MIRA INFORM REPORT

Report Date :

28.04.2014

IDENTIFICATION DETAILS

Name :	PATEL DIAMONDS BVBA
Registered Office :	Hoveniersstraat 2 2018 Antwerpen
Country :	Belgium
Financials (as on) :	31.12.2012
Date of Incorporation :	14.10.1986
Com. Reg. No.:	428049815
Legal Form :	Private Limited Company
Line of Business :	Wholesaler of diamonds and other precious stones
No of Employees :	1

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 30, 2013

Country Name	Previous Rating (30.09.2013)	Current Rating (01.12.2013)
Belgium	A1	A1

Risk Category	ECGC Classification
Insignificant	A1
Low Risk	A2
Moderate Low Risk	B1
Moderate Risk	B2
Moderate High Risk	C1
High Risk	C2
Very High Risk	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 summary

Business number	428049815
Company name	PATEL DIAMONDS BVBA
Address	HOVENIERSSTRAAT 2
	2018 ANTWERPEN
Number of staff	1
Date of establishment	14/10/1986
Telephone number	032251588
Fax number	032264438

Commentary

The business was established over 28 years ago.

The business has 1 employees.

The business has been at the address for over 18 years.

Operating Result in the latest trading period increased 122% on the previous trading period.

Accounts

DATE OF LATEST ACCOUNTS	TURNOVER	PROFIT BEFORE TAX	NET WORTH	WORKING CAPITAL
31/12/2012	8,333,440	112,000	2,194,027	4,106,263
31/12/2011	7,668,548	123,913	2,183,301	4,132,205
31/12/2010	6,765,170	135,562	2,175,724	5,172,156

Accounts

DATE OF LATEST ACCOUNTS	BALANCE TOTAL	NUMBER OF EMPLOYEES	CAPITAL	CASHFLOW
31/12/2012	4,750,349	1	86,155	127,952
31/12/2011	4,391,868	0	86,155	131,522
31/12/2010	6,028,407	0	86,155	134,861

Trends

Profitability

Liquidity

Net worth

Payment expectations

Past payments		Payment expectation days	19.41
Industry average payment expectation days	164.26	Industry average day sales outstanding	120.92
Day sales outstanding	144.19

Court data summary

BANKRUPTCY DETAILS
Court action type	no
PROTESTED BILLS
Bill amount	-
NSSO DETAILS
Date of summons	-

Company information

Business number	428049815	Company name	PATEL DIAMONDS BVBA
Fax number	032264438	Date founded	14/10/1986
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.0428.049.815
Belgian Bullettin of Acts Publications	moniteur belge
Contractor details			Check Article 30 Bis
Registered contractor number	-
Contractor description	-
Date struck off register

Social Balance Sheet Details

Social Balance Sheet	Total
During the reporting year ended 31-12-2012
Full-time Employees	1
Part-time Employees	-
Total Fte Employees	0
Number of hours worked
Full-time Employees	426
Part-time Employees	-
Total	426
Personnel Charges
Full-time Employees	18,334
Part-time Employees	-
Total	18,334
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	-	-	-
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	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

Company accounts

Comparison mode Export accounts to CSV file

· average / median

Profit & loss

Annual accounts	31-122012		31-122011	%	31-122010	Industry average 2012	%
Weeks	52		52		52
Currency	EUR		EUR		EUR
Turnover	8,333,440	8.67	7,668,548	13.35	6,765,170	46,612,575	82.12
Total operating expenses	8,149,635	7.43	7,585,813	14.60	6,619,234	46,221,128	82.37
Operating result	183,806	122	82,735	43.31	145,936	147,887	24.29
Total financial income	363,858	26.93	497,948	4899	9,960	97,526	273
Total financial expenses	435,664	-4.62	456,771	2146	20,334	204,266	113
Results on ordinary operations before taxation	112,000	-9.61	123,913	-8.59	135,562	33,065	238
Taxation	-11,226	-396	3,786	69.00	12,213	20,877	-153
Results on ordinary operations after taxation	123,226	2.58	120,127	-2.61	123,349	18,249	575
Extraordinary items	0	0	-50	-	0	-4,342	0
Other appropriations	0.00	-	0.00	-	0.00	-	-
Net result	123,226	2.62	120,077	-2.65	123,349	13,926	784
OTHER INFORMATION
Dividends	-	-	-	-	-	172,177	-
Director remuneration	-	-	-	-	-	112,544	-
Employee costs	18,334	8104	223	-99	35,644	126,172	85.47
Wages and salary	12,198	-	-	-	33,341	105,771	88.47
Employee pension costs	-	-	-	-	-	14,428	-
Social security contributions	3,655	-	-	-	7,131	26,708	86.32
Other employee costs	2,482	1010	223	4.63	-4,829	4,361	43.10
Amortization and depreciation	4,726	58.71	11,445	-0.58	11,512	17,886	73.57

