MIRA INFORM REPORT

Report Date :

10.12.2014

IDENTIFICATION DETAILS

Name :	DIANCO BVBA
Registered Office :	Hoveniersstraat 2 2018 Antwerpen
Country :	Belgium
Financials (as on) :	31.12.2013
Date of Incorporation :	20.06.1984
Com. Reg. No.:	425866919
Legal Form :	Private Limited Company
Line of Business :	Wholesale of diamonds and other precious stones
No. of Employees :	05

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 – September 30, 2014

Country Name	Previous Rating (30.06.2014)	Current Rating (30.09.2014)
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 and address

Business number	425866919
Company name	DIANCO BVBA
Address	HOVENIERSSTRAAT 2
	2018 ANTWERPEN
Number of staff	5
Date of establishment	20/06/1984
Telephone number	032329827
Fax number	032319683

Commentary

The business was established over 30 years ago.

The business has 5 employees.

The business has been at the address for over 27 years.

Pre-tax profits decreased by 53% compared to the previous trading period.

Accounts

DATE OF LATEST ACCOUNTS	TURNOVER	PROFIT BEFORE TAX	NET WORTH	WORKING CAPITAL
31/12/2013	1 39,723,886	69,471	6,906,566	10,227,254
31/12/2012	1 35,293,396	1 50,011	6,838,359	11,582,005
31/12/2011	1 26,262,608	1 72,533	6,741,986	10,456,248

Accounts

DATE OF LATEST ACCOUNTS	BALANCE TOTAL	NUMBER OF EMPLOYEES	CAPITAL	CASHFLOW
31/12/2013	45,183,364	5	5,269,519	195,813
31/12/2012	48,469,532	5	5,269,519	183,372
31/12/2011	37,626,964	4	5,269,519	296,947

Payment expectations

Past payments Payment expectation days 32.95

Industry average payment

expectation days 125.38 Industry average day sales

outstanding 143.79

Day sales outstanding 87.73

Company information

Business number 425866919

Company name DIANCO BVBA

Fax number 032319683

Date founded 20/06/1984

Company status active

Company type Private Limited Company (BL/LX)

Currency Euro (€)

Date of latest accounts 31/12/2013

Activity code 46761

Liable for VAT yes

Activity description Wholesale of diamonds and other precious stones

Social Balance Sheet Details

Social Balance Sheet	Total
During the reporting year
ended 31-12-2013
Full-time Employees	5
Part-time Employees -
Total Fte Employees	5
Number of hours worked
Full-time Employees	8,584
Part-time Employees -
Total	8,584
Personnel Charges
Full-time Employees	244,873
Part-time Employees -
Total	244,873
Benefits In Addition To Wages -
During the previous reporting year
Average number employees in Fte	5
Actual working hours	8,862
Personnel Charges	242,330
Benefits In Addition To Wages -
Type of Contract Full-Time	Part-Time	Total Fte
Unlimited Duration 4	-	4
Contracts
Limited Duration Contracts 1	-	1
Contracts For Specific -	-	-
Work
Contracts Regarding -	-	-
Substitution

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

Significant Events

Event Date 01/04/2013

Event Description re-appointment of director(s)

Event Details Commentaar 01-04-2013: Herbenoeming tot zaakvoerder vanaf 1/04/2013, voor

onbepaalde duur: Jhaveri Biren Bipinbhai.

Profit & loss

Annual accounts	31-12-2013	%	31-12-2012	%	31-12-2011	Industry average 2013	%
Weeks	52		52		52
Currency	EUR		EUR		EUR
Turnover	139,723,886	3.27	135,293,396	7.15	126,262,608	60,297,713	131
Total operating expenses	138,797,169	3.27	134,406,578	7.12	1 25,474,296	59,739,491	132
Operating result	926,717	4.50	886,818	1 2.50	788,312	175,271	428
Total financial income	7,573	1109	626	-91.53	7,391	62,326	-87.85
Total financial expenses	864,818	17.27	737,433	18.34	623,170	185,726	365
Results on ordinary operations before taxation	69,471	-53.69	150,011	-13.05	172,533	53,280	30.39
Taxation	53,110	12.75	47,104	-43.48	83,333	23,303	127
Results on ordinary operations after taxation	16,361	-84.10	102,907	15.37	89,200	36,451	-55.11
Extraordinary items	15,413	-	0	-100	123,554	7,296	111
Other appropriations	103917.69	772	11916.29	-63.18	32360.98	-	-
Net result OTHER INFORMATION	135,692	18.17	114,824	-53.16	245,115	43,976	208
Gross Operating Margin	-	-	-	-	-	36,581	-
Dividends	-	-	-	-	-	221,730	-

