MIRA INFORM REPORT

Report Date :

21.06.2012

IDENTIFICATION DETAILS

Name :	DIAROUGH
Registered Office :	Hoveniersstraat 30 B.211, Antwerpen, 2018
Country :	Belgium
Financials (as on) :	31.12.2010
Year of Establishment :	1975
Com. Reg. No.:	414865337
Legal Form :	Private Subsidiary Company
Line of Business :	Wholesale trade in jewellery and precious stones
No. of Employees :	39

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 :	Usually 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 – March 31^st, 2012

Country Name	Previous Rating (31.12.2011)	Current Rating (31.03.2012)
Belgium	a1	a1

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

Company name

Diarough

Hoveniersstraat 30 B.211

Antwerpen, 2018

Belgium

Tel: 03 234 24 24

Fax: 03 232 39 31

Web: www.diarough.be

Synthesis

Employees: 39

Company Type: Private Subsidiary

Corporate Family: 21 Companies

Ultimate Parent: Lambefimmo

Incorporation Date: 1975

Financials in: USD (Millions)

Fiscal Year End: 31-Dec-2009

Reporting Currency: Euro

Annual Sales: 659.5 1

Total Assets: 65.9

Business Description

Wholesale trade in jewellery and precious stones

Industry

Industry Jewelry and Silverware

ANZSIC 2006: 3732 - Jewellery and Watch Wholesaling

NACE 2002: 5147 - Wholesale of other household goods

NAICS 2002: 423940 - Jewelry, Watch, Precious Stone, and Precious Metal Merchant Wholesalers

UK SIC 2003: 51473 - Wholesale of jewellery

US SIC 1987: 5094 - Jewelry, Watches, Precious Stones, and Precious Metals

Key Executives

Name Title

Saurin Parikh Managing Director

Nishit Parikh Managing Director

A Huysmans Administration Manager

Ramila Parikh Administrator

Lucas Alfons Ida Toelen Representative/Auditor

News

Title	Date
DIOS: Approval of Shareholders Rights Plan Marketwire (Canada) (231 Words)	15-Jul-2011
DIOS: Approval of Shareholders Rights Plan Market Wire (227 Words)	15-Jul-2011

Registered No.(VAT): 414865337

1 - Profit & Loss Item Exchange Rate: USD 1 = EUR 0.7190468

2 - Balance Sheet Item Exchange Rate: USD 1 = EUR 0.6969855

Corporate Overview

Location

Hoveniersstraat 30 B.211

Antwerpen, 2018

Belgium

Tel: 03 234 24 24

Fax: 03 232 39 31

Web: www.diarough.be

Sales EUR(mil): 474.2

Assets EUR(mil): 45.9

Employees: 39

Fiscal Year End: 31-Dec-2009

Industry: Jewelry and Silverware

Incorporation Date: 1975

Company Type: Private Subsidiary

Quoted Status: Not Quoted

Registered No.(VAT): 414865337

Managing Director: Saurin Parikh

Contents

· Industry Codes

· Business Description

· Financial Data

Industry Codes

ANZSIC 2006 Codes:

3732 - Jewellery and Watch Wholesaling

NACE 2002 Codes:

5147 - Wholesale of other household goods

NAICS 2002 Codes:

423940 - Jewelry, Watch, Precious Stone, and Precious Metal Merchant Wholesalers

US SIC 1987:

5094 - Jewelry, Watches, Precious Stones, and Precious Metals

UK SIC 2003:

51473 - Wholesale of jewellery

Business Description

Wholesale of other intermediate products

More Business Descriptions

Wholesale trade in jewellery and precious stones

Financial Data

Financials in:	EUR(mil)
Revenue:	474.2
Assets:	45.9
Current Assets:	7.6
Fixed Assets:	38.4
Total Liabilities:	45.9
Issued Capital:	10.5
Net Worth:	10.6
Date of Financial Data:	31-Dec-2009

1 Year Growth

NA

NA

Corporate Family	Corporate Structure News:
	Lambefimmo Diarough
Total Corporate Family Members: 21

