MIRA INFORM REPORT

Report Date :

06.07.2013

IDENTIFICATION DETAILS

Name :	A.C. DIAM BVBA
Registered Office :	Hoveniersstraat 30 2018 Antwerpen
Country :	Belgium
Financials (as on) :	31.03.2012
Date of Incorporation :	14.03.1997
Com. Reg. No.:	460264802
Legal Form :	Private Limited Company (BL/LX)
Line of Business :	Wholesale of diamonds and other precious stones
No. of Employees :	2

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	460264802
Company name	A.C. DIAM BVBA
Address	HOVENIERSSTRAAT 30
	2018 ANTWERPEN
Number of staff	2
Date of establishment	14/03/1997
Telephone number	-
Fax number	032329481

Commentary

The business was established over 16 years ago.

The business has 2 employees.

The business has been at the address for over 13 years.

The credit rating for this business has increased from 90 to 92.

The credit limit for this business has increased from €4500000 to €4600000.

A 39% growth in Total Assets occurred during the latest trading period.

The business saw an increase in their Cash Balance of 82227% during the latest trading period.

Accounts

Date of latest accounts	Turnover	Profit Before Tax	Net worth	Working capital
31/03/2012	160,613,538	414,187	4,438,683	8,121,400
31/03/2011	126,682,062	414,184	4,141,196	6,160,710
31/03/2010	108,484,565	338,432	3,727,013	5,940,991

Accounts

Date of latest accounts	Balance Total	Number of Employees	Capital	Cashflow
31/03/2012	56,487,631	2	4,000,000	389,984
31/03/2011	40,500,056	2	4,000,000	434,797
31/03/2010	37,039,798	2	4,000,000	349,891

Trends

Profitability
Liquidity
Net worth

Payment expectations

Past payments		Payment expectation days	50.09
Industry average payment expectation days	163.35	Industry average day sales outstanding	105.94
Day sales outstanding	107.50

Court data summary

Bankruptcy details
Court action type	no
Protested bills
Bill amount	-
NSSO details
Date of summons	-
Business number	460264802	Company name	A.C. DIAM BVBA
Fax number	032329481	Date founded	14/03/1997
Company status	active	Company type	Private Limited Company (BL/LX)
Currency	Euro (€)	Date of latest accounts	31/03/2012
Activity code	46761	liable for VAT	yes
Activity description	Wholesale of diamonds and other precious stones	VAT Number	BE.0460.264.802
Belgian Bullettin of Acts Publications	moniteur belge

Joint Industrial Committee (JIC)

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

Significant Events

Event Date	20/06/2012
Event Description	proposal of merger by absorption filed
Event Details	Commentaar 20-06-2012: Neerlegging fusievoorstel tussen BVBA A.C. Diam (overnemende vennootschap) en A.C. Jewels (over te nemen vennootschap).

comparison mode

averagemedian

Export accounts to CSV file

Profit & loss

Annual accounts	31-03-2012	%	31-03-2011	%	31-03-2010	Industry average 2012	%
Weeks	52		52		52
Currency	EUR		EUR		EUR
Turnover	160,613,538	26.78	126,682,062	16.77	108,484,565	43,176,986	271
Total operating expenses	159,113,336	26.94	125,344,586	16.78	107,334,351	42,669,333	272
Operating result	1,500,202	12.17	1,337,476	16.28	1,150,214	248,388	503
Total financial income	332	-51.88	689	1713	38	98,172	-99
Total financial expenses	1,086,347	17.57	923,982	13.82	811,820	231,705	368
Results on ordinary operations before taxation	414,187	0.00	414,184	22.38	338,432	108,517	281
Taxation	116,700	46679940	0	-99	2,542	43,015	171
Results on ordinary operations after taxation	297,487	-28.18	414,183	23.31	335,890	78,298	279
Extraordinary items	0	-	0	-	0	-2,155	0
Other appropriations	0.00	-	0.00	-	0	-	-
Net result	297,487	-28.18	414,183	23.31	335,890	76,154	290
other information
Dividends	-	-	-	-	-	60,000	-
Director remuneration	107,453	-7.41	116,058	12.47	103,193	132,712	-19.03
Employee costs	79,133	-11.68	89,596	178	32,178	223,500	-64.59
Wages and salary	64,590	4.64	61,724	132	26,600	191,968	-66.35
Employee pension costs	-	-	-	-	-	1,281	-
Social security contributions	13,482	-50.72	27,356	463	4,853	47,651	-71.71
Other employee costs	1,061	105	516	-28.84	725	6,585	-83.89
Amortization and depreciation	92,497	348	20,614	47.23	14,001	25,911	256

