MIRA INFORM REPORT

Report Date :

30.08.2014

IDENTIFICATION DETAILS

Name :	K.G.K. DIAMONDS BVBA
Registered Office :	Hoveniersstraat 2-Bureel 529 2018 Antwerpen
Country :	Belgium
Financials (as on) :	31.03.2013
Date of Incorporation :	27.11.1989
Com. Reg. No.:	439113159
Legal Form :	Private Limited Company
Line of Business :	Wholesale of diamonds and other precious stones
No. of Employees	07

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 :	Slow but correct
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 – June 01, 2014

Country Name	Previous Rating (31.03.2014)	Current Rating (01.06.2014)
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 name and address

Business number 439113159

Company name K.G.K. DIAMONDS BVBA

Address HOVENIERSSTRAAT 2-Bureel 529

2018 ANTWERPEN

Number of staff 7

Date of establishment 27/11/1989

Telephone number 032131157

Fax number 032131158

Commentary

The business was established over 24 years ago.

The business has 5 employees.

The business has been at the address for over 9 years.

The business saw a decrease in their Cash Balance of 56% during the latest trading period

Accounts

DATE OF LATEST ACCOUNTS	TURNOVER	PROFIT BEFORE TAX	NET WORTH	WORKING CAPITAL
31/03/2013	252,319,204	765,024	22,535,319	42,633,365
31/03/2012	215,946,214	770,201	19,263,161	31,261,482
31/03/2011	220,854,762	761,823	14,828,653	22,604,307

Accounts

DATE OF LATEST ACCOUNTS	BALANCE TOTAL	NUMBER OF EMPLOYEES	CAPITAL	CASHFLOW
31/03/2013	146,773,726	7	20,531,799	538,891
31/03/2012	142,430,064	5	15,531,799	852,994
31/03/2011	110,128,259	5	11,737,884	782,685

Payment expectations

Past payments Industry average payment expectation days	129.58	Payment expectation days Industry average day sales outstanding	38.40 1 31.83
Day sales outstanding	153.25

Company information

Business number	439113159	Company name	K.G.K. DIAMONDS BVBA
Fax number	032131158	Date founded	27/11/1989
Company status	active	Company type	Private Limited Company (BL/LX)
Currency	Euro (€)	Date of latest accounts	31/03/2013
Activity code	46761	Liable for VAT	yes
Activity description	Wholesale of diamonds and other precious stones	VAT Number	BE.0439.113.159 Check VAT number

Social Balance Sheet Details

Social Balance Sheet	Total
During the reporting year
ended 31-03-2013
Full-time Employees	7
Part-time Employees	-
Total Fte Employees	7
Number of hours worked
Full-time Employees	11,438
Part-time Employees	-
Total	11,438
Personnel Charges
Full-time Employees	269,977
Part-time Employees	-
Total	269,977
Benefits In Addition To Wages	-
During the previous reporting year
Average number employees in Fte	5
Actual working hours	8,588

Type of Contract	Full-Time	Part-Time	Total Fte	-------------- K
Unlimited Duration Contracts	5	-	5
Limited Duration Contracts	2	-	2
Contracts For Specific Work	-	-	-
Contracts Regarding Substitution	-	-	-
Gender and Education Level
Men	Full-Time	Part-Time	Total Fte
Primary education	1	-	1
Secondairy education	3	-	3
Higher education (non university)	-	-	-
Higher education (university)	1	-	1
Women	Full-Time	Part-Time	Total Fte
Primary education	-	-	-
Secondairy education	2	-	2
Higher education (non university)	-	-	-
Higher education (university)	-	-	-

f Working Category	Full-Time	Part-Time	Total Fte
Management	-	-	-
White collar worker	7	-	7
Blue collar worker	-	-	-
Other	-	-	-

New staff and leavers	Full-Time	Part-Time	Total Fte
New Starters	3	-	3
Leavers	1	-	1

Personnel (NSSO classification)

Code -

Description FROM 5 TO 9 EMPLOYEES

Joint Industrial Committee (JIC)

Significant Events

Event Date 27/03/2013

Event Description

Event Details Toekenning van de 1114 nieuwe aandelen aan Prime International DMCC