Company Name	Company Type	Location	Country	Industry	Sales (USD mil)	Employees
Lambefimmo	Parent	Eksaarde	Belgium	Investment Services	3.3	26
Cwt Belgium	Subsidiary	Bruxelles	Belgium	Personal Services	419.0	392
De Meeuw	Subsidiary	Willebroek	Belgium	Iron and Steel	41.1	62
Airtip	Subsidiary	Bruxelles	Belgium	Personal Services	3.1	22
Lambrecht Nummer Een In Banden	Subsidiary	Sint-Niklaas	Belgium	Retail (Specialty)	42.1	85
Kieskeur	Subsidiary	Oostkamp	Belgium	Retail (Grocery)	18.4	46
Diarough	Subsidiary	Antwerpen	Belgium	Jewelry and Silverware	659.5	39
Lambrecht Numero Un Du Pneu	Subsidiary	Chapelle-Lez-Herlaimont	Belgium	Retail (Specialty)	18.1	36
Vleeswaren L. Michielssen Produkten	Subsidiary	Schoten	Belgium	Food Processing	0.0	27
Lambrechts N Een In Banden Aalst	Subsidiary	Aalst	Belgium	Retail (Specialty)	7.5	10
Advertising Systems	Subsidiary	Bruxelles	Belgium	Advertising	4.2	6
Blue Tequila	Subsidiary	Bruxelles	Belgium	Advertising	1.8	4
Lambrecap Benelux	Subsidiary	Sint-Niklaas	Belgium	Tires	1.9	6
Rhainotte	Subsidiary	Achet	Belgium	Construction Services	0.8	6
Lambrecht Numero Un Pneu Namur	Subsidiary	Namur	Belgium	Retail (Specialty)	3.1	4
Lotto Center I	Subsidiary	Sint-Niklaas	Belgium	Recreational Activities	0.0	2
B.W.W. Real Estate	Subsidiary	Zolder	Belgium	Business Services	1.8
Nameta	Subsidiary	Zolder	Belgium	Miscellaneous Capital Goods	19.0	5
Maurice Van De Putte	Subsidiary	Denderwindeke	Belgium	Fish and Livestock	0.0
Nippon Rubber	Subsidiary	Sint-Niklaas	Belgium	Retail (Specialty)	0.0
R Gustin - Silver	Subsidiary	Bertem	Belgium	Beverages (Alcoholic)	0.0

Executive report

Executives

Name	Title	Function
Saurin Parikh	Managing Director	Managing Director
Nishit Parikh	Managing Director	Managing Director
A Huysmans	Administration Manager	Administration Executive
Ramila Parikh	Administrator	Administration Executive
Pradeep Taksali	Administrator	Administration Executive
Lucas Alfons Ida Toelen	Representative/Auditor	Accounting Executive

Annual Profit & Loss

	31-Dec-2010	31-Dec-2009	31-Dec-2008
Period Length	52 Weeks	52 Weeks	52 Weeks
Filed Currency	EUR	EUR	EUR
Exchange Rate (Period Average)	0.755078	0.719047	0.683679
Consolidated	No	No	No
Turnover	821.6	659.5	688.8
Increase or Decrease in Stocks of Finished Goods, and Orders in Progress	-	-	2.0
Other Operating Income	1.6	3.8	4.1
Operating Income	823.2	663.4	694.9
Purchases	809.5	649.8	679.2
Raw Materials, Consumables, and Goods for Release	809.5	649.8	679.2
Services and Sundry Goods	8.2	7.2	8.9
Remuneration, Social Security Charges, and Pensions	2.7	3.4	3.5
Depreciation of and Other Amounts Written Off of Formation Expense, Intangible and Tangible Fixed Assets	0.6	0.6	1.4
Increase or Decrease in Amounts Written Off Stocks, Orders, and Trade Debtors	0.6	-	0.3
Other Operating Charges	0.1	0.1	0.1
Operating Charges	821.6	661.1	693.5
Income From Financial Fixed Assets	0.4	0.1	-
Income From Current Assets	0.2	-	0.4
Other Financial Income	1.4	0.3	3.1
Financial Income	1.9	0.4	3.5
Interest and Other Debt Charges	0.2	0.4	0.5
Other Financial Charges	0.5	1.7	1.2
Financial Charges	0.8	2.1	1.7
Gain on Disposal of Fixed Assets	-	0.1	2.7
Extraordinary Income	-	0.1	2.7
Loss on Disposal of Fixed Assets	-	-	0.1
Extraordinary Charges	-	-	0.1
Income Taxes	0.9	0.3	0.9
Adjustment of Income Taxes and Write-Back of Tax Provisions	0.0	0.0	-
Income Taxes	0.9	0.3	0.9
From Reserves	-	2.9	-
Transfers From Capital and Reserves	-	2.9	-
To the Legal Reserve	0.1	0.0	0.2
To Other Reserves	1.7	6.1	-
Transfers to Capital and Reserves	1.8	6.1	0.2
Return on Capital	-	2.9	-
Profit to be Distributed	-	2.9	-
Employees	33	39	47