Balance Sheet

Annual accounts	31-122012	%	31-122011	%	31-122010	Industry average 2012	%
Weeks	52		52		52
Currency	EUR		EUR		EUR
Intangible fixed assets	0	-	0	-	0	1,577	-100
Tangible fixed assets	58,257	-3.59	60,426	15.92	71,871	184,763	68.47
Land & building	55,497	-6.30	59,229	-5.93	62,961	362,988	84.71
Plant & machinery	2,760	130	1,197	39.95	1,993	22,646	87.81
Furniture & Vehicles	-	-	-	-	6,917	17,300 5,364	-
Leasing & Other Similar Rights	-	-	-	-	-	142,153 32,369	-
Other tangible assets	0	-	0	-	0	7,619	-100
Financial fixed assets	99	0	99	0	99	306,761	-99
Total fixed assets	58,356	-3.58	60,525	15.90	71,970	396,027	85.26
Inventories	238,395	49.29	470,118	44.57	848,088	3,105,555	92.32
Raw materials & consumables	-	-	-	-	-	7,209,884	-
Work in progress	0	-	0	-	0	2,394	-100
Finished goods	238,395	49.29	470,118	44.57	848,088	1,991,166	88.03
Other stocks	0	-	0	-	0	570,732	-100
Trade debtors	3,292,003	18.08	2,787,902	47.54	1,889,608	4,248,295	22.51
Cash	1,018,496	-0.97	1,028,478	60.65	2,613,829	225,847	350
other amounts receivable	140,026	224	43,204	0.51	42,983	187,129	25.17
Miscellaneous current assets	3,074	87.27	1,641	-99	561,928	17,998	82.92
Total current assets	4,691,993	8.33	4,331,343	27.28	5,956,437	7,304,875	35.77
Total Assets	4,750,349	8.16	4,391,868	27.15	6,028,407	7,668,456 1,451,744	38.05
CURRENT LIABILITIES
Trade creditors	433,279	1057	37,417	93.93	616,376	3,137,713	86.19
Short term group loans	-	-	-	-	-	-	-
Financial debts	-	-	-	-	-	4,243,670 187,578	-
Current portion of long term debt	-	-	-	-	6,898	110,204 15,373	-
Amounts Payable for Taxes, Remuneration & Social Security	2,912	77.04	12,684	0	12,684	9,727 -	91.43
Miscellaneous current liabilities	149,540	0.34	149,038	0.48	148,322	-49.57	- -
Total current liabilities	585,730	194	199,139	74.61	784,280	5,430,989	89.22
LONG TERM DEBTS AND LIABILITIES
Long term group loans	-	-	-	-	-	-	- -
Other long term loans	-	-	-	-	-	-	- -
Deffered taxes	-	-	-	-	-	37,626 26,358	-
Provisions for Liabilities & Charges	0	-	0	-	0	3,178 0	-100
Other long term liabilities	1,970,593	-1.93	2,009,429	34.51	3,068,403	128,413	1434
Total long term debts	1,970,593	-1.93	2,009,429	34.51	3,068,403	558,087	253
SHAREHOLDERS EQUITY
Issued share capital	86,155	0	86,155	0	86,155	944,106	90.87
Share premium account	33,845	0	33,845	0	33,845	109,362	69.05
Reserves	2,074,026	0.52	2,063,301	0.37	2,055,724	691,870	199
Revaluation reserve	-	-	-	-	-	939,206	-
Total shareholders equity	2,194,027	0.49	2,183,301	0.35	2,175,724	1,665,598	31.73
Working capital	4,106,263	-0.63	4,132,205	20.11	5,172,156	1,873,885	119
Cashflow	127,952	-2.71	131,522	-2.48	134,861	28,711	345
Net worth	2,194,027	0.49	2,183,301	0.35	2,175,724	1,662,342	31.98