Profit & loss

Annual accounts	31-03-2013	%	31-03-2012	%	31-03-2011	Industry average 2013	%
Weeks	52		52		52
Currency	EUR		EUR		EUR
Turnover	252,319,204	16.84	215,946,214	-2.22	220,854,762	46,549,701	442
Total operating expenses	249,356,417	16.92	213,267,529	-2.05	217,730,014	46,085,236	441
Operating result	2,962,787	1 0.61	2,678,686	-14.28	3,124,748	161,083	1739
Total financial income	845,780	-37.41	1,351,344	215	428,983	81,109	942
Total financial expenses	3,043,543	-6.63	3,259,828	16.76	2,791,908	177,714	1612
Results on ordinary operations before taxation	765,024	-0.67	770,201	1.10	761,823	56,021	1265
Taxation	497,322	273	133,181	13.49	117,349	22,531	2107
Results on ordinary operations after taxation	267,701	-57.98	637,021	-1.16	644,474	39,246	582
Extraordinary items	11,107	422	2,127	-	0	1,853	499
Other appropriations	0.00	-	0.00	-	0.00	-	-
Net result OTHER INFORMATION	278,808	-56.38	639,147	-0.83	644,474	41,120	578
Gross Operating Margin	-	-	-	-	-	43,703	-
Dividends	-	-	-	-	-	216,234	-
Director remuneration	100,000	-	-	-	-	153,348	-34.79
Employee costs	269,977	20.98	223,165	16.61	191,374	188,344	43.34
Wages and salary	206,800	26.06	164,048	16.28	141,074	162,950	26.91
Employee pension costs	-	-	-	-	-	1,380	-
Social security contributions	58,269	30.89	44,516	26.47	35,198	41,560	40.20
Other employee costs	4,909	-66.38	14,602	-3.31	15,102	4,234	15.94
Amortization and depreciation	260,083	21.62	213,847	54.72	138,211	20,665	11 58

balance sheet

Annual accounts	31-03-2013	%	31-03-2012	%	31-03-2011	Industry average 2013	%
Weeks	52		52		52
Currency	EUR		EUR		EUR
Intangible fixed assets	20,723	-	14,073	-	15,519	1,903	988
Tangible fixed assets	3,563,370	-3.74	3,701,964	8.45	3,413,513	196,809	1710
Land & building	2,604,525	-2.50	2,671,397	-2.44	2,738,270	378,904	587
Plant & machinery	765,734	-2.79	787,738	41.25	557,688	36,404	2003
Furniture & Vehicles	193,112	-20.47	242,829	106	117,556	16,357 4,471	1080
Leasing & Other Similar Rights	-	-	-	-	-	34,673 19,705	-
Other tangible assets	0	-	0	-	0	15,314	-100
Financial fixed assets	37,326	10.10	33,901	22.56	27,661	47,201	-20.92
Total fixed assets	3,621,419	-3.43	3,749,938	8.48	3,456,694	215,595	1579
Inventories	36,095,197	-17.19	43,585,363	71.55	25,406,982	2,801,890	11 88
Raw materials & consumables	-	-	-	-	-	11 3,995	-
Work in progress	0	-	0	-	0	2,566	-100
Finished goods	36,095,197	-17.19	43,585,363	71.55	25,406,982	1,817,454	1886
Other stocks	0	-	0	-	0	504,385	-100
Trade debtors	1 05,939,698	15.03	92,097,509	14.88	80,170,908	4,352,203	2334
Cash	511,389	-56.56	1,177,120	53.05	769,091	1,041,698,851	-99
other amounts receivable	545,914	-69.18	1,771,419	578	260,975	171,163	218
Miscellaneous current assets	60,108	23.39	48,715	-23.42	63,610	-1,026,260,937	0.01
Total current assets	143,152,306	3.22	138,680,126	30.01	106,671,565	7,078,680	1922
Total Assets	146,773,726	3.05	142,430,064	29.33	110,128,259	7,266,473 1,199,483	1919

CURRENT LIABILITIES

Trade creditors	26,234,885	-31.73	38,430,552	-20.55	48,371,385	2,791,345	839
Short term group loans	-	-	-	-	-	-	-
Financial debts	73,749,316	7.82	68,400,931	94.11	35,237,626	4,063,738 1 30,184	1714
Current portion of long term debt	286,975	-14.59	335,985	13.41	296,256	91,209 14,557	214
Amounts Payable for Taxes, Remuneration & Social Security	203,616	4.24	195,340	45.85	133,932	7,759 -	461
Miscellaneous current liabilities	44,150	-20.93	55,836	98.99	28,060	-87.73	- -
Total current liabilities	100,518,941	-6.42	107,418,644	27.78	84,067,258	5,035,622	1896
LONG TERM DEBTS AND LIABILITIES
Long term group loans	-	-	-	-	-	-	- -
Other long term loans	23,308,270	51.75	15,359,823	41.37	10,864,890	1441	- -
Deffered taxes	-	-	-	-	-	47,059 41,554	-
Provisions for Liabilities & Charges	0	-	0	-	0	6,588 0	-100
Other long term liabilities	390,472	4.30	374,364	6.37	351,939	1 00,362	289
Total long term debts SHAREHOLDERS EQUITY	23,698,743	50.62	15,734,186	40.27	11,216,829	666,932	3453
Issued share capital	20,531,799	32.19	15,531,799	32.32	11,737,884	952,266	2056
Share premium account	-	-	-	-	-	146,653	-
Reserves	2,024,243	-45.95	3,745,435	20.58	3,106,287	577,425	250
Revaluation reserve	-	-	-	-	-	1,212,191	-
Total shareholders equity	22,556,041	17.01	19,277,234	29.86	14,844,172	1,563,91 8	1342
Working capital	42,633,365	36.38	31,261,482	38.30	22,604,307	2,043,058	1986
Cashflow	538,891	-36.82	852,994	8.98	782,685	58,366	823
Net worth	22,535,319	16.99	19,263,161	29.90	14,828,653	1,562,01 5	1342

