MIRA INFORM REPORT

Report Date :

19.11.2012

IDENTIFICATION DETAILS

Correct Name :	DIAMBEL NV
Registered Office :	Hoveniersstraat 30 Bus 246 Antwerpen, Post Code 2018
Country :	Belgium
Financials (as on) :	31.12.2011
Date of Incorporation :	27.06.1985
Com. Reg. No.:	427397143
Legal Form :	Private Company
Line of Business :	Wholesaler of diamonds and other precious stones
No. of Employees :	03 employees

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 :	No Complaints
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 (31.03.2012)	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

REGISTERED NAME & COMPANY SUMMARY

Business number	427397143	Company name	DIAMBEL NV
		Telephone number	032314367
Address	HOVENIERSSTRAAT 30 BUS 246 ANTWERPEN	Fax number	032310522
Post code	2018	Number of staff	3
Date of establishment	27/06/1985

DIRECTORS/MANAGEMENT

Current director details

Name	SARJUBEN SANGHVI
Position	Director
Street	12 ZINKHOEVELAAN ANTWERPEN
Post code	2610
Country	Belgium

Name	SARJUBEN SANGHVI
Position	Chairman of the Board
Street	12 ZINKHOEVELAAN ANTWERPEN
Post code	2610
Country	Belgium

Name	PARESH SANGHVI
Position	Legal Representative
Street
Post code
Country

Former director details

Name	SANGHVI PARESH
Position	Principal Manager
Street	12 ZINKHOEVELAAN ANTWERPEN
Post code	2610
Country	Belgium

Name	SANGHVI PARESH
Position	Managing Director
Street	12 ZINKHOEVELAAN ANTWERPEN
Post code	2610
Country	Belgium

Name	SANGHVI PARESH
Position	Director
Street	12 ZINKHOEVELAAN ANTWERPEN
Post code	2610
Country	Belgium

Name	TEJPAL JAYANTILAL MEHTA
Position	Director
Street	25 BELGIËLEI ANTWERPEN
Post code	2018
Country	Belgium

Name	PASMI DIMON BVBA
Position	Director
Date of birth	15/05/2000
Street	30 HOVENIERSSTRAAT ANTWERPEN
Post code	2018
Country	Belgium

NEGATIVE INFORMATION

data summary

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

court data

there is no data for this company.

Protested bills

Drawee name	-
Address	-
Bill amount	-
Bill currency	-
Maturity of bill	-
Name of drawer	-
City of drawer	-

NSSO details

Business number	427397143
Name of defendant	-
Legal form of defendant	-
Date of summons	-
Labour court	-

Bankruptcy details

There is no bankruptcy data against this company

PAYMENT INFORMATION

Payment expectations

Past payments		Payment expectation days	138.30
Industry average payment expectation days	178.09	Industry average day sales outstanding	111.26
Day sales outstanding	135.92

Suspension of payments / moratorium history

Amount	-
Details	-

Payment expectations

Payment expectation days	138.30
Day sales outstanding	135.92

Industry quartile analysis

Payment expectations
Company result	138.30
Lower	129.48
Median	75.51
Upper	42.51

GROUP STRUCTURE & AFFILIATED COMPANIES

Group Structure

No group structure for this company.

FINANCIAL INFORMATION

Accounts & ratios

Date of latest accounts	Turnover	Profit Before Tax	Net worth
31/12/2011	98,280,005	154,531	33,830,590
31/12/2010	100,917,324	137,769	30,081,563
31/12/2009	48,517,004	56,725	29,946,237

Accounts & ratios

Date of latest accounts	Balance Total	Investments	Capital	Cash Flow	Number of Employees
31/12/2011	71,051,943		3,726,339	3,340,573	3
31/12/2010	63,296,314		3,327,979	7,867,879	2
31/12/2009	59,910,860		3,327,979	215,793	2

Profit & loss

Annual accounts	31-12-2011	%	31-12-2010	%	31-12-2009	Industry average 2011	%
Weeks	52		52		52
Currency	EUR		EUR		EUR
Turnover	98,280,005	-2.61	100,917,324	108	48,517,004	57,532,825	70.82
Total operating expenses	94,713,950	-5.28	99,990,370	110	47,518,427	56,750,900	66.89
Operating result	3,566,055	284	926,954	-7.17	998,577	288,175	1137
Total financial income	4,261,279	186093	2,289	-56.31	5,238	172,603	2368
Total financial expenses	7,672,803	869	791,473	-16.43	947,090	331,730	2212
Results on ordinary operations before taxation	154,531	12.17	137,769	142	56,725	111,485	38.61
Taxation	15,026	26.75	11,855	35.84	-33,078	38,979	-61.45
Results on ordinary operations after taxation	139,505	10.79	125,915	40.21	89,803	85,374	63.40
Extraordinary items	0	-100	5,800	-70.60	19,731	7,660	-100
Other appropriations	8751	142	3612.24	-4.82	3795	-	-
Net result	148,256	9.55	135,327	19.41	113,329	92,942	59.51
other information
Dividends	-	-	-	-	-	137,001	-
Director remuneration	-	-	-	-	-	127,368	-
Employee costs	80,393	19.38	67,343	-8.85	73,882	157,855	-49.07
Wages and salary	69,565	24.40	55,922	-9.72	61,944	133,789	-48.00
Employee pension costs	-	-	-	-	-	8,542	-
Social security contributions	9,765	-8.56	10,679	-5.01	11,243	33,114	-70.51
Other employee costs	1,064	43.49	742	6.69	695	4,463	-76.16
Amortization and depreciation	70,427	12.54	62,577	1.39	61,719	20,711	240

