MIRA INFORM REPORT

Report Date :

19.12.2013

IDENTIFICATION DETAILS

Name :	H.D. DIAM BVBA
Registered Office :	Hoveniersstraat 2 2018 Antwerpen
Country :	Belgium
Financials (as on) :	31.12.2012
Date of Incorporation :	18.10.2007
Com. Reg. No.:	892903014
Legal Form :	Private Limited Company
Line of Business :	Wholesale 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 – 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

REGISTERED NAME & COMPANY SUMMARY

Business number	892903014
Company name	H.D. DIAM BVBA
Address	HOVENIERSSTRAAT 2
	2018 ANTWERPEN
Number of staff	0
Date of establishment	18/10/2007
Telephone number	037705299
Fax number	032939625

DIRECTORS/MANAGEMENT

Current director details

Name	DHARMESHKUMAR BHAGWANBHAI PATEL
Position	Principal Manager
Start Date	09/07/2008
Street	41 VAN EYCKLEI ANTWERPEN
Post code	2018
Country	Belgium

Former director details

Name	HARI DARSHAN EXPORTS
Position	Principal Manager
Start Date	04/10/2007
End Date	08/07/2008
Street
Post code
Country	India

NEGATIVE INFORMATION

Court data summary

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

Business number	892903014	Company name	H.D. DIAM BVBA
Fax number	032939625	Date founded	18/10/2007
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.0892.903.014
Belgian Bullettin of Acts Publications	moniteur belge

NSSO details

Business number	892903014
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	94.79
Industry average payment expectation days	165.68	Industry average day sales outstanding	116.68
Day sales outstanding	91.73

Suspension of payments / moratorium history

Amount	-
Details	-

Payment expectations

Payment expectation days	94.79
Day sales outstanding	91.73

Industry comparison

Activity code	46761
Activity description	Wholesale of diamonds and other precious stones
Industry average payment expectation days	165.68
Industry average day sales outstanding	116.68

Industry quartile analysis

Payment expectations
Company result	94.79
Lower	134.58
Median	84.97
Upper	45.29

Day sales outstanding
Company result	91.73
Lower	113.11
Median	59.42
Upper	28.58

GROUP STRUCTURE & AFFILIATED COMPANIES

Ultimate holding company

Safe number	Company name	Company Number	View linked companies from outside this company's group structure
-	-	-	No linked companies have been found.

No group structure for this company.

FINANCIAL INFORMATION

Accounts

Date of latest accounts	Turnover	Profit Before Tax	Net worth	Working capital
31/12/2012	30,419,665	93,462	2,053,965	3,613,480
31/12/2011	38,295,985	258,449	1,974,753	2,889,074
31/12/2010	14,664,572	200,201	1,786,193	2,031,822

Accounts

Date of latest accounts	Balance Total	Number of Employees	Capital	Cashflow
31/12/2012	15,130,894	0	1,518,600	123,273
31/12/2011	12,033,349	0	1,518,600	237,149
31/12/2010	7,073,481	0	1,518,600	192,753

Trends

Profitability
Liquidity
Net worth

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

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

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

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	30,419,665	-20.57	38,295,985	161	14,664,572	47,072,785	-35.38
Total operating expenses	30,117,898	-20.52	37,895,407	162	14,424,681	46,675,644	-35.47
Operating result	301,768	-24.67	400,578	66.98	239,891	150,671	100
Total financial income	484	2.68	471	126	209	98,414	-99
Total financial expenses	208,789	46.42	142,601	257	39,899	207,211	0.76
Results on ordinary operations before taxation	93,462	-63.84	258,449	29.09	200,201	33,262	180
Taxation	12,645	-81.91	69,888	430	13,169	21,170	-40.27
Results on ordinary operations after taxation	80,817	-57.14	188,560	0.82	187,032	18,194	344
Extraordinary items	-919	-	0	-	0	-4,646	19.78
Other appropriations	0.00	-	0.00	-	0.00	-	-
Net result	79,898	-57.63	188,560	0.82	187,032	13,568	488
other information
Dividends	-	-	-	-	-	172,177	-
Director remuneration	-	-	-	-	-	114,526	-
Employee costs	-	-	-	-	277	128,859	-
Wages and salary	-	-	-	-	-	107,466	-
Employee pension costs	-	-	-	-	-	14,428	-
Social security contributions	-	-	-	-	-	27,111	-
Other employee costs	0	-	0	-100	277	4,462	-100
Amortization and depreciation	43,374	-10.73	48,589	749	5,722	17,881	142