balance sheet

Annual accounts	31-03-2012	%	31-03-2011	%	31-03-2010	Industry average 2012	%
Weeks	52		52		52
Currency	EUR		EUR		EUR
Intangible fixed assets	0	-	0	-	0	4,410	-100
Tangible fixed assets	918,217	410	179,764	9.82	163,696	264,356	247
Land & building	889,704	500	148,167	-3.57	153,652	533,587	66.74
Plant & machinery	-	-	417	-57.14	972	35,367	-
Other tangible assets	28,514	-8.55	31,181	243	9,072	43,388	-34.28
Financial fixed assets	2,698	-99	1,170,636	-5.05	1,232,859	26,376	-89.77
Total fixed assets	920,915	-31.80	1,350,400	-3.30	1,396,555	271,520	239
Inventories	4,347,547	-31.47	6,344,372	24.02	5,115,500	2,702,898	60.85
Raw materials & consumables	-	-	-	-	-	1,637,694	-
Work in progress	0	-	0	-	0	13,580	-100
Finished goods	4,347,547	-31.47	6,344,372	24.02	5,115,500	1,766,673	146
Other stocks	0	-	0	-	0	433,285	-100
Trade debtors	47,302,286	44.23	32,796,351	11.60	29,387,978	6,139,629	670
Cash	3,911,435	82227	4,751	-99	1,136,776	309,274	1164
other amounts receivable	5,174	32.37	3,909	43.91	2,716	142,183	-96.36
Miscellaneous current assets	274	0.21	274	0.24	273	18,126	-98.49
Total current assets	55,566,716	41.93	39,149,656	9.84	35,643,243	8,829,200	529
current liabilities
Trade creditors	21,834,012	70.02	12,841,663	62.87	7,884,444	3,327,679	556
Short term group loans	-	-	-	-	-	-	-
Other short term loans	24,192,403	21.47	19,916,506	-7.91	21,626,417	2,928,334	726
Miscellaneous current liabilities	1,418,900	514	230,777	20.58	191,391	188	- -
Total current liabilities	47,445,316	43.82	32,988,947	11.07	29,702,252	6,579,060	621
Long term debts
Long term group loans	-	-	-	-	-	-	- -
Other long term loans	4,603,632	36.61	3,369,914	-6.66	3,610,533	263	- -
Other long term liabilities	0	-	0	-	0	142,901	-100
Total long term debts	4,603,632	36.61	3,369,914	-6.66	3,610,533	719,439	539
shareholders equity
Issued share capital	4,000,000	0	4,000,000	0	4,000,000	1,214,714	229
Share premium account	-	-	-	-	-	166,641	-
Reserves	438,683	210	141,196	51.72	-272,987	483,987	-9.36
Revaluation reserve	-	-	-	-	-	1,664,632	-
Total shareholders equity	4,438,683	7.18	4,141,196	11.11	3,727,013	1,777,383	149
Working capital	8,121,400	31.83	6,160,710	3.70	5,940,991	2,250,141	260
Cashflow	389,984	-10.31	434,797	24.27	349,891	97,802	298
Net worth	4,438,683	7.18	4,141,196	11.11	3,727,013	1,761,724	151

ratio analysis

Annual accounts	31-03-2012	change(%)	31-03-2011	change(%)	31-03-2010	Industry average 2012	%
Trading performance
Profit Before Tax	0.26	-21.21	0.33	6.45	0.31	0,00	-
Return on capital employed	4.58	-16.88	5.51	19.52	4.61	106,00	-95.68
Return on total assets employed	0.73	-28.43	1.02	12.09	0.91	-1.295,00	0.06
Return on net assets employed	9.33	-6.70	10	10.13	9.08	8,00	16.62
Sales / net working capital	19.78	-3.79	20.56	12.60	18.26	48,00	-99
Stock turnover ratio	2.71	-45.91	5.01	6.14	4.72	29,00	-90.66
Debtor days	107.50	13.77	94.49	-4.44	98.88	117,00	-8.12
Creditor days	50.09	33.97	37.39	39.46	26.81	86,00	-41.76
short term stability
Current ratio	1.17	-1.68	1.19	-0.83	1.20	7,00	-83.29
Liquidity ratio / acid ratio	1.08	9.09	0.99	-3.88	1.03	6,00	-82.00
Current debt ratio	10.69	34.13	7.97	0	7.97	7,00	52.71
Liquidity ratio reprocessed	-	-	-	-	-	-	-
long term stability
Gearing	648.75	15.37	562.31	-16.96	677.14	226,00	187
Equity in percentage	7.86	-23.17	10.23	1.69	10.06	-12.751,00	0.06
Total debt ratio	11.73	33.60	8.78	-1.79	8.94	7,00	67.57

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	50.09
Day sales outstanding	107.50

Industry comparison

Activity code	46761
Activity description	Wholesale of diamonds and other precious stones
Industry average payment expectation days	163.35
Industry average day sales outstanding	105.94

Industry quartile analysis

Payment expectations
Company result	50.09
Lower	120.63
Median	73.49
Upper	40.04
Day sales outstanding
Company result	107.50
Lower	105.52
Median	54.72
Upper	23.49

Company result	50.09
Lower	120.63
Median	73.49
Upper	40.04

Company result	107.50
Lower	105.52
Median	54.72
Upper	23.49

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

Individual Shareholders

Shareholder Name
Forename	Arvindkumar	Middle name	-
Surname	Shah
Shareholder Details
Start date	16/07/2012(estimated)	End date	-
Percentage owned	100%
Shareholder Address
Street name	Van Eycklei	House number	2
Minor town	-	Postal town	Antwerpen
Post code	2018	Country	Belgium

NSSO details

Business number	460264802
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	ARVINDKUMAR CHIMANLAL SHAH
Position	Principal Manager
Start Date	12/10/2010
Date of birth	31/10/1954
Street	2 VAN EYCKLEI ANTWERPEN
Post code	2018
Country	Belgium

Name	AMIT ARUNBHAI SHAH
Position	Principal Manager
Start Date	19/12/2011
Date of birth	08/07/1980
Street
Post code
Country

Former director details

Name	BART MEYNENDONCKX
Position	Commissioner
Start Date	11/08/2010
End Date	31/03/2010
Street	133 KANUNNIK PEETERSSTRAAT ANTWERPEN
Post code	2600
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.60.34
UK Pound	1	Rs.90.78
Euro	1	Rs.77.81

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%)

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