MIRA
INFORM REPORT
|
Report Date : |
16.08.2013 |
IDENTIFICATION DETAILS
|
Name : |
S.V. GEMS NV |
|
|
|
|
Registered Office : |
Hoveniersstraat 30 2018 Antwerpen |
|
|
|
|
Country : |
460857886 |
|
|
|
|
Financials (as on) : |
31.12.2012 |
|
|
|
|
Date of Incorporation : |
03.06.1997 |
|
|
|
|
Legal Form : |
Public Limited Liability Company (BE) |
|
|
|
|
LINE OF BUSINESS : |
WHOLESALE OF DIAMONDS AND OTHER PRECIOUS STONES |
|
|
|
|
No. of Employees : |
3 |
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 31st, 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 |
460857886 |
|
Company name |
S.V. GEMS NV |
|
Address |
HOVENIERSSTRAAT 30 |
|
|
2018 ANTWERPEN |
|
|
|
|
Number of staff |
3 |
|
Date of
establishment |
03/06/1997 |
|
Telephone number |
032320284 |
|
Fax number |
- |
Ultimate holding company
|
Company name |
|
Company Number |
|
|
Commentary
|
The business was established over 16 years ago. |
|
|
The business has 1 employees. |
|
|
The business is part of a group. |
|
|
This business has a foreign parent business. |
|
|
The business has been at the address for over 15 years. |
|
|
The credit rating for this business has increased from 90 to 92. |
|
|
The credit limit for this business has increased from €2850000 to
€3800000. |
|
|
A 28% growth in Total Assets occurred during the latest trading
period. |
|
|
Pre-tax profits decreased by 24% compared to the previous trading
period. |
|
|
The business saw a decrease in their Cash Balance of 96% during the
latest trading period. |
|
Accounts
|
Date of latest
accounts |
Turnover |
Profit Before
Tax |
Net worth |
Working capital |
|
31/12/2012 |
120,254,555 |
188,582 |
1,223,357 |
20,215,726 |
|
31/12/2011 |
132,697,397 |
251,124 |
1,090,336 |
22,353,463 |
|
31/12/2010 |
95,430,527 |
168,007 |
871,078 |
17,938,568 |
Accounts
|
Date of latest
accounts |
Balance Total |
Number of
Employees |
Capital |
Cashflow |
|
31/12/2012 |
45,265,994 |
3 |
640,000 |
181,087 |
|
31/12/2011 |
35,232,857 |
2 |
640,000 |
255,219 |
|
31/12/2010 |
36,785,317 |
2 |
640,000 |
208,120 |
Trends
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Payment expectations
|
Past payments |
|
Payment
expectation days |
7.95 |
|
Industry average
payment expectation days |
159.71 |
Industry average
day sales outstanding |
109.90 |
|
Day sales
outstanding |
119.11 |
||
Court data summary
|
Bankruptcy
details |
|||
|
Court action
type |
no |
||
|
Protested bills |
|||
|
Bill amount |
- |
||
|
NSSO details |
|||
|
Date of summons |
15/01/2007 |
||
|
Business number |
460857886 |
Company name |
S.V. GEMS NV |
|
Fax number |
- |
Date founded |
03/06/1997 |
|
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.0460.857.886 |
|
Belgian
Bullettin of Acts Publications |
|
|
|
Social Balance Sheet Details
|
Social Balance
Sheet |
Total |
||
|
During the
reporting year |
|
||
|
Full-time
Employees |
2 |
||
|
Part-time
Employees |
- |
||
|
Total Fte
Employees |
2 |
||
|
|
|
||
|
Number of hours
