MIRA INFORM REPORT

Report Date :

16.12.2013

IDENTIFICATION DETAILS

Name :	ATISH DIAMOND BVBA
Registered Office :	Hoveniersstraat 2, 2018 Antwerpen
Country :	Belgium
Financials (as on) :	31.12.2012
Date of Incorporation :	21.12.1983
Com. Reg. No.:	425026581
Legal Form :	Private Limited Company
Line of Business :	Wholesaler of diamonds and other precious stones
No. of Employees :	01

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 – September 30th, 2013

Country Name	Previous Rating (30.06.2013)	Current Rating (30.09.2013)
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

REGISTERED NAME & COMPANY SUMMARY

Business number	425026581
Company name	ATISH DIAMOND BVBA
Address	HOVENIERSSTRAAT 2
	2018 ANTWERPEN
Number of staff	1
Date of establishment	21/12/1983
Telephone number	0472747888
Fax number	032252530

DIRECTORS/MANAGEMENT

Current director details

Name	HARESH MEHTA
Position	Principal Manager
Start Date	08/11/2007
Street	24 GOUDENREGENLAAN ANTWERPEN
Post code	2610
Country	Belgium

Former director details

Name	HARESH MEHTA
Position	Director
Start Date	08/11/2007
End Date	-
Street	24 GOUDENREGENLAAN ANTWERPEN
Post code	2610
Country	Belgium

NEGATIVE INFORMATION

Court data summary

Bankruptcy details
Court action type	no
Protested bills
Bill amount	-
NSSO details
Date of summons	28/02/2005

Business number	425026581	Company name	ATISH DIAMOND BVBA
Fax number	032252530	Date founded	21/12/1983
Company status	active	Company type	Private Limited Company (BL/LX)
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.0425.026.581
Belgian Bullettin of Acts Publications	moniteur belge

NSSO details

Business number	425026581
Name of defendant	ATISH DIAMONDS
Legal form of defendant	Private limited liability company
Date of summons	28/02/2005
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	28/02/2005	Secondary event date
Court number		Registry body identfier
Court type		Court name	ANTWERPEN

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	67.60
Industry average payment expectation days	165.54	Industry average day sales outstanding	116.45
Day sales outstanding	77.66

Industry comparison

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

Payment expectations

Payment expectation days	67.60
Day sales outstanding	77.66

Industry comparison

Activity code	46761
Activity description	Wholesale of diamonds and other precious stones
Industry average payment expectation days	165.54
Industry average day sales outstanding	116.45

Industry quartile analysis

Payment expectations
Company result	67.60
Lower	134.36
Median	84.93
Upper	44.93
Day sales outstanding
Company result	77.66
Lower	112.73
Median	59.01
Upper	28.58

GROUP STRUCTURE & AFFILIATED COMPANIES

Summary

Group - Number of Companies	0
Linkages - Number of Companies	0
Number of Countries	0

Group Structure

No group structure for this company.

FINANCIAL INFORMATION

Accounts

Date of latest accounts	Turnover	Profit Before Tax	Net worth	Working capital
31/12/2012	22,040,012	34,233	2,641,989	3,242,700
31/12/2011	22,660,754	36,366	2,614,296	3,227,802
31/12/2010	11,779,360	19,946	2,580,939	3,175,951

Accounts

Date of latest accounts	Balance Total	Number of Employees	Capital	Cashflow
31/12/2012	11,943,271	0	2,268,755	57,832
31/12/2011	11,515,933	0	2,268,755	64,324
31/12/2010	8,027,534	0	2,268,755	49,855

