MIRA INFORM REPORT

Report Date :

10.12.2014

IDENTIFICATION DETAILS

Name :	PLUCZENIK DIAMOND COMPANY NV

Registered Office :	Pelikaanstraat 78, 2018 Antwerpen

Country :	Belgium

Financials (as on) :	15.01.2014

Date of Incorporation :	20.07.1963

Com. Reg. No.:	405805438

Legal Form :	Public Limited Liability Company (BE)

Line of Business :	Wholesaler of diamonds and other precious stones

No. of Employees	13 (15.01.2014)

RATING & COMMENTS

MIRA’s Rating :

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, 2014

Country Name

Previous Rating

(30.06.2014)

Current Rating

(30.09.2014)

Belgium

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 405805438

Company name PLUCZENIK DIAMOND COMPANY NV

Address PELIKAANSTRAAT 78

2018 ANTWERPEN

Number of staff 13 (15.01.2014)

Date of establishment 20/07/1963

Telephone number 032315765

Ultimate holding company

Company name Company Number

Pluczenik Diamond Company NV 405805438

Commentary

The business was established over 51 years ago.
The business has 13 employees.
The business is part of a group.
This business has a foreign parent business.
The business has been at the address for over 31 years.
The business saw an increase in their Cash Balance of 29% during the latest trading period.

Accounts

DATE OF LATEST ACCOUNTS	TURNOVER	PROFIT BEFORE TAX	NET WORTH	WORKING CAPITAL
15/01/2014	584,703,535	1,710,002	124,760,591	123,124,993
15/01/2013	503,927,630	1,845,646	125,621,677	123,940,318
31/12/2011	561,435,797	2,231,554	127,460,806	125,692,066

Accounts
DATE OF LATEST ACCOUNTS	BALANCE TOTAL	NUMBER OF EMPLOYEES	CAPITAL	CASHFLOW
15/01/2014	370,972,655	13	110,967,375	1,892,652
15/01/2013	346,602,138	13	113,292,406	2,039,842
31/12/2011	360,891,575	12	116,689,367	2,447,824

Trends

Profitability
Liquidity
Net worth

Payment expectations

Payment expectation days 72.69

Industry average payment expectation days 94.48

Industry average day sales outstanding 110.96

Day sales outstanding 102.19

Court data summary

BANKRUPTCY DETAILS

Court action type no

PROTESTED BILLS

Bill amount -

NSSO DETAILS

Date of summons 07/05/2002

Social Balance Sheet

During the reporting year

ended 15-01-2014

Full-time Employees 12

Part-time Employees 3

Total Fte Employees 14

Number of hours worked

Full-time Employees 18,567

Part-time Employees 3,150

Total 21,717

Personnel Charges

Full-time Employees 395,377

Part-time Employees 64,929

Total 460,306

During the previous reporting year

Average number employees in Fte 15

Actual working hours 23,424

Personnel Charges 467,135

Type of Contract	Full-Time	Part-Time	Total Fte
Unlimited Duration Contracts	10	3	12
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	-	-	-
Secondary education	6	2	7
Higher education (non university)	-	-	-
Higher education (university)	-	-	-

Women	Full-Time	Part-Time	Total Fte
Primary education	1	1	2
Secondary education	5	-	5
Higher education (non university)	-	-	-
Higher education (university)	-	-	-

Working Category	Full-Time	Part-Time	Total Fte
Management	-	-	-
White collar worker	8	3	10
Blue collar worker	4	-	4
Other	-	-	-

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

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 19/05/2014

Event Details Rechtzetting publicatie d.d. 13/10/2010 : de benoeming tot voorzitter en gedelegeerd bestuurder

vandhr Pluczenik Chaim dient toegevoegd te worden.

