MIRA INFORM REPORT

Report Date :

08.08.2013

IDENTIFICATION DETAILS

Name :	MISHAL NV
Registered Office :	Hoveniersstraat 2-B 611 2018 Antwerpen
Country :	Belgium
Financials (as on) :	31.12.2012
Date of Incorporation :	14.02.1989
Com. Reg. No.:	436734085
Legal Form :	Public Limited Liability Company (BE)
Line of Business :	Wholesale of diamonds and other precious stones
No. of Employees :	5

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 – March, 31^st, 2013

Country Name	Previous Rating (31.12.2012)	Current Rating (31.03.2013)
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 bank.

Source : CIA

company name and address

Business number	436734085
Company name	MISHAL NV
Address	HOVENIERSSTRAAT 2-B 611
	2018 ANTWERPEN
Number of staff	5
Date of establishment	14/02/1989
Telephone number	032261217
Fax number	032261217

Commentary

The business was established over 24 years ago.
The business has 1 employees.
Number of employees in the latest trading period increased 150% on the previous trading period.
The business has been at the address for over 4 years.
The credit rating for this business has decreased from 83 to 78.
The credit limit for this business has increased from €4250000 to €5600000.
Operating Result in the latest trading period increased 38% on the previous trading period.
A 56% growth in Total Assets occurred during the latest trading period.

Accounts

Date of latest accounts	Turnover	Profit Before Tax	Net worth	Working capital
31/12/2012	268,115,580	332,978	10,461,160	25,941,836
31/12/2011	212,152,348	278,250	10,109,435	15,605,154
31/12/2010	185,217,582	260,853	9,831,809	15,337,199

Accounts

Date of latest accounts	Balance Total	Number of Employees	Capital	Cashflow
31/12/2012	101,499,333	5	8,623,500	370,994
31/12/2011	64,932,078	2	8,623,500	297,097
31/12/2010	53,045,569	1	8,623,500	282,771

Trends

Profitability
Liquidity
Net worth

Payment expectations

Past payments		Payment expectation days	39.48
Industry average payment expectation days	157.63	Industry average day sales outstanding	107.78
Day sales outstanding	98.87

Court data summary

Bankruptcy details
Court action type		no
Protested bills
Bill amount		-
NSSO details
Date of summons		-
Business number	436734085		Company name	MISHAL NV
Fax number	032261217		Date founded	14/02/1989
Company status	active		Company type	Public Limited Liability Company (BE)
Currency	Euro (€)		Date of latest accounts	31/12/2012
Activity code	46761		liable for VAT	yes
Activity description	Wholesale of diamonds and other precious stones		VAT Number	BE.0436.734.085
Belgian Bullettin of Acts Publications	moniteur belge

Contractor details

Check Article 30 Bis

Registered contractor number	-
Contractor description	-
Date struck off register

Personnel (NSSO classification)

Code	-
Description	FROM 1 TO 4 EMPLOYEES

Joint Industrial Committee (JIC)

JIC Code	218
Description	Additional national joint committee for the employees
category

JIC Code	324
Description	Joint committee for the industry and the trade in diamant
category

Significant Events

Event Date	02/06/2012
Event Description	authority appointed
Event Details	Commentaar 02-06-2012: Opheffing van de volmachten van Kalpesh Patel.

Event Date	02/06/2012
Event Description
Event Details	Neerlegging van de notulen van de algemene vergadering van aandeelhouders houdende goekeuring van bepalingen die van toepassing zijn ingeval van een controlewijziging.

