricted	C2
Off-credit	D

LOCATIONS

Registered Office :	1608/ 1609, Prasad Chambers, Opera House, Mumbai – 400004, Maharashtra, India
Tel. No.:	91-22-23633671/ 66650000/ 66650100
Fax No.:	91-22-23630248/ 66314288
E-Mail :	legal@rosyblue.com mumbai@rosyblue.com

DIRECTORS

As on 30.09.2010

Name :	Mr. Arunkumar R. Mehta
Designation :	Director
Address :	25-B, Cliff Co-Operative Housing Society, Ridge Road, Mumbai – 400 006, Maharashtra, India
Date of Birth/Age :	09.01.1940
Date of Appointment :	01.04.1998

Name :	Mr. Bhanuchandra K. Bhansali
Designation :	Director
Address :	35, Geetanjali, 73/ 75, Walkeshwar Road, Mumbai – 400 006, Maharashtra, India
Date of Birth/Age :	25.01.1933
Date of Appointment :	01.04.1998

Name :	Mr. Harshadkumar R. Mehta
Designation :	Director
Address :	91, Vijaydeep, 31, Ridge Road, Mumbai – 400 006, Maharashtra, India
Date of Birth/Age :	15.08.1947
Date of Appointment :	01.04.1998

Name :	Mr. Russell A. Mehta
Designation :	Director
Address :	25-B, Cliff Co-Operative Housing Society, Ridge Road, Mumbai – 400 006, Maharashtra, India
Date of Birth/Age :	06.12.1961
Date of Appointment :	03.10.1998

Name :	Mr. Rajiv R. Jhaveri
Designation :	Director
Address :	402, Citadel Building, L.D. Ruparel Marg, Mumbai – 400 006, Maharashtra, India
Date of Birth/Age :	12.04.1956
Date of Appointment :	03.10.1998

Name :	Mr. Rihen H. Mehta
Designation :	Director
Address :	91, Vijaydeep, 31, Ridge Road, Mumbai – 400 006, Maharashtra, India
Date of Birth/Age :	02.10.1981
Date of Appointment :	15.11.2002

KEY EXECUTIVES

Name :	Mr. Phillip Clinton Trott
Designation :	Secretary
Address :	A-14, Purva Co-Operative Housing Society Limited, Ambika Nagar, Goraswadi, Dombivli (East), Mumbai – 421 201, Maharashtra, India
Date of Birth/Age :	17.11.1974
Date of Appointment :	18.09.2009