Ratio Analysis

Annual accounts	31-12-2012	change(%)	31-12-2011	change(%)	31-12-2010	Industry average 2012	%
TRADING PERFORMANCE
Profit Before Tax	1.34	-17.28	1.62	-19.00	2	-25,00	5.36
Return on capital employed	2.69	-9.12	2.96	14.29	2.59	29,00	-90.72
Return on total assets employed	2.36	-16.31	2.82	25.33	2.25	-201,00	1.17
Return on net assets employed	5.10	-10.21	5.68	-8.83	6.23	19,00	-73.16
Sales / net working capital	2.03	9.14	1.86	41.98	1.31	44,00	-99
Stock turnover ratio	2.86	-53.34	6.13	-51.12	12.54	110,00	-97.40
Debtor days	144.19	8.66	132.70	30.16	101.95	134,00	7.60
Creditor days	19.41	978	1.80	-94.70	33.99	123,00	-84.22
SHORT TERM STABILITY
Current ratio	8.01	-63.17	21.75	186	7.59	6,00	-11.00
Liquidity ratio / acid ratio	7.60	-60.80	19.39	197	6.51	4,00	90.00
Current debt ratio	0.27	200	0.09	-75.00	0.36	9,00	-97.00
Liquidity ratio reprocessed	-	-	-	-	-	-	-
LONG TERM STABILITY
Gearing	-	-	-	-	0.32	358,00	-
Equity in percentage	46.19	-7.08	49.71	37.74	36.09	-3.205,00	1.44
Total debt ratio	1.17	15.84	1.01	-42.94	1.77	10,00	-88.30

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 Information

Suspension of payments / moratorium history

Amount	-
Details	-
Payment expectations
Payment expectation days	19.41
Day sales outstanding	144.19
Industry comparison
Activity code	46761
Activity description	Wholesale of diamonds and other precious stones
Industry average payment expectation days	164.26
Industry average day sales outstanding	120.92
Industry quartile analysis
Payment expectations
Company result	19.41
Lower	134.13
Median	83.75
Upper	45.33

Day sales outstanding
Company result	144.19
Lower	112.48
Median	58.70
Upper	27.62

Shareholder Details

Summary

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

Group Structure

Click the company to view / order a report.

No group structure for this company

Minority Shareholders

No minority shareholders found

Minority Interests

No minority interests found

Linked Companies

Summary

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

Court data

Protested bills
Drawee name	-
Address	-
Bill amount	-
Bill currency	-
Maturity of bill	-
Name of drawer	-
City of drawer	-
NSSO details
Business number	428049815
Name of defendant	-
Legal form of defendant	-
Date of summons	-
Labour court	-
Bankruptcy details
There is no bankruptcy data against this company

Bankruptcy Data

court data

there is no data for this company

Director details

Current director details
Name	VINAYKUMAR PATEL
Position	Principal Manager
Start Date	31/12/1995
Street	75 BELGIELEI ANTWERPEN
Post code	2018
Country	Belgium
Name	CHHAGANLAL MONHANLAL SATASHIA
Position	Principal Manager
Start Date	31/12/1995
Street	49 QUINTEN MATSIJSLEI ANTWERPEN
Post code	2018
Country	Belgium
Name	FENIL LALJIBHAI PATEL
Position	Partner
Start Date	22/11/2004
Street	75 BELGIELEI ANTWERPEN
Post code	2018
Country	Belgium
Name		HARSHANDKUMAR PATEL
Position		Partner
Start Date		15/04/2002
Street
Post code Country

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. 61.11
UK Pound	1	Rs. 102.70
Euro	1	Rs. 84.52

INFORMATION DETAILS

Analysis Done by :	RSM
Report Prepared by :	DPT

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.