balance sheet

Annual accounts	31-12-2011	%	31-12-2010	%	31-12-2009	Industry average 2011	%
Weeks	52		52		52
Currency	EUR		EUR		EUR
Intangible fixed assets	0	-	0	-	0	1,882	-100
Tangible fixed assets	868,198	4.01	834,747	-6.90	896,642	199,980	334
Land & building	769,139	7.00	718,841	-4.25	750,767	373,239	106
Plant & machinery	80,573	-15.01	94,808	-20.27	118,912	27,483	193
Other tangible assets	18,486	-12.38	21,097	-21.76	26,963	29,652	-37.66
Financial fixed assets	-	-	-	-	-	305,300	-
Total fixed assets	868,198	4.01	834,747	-6.90	896,642	408,788	112
Inventories	29,080,689	50.73	19,293,224	-49.53	38,228,055	3,386,948	758
Raw materials & consumables	-	-	-	-	-	3,184,382	-
Work in progress	0	-	0	-	0	2,420	-100
Finished goods	29,080,689	50.73	19,293,224	-49.53	38,228,055	2,327,732	1149
Other stocks	0	-	0	-	0	465,264	-100
Trade debtors	36,598,726	6.73	34,289,744	68.81	20,312,446	4,286,973	753
Cash	3,340,573	-57.54	7,867,879	3546	215,793	312,716	968
other amounts receivable	1,151,582	15.21	999,519	293	254,211	404,616	184
Miscellaneous current assets	12,175	8.70	11,201	201	3,713	39,753	-69.37
Total current assets	70,183,745	12.36	62,461,567	5.84	59,014,218	7,861,339	792
current liabilities
Trade creditors	35,886,667	12.52	31,894,218	14.27	27,911,180	2,855,322	1156
Short term group loans	-	-	-	-	-	-	-
Other short term loans	14,750	88.12	7,841	-98.94	739,491	2,367,701	-99
Miscellaneous current liabilities	779,749	2.27	762,466	1.13	753,941	104	- -
Total current liabilities	36,681,166	12.30	32,664,524	11.09	29,404,612	5,483,947	568
Long term debts
Long term group loans	-	-	-	-	-	-	- -
Other long term loans	5,036	-56.18	11,493	-34.94	17,665	-99	- -
Other long term liabilities	535,151	-0.66	538,733	-0.67	542,346	285,984	87.13
Total long term debts	540,187	-1.82	550,226	-1.75	560,011	901,776	-40.10
shareholders equity
Issued share capital	3,726,339	11.97	3,327,979	0.00	3,327,979	1,008,787	269
Share premium account	-	-	-	-	-	173,859	-
Reserves	30,104,251	12.52	26,753,585	0.51	26,618,258	803,785	3645
Revaluation reserve	-	-	-	-	-	772,031	-
Total shareholders equity	33,830,590	12.46	30,081,563	0.45	29,946,237	1,836,798	1741
Working capital	33,502,579	12.44	29,797,043	0.63	29,609,606	2,377,392	1309
Net worth	33,830,590	12.46	30,081,563	0.45	29,946,237	1,834,916	1743

ratio analysis

Annual accounts	31-12-2011	change(%)	31-12-2010	change(%)	31-12-2009	Industry average 2011	%
Trading performance
Profit Before Tax	0.16	14.29	0.14	16.67	0.12	-719,00	0.02
Return on capital employed	0.45	0	0.45	136	0.19	-14,00	3.21
Return on total assets employed	0.22	0	0.22	144	0.09	-33,00	0.67
Return on net assets employed	0.46	0	0.46	142	0.19	-22,00	2.09
Sales / net working capital	2.93	-13.57	3.39	106	1.64	60,00	-99
Stock turnover ratio	29.59	54.76	19.12	-75.73	78.79	42,00	-29.55
Debtor days	135.92	9.60	124.02	-18.84	152.81	57.113,00	-99
Creditor days	138.30	18.78	116.43	-45.69	214.39	252,00	-45.12
short term stability
Current ratio	1.91	0	1.91	-4.98	2.01	4,00	-88.76
Liquidity ratio / acid ratio	1.12	-15.15	1.32	85.92	0.71	3,00	-62.67
Current debt ratio	1.08	-0.92	1.09	11.22	0.98	17,00	-93.65
Liquidity ratio reprocessed	-	-	-	-	-	-	-
long term stability
Gearing	0.06	0	0.06	-97.63	2.53	273,00	-99
Equity in percentage	47.61	0.19	47.52	-4.92	49.98	-1.058,00	4.50
Total debt ratio	1.10	0	1.10	10.00	1	18,00	-93.89

Day sales outstanding
Company result	135.92
Lower	109.67
Median	57.40
Upper	24.94

Minority Shareholders

No minority shareholders found

Minority Interests

No minority interests found

ADDITIONAL INFORMATION

Contractor details

Registered contractor number	-
Contractor description	-
Date struck off register

Personnel limit NSSO

Code	-
Description	FROM 1 TO 4 EMPLOYEES

Joint Industrial Committee (JIC)

Significant Events

Event Date	15/12/2011
Event Description
Event Details	De aandelen aan toonder worden omgezet in aandelen op naam.

Limit History

no limit history data found

Industry comparison

Activity code	46761
Activity description	Wholesale of diamonds and other precious stones

Industry comparison

Activity code	46761
Activity description	Wholesale of diamonds and other precious stones
Industry average payment expectation days	178.09
Industry average day sales outstanding	111.26

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.54.99
UK Pound	1	Rs.87.21
Euro	1	Rs.70.22

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.