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 30.09.2010

Names of Shareholders		No. of Shares
Arunkumar Ramniklal Mehta (HUF)		3928856
Bhanuchandra Keshavlal Bhansali (HUF) Veena Bhanuchandra Bhansali		3913379
Ramniklal Rajmal Mehta (HUF) Arunkumar Ramniklal Mehta		3875000
Harshadkumar Ramniklal Mehta Naina Harshad Mehta		4742370
Rajnika Arunkumar Mehta Arunkumar Ramniklal Mehta		3579226
Veena Bhanuchandra Bhansali Bhanuchandra Keshavlal Bhansali		3595132
Mona Russell Mehta Russell Arunkumar Mehta		2262158
Arunkumar Ramniklal Mehta Rajnika Arunkumar Mehta		328835
Russell Arunkumar Mehta Mona Russell Mehta		493208
Bhanuchandra Keshavlal Bhansali Veena Bhanuchandra Bhansali		181890
Amit Bhanuchandra Bhansali Rupa Amit Bhansali		250000
Naina Harshadkumar Mehta Harshadkumar Ramniklal Mehta		55320
Arunkumar Ramniklal Mehta Harshadkumar R. Mehta		87500
Harshadkumar Ramniklal Mehta Russell Arunkumar Mehta		223140
Bharat Ishwarlal Patel Geeta Bharat Patel		60000
Russell A. Mehta		1250
Priti H. Mehta		1250
Amit B. Bhansali		1250
Geeta Bharat Patel Bharat Ishwarlal Patel		1250
Master Viraj Russell Mehta Russell Arunkumar Mehta		37220
Harshadkumar Ramniklal Mehta Russell Arunkumar Mehta		1139500
Saryu Pravin Kothari Pravin Shantilal Kothari		32274
Harshadkumar Ramniklal Mehta (HUF)		2144805
Ramniklal Rajmal Mehta (HUF) Harshadkumar R. Mehta Russell Arunkumar Mehta		151800
Harshadkumar R. Mehta Russell Arunkumar Mehta		35640
Dilip Ramniklal Mehta		19668
Rupa Amit Bhansali Amit Bhanuchandra Bhansali		19668
Rajiv Ramniklal Jhaveri Shaila Rajiv Jhaveri		104742
Shaila Rajiv Jhaveri Rajiv Ramniklal Jhaveri		35640
Nina Shreyesh Jhaveri Shreyesh Ramniklal Jhaveri		10032
Rihen Harshadkumar Mehta Harshadkumar Ramniklal Mehta		35640
GMR Holding Private Limited, India		495000
Harshadkumar Ramniklal Mehta (HUF) Russell Arunkumar Mehta		1250
Russell Arunkumar Mehta Harshadkumar Ramniklal Mehta (HUF)		500
Russell Arunkumar Mehta Mona Russell Mehta		719269
Mona Russell Mehta Russell Arunkumar Mehta		1303993
Rajiv Ramniklal Jhaveri Shaila Rajiv Jhaveri		1819753
Vitraag Mauritius Limited, Mauritius		2439350
Total		38126758

As on 30.09.2010

Equity Share Breakup		Percentage of Holding
Category
Foreign holdings [Foreign institutional investors, Foreign Companies, Foreign Financial Institutions, Non-resident Indian or Overseas corporate bodies or others]		7.16
Bodies corporate		1.30
Directors or relatives of directors		91.54
Total		100.00

BUSINESS DETAILS

Line of Business :

Manufacturer of Cut and Polished Diamonds.

Products :

Item Code No. (ITC Code)	71.02
Product Description	Diamonds whether or not worked but not mounted or set

GENERAL INFORMATION

Bankers :

ABN Amro Bank N. V., 74, Sakhar Bhavan, 7^th Floor, Nariman Point, Mumbai – 400 021, Maharashtra, India
The Royal Bank of Scotland N.V., 74, Sakhar Bhavan, 7^th Floor, Nariman Point, Mumbai – 400021, Maharashtra, India

Facilities :

Secured Loans	31.03.2010 Rs. In Millions	31.03.2009 Rs. In Millions
A) Working Capital Loan from Banks:
- Foreign Currency Loans	6221.691	3903.347
- Ruppe Loans (Working Capital Loans referred in above, are secured by Joint Equitable mortgage of office premises situated at Prasad Chambers, Mehta Mahal (Premises of Subsidiary Companies), Factory Premises at Kandivali and Pithampur, lien on deposit with Bharat Diamond Bours, hypothecation of present and future stock of raw materials, finished goods, stock in process, book debts and guarantee of a Director of the company and a firm in which Directors are interested)	133.311	3035.983
B) Term Loan from Banks: (Secured by Equitable Mortgage of property situated Survey No.158, Hissan No.23 (Part) and bearing CTS No.5608C, Sub Plot No.3 at Kalina, Mumbai)	500.000	450.000
Total	6855.002	7389.330

Unsecured Loans	31.03.2010 Rs. In Millions	31.03.2009 Rs. In Millions
From Directors	901.418	637.932
From Shareholders	192.471	215.147
From Others	676.410	429.323
Total	1770.299	1282.402


Banking Relations :	--

Auditors :
Name :	M.M. Nissim and Company Chartered Accountants
Address :	Barodawala Mansion, B-Wing, 3^rd Floor, 81, Dr. Annie Besant Road, Worli, Mumbai – 400 018, Maharashtra, India
Tel. No.:	91-22-24949991
Fax No.:	91-22-24949995
E-Mail :	mail@mmnissim.com
Website :	www.mmnissim.com