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	22,040,012	-2.74	22,660,754	92.38	11,779,360	46,354,280	-52.45
Total operating expenses	21,821,241	-2.75	22,438,709	92.81	11,637,591	45,960,199	-52.52
Operating result	218,771	-1.47	222,045	56.63	141,768	149,299	46.53
Total financial income	762	2704	27	-96.62	804	98,474	-99
Total financial expenses	185,300	-0.22	185,707	51.44	122,627	206,049	-10.07
Results on ordinary operations before taxation	34,233	-5.86	36,366	82.32	19,946	33,073	3.51
Taxation	9,040	76.55	5,120	17.80	4,347	20,878	-56.70
Results on ordinary operations after taxation	25,193	-19.37	31,245	100	15,600	18,219	38.28
Extraordinary items	2,500	143	1,026	122	462	-4,731	52.84
Other appropriations	0.00	-	0.00	-	0.00	-	-
Net result	27,693	-14.19	32,271	100	16,061	13,505	105
other information
Dividends	-	-	-	-	-	172,177	-
Director remuneration	-	-	-	-	-	112,756	-
Employee costs	11,241	13154	85	179	-47	128,209	-91.23
Wages and salary	10,463	-	-	-	-	106,943	-90.22
Employee pension costs	-	-	-	-	-	14,428	-
Social security contributions	88	-	-	-	13	26,960	-99
Other employee costs	690	713	85	141	-60	4,447	-84.48
Amortization and depreciation	30,139	-5.97	32,053	-5.15	33,794	17,659	70.67

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	0	-	0	-	1,085	1,599	-100
Tangible fixed assets	300,462	-8.68	329,035	-6.96	353,633	183,469	63.77
Land & building	239,180	-1.46	242,735	-1.44	246,289	357,447	-33.09
Plant & machinery	59,849	-24.38	79,146	-14.07	92,109	22,553	165
Furniture & Vehicles	1,432	-79.98	7,155	-53.04	15,235	17,380 5,418	-91.76
Leasing & Other Similar Rights	-	-	-	-	-	142,153 32,369	-
Other tangible assets	0	-	0	-	0	7,857	-100
Financial fixed assets	1,166	0	1,166	0	1,166	294,591	-99
Total fixed assets	301,627	-8.65	330,201	-7.22	355,883	385,406	-21.74
Inventories	6,129,684	18.79	5,160,034	-2.68	5,302,369	3,084,234	98.74
Raw materials & consumables	-	-	-	-	-	7,209,884	-
Work in progress	0	-	0	-	0	2,474	-100
Finished goods	6,129,684	18.79	5,160,034	-2.68	5,302,369	1,969,752	211
Other stocks	0	-	0	-	0	575,356	-100
Trade debtors	4,689,290	-21.07	5,941,397	481	1,020,946	4,156,596	12.82
Cash	816,677	938	78,671	-94.14	1,342,913	222,496	267
other amounts receivable	4,513	11.81	4,036	-13.20	4,650	184,388	-97.55
Miscellaneous current assets	1,480	-7.14	1,594	106	774	17,970	-91.76
Total current assets	11,641,644	4.08	11,185,732	45.81	7,671,651	7,192,452	61.86
Total Assets	11,943,271	3.71	11,515,933	43.46	8,027,534	7,546,608 1,454,122	58.26
current liabilities
Trade creditors	4,041,582	-11.17	4,549,736	34.62	3,379,730	3,016,229	33.99
Short term group loans	-	-	-	-	-	-	-
Financial debts	4,209,803	28.79	3,268,687	231	985,353	4,237,715 193,728	-0.66
Current portion of long term debt	28,000	0	28,000	-6.95	30,092	107,545 15,189	-73.96
Amounts Payable for Taxes, Remuneration & Social Security	26,745	118	12,239	50.00	8,160	9,398 -	-21.29
Miscellaneous current liabilities	92,814	-6.50	99,267	7.47	92,366	-69.30	- -
Total current liabilities	8,398,944	5.54	7,957,930	77.01	4,495,700	5,323,948	57.76
Long term debts and liabilities
Long term group loans	-	-	-	-	-	-	- -
Other long term loans	224,000	-11.11	252,000	-10.0	280,000	-79.88	- -
Deffered taxes	-	-	-	-	-	35,141 24,730	-
Provisions for Liabilities & Charges	0	-	0	-	0	3,211 0	-100
Other long term liabilities	678,339	-1.93	691,707	3.27	669,810	129,944	422
Total long term debts	902,339	-4.38	943,707	-0.64	949,810	567,386	59.03
shareholders equity
Issued share capital	2,268,755	0	2,268,755	0	2,268,755	911,754	148
Share premium account	-	-	-	-	-	109,362	-
Reserves	373,233	8.01	345,540	10.30	313,269	699,073	-46.61
Revaluation reserve	-	-	-	-	-	968,672	-
Total shareholders equity	2,641,989	1.06	2,614,296	1.25	2,582,024	1,641,262	60.97
Working capital	3,242,700	0.46	3,227,802	1.63	3,175,951	1,868,504	73.55
Cashflow	57,832	-10.09	64,324	29.02	49,855	28,055	106
Net worth	2,641,989	1.06	2,614,296	1.29	2,580,939	1,637,953	61.30