worked |
|
||
|
Full-time
Employees |
4,172 |
||
|
Part-time
Employees |
- |
||
|
Total |
4,172 |
||
|
|
|
||
|
Personnel
Charges |
|
||
|
Full-time
Employees |
90,007 |
||
|
Part-time
Employees |
- |
||
|
Total |
90,007 |
||
|
Benefits In Addition
To Wages |
- |
||
|
|
|
||
|
During the
previous reporting year |
|
||
|
Average number
employees in Fte |
2 |
||
|
Actual working
hours |
2,979 |
||
|
Personnel
Charges |
58,890 |
||
|
Benefits In
Addition To Wages |
- |
||
|
Type of Contract |
Full-Time |
Part-Time |
Total Fte |
|
Unlimited
Duration Contracts |
2 |
- |
2 |
|
Limited Duration
Contracts |
1 |
- |
1 |
|
Contracts For
Specific Work |
- |
- |
- |
|
Contracts
Regarding Substitution |
- |
- |
- |
|
Gender and
Education Level |
|
|
|
|
Men |
Full-Time |
Part-Time |
Total Fte |
|
Primary
education |
1 |
- |
1 |
|
Secondairy
education |
- |
- |
- |
|
Higher education
(non university) |
- |
- |
- |
|
Higher education
(university) |
- |
- |
- |
|
Women |
Full-Time |
Part-Time |
Total Fte |
|
Primary
education |
- |
- |
- |
|
Secondairy
education |
1 |
- |
1 |
|
Higher education
(non university) |
1 |
- |
1 |
|
Higher education
(university) |
- |
- |
- |
|
Working Category |
Full-Time |
Part-Time |
Total Fte |
|
Management |
- |
- |
- |
|
White collar
worker |
3 |
- |
3 |
|
Blue collar
worker |
- |
- |
- |
|
Other |
- |
- |
- |
|
Temporary
personnel |
Total |
||
|
Average number
of temporary staff |
- |
||
|
Actual working
hours |
- |
||
|
Cost of temporary
staff |
- |
||
|
New staff and
leavers |
Full-Time |
Part-Time |
Total Fte |
|
New Starters |
1 |
- |
1 |
|
Leavers |
- |
- |
- |
|
Total of formal
continuing vocational training initiatives for workers paid by the employer |
Male |
Female |
|
Number of
employees |
- |
- |
|
Number of
training hours |
- |
- |
|
Net costs for
enterprise |
- |
- |
|
Total of less
formal and informal continuing vocational training initiatives for workers
paid by the employer |
Male |
Female |
|
Number of
employees |
- |
- |
|
Number of
training hours |
- |
- |
|
Net costs for
enterprise |
- |
- |
|
Total of initial
training initiatives at the expense of the employer |
Male |
Female |
|
Number of
employees |
- |
- |
|
Number of
training hours |
- |
- |
|
Net costs for enterprise |
- |
- |
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 |
324.02 |
|
Description |
JSC small merchandisers in the diamant industry and trade |
|
category |
|
Significant Events
|
Event Date |
24/06/2011 |
|
Event
Description |
re-appointment of director(s) |
|
Event Details |
Commentaar 24-06-2011: Herbenoemd als bestuurder en gedelegeerd
bestuurder tot na de jaarvergadering van 2017: Shah Abhaykumar. |
|
comparison mode |
|
averagemedian
|
Profit & loss
|
Annual accounts |
31-12-2012 |
% |
31-12-2011 |
% |
31-12-2010 |
Industry average |
% |
|
Weeks |
52 |
|
52 |
|
52 |
|
|
|
Currency |
EUR |
|
EUR |
|
EUR |
|
|
|
Turnover |
120,254,555 |
-9.38 |
132,697,397 |
39.05 |
95,430,527 |
38,783,885 |
210 |