Associates :	Josh Diamonds Private Limited Cheay Investment Private Limited B. Arunkumar and Company Shah Mehta Holdings Private Limited B. Arunkumar Capital and Credit Services Private Limited R.B. One Source Private Limited Rosy Blue Comtrade Private Limited R.B. Cutters Private Limited Rosy Blue Jewellery Inc. Rosy Blue Securities Private Limited Lucky Star Jewellery Private Limited Sitara Diamond Private Limited Interlink Acquisition Inc. Alianza Jewels Private Limited Diva Cosmocare (India) Private Limited

Subsidiaries :	A.A. Jewellery Private Limited U70100MH2002PTC137184 Conwood Apartments And Resorts Private Limited U74210MH1984PTC033159 Devmiti Finvestrade Private Limited U65990MH1995PTC094018 Krishanu Finlease Private Limited U65900MH1995PTC093253 Tinsel Properties Private Limited U45200MH1995PTC084743 Inter Gold India Private Limited U99999MH1985PTC036278 International Gold Company Private Limited U36911MH1994PTC081352 Inter Gold Gems Private Limited U36911MH1991PTC061736 Rosy Blue Properties Private Limited U45202MH2008PTC180818 Josh Jewels (India) Private Limited U36911MH2006PTC162649 Inter Gold Diamond Private Limited U36911MH2005PTC153712 Sitara Diamond Private Limited U51398MH2003PTC138686

CAPITAL STRUCTURE

As on 30.09.2010

Authorised Capital :

No. of Shares	Type	Value	Amount

39000000	Equity Shares	Rs.10/- each	Rs.390.000 millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount

38126758	Equity Shares	Rs.10/- each	Rs.381.267 millions

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS		31.03.2010	31.03.2009	31.03.2008
SHAREHOLDERS FUNDS
1] Share Capital		381.267	356.874	356.874
2] Share Application Money		0.000	487.870	0.000
3] Reserves & Surplus		3988.940	3269.421	3264.540
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		4370.207	4114.165	3621.414
LOAN FUNDS
1] Secured Loans		6855.002	7389.330	7706.464
2] Unsecured Loans		1770.299	1282.402	1222.821
TOTAL BORROWING		8625.301	8671.732	8929.285
DEFERRED TAX LIABILITIES		22.989	17.320	23.553

TOTAL		13018.497	12803.217	12574.252

APPLICATION OF FUNDS

FIXED ASSETS [Net Block]		1283.503	1318.521	1357.909
Capital work-in-progress		97.924	62.999	41.819

INVESTMENT		452.945	452.945	374.965
DEFERREX TAX ASSETS		0.000	0.000	0.000

CURRENT ASSETS, LOANS & ADVANCES
	Inventories	6631.252	7137.526	6641.219
	Sundry Debtors	5731.917	6357.249	6841.258
	Cash & Bank Balances	404.114	299.258	291.993
	Other Current Assets	0.000	0.000	0.000
	Loans & Advances	1665.006	1805.385	1686.711
Total Current Assets		14432.289	15599.418	15461.181
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	3131.789	4313.046	3819.520
	Other Current Liabilities	107.979	76.386	145.554
	Provisions	8.396	241.234	696.548
Total Current Liabilities		3248.164	4630.666	4661.622
Net Current Assets		11184.125	10968.752	10799.559

MISCELLANEOUS EXPENSES		0.000	0.000	0.000

TOTAL		13018.497	12803.217	12574.252

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2010	31.03.2009	31.03.2008
	SALES
		Income	20294.827	18830.285
		Other Income	40.978	60.289
		TOTAL (A)	20335.805	18890.574	22067.123