Director remuneration	-	-	153,697	-	-	128,969	-
Employee costs	244,873	1.05	242,330	11.18	217,968	145,646	68.13
Wages and salary	188,605	1.25	186,269	8.93	171,002	114,405	64.86
Employee pension costs	-	-	-	-	-	1,459	-
Social security contributions	46,372	0.43	46,176	14.39	40,367	28,519	62.60
Other employee costs	9,895	0.11	9,885	49.78	6,599	2,716	264
Amortization and depreciation	60,121	-12.29	68,548	32.25	51,832	17,463	244

balance sheet

Annual accounts	31-12-2013	%	31-12-2012	%	31-12-2011	Industry average 2013	%
Weeks	52		52		52
Currency	EUR		EUR		EUR
Intangible fixed assets	9,473	-	10,584	-	0	1,072	783
Tangible fixed assets	594,909	-8.12	647,504	-8.09	704,490	198,920	199
Land & building	359,076	-4.28	375,144	-4.11	391,211	400,113	-10.26
Plant & machinery	209,465	-13.31	241,638	-10.85	271,059	27,608	658
Furniture & Vehicles	26,368	-14.17	30,722	-27.23	42,219	15,267 4,171	72.71
Leasing & Other Similar Rights	-	-	-	-	-	44,547 27,638	-
Other tangible assets	0	-0		-0		9,199	-100
Financial fixed assets	-	-	-	-	-	250,422	-
Total fixed assets	604,383	-8.16	658,088	-6.59	704,490	357,904	68.87
Inventories	8,410,051	-20.66	10,600,481	48.06	7,159,674	3,155,662	166
Raw materials & consumables	-	-	-	-	-	7,018,384	-
Work in progress	0	-0		-0		1,415	-100
Finished goods	8,410,051	-20.66	10,600,481	48.06	7,159,674	2,111,769	298
Other stocks	0	-0		-0		444,722	-100
Trade debtors	33,584,710	-3.34	34,746,542	17.67	29,529,525	4,107,372	717
Cash	2,321,652	4.64	2,218,747	5634	38,689	575,664,562	-99
other amounts receivable	235,451	8.78	216,448	29.09	167,670	212,208	10.95
Miscellaneous current assets	27,117	-7.21	29,225	8.58	26,917	-566,157,647	0.00
Total current assets	44,578,981	-6.76	47,811,443	29.49	36,922,474	7,159,054	522
Total Assets	45,183,364	-6.78	48,469,532	28.82	37,626,964	7,476,070 1,165,529	504

CURRENT LIABILITIES

Trade creditors	12,529,322	-19.70	15,603,819	38.09	11,299,929	2,917,880	329
Short term group loans	-	-	-	-	-	-	-
Financial debts	17,592,097	-14.38	20,546,396	36.63	15,037,938	4,476,090 118,514	293
Current portion of long term debt	4,108,825	-	-	-	12,768	85,283 14,135	4717
Amounts Payable for Taxes, Remuneration & Social Security	55,336	-1.37	56,107	-46.48	104,835	7,713 -	89.73
Miscellaneous current liabilities	66,147	186	23,117	114	10,756	-71.1 7	- -
Total current liabilities	34,351,727	-5.18	36,229,438	36.89	26,466,226	5,084,038	575
LONG TERM DEBTS AND LIABILITIES
Long term group loans	-	-	-	-	-	-	- -
Other long term loans	-	-	-	-	-	-	- -
Deffered taxes	-	-	35,322	-10.29	39,372	58,297 69,470	-
Provisions for Liabilities & Charges	0	-	0	-	0	5,359 0	-100
Other long term liabilities	3,915,597	-26.89	5,355,828	22.30	4,379,380	241,551	1521
Total long term debts SHAREHOLDERS EQUITY	3,915,597	-27.37	5,391,150	22.01	4,418,752	667,878	486
Issued share capital	5,269,519	0	5,269,519	0	5,269,519	1,043,967	404
Share premium account	-	-	-	-	-	86,926	-
Reserves	1,646,521	4.25	1,579,425	7.26	1,472,467	646,544	154
Revaluation reserve	-	-	-	-	-	907,399	-
Total shareholders equity	6,916,040	0.98	6,848,944	1.59	6,741,986	1,71 4,1 20	303
Working capital	10,227,254	-11.70	11,582,005	10.77	10,456,248	2,075,016	392
Cashflow	195,813	6.78	183,372	-38.25	296,947	58,205	236
Net worth	6,906,566	1.00	6,838,359	1.43	6,741,986	1,71 3,047	303

