MIRA INFORM REPORT

Report Date :

21.04.2014

IDENTIFICATION DETAILS

Name :	GENESIS DIAMONDS BVBA
Registered Office :	Hoveniersstraat 2 Box 531 Office 1101, 2018 Antwerpen
Country :	Belgium
Financials (as on) :	31.12.2012
Date of Incorporation :	02.04.1991
Com. Reg. No.:	443767872
Legal Form :	Private Limited Company (BL/LX)
Line of Business :	Wholesaler of diamonds and other precious stones
No. of Employees :	02 (31.12.2012)

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, 2014

Country Name	Previous Rating (31.12.2013)	Current Rating (31.03.2014)
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 2013 Belgian GDP grew by 0.1%, the unemployment rate increased to 8.8% from 7.6% the previous year, and the government reduced the budget deficit from a peak of 6% of GDP in 2009 to 3.2%. 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 & address

Business number	443767872
Company name	GENESIS DIAMONDS BVBA
Address	HOVENIERSSTRAAT 2
	Box 531 Office 1101
	2018 ANTWERPEN
Number of staff	02 (31.12.2012)
Date of establishment	02/04/1991
Telephone number	032343160
Fax number	32343184

Ultimate holding company

Company name	Company Number
Genesis Diamonds BVBA	443767872

Commentary

The business was established over 22 years ago.
The business has 2 employees.
The business is part of a group.
This business has a foreign parent business.
The business has been at the address for over 22 years.
Operating Result in the latest trading period decreased 25% on the previous trading period.
Pre-tax profits decreased by 25% compared to the previous trading period.
The business saw a decrease in their Cash Balance of 22% during the latest trading period.
Turnover in the latest trading period decreased 37% on the previous trading period.

Accounts

Date of latest accounts	Turnover	Profit Before Tax	Net worth	Working capital
31/12/2012	79,688,871	253,432	3,930,273	8,542,188
31/12/2011	127,502,349	338,139	3,762,951	8,508,115
31/12/2010	76,382,657	190,610	3,540,216	4,213,114

Accounts

Date of latest accounts	Balance Total	Number of Employees	Capital	Cashflow
31/12/2012	36,604,110	2	2,649,160	214,654
31/12/2011	34,724,679	2	2,649,160	269,178
31/12/2010	28,836,586	2	2,649,160	171,829

Trends

Profitability
Liquidity
Net worth

Payment expectations

Past payments		Payment expectation days	91.96
Industry average payment expectation days	167.34	Industry average day sales outstanding	121.35
Day sales outstanding	79.06

Court data summary

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

Company summary

Business number	443767872	Company name	GENESIS DIAMONDS BVBA
Fax number	32343184	Date founded	02/04/1991
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	Wholesaler of diamonds and other precious stones	VAT Number	BE.0443.767.872
Belgian Bullettin of Acts Publications	moniteur belge

Social Balance Sheet Details

Social Balance Sheet		Total
During the reporting year ended 31-12-2012
Full-time Employees		2
Part-time Employees		1
Total Fte Employees		2
Number of hours worked
Full-time Employees		3,462
Part-time Employees		652
Total		4,114
Personnel Charges
Full-time Employees		70,878
Part-time Employees		9,282
Total		80,160
Benefits In Addition To Wages		-
During the previous reporting year
Average number employees in Fte		2
Actual working hours		3,683
Personnel Charges		80,160
Benefits In Addition To Wages		-
Type of Contract	Full-Time		Part-Time	Total Fte
Unlimited Duration Contracts	2		1	2
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	1		-		1
Secondairy education	1		1		1
Higher education (non university)	-		-		-
Higher education (university)	-		-		-
Working Category		Full-Time		Part-Time		Total Fte
Management		-		-		-
White collar worker		2		1		2
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		1
Leavers	1	1		1

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	02 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