Ratio analysis

Annual accounts	31-12-2012	change(%)	31-12-2011	change(%)	31-12-2010	Industry average 2012	%
Trading performance
Profit Before Tax	0.16	0	0.16	-5.88	0.17	-26,00	0.62
Return on capital employed	0.97	-4.90	1.02	82.14	0.56	31,00	-96.87
Return on total assets employed	0.29	-9.38	0.32	28.00	0.25	-212,00	0.14
Return on net assets employed	1.30	-6.47	1.39	80.52	0.77	20,00	-93.50
Sales / net working capital	6.80	-3.13	7.02	89.22	3.71	45,00	-99
Stock turnover ratio	27.81	22.13	22.77	-49.41	45.01	113,00	-75.39
Debtor days	77.66	-18.85	95.70	202	31.64	134,00	-42.04
Creditor days	67.60	-8.66	74.01	-30.18	106	123,00	-45.04
short term stability
Current ratio	1.39	-1.42	1.41	-17.54	1.71	7,00	-84.56
Liquidity ratio / acid ratio	0.66	-13.16	0.76	43.40	0.53	4,00	-83.50
Current debt ratio	3.18	4.61	3.04	74.71	1.74	9,00	-64.67
Liquidity ratio reprocessed	-	-	-	-	-	-	-
long term stability
Gearing	168.88	24.41	135.74	170	50.17	371,00	-54.48
Equity in percentage	22.12	-2.56	22.70	-29.44	32.17	-3.312,00	0.67
Total debt ratio	3.52	3.53	3.40	61.14	2.11	11,00	-68.00

ADDITIONAL INFORMATION

Social Balance Sheet Details

Social Balance Sheet	Total
During the reporting year ended 31-12-2012
Full-time Employees	-
Part-time Employees	1
Total Fte Employees	0
Number of hours worked
Full-time Employees	-
Part-time Employees	1,512
Total	1,512
Personnel Charges
Full-time Employees	-
Part-time Employees	11,241
Total	11,241
Benefits In Addition To Wages	-
During the previous reporting year
Average number employees in Fte	-
Actual working hours	-
Personnel Charges	-
Benefits In Addition To Wages	-

Type of Contract	Full-Time	Part-Time	Total Fte
Unlimited Duration Contracts	-	1	1
Limited Duration Contracts	-	-	-
Contracts For Specific Work	-	-	-
Contracts Regarding Substitution	-	-	-

Gender and Education Level
Men	Full-Time	Part-Time	Total Fte
Primary education	-	-	-
Secondary education	-	1	1
Higher education (non university)	-	-	-
Higher education (university)	-	-	-
Women	Full-Time	Part-Time	Total Fte
Primary education	-	-	-
Secondary education	-	-	-
Higher education (non university)	-	-	-
Higher education (university)	-	-	-

Working Category	Full-Time	Part-Time	Total Fte
Management	-	-	-
White collar worker	-	1	1
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	-	-	-

Personnel (NSSO classification)

Code	-
Description	1 EMPLOYEES

Joint Industrial Committee (JIC)

JIC Code	218
Description	Additional national joint committee for the employees

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

Significant Events

Event Date	30/09/2008
Event Details	Uitbreiding doel.

NOTES & COMMENTS

Commentary

The business was established over 30 years ago.
The business has 1 employees.
The business has been at the address for over 18 years.
The business saw an increase in their Cash Balance of 938% during the latest trading period.

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.62.13
UK Pound	1	Rs.101.53
Euro	1	Rs.85.41

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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