MIRA INFORM REPORT

Report Date :

23.04.2013

IDENTIFICATION DETAILS

Name :	CRYSTAL GEMS BVBA
Registered Office :	Hoveniersstraat 2-B 229, 2018 Antwerpen
Country :	Belgium
Financials (as on) :	31.12.2011
Date of Incorporation :	01.07.1982
Com. Reg. No.:	422952068
Legal Form :	Private Limited Company
Line of Business :	Wholesaler of diamonds and other precious stones
No. of Employees :	Not available

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 1.8%, the unemployment rate decreased slightly to 7.2% 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 and 3.3% in 2012. Fourth quarter GDP growth in 2012 was at -0.1%, the third consecutive quarter of negative growth. This brought economic growth for the whole of 2012 to negative 0.2%. It also left Belgium on the brink of a possible recession at the end of 2012. However, at year's end, the government appeared close to meeting its 2012 budget deficit goal of 3% of GDP. Despite the relative improvement in Belgium's budget deficit, public debt hovers around 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 retail arm of a Franco-Belgian ba

Source : CIA

REGISTERED NAME & COMPANY SUMMARY

Business number	422952068
Company name	CRYSTAL GEMS BVBA
Address	HOVENIERSSTRAAT 2-B 229
	2018 ANTWERPEN
Number of staff	0
Date of establishment	01/07/1982
Telephone number	032250685
Fax number	032328176

DIRECTORS/MANAGEMENT

Current director details

Name	SACHIN SHAH
Position	Principal Manager
Start Date	01/07/2009
Street	16 KWIKSTAARTLAAN ANTWERPEN
Post code	2610
Country	Belgium

Name	SHREYANCE SHAH
Position	Principal Manager
Start Date	09/09/2011
Street	16 KWIKSTAARTLAAN ANTWERPEN
Post code	2610
Country	Belgium

Former director details

Name	PHILIPPE FRANÇOIS
Position	Commissioner
Start Date	22/12/1997
End Date	-
Street	70 KLOOSTERSTRAAT MELLE
Post code	9090
Country	Belgium

NEGATIVE INFORMATION

Court data summary

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

Business number	422952068	Company name	CRYSTAL GEMS BVBA
Fax number	032328176	Date founded	01/07/1982
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	yes
Activity description	Wholesale of diamonds and other precious stones	VAT Number	BE.0422.952.068
Belgian Bullettin of Acts Publications	moniteur belge

Protested bills

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

NSSO details

Business number	422952068
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.

SHARE & SHARE CAPITAL INFORMATION

Minority Shareholders

No minority shareholders found.

Minority Interests

No minority interests found.

PAYMENT INFORMATION

Payment expectations

Past payments		Payment expectation days	79.17
Industry average payment expectation days	174.77	Industry average day sales outstanding	108.66
Day sales outstanding	120.63

Industry comparison

Suspension of payments / moratorium history

Amount	-
Details	-

Payment expectations

Payment expectation days	79.17
Day sales outstanding	120.63

Industry comparison

Activity code	46761
Activity description	Wholesale of diamonds and other precious stones
Industry average payment expectation days	174.77
Industry average day sales outstanding	108.66

Industry quartile analysis

Payment expectations
Company result	79.17
Lower	121.46
Median	72.36
Upper	40.99

Day sales outstanding
Company result	120.63
Lower	105.52
Median	54.72
Upper	23.72

GROUP STRUCTURE & AFFILIATED COMPANIES

Group Structure

No group structure for this company.