Company Accounts

Comparison Mode

average

median

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	79,688,871	-37.50	127,502,349	66.93	76,382,657	46,632,531	70.89
Total operating expenses	79,061,144	-37.58	126,661,764	67.06	75,816,020	46,240,618	70.98
Operating result	627,727	-25.32	840,585	48.35	566,637	147,817	324
Total financial income	9,291	38.87	6,690	2454	262	97,084	-90.43
Total financial expenses	383,585	-24.66	509,136	35.30	376,289	203,915	88.11
Results on ordinary operations before taxation	253,432	-25.05	338,139	77.40	190,610	32,736	674
Taxation	87,858	-24.28	116,032	80.53	64,274	20,918	320
Results on ordinary operations after taxation	165,574	-25.45	222,107	75.81	126,336	17,844	827
Extraordinary items	1,120	-	0	-	0	-4,553	24.59
Other appropriations	628.51	0	628.51	0	628.51	-	-
Net result	167,322	-24.88	222,735	75.43	126,965	13,309	1157
other information
Dividends	-	-	-	-	-	172,177	-
Director remuneration	133,040	-	-	-	-	114,302	16.39
Employee costs	80,160	8.41	73,941	17.72	62,813	126,646	-36.71
Wages and salary	62,966	9.03	57,748	20.72	47,838	106,139	-40.68
Employee pension costs	-	-	-	-	-	14,428	-
Social security contributions	12,364	6.48	11,612	30.58	8,892	26,753	-53.78
Other employee costs	4,830	5.46	4,580	-24.70	6,082	4,402	9.73
Amortization and depreciation	47,331	1.91	46,443	3.52	44,865	17,955	163

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	-	0	1,570	-100
Tangible fixed assets	994,503	-3.81	1,033,870	-2.35	1,058,747	184,414	439
Land & building	902,866	-1.15	913,392	-1.14	923,917	359,608	151
Plant & machinery	68,942	-25.75	92,852	-19.51	115,359	22,793	202
Furniture & Vehicles	22,694	-17.85	27,627	41.88	19,472	17,438 5,418	30.14
Leasing & Other Similar Rights	-	-	-	-	-	142,15332,369	-
Other tangible assets	0	-	0	-	0	7,711	-100
Financial fixed assets	1,792	-9.59	1,982	1.00	1,963	294,763	-99
Total fixed assets	996,295	-3.82	1,035,853	-2.34	1,060,710	387,230	157
Inventories	17,783,696	13.18	15,712,613	20.78	13,009,658	3,092,433	475
Raw materials & consumables	-	-	-	-	-	7,209,884	-
Work in progress	0	-	0	-	0	2,426	-100
Finished goods	17,783,696	13.18	15,712,613	20.78	13,009,658	1,981,611	797
Other stocks	0	-	0	-	0	574,617	-100
Trade debtors	17,260,739	0.02	17,258,045	17.59	14,675,838	4,172,397	313
Cash	529,912	-22.42	683,012	961	64,351	226,713	133
other amounts receivable	9,909	-23.64	12,978	37.68	9,426	184,589	-94.63
Miscellaneous current assets	23,559	6.23	22,179	33.59	16,602	17,803	32.33
Total current assets	35,607,815	5.70	33,688,826	21.29	27,775,876	7,222,269	393
Total Assets	36,604,110	5.41	34,724,679	20.42	28,836,586	7,577,5141,453,566	383
current liabilities
Trade creditors	19,919,045	-7.58	21,552,640	20.18	17,934,084	3,066,773	549
Short term group loans	-	-	-	-	-	-	-
Financial debts	6,783,533	107	3,273,143	-36.08	5,121,012	4,242,556192,320	59.89
Current portion of long term debt	63,168	6.04	59,571	5.94	56,233	108,07915,346	-41.55
Amounts Payable for Taxes, Remuneration & Social Security	98,877	8.60	91,045	43.02	63,660	9,423 -	191
Miscellaneous current liabilities	201,005	-1.62	204,312	-47.31	387,772	-32.92	- -
Total current liabilities	27,065,627	7.49	25,180,712	6.87	23,562,762	5,360,460	404
Long term debts and liabilities
Long term group loans	-	-	-	-	-	-	- -
Other long term loans	5,592,549	-2.99	5,764,728	235	1,716,691	408	- -
Deffered taxes	15,660	-3.86	16,289	-3.72	16,917	37,62626,358	-58.38
Provisions for Liabilities & Charges	0	-	0	-	0	3,220 0	-100
Other long term liabilities	0	-	0	-	0	129,765	-100
Total long term debts	5,608,209	-2.99	5,781,016	233	1,733,608	562,577	896
shareholders equity
Issued share capital	2,649,160	0	2,649,160	0	2,649,160	911,094	190
Share premium account	-	-	-	-	-	109,362	-
Reserves	756,278	28.41	588,955	60.82	366,220	699,735	8.08
Revaluation reserve	524,835	0	524,835	0	524,835	968,672	-45.82
Total shareholders equity	3,930,273	4.45	3,762,951	6.29	3,540,216	1,640,673	139
Working capital	8,542,188	0.40	8,508,115	101	4,213,114	1,861,809	358
Cashflow	214,654	-20.26	269,178	56.65	171,829	28,110	663
Net worth	3,930,273	4.45	3,762,951	6.29	3,540,216	1,637,427	140