Less	EXPENSES
		Increase / (Decrease) in Stocks	1221.083	(979.509)
		Materials Consumed	16931.230	17546.353
		Manufacturing, Administrative and Other Expenses	1248.337	1650.506
		TOTAL (B)	19400.650	18217.350	21076.994

Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		935.155	673.224	990.129

Less	INTEREST (D)		435.890	532.743	524.533

	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		499.265	140.481	465.596

Less/ Add	DEPRECIATION/ AMORTISATION (F)		76.465	82.043	83.861

	PROFIT BEFORE TAX (E-F) (G)		422.800	58.438	381.735

Less	TAX (H)		166.758	53.557	210.434

	PROFIT AFTER TAX (G-H) (I)		256.042	4.881	171.301

Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		2588.179	2583.298	2411.997

	BALANCE CARRIED TO THE B/S		2844.221	2588.179	2583.298

	EARNINGS IN FOREIGN CURRENCY
		F.O.B. Value of Exports	16050.466	14793.756	15327.573
	TOTAL EARNINGS		16050.466	14793.756	15327.573

	IMPORTS
		Capital Goods	14.533	32.226	26.086
		Raw Materials	7256.570	6149.147	8327.432
		Stores & Spares (Including Tools and Accessories)	9.501	7.896	2.542
	TOTAL IMPORTS		7280.604	6189.269	8356.060

	Earnings Per Share (Rs.)		6.81	0.14	NA

KEY RATIOS

PARTICULARS		31.03.2010	31.03.2009	31.03.2008
PAT / Total Income	(%)	1.26	0.03	0.78

Net Profit Margin (PBT/Sales)	(%)	2.08	0.31	--

Return on Total Assets (PBT/Total Assets}	(%)	2.69	0.35	2.27

Return on Investment (ROI) (PBT/Networth)		0.10	0.01	0.11

Debt Equity Ratio (Total Liability/Networth)		2.72	3.23	3.75

Current Ratio (Current Asset/Current Liability)		4.44	3.37	3.32

LOCAL AGENCY FURTHER INFORMATION

Corporate identity number of the company	U36911MH1998PTC114312
Name of the company	ROSY BLUE (INDIA) PRIVATE LIMITED
Address of the registered office or of the principal place of business in India of the company	1608/ 1609, Prasad Chambers, Opera House, Mumbai – 400 004, Maharashtra, India E-Mail: ramesh.panchmatia@rosyblue.com
This form is for	Modification of charge
Charge identification number of the modified	10135526
Type of charge	Immovable Property
Particular of charge holder	ABN Amro Bank N. V., 74, Sakhar Bhavan, 7^th Floor, Nariman Point, Mumbai – 400 021, Maharashtra, India E-Mail: reenabang@rediffmail.com
Nature of description of the instrument creating or modifying the charge	Memorandum of Entry
Date of instrument Creating the charge	31/07/2009
Amount secured by the charge	Rs.800.000 millions
Brief particulars of the principal terms an conditions and extent and operation of the charge	Rate of Interest: Credit Facilities. Interest / Commission - As agreed by and with the Bank from time to time. Terms of Repayment: As agreed by and with the Bank from time to time. Margin: As applicable, if any. Extent and Operation of the charge: The Banks are having first charge on the security, given by the Company.
Short particulars of the property charged	All that piece and parcel of land together with structure standing thereon, being part of Survey No. 158, Hissa No. 23 (part), Sub Plot No.3, bearing New CTS No. 560-C, admeasuring 2093.65 sq. mtrs or thereabouts, lying at Kole Kalyan, Taluka Andheri, Bombay Suburban District, situate at CST Road, Kalina, Mumbai 400098.
Particulars of the present modification	The Company paid part term loan of Rs.300.000 millions out of existing term loan facility of Rs.600.000 millions to the Bank and at the request of the Company, the Bank sanctioned additional fresh term loan of Rs.500.000 millions to the Company. Henceforth, the total existing charge is now been enhanced from Rs.600.000 millions to Rs.800.000 millions.

