MIRA INFORM REPORT

Report Date :

29.12.2014

IDENTIFICATION DETAILS

Name :	DIACORE BELGIUM NV
Registered Office :	Schupstraat 17, 2018 Antwerpen
Country :	Belgium
Financials (as on) :	31.12.2013
Date of Incorporation :	07.12.1977
Com. Reg. No.:	418101870
Legal Form :	Public Limited Liability Company
Line of Business :	Wholesale of Diamonds and Other Precious Stones
No of Employees :	9

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 – June 1, 2014

Country Name	Previous Rating (31.03.2014)	Current Rating (01.06.2014)
Belgium	A1	A2

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 Summary

Business number 418101870

Company name DIACORE BELGIUM NV

Address SCHUPSTRAAT 17

2018 ANTWERPEN

Number of staff 9

Date of establishment 07/12/1977

Telephone number 037271950

Commentary

The business was established over 36 years ago.

The business has 10 employees.

The business is part of a group.

The business has changed its registered name recently.

The business has been at the address for over 19 years.

Pre-tax profits increased by 33% compared to the previous trading period.

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

Turnover in the latest trading period increased 30% on the previous trading period.

Accounts
DATE OF LATEST ACCOUNTS	TURNOVER	PROFIT BEFORE TAX	NET WORTH	WORKING CAPITAL
31/12/2013	305,011,810	315,490	2,950,3723	2,434,718
31/12/2012	234,125,824	236,216	2,725,927	2,176,214
31/12/2011	220,578,847	242,571	2,538,379	1,977,684
Accounts
DATE OF LATEST ACCOUNTS	BALANCE TOTAL	NUMBER OF EMPLOYEES	CAPITAL	CASHFLOW
31/12/2013	78,493,987	9	500,000	271,168
31/12/2012	75,528,328	9	500,000	219,871
31/12/2011	52,047,719	9	500,000	228,825

Payment expectations
Past payments		Payment expectation days	38.98
Industry average payment expectation days	123.11	Industry average day sales outstanding	141.36
Day sales outstanding	84.40
Court data summary
BANKRUPTCY DETAILS
Court action type	no
PROTESTED BILLS
Bill amount
NSSO DETAILS
Date of summons	--

Company information

Business number	418101870	Company name	DIACORE BELGIUM NV
Fax number	--	Date founded	07/12/1977
Company status	active	Company type	Public Limited Liability Company (BE)
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	VAT Number	BE.0418.101.870 Check VAT number
Belgian Bullettin of Acts Publications	moniteur belge

Social balance sheet details

Social Balance Sheet Total

During the reporting year ended 31-12-2013

Full-time Employees 8

Part-time Employees 2

Total Fte Employees 9

Number of hours worked

Full-time Employees 14,166

Part-time Employees 1,953

Total 16,119

Personnel Charges

Full-time Employees 676,706

Part-time Employees 49,153

Total 725,859

Benefits In Addition To Wages -

During the previous reporting year

Average number employees in Fte 9

Actual working hours 16,253

Personnel Charges 702,421

Benefits In Addition To Wages -

Type of Contract Full-Time Part-Time Total Fte

Unlimited Duration

Contracts 8 2 9

Gender and Education

Level

Men Full-Time Part-Time Total Fte

Primary education 2 - 2

Secondairy education 4 - 4

Women Full-Time Part-Time Total Fte

Secondairy education 2 2 3

Working Category Full-Time Part-Time Total Fte

White collar worker 6 2 7

Blue collar worker 2 - 2

Joint Industrial Committee (JIC)

JIC Code 218

Description Additional national joint committee for the employees

category

JIC Code 324

Description Joint committee for the industry and the trade in diamant

category

Significant Events

Event Date 19/07/2013

Event Description re-appointment of director(s)

Event Details Commentaar 19-07-2013: Worden herbenoemd als bestuurders tot na de jaarvergadering van 2019: Bouaziz Franck (tevens als gedelegeerd bestuurder) en NV STIMO.