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	687	-	0	-	0	1,598	-57.00
Tangible fixed assets	635,129	0.32	633,130	54.40	410,065	185,276	242
Land & building	490,088	-3.60	508,388	40.57	361,657	360,108	36.09
Plant & machinery	89,354	-12.37	101,963	234	30,476	23,015	288
Furniture & Vehicles	55,687	144	22,778	27.02	17,933	17,543 5,433	217
Leasing & Other Similar Rights	-	-	-	-	-	142,153 32,369	-
Other tangible assets	0	-	0	-	0	7,849	-100
Financial fixed assets	275	0	275	-90.21	2,810	294,278	-99
Total fixed assets	636,091	0.42	633,405	53.41	412,875	386,950	64.39
Inventories	6,727,877	1.74	6,612,500	111	3,132,575	3,126,892	115
Raw materials & consumables	-	-	-	-	-	7,209,884	-
Work in progress	0	-	0	-	0	2,471	-100
Finished goods	6,727,877	1.74	6,612,500	111	3,132,575	2,007,088	235
Other stocks	0	-	0	-	0	574,757	-100
Trade debtors	7,645,123	63.12	4,686,687	34.59	3,482,102	4,227,428	80.85
Cash	28,286	141	11,696	-27.97	16,238	223,463	-87.34
other amounts receivable	54,597	-0.39	54,809	2003	2,606	184,899	-70.47
Miscellaneous current assets	38,919	13.62	34,253	26.47	27,084	18,029	115
Total current assets	14,494,802	27.15	11,399,944	71.15	6,660,605	7,301,472	98.52
Total Assets	15,130,894	25.74	12,033,349	70.12	7,073,481	7,657,248 1,454,678	97.60
current liabilities
Trade creditors	7,821,701	20.79	6,475,390	72.68	3,749,997	3,085,067	153
Short term group loans	-	-	-	-	-	-	-
Financial debts	2,908,412	52.26	1,910,222	134	813,973	4,285,403 195,315	-32.13
Current portion of long term debt	60,002	14.51	52,400	27.37	41,139	108,856 15,346	-44.88
Amounts Payable for Taxes, Remuneration & Social Security	87,319	26.37	69,098	301	17,228	9,400 -	155
Miscellaneous current liabilities	3,889	3.43	3,760	-41.67	6,447	-98.71	- -
Total current liabilities	10,881,323	27.85	8,510,870	83.87	4,628,784	5,416,463	100
Long term debts and liabilities
Long term group loans	-	-	-	-	-	-	- -
Other long term loans	2,194,919	41.82	1,547,725	135	658,504	96.71	- -
Deffered taxes	-	-	-	-	-	37,626 26,358	-
Provisions for Liabilities & Charges	0	-	0	-	0	3,207 0	-100
Other long term liabilities	0	-	0	-	0	131,938	-100
Total long term debts	2,194,919	41.82	1,547,725	135	658,504	571,135	284
shareholders equity
Issued share capital	1,518,600	0	1,518,600	0	1,518,600	913,043	66.32
Share premium account	-	-	-	-	-	109,362	-
Reserves	536,052	17.52	456,153	70.47	267,593	711,976	-24.71
Revaluation reserve	-	-	-	-	-	968,672	-
Total shareholders equity	2,054,652	4.05	1,974,753	10.56	1,786,193	1,655,437	24.12
Working capital	3,613,480	25.07	2,889,074	42.19	2,031,822	1,885,010	91.70
Cashflow	123,273	-48.02	237,149	23.03	192,753	28,305	335
Net worth	2,053,965	4.01	1,974,753	10.56	1,786,193	1,652,116	24.32

Ratio analysis

Annual accounts	31-12-2012	change(%)	31-12-2011	change(%)	31-12-2010	Industry average 2012	%
Trading performance
Profit Before Tax	0.31	-53.73	0.67	-51.09	1.37	-26,00	1.19
Return on capital employed	2.20	-70.03	7.34	-10.38	8.19	31,00	-92.90
Return on total assets employed	0.62	-71.16	2.15	-24.03	2.83	-212,00	0.29
Return on net assets employed	4.55	-65.24	13.09	16.77	11.21	20,00	-77.25
Sales / net working capital	8.42	-36.50	13.26	83.66	7.22	45,00	-99
Stock turnover ratio	22.12	28.08	17.27	-19.15	21.36	113,00	-80.42
Debtor days	91.73	105	44.67	-48.46	86.67	134,00	-31.54
Creditor days	94.79	51.98	62.37	-34.27	94.89	122,00	-22.30
short term stability
Current ratio	1.33	-0.75	1.34	-6.94	1.44	7,00	-85.22
Liquidity ratio / acid ratio	0.71	26.79	0.56	-26.32	0.76	4,00	-82.25
Current debt ratio	5.30	22.97	4.31	66.41	2.59	9,00	-41.11
Liquidity ratio reprocessed	-	-	-	-	-	-	-
long term stability
Gearing	251.30	41.37	177.76	109	84.74	371,00	-32.26
Equity in percentage	13.58	-17.25	16.41	-35.01	25.25	-3.308,00	0.41
Total debt ratio	6.36	24.95	5.09	71.96	2.96	11,00	-42.18

FOREIGN EXCHANGE RATES

N/a

ADDITIONAL INFORMATION

Joint Industrial Committee (JIC)

Significant Events

Event Date	30/11/2010
Event Description	proposal to change address filed
Event Details	Commentaar 15-01-2011: De maatschappelijke zetel wordt overgebracht naar Hoveniersstraat 2 bus 502 2018 Antewerpen, en dit vanaf 15/01/2011.

Event Date	14/01/2011
Event Description	proposal to change address filed
Event Details

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

NOTES & COMMENTS

Commentary

The business was established over 6 years ago.
No employees are recorded for this business.
The business has been at the address for over 2 years.
Operating Result in the latest trading period decreased 24% on the previous trading period.
A 25% growth in Total Assets occurred during the latest trading period.
Pre-tax profits decreased by 63% compared to the previous trading period.
The business saw an increase in their Cash Balance of 141% 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.61.92
UK Pound	1	Rs.100.83
Euro	1	Rs.85.27

INFORMATION DETAILS

Report Prepared by :

NIS

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.