Company accounts

Profit & Loss

Annual Accounts	15-01-2014	%	15-01-2013	%	31-12-2011	Industry Average	%

Currency	EUR		EUR		EUR
Turnover	584,703,535	16.03	503,927,630	-10.24	561,435,797	292,683,319	99
Total operating expenses	577,541,098	16.10	497,453,267	-10.96	558,672,292	289,096,827	99
Operating result	7,162,437	10.63	6,474,363	134	2,763,505	2,376,545	201
Total financial income	6,813,607	-22.42	8,782,835	-41.07	14,904,036	2,271,243	199
Total financial expenses	12,266,042	-8.54	13,411,552	-13.12	15,435,987	4,099,358	199
Results on ordinary operations before taxation	1,710,002	-7.35	1,845,646	-17.29	2,231,554	548,430	211
Taxation	667	4.00	-16,678	-206	15,591	4,670	-85.72
Results on ordinary operations after taxation	1,709,335	-8.21	1,862,324	-15.96	2,215,963	545,317	213
Extraordinary items	7,636	-15.86	9,075	1361	621	3,236	135
Other appropriations	1	0	1	-	0	-	-
Net result	1,716,972	-8.25	1,871,400	-15.57	2,216,584	548,553	213
OTHER INFORMATION
Gross Operating Margin	-	-	-	-	-	10,542	-
Director remuneration	122,719	-9.03	134,896	2.52	131,576	82,437	48.86
Employee costs	460,306	-3.48	476,923	-17.38	577,275	377,837	21.83
Wages and salary	373,545	-2.79	384,248	-17.87	467,870	307,269	21.57
Employee pension costs	-	-	-	-	-	-	-
Social security contributions	77,668	-7.25	83,742	-19.14	103,562	58,657	32.41
Other employee costs	9,093	1.79	8,933	52.86	5,844	11,911	-23.66
Amortization and depreciation	175,680	4.30	168,442	-27.16	231,240	64,977	170

Balance Sheet

Annual accounts	15-01-2014	%	15-01-2013	%	31-12-2011	Industry average 2014	%
Weeks	52		54		52
Currency	EUR		EUR		EUR
Intangible fixed assets	0	-	0	-	0	0	--
Tangible fixed assets	466,493	-4.36	487,758	-9.38	538,232	173,377	169
Land & building	103,967	-5.58	110,108	38.24	79,650	103,967	0
Plant & machinery	201,133	-30.95	291,277	-29.44	412,800	201,133	0
Furniture & Vehicles	161,394	86.86	86,373	88.66	45,782	71,677 35,485	125
Leasing & Other Similar Rights	-	-	-	-	-	- -	---
Other tangible assets	-1	-	0	-	0	0	---
Financial fixed assets	1,300,597	-2.05	1,327,848	-2.99	1,368,780	672,159	93.50
Total fixed assets	1,767,091	-2.67	1,815,606	-4.79	1,907,012	621,483	184
Inventories	184,170,200	-19.11	227,682,011	9.99	206,996,224	92,182,483	99
Finished goods	184,170,200	-19.11	227,682,011	9.99	206,996,224	61,390,067	199
Other stocks	0	-	0	-	0	64,922	-100
Trade debtors	163,696,255	65.41	98,963,507	-30.92	143,252,916	54,655,282	199
Cash	15,024,398	29.11	11,637,085	343	2,626,224	5,124,483	193
other amounts receivable	6,181,689	-2.48	6,338,822	7.91	5,874,382	2,405,908	156
Miscellaneous current assets	133,022	-19.43	165,107	-29.69	234,817	47,788	178
Total current assets	369,205,564	7.08	344,786,532	-3.96	358,984,563	123,688,449	198
Total Assets	370,972,655	7.03	346,602,138	-3.96	360,891,575	124,309,932 1,806,967	198
CURRENT LIABILITIES
Trade creditors	115,012,860	19.99	95,850,370	-14.65	112,289,688	38,342,951	199
Financial debts	130,836,985	4.84	124,793,225	3.38	120,708,602	130,836,985 130,836,985	0
Amounts Payable for Taxes, Remuneration & Social Security	81,384	-1.22	82,389	-24.32	108,871	68,494	56.10
Miscellaneous current liabilities	149,342	24.22	120,221	-35.13	185,336	195	--
Total current liabilities	246,080,570	11.43	220,846,214	-5.34	233,292,497	82,057,923	199
LONG TERM DEBTS AND LIABILITIES
Other long term loans	131,493	-2.05	134,247	-2.91	138,273	0	--
Other long term liabilities	0	--	0	--	-1	00	---
Total long term debts	131,493	-2.05	134,247	-2.91	138,272	43,831	200
Shareholder Equity
Issued share capital	110,967,375	-2.05	113,292,406	-2.91	116,689,367	37,351,125	197
Reserves	13,793,216	11.87	12,329,271	14.46	10,771,439	4,857,050	183
Total shareholders equity	124,760,591	-0.69	125,621,677	-1.44	127,460,806	42,208,175	195
Working capital	123,124,993	-0.66	12,3940,318	-1.39	125,692,066	41,630,523	195
Cashflow	1,892,652	-7.22	2,039,842	-16.67	2,447,824	613,530	208
Net worth	124,760,591	0.69	125,621,677	-1.44	127,460,806	42,208,175	195

