MIRA INFORM REPORT

Report Date :

22.12.2012

IDENTIFICATION DETAILS

Name :	SHAH IMEXPORT BVBA
Registered Office :	Hoveniersstraat 53 Bus 31 Antwerpen 2018
Country :	Belgium
Financials (as on) :	31.12.2011
Date of Incorporation :	06.01.1989
Com. Reg. No.:	436310354
Legal Form :	Private Limited Company (BL/LX)
LINE OF BUSINESS :	WHOLESALE OF DIAMONDS AND OTHER PRECIOUS STONES
No. of Employees :	1

RATING & COMMENTS

MIRA’s Rating :

Ba

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

Status :	Satisfactory
Payment Behaviour :	Slow but correct
Litigation :	Clear

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 – June 30^th, 2012

Country Name	Previous Rating (31.03.2011)	Current Rating (30.06.2012)
Belgium	A1	A1

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

BELGIUM - ECONOMIC OVERVIEW

This modern, open, and private-enterprise-based economy has capitalized on its central geographic location, highly developed transport network, and diversified industrial and commercial base. Industry is concentrated mainly in the more heavily-populated region of Flanders in the north. With few natural resources, Belgium imports substantial quantities of raw materials and exports a large volume of manufactures, making its economy vulnerable to volatility in world markets. Roughly three-quarters of Belgium's trade is with other EU countries, and Belgium has benefited most from its proximity to Germany. In 2011 Belgian GDP grew by 2.0%, the unemployment rate decreased slightly to 7.7% from 8.3% the previous year, and the government reduced the budget deficit from a peak of 6% of GDP in 2009 to 4.2% in 2011. Despite the relative improvement in Belgium's budget deficit, public debt hovers near 100% of GDP, a factor that has contributed to investor perceptions that the country is increasingly vulnerable to spillover from the euro-zone crisis. Belgian banks were severely affected by the international financial crisis in 2008 with three major banks receiving capital injections from the government, and the nationalization of the Belgian arm of a Franco-Belgian bank. An ageing population and rising social expenditures are mid- to long-term challenges to public finances.

Source : CIA

Company name and address

Top of Form

Business number	436310354	Company name	SHAH IMEXPORT BVBA
		Telephone number	0475436979
Address	HOVENIERSSTRAAT 53 BUS 31 ANTWERPEN	Fax number	032263035
Post code	2018	Number of staff	1
Date of establishment	06/01/1989

Accounts & ratios

Date of latest accounts	Turnover	Profit Before Tax	Net worth
31/12/2011	35,569,869	163,294	1,092,453
31/12/2010	17,505,138	44,204	979,536
31/12/2009	5,110,716	6,293	947,311

Accounts & ratios

Date of latest accounts	Balance Total	Investments	Capital	Cash Flow	Number of Employees
31/12/2011	9,915,622	610	890,000	1,909	1
31/12/2010	5,005,797	610	890,000	331,325	1
31/12/2009	5,008,064	610	890,000	1,131,199	0

Trends

Profitability
Liquidity
Net worth

Payment expectations

Past payments		Payment expectation days	62.74
Industry average payment expectation days	177.56	Industry average day sales outstanding	110.62
Day sales outstanding	62.93

Court data summary

Bankruptcy details
Court action type	no
Protested bills
Bill amount	-
NSSO details
Date of summons	-

Business number	436310354	Company name	SHAH IMEXPORT BVBA
Fax number	032263035	Date founded	06/01/1989
Company status	active	Company type	Private Limited Company (BL/LX)
Currency	Euro (€)	Date of latest accounts	31/12/2011
Activity code	46761	liable for VAT
Activity description	Wholesale of diamonds and other precious stones	VAT Number	BE.0436.310.354
Belgian Bullettin of Acts Publications	moniteur belge

Personnel limit NSSO

Code	-
Description	FROM 1 TO 4 EMPLOYEES

Joint Industrial Committee (JIC)