|
Total operating expenses |
119,592,693 |
-9.48 |
132,113,505 |
39.46 |
94,732,095 |
38,413,678 |
211 |
|
661,861 |
13.35 |
583,892 |
-16.40 |
698,432 |
154,559 |
328 |
|
|
143,927 |
-34.08 |
218,330 |
1519 |
13,479 |
90,161 |
59.63 |
|
|
617,206 |
12.00 |
551,098 |
1.32 |
543,904 |
177,456 |
247 |
|
|
188,582 |
-24.90 |
251,124 |
49.47 |
168,007 |
59,483 |
217 |
|
|
58,670 |
56.87 |
37,400 |
- |
- |
23,248 |
152 |
|
|
129,912 |
-39.22 |
213,724 |
27.21 |
168,007 |
42,752 |
203 |
|
|
3,109 |
-43.83 |
5,534 |
39.65 |
3,963 |
-7,056 |
44.06 |
|
|
0.00 |
- |
0.00 |
- |
0.00 |
- |
- |
|
|
133,021 |
-39.33 |
219,259 |
27.50 |
171,970 |
35,711 |
272 |
|
|
other
information |
|||||||
|
- |
- |
- |
- |
- |
80,069 |
- |
|
|
80,530 |
51.83 |
53,040 |
70.48 |
31,112 |
115,272 |
-30.14 |
|
|
90,007 |
52.84 |
58,890 |
-45.32 |
107,690 |
139,828 |
-35.63 |
|
|
70,483 |
55.36 |
45,368 |
-45.37 |
83,043 |
117,882 |
-40.21 |
|
|
- |
- |
- |
- |
- |
1,466 |
- |
|
|
14,892 |
70.90 |
8,714 |
-55.04 |
19,384 |
29,216 |
-49.03 |
|
|
4,631 |
-3.67 |
4,808 |
-8.65 |
5,263 |
4,469 |
3.63 |
|
|
48,067 |
33.66 |
35,961 |
-0.52 |
36,150 |
18,024 |
166 |
|
balance sheet
|
Annual accounts |
31-12-2012 |
% |
31-12-2011 |
% |
31-12-2010 |
Industry average |
% |
|
Weeks |
52 |
|
52 |
|
52 |
|
|
|
Currency |
EUR |
|
EUR |
|
EUR |
|
|
|
0 |
- |
0 |
- |
0 |
1,781 |
-100 |
|
|
524,557 |
21.12 |
433,091 |
-2.26 |
443,092 |
186,093 |
181 |
|
|
353,564 |
-3.16 |
365,111 |
2.80 |
355,183 |
354,553 |
-0.28 |
|
|
169,561 |
161 |
64,930 |
-22.00 |
83,241 |
25,327 |
569 |
|
|
1,432 |
-53.04 |
3,050 |
-34.66 |
4,668 |
16,719 6,420 |
-91.43 |
|
|
- |
- |
- |
- |
- |
88,568 25,007 |
- |
|
|
0 |
- |
0 |
- |
0 |
13,370 |
-100 |
|
|
6,486 |
-32.34 |
9,586 |
-83.52 |
58,172 |
24,251 |
-73.25 |
|
|
531,043 |
19.96 |
442,677 |
-11.69 |
501,263 |
192,299 |
176 |
|
|
2,565,352 |
13.12 |
2,267,791 |
-77.42 |
10,044,145 |
2,549,474 |
0.62 |
|
|
- |
- |
- |
- |
- |
1,637,694 |
- |
|
|
Work in progress |
0 |
- |
0 |
- |
0 |
4,968 |
-100 |
|
2,565,352 |
13.12 |
2,267,791 |
-77.42 |
10,044,145 |
1,651,641 |
55.32 |
|
|
0 |
- |
0 |
- |
0 |
436,080 |
-100 |
|
|
39,243,905 |
46.88 |
26,717,914 |
19.36 |
22,383,391 |
4,309,481 |
810 |
|
|
Cash |
56,116 |
-96.82 |
1,765,083 |
1087 |
148,621 |
215,885 |
-74.01 |
|
2,860,052 |
-29.03 |
4,030,039 |
8.92 |
3,700,133 |
130,638 |
2089 |
|
|
9,527 |
1.86 |
9,353 |
20.48 |
7,763 |
18,518 |
-48.55 |
|
|
44,734,951 |
28.58 |
34,790,180 |
-4.12 |
36,284,054 |
6,768,831 |
560 |
|
|
45,265,994 |
28.48 |
35,232,857 |
-4.22 |
36,785,317 |
6,937,395 1,271,211 |
552 |
|
|
current
liabilities |
|||||||
|
2,603,340 |
113 |
1,220,506 |
-72.49 |
4,436,859 |
2,913,161 |
-10.64 |
|
|
- |
- |
- |
- |
- |
- |
- |
|
|
21,077,202 |
111 |
9,973,687 |
-21.73 |
12,742,623 |
3,998,563 201,166 |
427 |
|
|
59,720 |
4.55 |
57,123 |
4.47 |
54,677 |
68,871 13,570 |
-13.29 |
|
|
128,918 |
158 |
49,898 |
257 |
13,969 |
8,714 - |
264 |
|
|
650,046 |
-42.75 |
1,135,503 |