Ratio Analysis

Annual accounts	15-01-2014	change(%)	15-01-2013	change(%)	31-12-2011	Industry average 2014	%
TRADING PERFORMANCE
Profit Before Tax	0.29	-21.62	0.37	-7.50	0.40	1,00	-71.00
Return on capital employed	1.37	-6.80	1.47	-16.00	1.75	4,00	-65.75
Return on total assets employed	0.46	-13.21	0.53	-14.52	0.62	1,00	-54.00
Return on net assets employed	1.37	-6.80	1.47	-16.00	1.75	4,00	-65.75
Sales / net working capital	4.75	16.71	4.07	-8.95	4.47	9,00	-99
Stock turnover ratio	31.50	-30.28	45.18	22.54	36.87	32,00	-1.56
Debtor days	102.19	42.56	71.68	-23.03	93.13	110,96	-7.90
Creditor days	72.69	3.36	70.33	-4.13	73.36	94,48	-23.06
SHORT TERM STABILITY
Current ratio	1.50	-3.85	1.56	1.30	1.54	63,00	50.00
Liquidity ratio / acid ratio	0.75	41.51	0.53	-18.46	0.65	55,00	-98.64
Current debt ratio	1.97	11.93	1.76	-3.83	1.83	1,00	97.00
Liquidity ratio reprocessed	-	-	-	-	-	-	-
LONG TERM STABILITY
Gearing	104.98	5.56	99.45	4.89	94.81	105,00	-0.02
Equity in percentage	33.63	-7.20	36.24	2.60	35.32	59,00	-43.00
Total debt ratio	1.97	11.93	1.76	-3.83	1.83	1,00	97.00

Payment Information

Payment expectations

Payment expectation days 72.69

Day sales outstanding 102.19

Industry comparison

Activity description Wholesaler of diamonds and other precious stones

Industry average payment

expectation days 94.48

Industry average day sales

Outstanding 110.96

Industry quartile analysis

Payment expectations

Company result 72.69

Lower 127.94

Median 74.39

Upper 36.51

Day sales outstanding

Company result 102.19

Lower 106.32

Median 57.85

Upper 18.94

Shareholders details

Group - Number of Companies 2

Group Structure

Company name	Number	Latest financials
- PLUCZENIK DIAMOND COMPANY NV	405805438	15-01-2014
- - PLUCZENIK DIAMOND JEWERLY NV	472186397	15-01-2014

Minority Shareholders

No minority shareholders found

Minority Interests

No minority interests found

Linked Companies

Summary

Group - Number of Companies 2

Summons

Legal event type	Social Security Summons
Event date	07/05/2002

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	CHAIM PLUCZENIK
Position	Managing Director
Start Date	11/10/2007
Street	15 REMBRANDTSTRAAT ANTWERPEN
Post code	2018
Country	Belgium

Position	Director
Start Date	11/10/2007
Street	15 REMBRANDTSTRAAT ANTWERPEN
Post code	2018
Country	Belgium

Position	Chairperson
Start Date	13/10/2010
Street	15 REMBRANDTSTRAAT ANTWERPEN
Post code	2018
Country	Belgium

Name	MICHEL STERN
Position	Director
Start Date	11/10/2007
Date of birth	05/12/1948
Street	5 QUINTEN MATSIJSLEI ANTWERPEN
Post code	2018
Country	Belgium

Name	TSVI PLUCZENIK
Position	Director
Start Date Street Post code	22/10/2010 132 FLAT B, 9/F TAI WAH BUILDING, ELECTRIC ROAD, NORTH P
Country	Hong Kong

Former director details
Name	SAMUEL JOZEF PLUCZENIK
Position	Managing Director
Start Date	04/10/2004
End Date	Unknown date
Date of birth	27/05/1956
Street	25 KORTE LEEMSTRAAT 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.61.88
UK Pound	1	Rs.96.90
Euro	1	Rs.76.29

INFORMATION DETAILS

Analysis Done by :	DIV

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%)

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.

Business number		405805438	Company name	PLUCZENIK DIAMOND COMPANY NV
Office address	Diamantbeurs, Pelikaanstraat 78, Office 1601 - 1608, 2018 Antwerpen Belgium
Fax number		---	Date founded	20/07/1963
Company status		active	Company type	Public Limited Liability Company (BE)
Currency		Euro (€)	Date of latest accounts	15/01/2014
Activity code		32121	Liable for VAT	yes
Activity description		Wholesaler of diamonds and other precious stones	VAT Number	BE.0405.805.438 Check VAT number
Belgian Bullettin of Acts Publications		moniteur belge