ratio analysis

	Annual accounts	31-12-2013	change(%)	31-12-2012	change(%)	31-12-2011	Industry average 2013	%
	TRADING PERFORMANCE
	Profit Before Tax	0.05	-54.55	0.11	-21.43	0.14	-8,00	0.62
	Return on capital employed	0.64	-47.97	1.23	-20.65	1.55	-14,00	4.57
	Return on total assets employed	0.15	-51.61	0.31	-32.61	0.46	-5,00	3.00
	Return on net assets employed	1	-54.34	2.19	-14.45	2.56	-15,00	6.67
	Sales / net working capital	13.66	16.95	11.68	-3.31	12.08	170,00	-99
	Stock turnover ratio	6.02	-23.21	7.84	38.27	5.67	51,00	-88.20
	Debtor days	87.73	-6.41	93.74	9.82	85.36	143,79	-38.99
	Creditor days	32.95	-22.23	42.37	28.90	32.87	125,38	-73.72
	SHORT TERM STABILITY
	Current ratio	1.30	-1.52	1.32	-5.71	1.40	4,00	-91.33
	Liquidity ratio / acid ratio	1.05	1.94	1.03	-8.04	1.12	3,00	-65.00
qqQ	Current debt ratio	4.97	-6.05	5.29	34.61	3.93	15,00	-66.87
	Liquidity ratio reprocessed	-	-	-	-	-	-	-
	LONG TERM STABILITY
	Gearing	313.78	4.60	299.99	34.38	223.24	249,00	26.02
	Equity in percentage	15.31	8.35	14.13	-21.15	17.92	-261,00	5.87
	Total debt ratio	5.53	-9.05	6.08	32.75	4.58	16,00	-65.44

Industry comparison
Activity code	46761
Activity description	Wholesale of diamonds and other precious stones
Payment Information

Payment expectations

Payment expectation days	32.95
Day sales outstanding	87.73

Industry quartile analysis

Payment expectations

Company result 32.95

Lower 126.42

Median 78.01

Upper 48.73

Day sales outstanding

Company result 87.73

Lower 103.77

Median 54.50

Upper 25.06

Shareholder Details

Group Structure

No group structure for this company.

Minority Shareholders

No minority shareholders found

Minority Interests

No minority interests found

Summons

Legal event type Social Security Summons

Event date 17/11/2008

Court type Court name Antwerpen

3rd party name 3rd party type

Legal event type Social Security Summons

Event date 20/10/2008

Court type Court name Antwerpen

3rd party name 3rd party type

Protested Bills

there is no data for this company

Bankruptcy and other legal events

there is no data for this company

Director details

Current director details
Name	MANOJ KUMAR RASIKLAL MEHTA
Position	Principal Manager
Start Date	14/05/2014
Street	70 JACHTLAAN EDEGEM
Post code	2650
Country	Belgium
Name	SAMEEP MEHTA
Position	Principal Manager
Start Date	17/01/2013
Street	48 PASTOOR DE CONINCKLAAN ANTWERPEN
Post code	2610
Country	Belgium
Name	SAUMIL MEHTA
Position	Principal Manager
Start Date	01/07/2009
Street	106 BELGIELEI ANTWERPEN
Post code	2018
Country	Belgium
Name	BIREN BIPINBHAI JHAVERI
Position	Principal Manager
Start Date	28/11/2013
Street	106 BELGIELEI ANTWERPEN
Post code	2018
Country	Belgium
Former director details
Name	PHILIPS BELGIUM NV
Position	Liquidator
Start Date	15/03/2010
End Date	31/1 2/2011
Street	80 TWEESTATIONSSTRAAT BRUSSEL
Post code	1070
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.61.88
UK Pound	1	Rs.96.90
Euro	1	Rs.76.29

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.