Export accounts to CSV file

comparison mode

average

median

Profit & loss

Annual accounts	31-12-2011	%	31-12-2010	%	31-12-2009	Industry average 2011	%
Weeks	52		52		-
Currency	EUR		EUR		EUR
Turnover	35,569,869	103	17,505,138	242	5,110,716	57,477,666	-38.12
Total operating expenses	35,225,085	102	17,434,648	81098	-21,498	56,751,982	-37.93
Operating result	344,784	389	70,490	327	-21,498	270,697	27.37
Total financial income	-	-	43,089	-56.83	99,823	171,692	-
Total financial expenses	181,490	161	69,375	-3.69	72,032	331,573	-45.26
Results on ordinary operations before taxation	163,294	269	44,204	602	6,293	93,276	75.07
Taxation	50,377	320	11,979	3200	363	38,834	29.72
Results on ordinary operations after taxation	112,917	250	32,225	443	5,930	67,194	68.05
Extraordinary items	0	-	0	-	0	7,442	-100
Other appropriations	0.00	-	0	-	0	-	-
Net result	112,917	250	32,225	443	5,930	74,546	51.47
other information
Dividends	-	-	-	-	-	135,797	-
Director remuneration	-	-	-	-	-	124,228	-
Employee costs	65,385	48.84	43,930	4.16	42,177	156,576	-58.24
Wages and salary	49,858	39.10	35,842	13.87	31,475	132,632	-62.41
Employee pension costs	-	-	-	-	-	8,542	-
Social security contributions	15,277	105	7,424	-3.51	7,694	32,757	-53.36
Other employee costs	250	-62.35	664	-77.93	3,008	4,393	-94.31
Amortization and depreciation	20,266	60.62	12,617	-0.77	12,715	21,260	-4.68

balance sheet

Annual accounts	31-12-2011	%	31-12-2010	%	31-12-2009	Industry average 2011	%
Weeks	52		52		-
Currency	EUR		EUR		EUR
Intangible fixed assets	0	-	0	-	0	1,832	-100
Tangible fixed assets	224,020	47.02	152,379	-7.32	164,410	205,927	8.79
Land & building	150,703	-0.23	151,057	-7.36	163,066	377,288	-60.06
Plant & machinery	10,027	658	1,322	-1.64	1,344	27,586	-63.65
Other tangible assets	63,291	-	0	-	0	30,951	104
Financial fixed assets	610	0	610	0	610	305,339	-99
Total fixed assets	224,630	46.83	152,989	-7.29	165,020	412,988	-45.61
Inventories	3,497,108	238	1,034,163	-13.44	1,194,692	3,376,207	3.58
Raw materials & consumables	-	-	-	-	0	3,184,382	-
Work in progress	0	-	0	-	0	2,345	-100
Finished goods	3,497,108	238	1,034,163	-	0	2,325,612	50.37
Other stocks	0	-	0	-100	1,194,692	467,212	-100
Trade debtors	6,132,540	78.52	3,435,248	38.77	2,475,542	4,268,510	43.67
Cash	1,909	-99	331,325	-70.71	1,131,199	310,634	-99
other amounts receivable	56,272	9.31	51,479	23.71	41,611	400,947	-85.97
Miscellaneous current assets	3,162	433	593	-	0	39,370	-91.97
Total current assets	9,690,991	99	4,852,808	0.20	4,843,044	7,835,859	23.67
current liabilities
Trade creditors	6,054,401	163	2,298,405	-17.77	2,795,125	2,850,481	112
Short term group loans	-	-	-	-	0	-	-
Other short term loans	481,294	35.39	355,490	-	0	2,369,037	-79.68
Miscellaneous current liabilities	167,549	7.69	155,585	-12.00	176,798	-56.65	- -
Total current liabilities	6,703,245	138	2,809,480	-5.47	2,971,923	5,489,022	22.12
Long term debts
Long term group loans	-	-	-	-	0	-	- -
Other long term loans	2,119,924	74.22	1,216,781	11.75	1,088,830	42.94	- -
Other long term liabilities	0	-	0	-	0	279,617	-100
Total long term debts	2,119,924	74.22	1,216,781	11.75	1,088,830	882,817	140
shareholders equity
Issued share capital	890,000	0	890,000	0	890,000	1,022,579	-12.97
Share premium account	-	-	-	-	0	173,859	-
Reserves	202,453	126	89,536	56.23	57,311	782,138	-74.12
Revaluation reserve	-	-	-	-	0	797,191	-
Total shareholders equity	1,092,453	11.53	979,536	3.40	947,311	1,829,622	-40.29
Working capital	2,987,746	46.22	2,043,328	9.20	1,871,121	2,346,836	27.31
Net worth	1,092,453	11.53	979,536	3.40	947,311	1,827,789	-40.23