comparison mode

averagemedian

Export accounts to CSV file

Profit & loss

Annual accounts	31-12-2012	%	31-12-2011	%	31-12-2010	Industry average 2012	%
Weeks	52		52		52
Currency	EUR		EUR		EUR
Turnover	268,115,580	26.38	212,152,348	14.54	185,217,582	36,336,742	637
Total operating expenses	265,138,285	26.26	210,001,839	14.80	182,932,509	35,955,429	637
Operating result	2,977,296	38.45	2,150,509	-5.89	2,285,072	148,518	1904
Total financial income	291	16254	2	-98.88	159	100,583	-99
Total financial expenses	2,644,609	41.25	1,872,261	-7.51	2,024,379	179,991	1369
Results on ordinary operations before taxation	332,978	19.67	278,250	6.67	260,853	59,984	455
Taxation	-1,500	-155	2,702	-93.58	42,099	24,352	-106
Results on ordinary operations after taxation	334,478	21.39	275,548	25.96	218,754	42,523	686
Extraordinary items	15,583	3671	413	-90.91	4,545	-7,716	201
Other appropriations	0.00	-	0.00	-	0.00	-	-
Net result	350,061	26.85	275,961	23.58	223,300	34,824	905
other information
Dividends	-	-	-	-	-	87,935	-
Director remuneration	78,600	-	-	-	-	122,257	-35.71
Employee costs	132,864	202	43,938	-33.46	66,037	143,809	-7.61
Wages and salary	109,260	237	32,373	-39.20	53,246	122,219	-10.60
Employee pension costs	-	-	-	-	-	1,466	-
Social security contributions	22,111	216	6,982	-33.91	10,565	30,527	-27.57
Other employee costs	1,493	-67.42	4,583	105	2,226	4,689	-68.16
Amortization and depreciation	20,933	-0.96	21,136	-64.46	59,472	17,885	17.04

balance sheet

Annual accounts	31-12-2012	%	31-12-2011	%	31-12-2010	Industry average 2012	%
Weeks	52		52		52
Currency	EUR		EUR		EUR
Intangible fixed assets	4,994	-	6,658	-	8,323	1,987	151
Tangible fixed assets	886,324	-29.38	1,255,042	-0.98	1,267,416	179,801	392
Land & building	847,951	-31.16	1,231,814	0	1,231,814	364,736	132
Plant & machinery	12,545	-21.54	15,989	-47.69	30,569	19,338	-35.13
Other tangible assets	51,656	256	14,477	43.80	10,067	40,966	26.09
Financial fixed assets	-	-	-	-	-	24,770	-
Total fixed assets	891,318	-29.36	1,261,700	-1.10	1,275,739	186,747	377
Inventories	27,313,618	137	11,504,310	92.54	5,974,951	2,220,106	1130
Raw materials & consumables	-	-	-	-	-	1,637,694	-
Work in progress	0	-	0	-	0	5,601	-100
Finished goods	27,313,618	137	11,504,310	92.54	5,974,951	1,361,344	1906
Other stocks	0	-	0	-	0	467,064	-100
Trade debtors	72,623,152	41.36	51,376,188	14.98	44,681,464	3,961,902	1733
Cash	647,607	-16.08	771,707	-29.82	1,099,665	210,997	206
other amounts receivable	10,392	33.85	7,764	65.86	4,681	136,201	-92.37
Miscellaneous current assets	13,245	27.25	10,409	14.77	9,070	19,474	-31.99
Total current assets	100,608,014	58.01	63,670,378	22.99	51,769,830	6,164,455	1532
current liabilities
Trade creditors	28,679,790	103	14,064,456	87.48	7,501,816	2,446,855	1072
Short term group loans	-	-	-	-	-	-	-
Other short term loans	45,170,633	37.87	32,762,383	16.55	28,110,927	1,846,983	2345
Miscellaneous current liabilities	815,755	-34.13	1,238,385	51.04	819,889	132	- -
Total current liabilities	74,666,178	55.34	48,065,224	31.93	36,432,631	4,529,313	1548
Long term debts
Long term group loans	-	-	-	-	-	-	- -
Other long term loans	16,367,000	142	6,750,760	-0.33	6,772,806	1461	- -
Other long term liabilities	0	-	0	-	0	163,639	-100
Total long term debts	16,367,000	142	6,750,760	-0.33	6,772,806	596,303	2644
shareholders equity
Issued share capital	8,623,500	0	8,623,500	0	8,623,500	764,851	1027
Share premium account	-	-	-	-	-	92,926	-
Reserves	1,842,654	23.45	1,492,593	22.68	1,216,632	404,640	355
Revaluation reserve	-	-	-	-	-	1,079,705	-
Total shareholders equity	10,466,154	3.46	10,116,093	2.80	9,840,132	1,204,643	768
Working capital	25,941,836	66.24	15,605,154	1.75	15,337,199	1,635,141	1486
Cashflow	370,994	24.87	297,097	5.07	282,771	49,757	645
Net worth	10,461,160	3.48	10,109,435	2.82	9,831,809	1,199,815	771