3.48 |
1,097,359 |
107 |
- - |
|
|
24,519,225 |
97.15 |
12,436,716 |
-32.21 |
18,345,486 |
5,079,147 |
382 |
|
|
Long term debts and
liabilities |
|||||||
|
Long term group loans |
- |
- |
- |
- |
- |
- |
- - |
|
Other long term loans |
51,820 |
-53.54 |
111,540 |
-33.87 |
168,664 |
-95.15 |
- - |
|
Deffered taxes |
- |
- |
- |
- |
- |
25,220 11,823 |
- |
|
Provisions for Liabilities & Charges |
0 |
- |
0 |
- |
0 |
1,894 0 |
-100 |
|
Other long term liabilities |
19,471,592 |
-9.83 |
21,594,264 |
24.10 |
17,400,090 |
170,129 |
11345 |
|
19,523,412 |
-10.05 |
21,705,804 |
23.55 |
17,568,753 |
605,922 |
3122 |
|
|
shareholders
equity |
|||||||
|
640,000 |
0 |
640,000 |
0 |
640,000 |
787,875 |
-18.77 |
|
|
- |
- |
- |
- |
- |
92,926 |
- |
|
|
583,357 |
29.54 |
450,336 |
94.89 |
231,078 |
434,097 |
34.38 |
|
|
- |
- |
- |
- |
- |
983,293 |
- |
|
|
Total shareholders equity |
1,223,357 |
12.20 |
1,090,336 |
25.17 |
871,078 |
1,254,952 |
-2.52 |
|
20,215,726 |
-9.56 |
22,353,463 |
24.61 |
17,938,568 |
1,689,685 |
1096 |
|
|
181,087 |
-29.05 |
255,219 |
22.63 |
208,120 |
50,794 |
256 |
|
|
1,223,357 |
12.20 |
1,090,336 |
25.17 |
871,078 |
1,250,545 |
-2.17 |
|
ratio analysis
|
Annual accounts |
31-12-2012 |
change(%) |
31-12-2011 |
change(%) |
31-12-2010 |
Industry average |
% |
|
Trading
performance |
|||||||
|
Profit Before Tax |
0.16 |
-15.79 |
0.19 |
5.56 |
0.18 |
1,00 |
-84.00 |
|
0.91 |
-17.27 |
1.10 |
20.88 |
0.91 |
49,00 |
-98.14 |
|
|
0.42 |
-40.85 |
0.71 |
54.35 |
0.46 |
-419,00 |
0.10 |
|
|
15.42 |
-33.04 |
23.03 |
19.39 |
19.29 |
18,00 |
-14.33 |
|
|
5.95 |
0.17 |
5.94 |
11.65 |
5.32 |
61,00 |
-99 |
|
|
2.13 |
24.56 |
1.71 |
-83.76 |
10.53 |
35,00 |
-93.91 |
|
|
119.11 |
62.08 |
73.49 |
-14.16 |
85.61 |
113,00 |
5.41 |
|
|
7.95 |
135 |
3.37 |
-80.29 |
17.10 |
94,00 |
-91.54 |
|
|
short term
stability |
|||||||
|
1.82 |
-35.00 |
2.80 |
41.41 |
1.98 |
4,00 |
-74.00 |
|
|
1.72 |
-34.35 |
2.62 |
83.22 |
1.43 |
3,00 |
-42.67 |
|
|
20.04 |
75.64 |
11.41 |
-45.82 |
21.06 |
7,00 |
186 |
|
|
Liquidity ratio reprocessed |
- |
- |
- |
- |
- |
- |
|
|
long term
stability |
|||||||
|
1732.02 |
86.20 |
930.20 |
-37.51 |
1488.50 |
212,00 |
716 |
|
|
2.70 |
-12.62 |
3.09 |
30.38 |
2.37 |
-6.314,00 |
0.04 |
|
|
36 |
14.98 |
31.31 |
-24.06 |
41.23 |
8,00 |
350 |
|
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 |
7.95 |
|
Day sales
outstanding |
119.11 |
Industry comparison
|
Activity code |
46761 |
|
Activity
description |
Wholesale of diamonds and other precious stones |
|
Industry average
payment expectation days |
159.71 |
|
Industry average
day sales outstanding |
109.90 |
Industry quartile analysis
|
Payment
expectations |
|
|
Company result |
7.95 |
|
Lower |
121.91 |
|
Median |
75.80 |
|
Upper |
42.76 |
|
|
|
|
|
|
|
Day sales
outstanding |
|
|
Company result |
119.11 |
|
Lower |
107.55 |
|
Median |
55.89 |
|
Upper |
26.77 |
|
|
|
Summary
|
Group - Number
of Companies |
2 |
|
Linkages -
Number of Companies |
0 |