Annual Balance Sheet

Financials in: USD (mil)

	31-Dec-2010	31-Dec-2009	31-Dec-2008
Filed Currency	EUR	EUR	EUR
Exchange Rate	0.745406	0.696986	0.719399
Consolidated	No	No	No
Intangible Assets	0.1	0.1	0.2
Land & Buildings	1.2	1.3	1.3
Plant, Machinery, and Equipment	1.2	1.5	1.9
Furniture and Vehicles	0.0	0.1	0.0
Tangible Assets	2.5	2.8	3.2
Participating Interests	50.1	49.7	49.0
Amounts Receivable	1.3	1.3	1.3
Affiliated Enterprises	51.4	51.0	50.3
Participating Interests	0.2	0.2	0.2
Other Enterprises Linked by Participating Interests	0.2	0.2	0.2
Amounts Receivable and Cash Guarantees	0.9	0.9	0.9
Other Capital Assets	0.9	0.9	0.9
Capital Assets	52.5	52.1	51.4
Fixed Assets	55.2	55.1	54.8
Finished Goods	1.5	1.9	1.9
Stocks	1.5	1.9	1.9
Inventory and Orders in Progress	1.5	1.9	1.9
Trade Debtors	1.8	4.3	12.6
Other Amounts Receivable	4.3	2.8	29.9
Amounts Receivable Within One Year	6.1	7.1	42.5
Other Investments and Deposits	0.1	0.1	0.3
Investments	0.1	0.1	0.3
Liquid Assets	2.2	1.6	1.4
Adjustment Accounts	0.5	0.1	0.0
Current Assets	10.5	10.9	46.1
Total Assets	65.7	65.9	100.9
Issued Capital	15.3	15.1	15.0
Capital	15.3	15.1	15.0
Paid-In Capital	0.0	0.0	0.0
Legal Reserve	1.4	1.3	1.3
Untaxed Reserves	28.2	28.0	27.7
Reserves Available for Distribution	11.5	9.6	6.3
Reserves	41.1	39.0	35.3
Capital and Reserves	56.4	54.1	56.1
Credit Institutions	1.5	2.0	2.3
Financial Debts	1.5	2.0	2.3
Other Amounts Payable	-	0.8	-
Amounts Due After More Than One Year	1.5	2.8	2.3
Current Portion of Amounts Payable After More Than One Year	0.4	0.4	0.4
Credit Institutions	0.1	0.5	0.0
Financial Debts	0.1	0.5	0.0
Suppliers	1.9	3.3	3.7
Trade Debts	1.9	3.3	3.7
Advances Received on Orders in Progress	0.1	0.0	0.0
Taxes	0.9	0.3	0.9
Remuneration and Social Security	0.3	0.3	0.3
Taxes, Wages, and Social Security	1.1	0.6	1.2
Other Amounts Payable	4.1	4.1	37.1
Amounts Payable Within One Year	7.7	9.0	42.5
Adjustment Accounts	0.1	0.0	-
Creditors	9.3	11.8	44.8
Total Liabilities + Shareholders' Equity	65.7	65.9	100.9

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.55.86
UK Pound	1	Rs.87.93
Euro	1	Rs.70.88

INFORMATION DETAILS

Report Prepared by :

MNL

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%)

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