ratio analysis

Annual accounts	31-12-2011	change(%)	31-12-2010	change(%)	31-12-2009	Industry average 2011	%
Trading performance
Profit Before Tax	0.46	84.00	0.25	108	0.12	-693,00	0.07
Return on capital employed	5.08	152	2.01	548	0.31	-13,00	39.08
Return on total assets employed	1.65	87.50	0.88	576	0.13	-32,00	5.16
Return on net assets employed	14.95	231	4.51	583	0.66	-20,00	74.75
Sales / net working capital	11.91	38.97	8.57	213	2.73	63,00	-99
Stock turnover ratio	9.83	66.33	5.91	-74.72	23.38	41,00	-76.02
Debtor days	62.93	-12.15	71.63	-59.49	176.80	55.054,00	-99
Creditor days	62.74	30.38	48.12	0.10	-47456.54	245,00	-74.39
short term stability
Current ratio	1.45	-16.18	1.73	6.13	1.63	4,00	-91.47
Liquidity ratio / acid ratio	0.92	-32.35	1.36	10.57	1.23	3,00	-69.33
Current debt ratio	6.14	113	2.87	-8.60	3.14	17,00	-63.88
Liquidity ratio reprocessed	-	-	-	-	-	-	-
long term stability
Gearing	238.11	48.35	160.51	39.65	114.94	267,00	-10.82
Equity in percentage	11.02	-43.69	19.57	3.44	18.92	-1.025,00	1.08
Total debt ratio	8.08	96.59	4.11	-4.20	4.29	18,00	-55.11

Industry comparison

Activity code	46761
Activity description	Wholesale of diamonds and other precious stones
industry average credit rating	64.48
Industry average credit limit	140177.31

Payment expectations

Payment expectation days	62.74
Day sales outstanding	62.93

Industry comparison

Activity code	46761
Activity description	Wholesale of diamonds and other precious stones
Industry average payment expectation days	177.56
Industry average day sales outstanding	110.62

Industry quartile analysis

Payment expectations
Company result	62.74
Lower	127.34
Median	74.35
Upper	41.66
Day sales outstanding
Company result	62.93
Lower	112.47
Median	57.26
Upper	24.94

Summary

Group - Number of Companies	0
Linkages - Number of Companies	0
Number of Countries	0

Group Structure

No group structure for this company.

Minority Shareholders

No minority shareholders found

Minority Interests

No minority interests found

NSSO details

Business number	436310354
Name of defendant	-
Legal form of defendant	-
Date of summons	-
Labour court	-

Bankruptcy details

There is no bankruptcy data against this company

court data

there is no data for this company

Current director details

Name	TUSHAR NAVINCHANDRA SHAH
Position	Principal Manager
Start Date	01/01/2012
Street	10 ELSDONKLAAN ANTWERPEN
Post code	2610
Country	Belgium

Former director details

Name	SHEFALI TUSHAR SHAH
Position	Principal Manager
Start Date	01/07/2008
End Date	-
Street	10 ELSDONKLAAN ANTWERPEN
Post code	2610
Country	Belgium

DIAMOND INDUSTRY – INDIA

- From time immemorial, India is well known in the world as the birthplace for diamonds.  It is difficult to trace the origin of diamonds but history says that in the remote past, diamonds were mined only in India. Diamond production in India can be traced back to almost 8^th Century B.C.  India, in fact, remained undisputed leader till 18^th Century when Brazilian fields were discovered in 1725 followed by emergence of S. Africa, Russia and Australia.

- The achievement of the Indian diamond industry was possible only due to combination of the manufacturing skills of the Indian workforce and the untiring and unflagging efforts of the Indian diamantaires, supported by progressive Government policies.

- The area of study of family owned diamond businesses derives its importance from the huge conglomerate of family run organizations which operate in the diamond industry since many generations.

- Some of the basic traits of family run business enterprises include spirit of entrepreneurship, mutual trust lowers transaction costs, small, nimble and quick to react, information as a source of advantage and philanthropy.

- Family owned diamond businesses need to improve on many fronts including higher standard of corporate governance, long-term performance – focused strategies, modern management and technology.

- The diamond jewellery industry in India today may be more than Rs 60000 mil and is rated amongst the fastest growing  in the world. Indi ranks third in the world in domestic diamond consumption.

- Utmost caution is to be exercised while dealing with some medium and large diamond traders which are usually engaged in fictitious import – export, inter-company transactions, financially assisted by banks. In the process, several public sector banks lost several hundred million rupees. They mostly diverted borrowed money for diamond business into real estate and capital markets.

- Excerpts from Times of India dated 30^th October 2010 is as under –

DIAMOND SAGA – DIRTY DOZEN STUCK WITH 2K CR DEBT

This could be the biggest credibility crisis the Indian diamond industry has ever faced. Fifteen banks run the risk of losing Rs 2000 crore lent to a dozen diamond firms in Surat. Until about two months ago, they had not repaid  these dues. Bankers believe many diamantaires borrowed money during the economic downturn two years ago and diverted funds to businesses like real estate and capital markets. Many of themselves made money from these businesses but their diamond companies have gone sick and declared insolvency.

- Most of the money borrowed from the banks in the name of their diamond business has been diverted in real estate and the share market. The banks are not in a position to seize their properties because in many cases, these were purchased in the name of their relatives and friends.

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.55.08
UK Pound	1	Rs.89.53
Euro	1	Rs.72.77

INFORMATION DETAILS

Report Prepared by :

PRL

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	--

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

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