ratio analysis

Annual accounts	31-03-2013	change(%)	31-03-2012	change(%)	31-03-2011	Industry average 2013	%
TRADING PERFORMANCE
Profit Before Tax	0.30	-16.67	0.36	5.88	0.34	2,00	-85.00
Return on capital employed	1.65	-25.00	2.20	-24.66	2.92	6,00	-72.50
Return on total assets employed	0.52	-3.70	0.54	-21.74	0.69	-3,00	17.33
Return on net assets employed	3.39	-15.25	4	-22.03	5.13	0,00	-
Sales / net working capital	5.92	-14.33	6.91	-29.27	9.77	260,00	-99
Stock turnover ratio	14.31	-29.09	20.18	75.48	11.50	54,00	-73.50
Debtor days	153.25	-1.55	155.67	17.49	132.50	192,00	-20.18
Creditor days SHORT TERM STABILITY	38.40	-41.61	65.77	-18.89	81.09	137,00	-71.97
Current ratio	1.42	10.08	1.29	1.57	1.27	4,00	-92.90
Liquidity ratio / acid ratio	1.07	20.22	0.89	-8.25	0.97	3,00	-64.33
Current debt ratio	4.46	-19.93	5.57	-1.59	5.66	20,00	-77.70
Liquidity ratio reprocessed	-	-	-	-	-	-	-
LONG TERM STABILITY
Gearing	431.57	-1.07	436.25	39.57	312.57	298,00	44.82
Equity in percentage	15.37	13.52	13.54	0.45	13.48	-128,00	12.01
Total debt ratio	5.51	-13.77	6.39	-0.47	6.42	21,00	-73.76

Industry comparison

Activity code 46761

Activity description Wholesale of diamonds and other precious stones

Payment expectations

Payment expectation days 38.40

Day sales outstanding 153.25

Industry quartile analysis

Payment expectations

Company result 38.40

Lower 127.33

Median 76.80

Upper 45.69

Day sales outstanding

Company result	153.25
Lower	106.72
Median	55.71
Upper	26.51

Shareholder Details

Group Structure

No group structure for this company.

MINORITY SHAREHOLDERS

Business Company name number	Date of accounts
838225795 PRIME INTERNATIONAL DMCC	-
Minority Interests
Business Company name number	Date of accounts
822903854 Munic Sourcing NV	31/12/2012

Companies that match this address

No Companies Match this address

COURT DATA

There is no data for this company

Director details

Current director details
Name	PRIME INTERNATIONAL DMCC
Position	Principal Manager
Start Date	28/09/2010
Street	0 ONBEKEND BELGISCH ADRES ONBEKEND
Post code	0000
Country	Belgium
Name	RAJESH KUMAR JAIN
Position	Principal Manager
Start Date	31/12/1 996
Street	47 MOLENVELDLAAN EDEGEM
Post code	2650
Country	Belgium
Name	PRIME INTERNATIONAL DMCC SOC. ETRANGERE
Position	Principal Manager
Start Date	28/09/2010
Street	36 ALMAS TOWER, JUMEIRAH LAKE TOWERS
Country	United Arab Emirates
Name	YASH JAIN
Position	Principal Manager
Start Date	01/04/2014

Name	SINO CHARM LIMITED
Position	Legal Representative
Start Date	28/09/2010
Street
Post code
Country
Name	MANJU KOTHARI
Position	Legal Representative
Start Date	28/09/2010
Street
Post code
Country

Current mandates in other companies

Name	K.G.K. Fine Jewellery BVBA
Business number	472549455
Position	Principal Manager
Start Date	16/06/2008
Name	K.G.K. Fine Jewellery BVBA
Business number	472549455
Position	Legal Representative
Start Date	16/06/2008
Former director details
Name	PRIME INTERNATIONAL FZCO
Position	Principal Manager
Start Date	13/10/2010
End Date	31/03/2012
Street	214 2ND FLOOR, FLAT, PO BOX 54630
Post code
Country	United Arab Emirates
Name	PRIME INTERNATIONA FZCO SOC. ETRANGERE
Position	Principal Manager
Start Date	20/10/2006
End Date	28/09/2010
Street
Post code
Country	United Arab Emirates
Name	PRIME INTERNATIONAL FZCO
Position	Principal Manager
Start Date	20/10/2006
End Date	Unknown date

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.60.47
UK Pound	1	Rs.100.35
Euro	1	Rs.79.86

INFORMATION DETAILS

Report Prepared by :

TPT

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.