FINANCIAL INFORMATION

Accounts

Date of latest accounts	Turnover	Profit Before Tax	Net worth	Working capital
31/12/2011	9,640,517	18,196	777,341	1,524,467
31/12/2010	7,307,119	15,826	763,095	1,495,047
31/12/2009	4,766,111	-1,120	750,502	1,445,037

Accounts

Date of latest accounts	Balance Total	Number of Employees	Capital	Cashflow
31/12/2011	4,980,555	0	18,592	16,646
31/12/2010	3,729,860	0	18,592	15,896
31/12/2009	3,409,464	0	18,592	17,378

Trends

Profitability
Liquidity
Net worth

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	9,640,517	31.93	7,307,119	53.31	4,766,111	49,527,631	-80.54
Total operating expenses	9,535,594	32.57	7,192,826	53.55	4,684,366	48,890,358	-80.50
Operating result	104,924	-8.20	114,294	39.82	81,745	238,466	-56.00
Total financial income	1,949	223971	1	-82.60	5	148,968	-98.69
Total financial expenses	88,677	-9.94	98,469	18.82	82,870	287,728	-69.18
Results on ordinary operations before taxation	18,196	14.98	15,826	1413	-1,120	84,458	-78.46
Taxation	3,950	22.20	3,232	108	1,549	37,844	-89.56
Results on ordinary operations after taxation	14,246	13.12	12,593	471	-2,669	59,254	-75.96
Extraordinary items	0	-	0	-100	6,421	3,201	-100
Other appropriations	0.00	-	0.00	-	0	-	-
Net result	14,246	13.12	12,593	235	3,752	62,339	-77.15
other information
Dividends	-	-	-	-	-	147,735	-
Director remuneration	46,560	-	-	-	-	115,275	-59.61
Employee costs	80	-61.35	207	-61.52	538	127,998	-99
Wages and salary	-	-	-	-	-	108,777	-
Employee pension costs	-	-	-	-	-	8,542	-
Social security contributions	-	-	-	-	-	27,123	-
Other employee costs	80	-61.35	207	-61.52	538	3,607	-97.78
Amortization and depreciation	2,401	-27.31	3,302	-75.76	13,626	18,309	-86.89

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	1,462	-100
Tangible fixed assets	31,610	8.73	29,072	-10.20	32,374	177,648	-82.21
Land & building	23,937	-5.40	25,302	-5.12	26,668	346,034	-93.08
Plant & machinery	5,907	340	1,341	-24.77	1,783	21,826	-72.93
Other tangible assets	1,766	-27.27	2,428	-38.11	3,923	24,613	-92.83
Financial fixed assets	706	0	706	-0.01	706	276,884	-99
Total fixed assets	32,316	8.52	29,777	-9.98	33,080	363,620	-91.11
Inventories	1,255,880	-11.70	1,422,218	-7.26	1,533,498	3,060,929	-58.97
Raw materials & consumables	-	-	-	-	-	4,101,634	-
Work in progress	0	-	0	-	0	2,462	-100
Finished goods	1,255,880	-11.70	1,422,218	-7.26	1,533,498	2,049,305	-38.72
Other stocks	0	-	0	-	0	470,366	-100
Trade debtors	3,186,146	80.22	1,767,879	9.69	1,611,771	3,888,007	-18.05
Cash	372,985	-11.19	419,975	156	163,705	239,603	55.67
other amounts receivable	129,493	51.66	85,385	32.60	64,392	245,153	-47.18
Miscellaneous current assets	3,735	-19.24	4,625	53.25	3,018	21,392	-82.54
Total current assets	4,948,239	33.73	3,700,082	9.59	3,376,384	6,943,733	-28.74
current liabilities
Trade creditors	2,068,377	86.29	1,110,299	57.45	705,155	2,777,715	-25.54
Short term group loans	-	-	-	-	-	-	-
Other short term loans	1,181,832	26.04	937,634	-23.13	1,219,737	1,895,458	-37.65
Miscellaneous current liabilities	173,563	10.48	157,102	2333	6,455	-53.09	- -
Total current liabilities	3,423,772	55.27	2,205,035	14.17	1,931,347	4,926,143	-30.50
Long term debts
Long term group loans	-	-	-	-	-	-	- -
Other long term loans	740,799	2.28	724,310	4.53	692,907	-35.58	- -
Other long term liabilities	38,643	3.27	37,420	7.81	34,708	142,929	-72.96
Total long term debts	779,442	2.33	761,730	4.69	727,615	597,953	30.35
shareholders equity
Issued share capital	18,592	0	18,592	0.00	18,592	1,022,392	-98.18
Share premium account	-	-	-	-	-	108,219	-
Reserves	758,749	1.91	744,503	1.72	731,910	695,355	9.12
Revaluation reserve	-	-	-	-	-	815,555	-
Total shareholders equity	777,341	1.87	763,095	1.68	750,502	1,739,095	-55.30
Working capital	1,524,467	1.97	1,495,047	3.46	1,445,037	2,017,589	-24.44
Cashflow	16,646	4.72	15,896	-8.53	17,378	77,438	-78.50
Net worth	777,341	1.87	763,095	1.68	750,502	1,737,632	-55.26