ratio analysis

Annual accounts	31-12-2012	change(%)	31-12-2011	change(%)	31-12-2010	Industry average 2012	%
Trading performance
Profit Before Tax	0.12	-7.69	0.13	-7.14	0.14	2,00	-94.00
Return on capital employed	1.24	-24.85	1.65	5.10	1.57	54,00	-97.70
Return on total assets employed	0.33	-23.26	0.43	-12.24	0.49	-471,00	0.07
Return on net assets employed	3.18	15.64	2.75	3.77	2.65	19,00	-83.26
Sales / net working capital	10.34	-23.97	13.60	12.58	12.08	71,00	-99
Stock turnover ratio	10.19	88.01	5.42	67.80	3.23	27,00	-62.26
Debtor days	98.87	11.86	88.39	0.39	88.05	108,00	-8.45
Creditor days	39.48	61.47	24.45	63.33	14.97	85,00	-53.55
short term stability
Current ratio	1.35	2.27	1.32	-7.04	1.42	5,00	-83.12
Liquidity ratio / acid ratio	0.98	-10.09	1.09	-13.49	1.26	4,00	-75.50
Current debt ratio	7.13	50.11	4.75	28.38	3.70	8,00	-10.88
Liquidity ratio reprocessed	-	-	-	-	-	-	-
long term stability
Gearing	587.97	50.53	390.60	10.18	354.50	201,00	192
Equity in percentage	10.31	-33.83	15.58	-16.01	18.55	-7.113,00	0.14
Total debt ratio	8.70	60.52	5.42	23.46	4.39	9,00	-3.33

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

Suspension of payments / moratorium history

Amount	-
Details	-

Payment expectations

Payment expectation days	39.48
Day sales outstanding	98.87

Industry comparison

Activity code	46761
Activity description	Wholesale of diamonds and other precious stones
Industry average payment expectation days	157.63
Industry average day sales outstanding	107.78

Industry quartile analysis

Payment expectations
Company result	39.48
Lower	121.46
Median	74.01
Upper	41.43
Day sales outstanding
Company result	98.87
Lower	107.66
Median	55.69
Upper	25.90

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

Companies that match this address

no Companies Match this address

Protested bills

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

NSSO details

Business number	436734085
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	SAROJ RAMESH PATEL
Position	Director
Start Date	05/08/2010
Street	9 BERKENLAAN ANTWERPEN
Post code	2610
Country	Belgium

Name	RAMESH PATEL
Position	Managing Director
Start Date	05/08/2010
Date of birth	29/03/1969
Street	9 BERKENLAAN ANTWERPEN
Post code	2610
Country	Belgium

Name	RAMESH PATEL
Position	Director
Start Date	29/09/1997
Date of birth	29/03/1969
Street	9 BERKENLAAN ANTWERPEN
Post code	2610
Country	Belgium

Name	RAMESH PATEL
Position	Chairman of the Board
Start Date	29/09/1997
Date of birth	29/03/1969
Street	9 BERKENLAAN ANTWERPEN
Post code	2610
Country	Belgium

Former director details

Name	LUC DISCRY
Position	Commissioner
Start Date	26/12/1997
End Date	-
Date of birth	03/08/1951
Street	4 BOSDUIFDREEF SCHILDE
Post code	2970
Country	Belgium

Name	RAMESH PATEL
Position	Principal Manager
Start Date	23/10/1997
End Date	29/09/1997
Date of birth	29/03/1969
Street	9 BERKENLAAN 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.

- 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.61.39
UK Pound	1	Rs.94.17
Euro	1	Rs.81.70

INFORMATION DETAILS

Report Prepared by :

SDA

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%)