Company accounts

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	305,011,810	30.28	234,125,824	6.14	220,578,847		54,328,773	461
Total operating expenses	303,802,250	30.32	233,114,744	6.01	219,902,044		53,874,825	463
Operating result	1,209,559	19.63	1,011,080	49.39	676,802		149,823	707
Total financial income	88,285	306	21,720	-9.60	24,027		83,179	6.14
Total financial expenses	982,354	23.32	796,584	73.83	458,259		191,543	412
Results on ordinary operations before taxation	315,490	33.56	236,216	-2.62	242,571		34,909	803
Taxation	92,476	34.41	68,800	11.73	61,576		21,734	325
Results on ordinary operations after taxation	223,014	33.21	167,416	-7.50	180,995		18,939	1077
Extraordinary items	1,432	-92.89	20,132	-	0		5,365	-73.32
Other appropriations	0.00	-	0.00	-	0.00		-	-
Net result	224,445	19.67	187,548	3.62	180,995		24,438	818
Gross Operating Margin	-	-	-	-	-		33,409	-
Dividends	-	-	-	-	-		234,766	-
Director remuneration	-	-	-	-	-		126,036	-
Employee costs	725,859	3.34	702,421	4.23	673,898		139,048	422
Wages and salary	566,747	2.05	555,348	4.44	531,747		119,968	372
Employee pension costs	-	-	-	-	-		23,129	-
Social security contributions	153,659	7.77	142,575	3.91	137,215		29,614	418
Other employee costs	5,453	21.24	4,498	-8.88	4,936		3,979	37.05
Amortization and depreciation	46,723	44.55	32,324	-32.42	47,830		17,896	161

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	0	-	0	-	0	1,298	-100
Tangible fixed assets	159,401	29.11	123,459	91.58	64,441	189,680	-15.96
Land & building	6,269	-9.69	6,941	-8.83	7,613	369,885	-98.31
Plant & machinery	36,942	-12.96	42,443	-15.93	50,485	26,893	37.37
Furniture & Vehicles	116,190	56.86	74,074	1067	6,343	15,771 4,585	636
Leasing & Other Similar Rights	-	-	-	-	-	107,517 34,551	-
Other tangible assets	0	-	0	-	0	9,057	-100
Financial fixed assets	356,254	-16.42	426,254	-14.11	496,254	179,439	98.54
Total fixed assets	515,655	-6.20	549,713	-1.96	560,695	299,919	71.93
Inventories	7,390,593	-49.68	14,688,595	28.82	11,402,401	2,927,814	152
Raw materials & consumables	-	-	-	-	-	6,545,857	-
Work in progress	0	-	0	-	0	1,123	-100
Finished goods	7,390,593	-49.68	14,688,595	28.82	11,402,401	1,943,728	280
Other stocks	0	-	0	-	0	451,609	-100
Trade debtors	70,527,828	17.06	60,247,856	50.83	39,944,433	4,241,844	1562
Cash	512	-56.20	1,169	-87.94	9,692	456,237,237	-99
other amounts receivable	21,951	-32.38	32,461	-16.91	39,065	181,821	-87.93
Miscellaneous current assets	37,448	338	8,535	-90.67	91,433	-449,184,062	0.01
Total current assets	77,978,333	4.00	74,978,616	45.63	51,487,024	7,131,127	993
Total Assets	78,493,987	3.93	75,528,328	45.11	52,047,719	7,398,361 1,291,835	960

CURRENT LIABILITIES

Trade creditors	32,444,585	1.33	32,018,848	17.61	27,224,329	2,898,098	1019
Short term group loans	-	-	-	-	-	-	-
Financial debts	42,953,060	5.69	40,640,334	83.48	22,149,756	4,392,180 148,601	877
Current portion of long term debt	-	-	-	-	-	81,130 14,053	-
Amounts Payable for Taxes, Remuneration & Social Security	145,532		136,874		128,445	8,507 -	359
Miscellaneous current liabilities	438	-93.09	6,346	-6.81	6,810	-99	--
Total current liabilities	75,543,615	3.77	72,802,402	47.05	49,509,340	5,071,474	1389
Long term group loans	-	-	-	-	-	-	-
Other long term loans	-	-	-	-	-	-	--
Deffered taxes	-	-	-	-	-	46,266 28,377	-
Provisions for Liabilities & Charges	0	-	0	-	0	3,923 0	-100
Other long term liabilities	0	-	0	-	0	243,305	-100
Total long term debts	0	—	0	—	0	679,953	-100
Issued share capital	500,000	0	500,000	0	500,000	963,005	-48.08
Share premium account	-	-	-	-	-	124,160	-
Reserves	2,450,372	10.08	2,225,927	9.20	2,038,379	653,401	275
Revaluation reserve	-	-	-	-	-	881,530	-
Total shareholders equity	2,950,372	8.23	2,725,927	7.39	2,538,379	1,639,055	80.00
Working capital	2,434,718	11.88	2,176,214	10.04	1,977,684	2,059,653	18.21
Cashflow	271,168	23.33	219,871	-3.91	228,825	38,980	595
Net worth	2,950,372	8.23	2,725,927	7.39	2,538,379	1,637,757	80.15