FIXED ASSETS:

· Goodwill

· Freehold Land

· Leasehold Land

· Buildings

· Plant and Machineries

· Furniture and Fixtures

· Office Equipments

· Vehicles

CMT REPORT (Corruption, Money Laundering & Terrorism]

The Public Notice information has been collected from various sources including but not limited to: The Courts, India Prisons Service, Interpol, etc.

1] INFORMATION ON DESIGNATED PARTY

No records exist designating subject or any of its beneficial owners, controlling shareholders or senior officers as terrorist or terrorist organization or whom notice had been received that all financial transactions involving their assets have been blocked or convicted, found guilty or against whom a judgement or order had been entered in a proceedings for violating money-laundering, anti-corruption or bribery or international economic or anti-terrorism sanction laws or whose assets were seized, blocked, frozen or ordered forfeited for violation of money laundering or international anti-terrorism laws.

2] Court Declaration :

No records exist to suggest that subject is or was the subject of any formal or informal allegations, prosecutions or other official proceeding for making any prohibited payments or other improper payments to government officials for engaging in prohibited transactions or with designated parties.

3] Asset Declaration :

No records exist to suggest that the property or assets of the subject are derived from criminal conduct or a prohibited transaction.

4] Record on Financial Crime :

Charges or conviction registered against subject: None

5] Records on Violation of Anti-Corruption Laws :

Charges or investigation registered against subject: None

6] Records on Int’l Anti-Money Laundering Laws/Standards :

Charges or investigation registered against subject: None

7] Criminal Records

No available information exist that suggest that subject or any of its principals have been formally charged or convicted by a competent governmental authority for any financial crime or under any formal investigation by a competent government authority for any violation of anti-corruption laws or international anti-money laundering laws or standard.

8] Affiliation with Government :

No record exists to suggest that any director or indirect owners, controlling shareholders, director, officer or employee of the company is a government official or a family member or close business associate of a Government official.

9] Compensation Package :

Our market survey revealed that the amount of compensation sought by the subject is fair and reasonable and comparable to compensation paid to others for similar services.

10] Press Report :

No press reports / filings exists on the subject.

CORPORATE GOVERNANCE

MIRA INFORM as part of its Due Diligence do provide comments on Corporate Governance to identify management and governance. These factors often have been predictive and in some cases have created vulnerabilities to credit deterioration.

Our Governance Assessment focuses principally on the interactions between a company’s management, its Board of Directors, Shareholders and other financial stakeholders.

CONTRAVENTION

Subject is not known to have contravened any existing local laws, regulations or policies that prohibit, restrict or otherwise affect the terms and conditions that could be included in the agreement with the subject.

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.45.21
UK Pound	1	Rs.72.55
Euro	1	Rs.62.43

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	6
PAID-UP CAPITAL	1~10	6
OPERATING SCALE	1~10	5
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	5
--PROFITABILIRY	1~10	7
--LIQUIDITY	1~10	5
--LEVERAGE	1~10	5
--RESERVES	1~10	6
--CREDIT LINES	1~10	5
--MARGINS	-5~5	-
DEMERIT POINTS
--BANK CHARGES	YES/NO	YES
--LITIGATION	YES/NO	NO
--OTHER ADVERSE INFORMATION	YES/NO	NO
MERIT POINTS
--SOLE DISTRIBUTORSHIP	YES/NO	NO
--EXPORT ACTIVITIES	YES/NO	YES
--AFFILIATION	YES/NO	YES
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
TOTAL		50

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%)

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	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
-	NB	New Business	--

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

This report is issued at your request without any risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or its officials.

MIRA INFORM REPORT

6631.252

7137.526

5731.917

6357.249

404.114

299.258

0.000

0.000

1665.006

1805.385

14432.289

15599.418

3131.789

4313.046

107.979

76.386

8.396

241.234

3248.164

4630.666

11184.125

10968.752

1.26

0.03

2.08

0.31

2.69

0.35

0.10

0.01

2.72

3.23

4.44

3.37

Unit