Ratio Analysis

Annual accounts	31-12-2012	change(%)	31-12-2011	change(%)	31-12-2010	Industry average 2012	%
Trading performance
Profit Before Tax	0.32	18.52	0.27	8.00	0.25	-26,00	1.23
Return on capital employed	2.66	-24.86	3.54	-1.94	3.61	29,00	-90.83
Return on total assets employed	0.69	-28.87	0.97	46.97	0.66	-203,00	0.34
Return on net assets employed	6.45	-28.25	8.99	67.10	5.38	19,00	-66.05
Sales / net working capital	9.33	-37.76	14.99	-17.32	18.13	45,00	-99
Stock turnover ratio	22.32	81.17	12.32	-27.66	17.03	111,00	-79.89
Debtor days	79.06	60.04	49.40	-29.56	70.13	133,00	-40.56
Creditor days	91.96	48.06	62.11	-28.06	86.34	122,00	-24.62
short term stability
Current ratio	1.32	-1.49	1.34	13.56	1.18	7,00	-85.33
Liquidity ratio / acid ratio	0.66	-7.04	0.71	12.70	0.63	4,00	-83.50
Current debt ratio	6.89	2.99	6.69	0.45	6.66	9,00	-23.44
Liquidity ratio reprocessed	-	-	-	-	-	-	-
long term stability
Gearing	316.50	30.91	241.76	24.15	194.73	363,00	-12.81
Equity in percentage	10.74	-0.92	10.84	-11.73	12.28	-3.247,00	0.33
Total debt ratio	8.31	0.97	8.23	15.10	7.15	11,00	-24.45

Industry comparison

Payment expectations

Payment expectation days	91.96
Day sales outstanding	79.06

Industry comparison

Activity code	46761
Activity description	Wholesaler of diamonds and other precious stones
Industry average payment expectation days	167.34
Industry average day sales outstanding	121.35

Industry quartile analysis

Payment expectations
Company result	91.96
Lower	134.58
Median	84.93
Upper	45.17

Day sales outstanding
Company result	79.06
Lower	112.48
Median	58.70
Upper	28.11

Summary

Group - Number of Companies	2
Linkages - Number of Companies	0
Number of Countries	0

Group Structure

Company name	Number	Latest financials
- GENESIS DIAMONDS BVBA	443767872	31-12-2012
- - FACET INTERNATIONAL

Minority Shareholders

No minority shareholders found

Minority Interests

No minority interests found

NSSO details

Business number

443767872

Bankruptcy details

There is no bankruptcy data against this company

court data

there is no data for this company

Current director details

Name	NILANG RAJNINKANT MEHTA
Position	Principal Manager
Start Date	09/08/2010
Street	3 DE LANNOYLEI BRASSCHAAT
Post code	2930
Country	Belgium

Name	RONIL MAYANK MEHTA
Position	Principal Manager
Start Date	09/08/2010
Street	24 VAN EYCKLEI ANTWERPEN
Post code	2018
Country	Belgium

Name	ALKESH PRATAPCHANDRA BHANSALI
Position	Principal Manager
Start Date	09/08/2010
Street	24 VAN EYCKLEI ANTWERPEN
Post code	2018
Country	Belgium

Former director details

Name	TEJPAL JAYANTILAL MEHTA
Position	Principal Manager
Start Date	14/01/2000
End Date	-
Street	25 BELGIËLEI ANTWERPEN
Post code	2018
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.60.38
UK Pound	1	Rs.101.63
Euro	1	Rs.83.57

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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This report is issued at your request without any risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or its officials.