ratio analysis

Annual accounts	31-12-2011	change(%)	31-12-2010	change(%)	31-12-2009	Industry average 2011	%
Trading performance
Profit Before Tax	0.19	-13.64	0.22	1100	-0.02	-744,00	0.03
Return on capital employed	1.17	12.50	1.04	1300	-0.08	-14,00	8.36
Return on total assets employed	0.37	-11.90	0.42	1400	-0.03	-34,00	1.09
Return on net assets employed	2.34	13.04	2.07	1380	-0.15	-12,00	19.50
Sales / net working capital	6.32	29.24	4.89	48.18	3.30	67,00	-99
Stock turnover ratio	13.03	-33.04	19.46	-39.53	32.18	67,00	-80.55
Debtor days	120.63	36.60	88.31	-28.45	123.43	58.055,00	-99
Creditor days	79.17	40.52	56.34	2.55	54.94	328,00	-75.86
short term stability
Current ratio	1.45	-13.69	1.68	-4.00	1.75	4,00	-91.94
Liquidity ratio / acid ratio	1.08	4.85	1.03	8.42	0.95	3,00	-64.00
Current debt ratio	4.40	52.25	2.89	12.45	2.57	18,00	-75.56
Liquidity ratio reprocessed	-	-	-	-	-	-	-
long term stability
Gearing	247.33	13.56	217.79	-14.54	254.85	265,00	-6.67
Equity in percentage	15.61	-23.70	20.46	-7.04	22.01	-1.079,00	1.45
Total debt ratio	5.41	39.07	3.89	9.89	3.54	19,00	-71.53

ADDITIONAL INFORMATION

Contractor details

Registered contractor number	-
Contractor description	-
Date struck off register

Personnel (NSSO classification)

Code	-
Description	FROM 1 TO 4 EMPLOYEES

Joint Industrial Committee (JIC)

Significant Events

Event Date	30/06/2009
Event Description
Event Details	Rechtzetting aan de publicatie neergelegd op 24-03-1986, dient gelezen te worden: Hoveniersstraat 2 bus 229 bureel 618 te 2018 Antwerpen.

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.

- 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 –

- Gem & Jewellery Export Promotion Council in its statistical data has shown the export of polished diamonds to have increase by 28 % in February 2013. Compared to $ 1.4 bn worth of polished diamond export in February, 2012, India exported $ 1.84 billion worth of polished diamonds in February 2013. A senior executive of GJEPC said, “Export of cut and polished diamonds started falling month-wise after the imposition of 2 % of import duty on the polished diamonds. But February, 2013 has given a new ray of hope to the industry as the export of polished diamonds has actually increased by 28 %. It means the industry  is on the track of recovery and round tripping of diamonds has stopped completely.” Demand has started coming from the US, the UK, Japan and China. India’s polished diamond export is expected to cross $ 21 bn in 2013-14.

- The banking sector has started exercising restraint while following prudent risk management norms when lending money to gems and jewellery sector. This follows the implementation of Basel III accord – a global voluntary regulatory standard on bank capital adequacy, stress testing and market liquidity.

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.54.17
UK Pound	1	Rs.82.45
Euro	1	Rs.70.70

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%)

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.