|
Number of
Countries |
0 |
Group Structure
|
Company name |
|
Number |
Latest |
|
|
460857886 |
31-12-2012 |
|
|
|
874131435 |
31-12-2012 |
Minority Shareholders
|
No minority shareholders found |
Minority Interests
|
No minority interests found |
NSSO details
|
Business number |
460857886 |
|
Name of
defendant |
SV GEMS |
|
Legal form of
defendant |
Limited company |
|
Date of summons |
15/01/2007 |
|
Labour court |
ANTWERPEN |
Bankruptcy details
|
There is no bankruptcy data against this company |
|
Legal events
|
Legal event type |
Social Security Summons |
||
|
Legal event sub
type |
|
||
|
Event date |
15/01/2007 |
Secondary event
date |
|
|
Court number |
|
Registry body
identfier |
|
|
Court type |
Employment Court |
Court name |
Antwerpen |
|
3rd party name |
Rijksdienst voor Sociale Zekerheid |
3rd party type |
Summoning Party |
|
3rd party
address |
|
||
Current director details
|
Name |
|
|
Position |
Managing Director |
|
Start Date |
03/08/2010 |
|
Date of birth |
04/07/1973 |
|
Street |
4 SORBENLAAN ANTWERPEN |
|
Post code |
2610 |
|
Country |
Belgium |
|
|
|
|
Name |
|
|
Position |
Director |
|
Start Date |
21/09/2005 |
|
Date of birth |
04/07/1973 |
|
Street |
4 SORBENLAAN ANTWERPEN |
|
Post code |
2610 |
|
Country |
Belgium |
|
|
|
|
Name |
|
|
Position |
Chairman of the Board |
|
Start Date |
21/09/2005 |
|
Date of birth |
04/07/1973 |
|
Street |
4 SORBENLAAN ANTWERPEN |
|
Post code |
2610 |
|
Country |
Belgium |
|
|
|
|
Name |
|
|
Position |
Director |
|
Start Date |
03/08/2010 |
|
Street |
25 RAFFUES PLACE |
|
Post code |
048624 |
|
Country |
Singapore |
|
|
|
|
Name |
|
|
Position |
Director |
|
Start Date |
02/08/2011 |
|
Street |
|
|
Post code |
|
|
Country |
Singapore |
|
|
|
|
Name |
|
|
Position |
Legal Representative |
|
Start Date |
21/09/2005 |
|
Street |
|
|
Post code |
|
|
Country |
|
|
|
|
|
Name |
|
|
Position |
Managing Director |
|
Start Date |
21/09/2005 |
|
Street |
|
|
Post code |
|
|
Country |
|
|
|
|
|
Name |
|
|
Position |
Director |
|
Start Date |
21/09/2005 |
|
Street |
|
|
Post code |
|
|
Country |
|
|
|
|
FORMER DIRECTOR DETAILS
|
Name |
|
|
Position |
Principal Manager |
|
Start Date |
03/06/1997 |
|
End Date |
01/07/2002 |
|
Street |
36 EEKHOORNLAAN ANTWERPEN |
|
Post code |
2610 |
|
Country |
Belgium |
|
|
|
|
Name |
|
|
Position |
Director |
|
Start Date |
24/06/2011 |
|
End Date |
30/09/2012 |
|
Street |
36 EEKHOORNLAAN ANTWERPEN |
|
Post code |
2610 |
|
Country |
Belgium |
|
|
|
|
Name |
|
|
Position |
Principal Manager |
|
Start Date |
03/06/1997 |
|
End Date |
21/09/2005 |
|
Date of birth |
04/07/1973 |
|
Street |
4 SORBENLAAN 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 8th Century B.C.
India, in fact, remained undisputed leader till 18th 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 30th 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.61.51 |
|
|
1 |
Rs.94.98 |
|
Euro |
1 |
Rs.81.62 |
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%)