RATIO ANALYSIS

Annual accounts	31-12-2013	Change(%)	31-12-2012	Change(%)	31-12-2011	Industry average 2013	%
TRADING PERFORMANCE
Profit Before Tax	0.10	0	0.10	-9.09	0.11	-7,00	1.43
Return on capital employed	10.69	23.30	8.67	-9.31	9.56	-7,00	152
Return on total assets employed	0.40	29.03	0.31	-34.04	0.47	-8,00	5.00
Return on net assets employed	10.69	23.30	8.67	-9.31	9.56	-6,00	178
Sales / net working capital	125.28	16.45	107.58	-3.54	111.53	132,00	-99
Stock turnover ratio	2.42	-61.40	6.27	21.28	5.17	76,00	-96.82
Debtor days	84.40	-10.15	93.93	42.10	66.10	141,36	-40.29
Creditor days	38.98	-22.24	50.13	10.93	45.19	123,11	-68.34
SHORT TERM STABILITY
Current ratio	1.03	0	1.03	-0.96	1.04	4,00	-89.70
Liquidity ratio / acid ratio	0.93	12.05	0.83	2.47	0.81	3,00	-69.00
Current debt ratio	25.60	-4.16	26.71	36.97	19.50	10,00	156
Liquidity ratio reprocessed	-	-	-	-	-	-	-
LONG TERM STABILITY
Gearing	1455.85	-2.35	1490.88	70.86	872.59	229,00	535
Equity in percentage	3.76	4.16	3.61	-26.02	4.88	-210,00	1.79
Total debt ratio	25.60	-4.16	26.71	36.97	19.50	11,00	132

Industry comparison
Activity code	46761
Activity description	Whole of diamonds and other precious stones

Payment expectations
Payment expectation days	38.98
Day sales outstanding	84.40
Industry comparison
Activity code	46761
Activity description	Whole of diamonds and other precious stones
Industry average payment expectation days	123.11
Industry average day sales outstanding	141.36
Industry quartile analysis
Payment expectations
Company result	38.98
Lower	122.34
Median	75.38
Upper	46.73
Day sales outstanding
Company result	84.40
Lower	101.92
Median	54.50
Upper	24.07

Minority Shareholders

No minority shareholders found

Group Structure

Business Number	Company Name	%	Date of Accounts
444499233	S.E.D. NV	50	31/12.2013
450354172	Ascot Diamonds Belgium NV	20	31/12.2013

INDIVIDUAL SHAREHOLDERS

Shareholder Name		Middle Name
Forename	Benjamin	--	--
Surname	Steinmetz	--	--

SHAREHOLDER DETAILS

Start Date	24/03/1997	End Date
Percentage Owned	20%	--	--

SHAREHOLDER ADDRESS

Street Name	--	House Number	--
Minor Town	--	Postal Town	--
Post Code	46920	Country	Israel

Summons

There is no date for this company

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 FRANK BOUAZIZ

Position Managing Director

Start Date 18/08/2014

Street 10 MEZENLAAN ANTWERPEN

Post code 2610

Country Belgium

Name STIMO NV

Position Director

Start Date 09/08/2010

Date of birth 01/09/1989

Street 12 SCHUPSTRAAT ANTWERPEN

Post code 2018

Country Belgium

Position Legal Representative

Start Date 20/05/2008

Date of birth 01/09/1989

Street 12 SCHUPSTRAAT ANTWERPEN

Post code 2018

Country Belgium

CURRENT MANDATES IN OTHER COMPANIES

Name Stimo NV

Business number 438262133

Position Director

Start Date 04/08/2011

Business number 438262133

Position Legal Representative

Start Date 20/05/2008

FORMER DIRECTOR DETAILS

Name CHRISTOPHER DUNDAS

Position Director

Start Date 24/03/1997

End Date 01/01/2002

Street 56 LOWTHER ROAD LONDEN

Post code

Country

Name FRANK BOUAZIZ

Position Director

Start Date 24/03/1997

End Date 01/01/2002

Street 10 MEZENLAAN ANTWERPEN

Post code 2610

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.63.64
UK Pound	1	Rs.98.98
Euro	1	Rs.77.74

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%)

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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.